Welcome to The Get Real Podcast, your high-octane boost and in the trenches tell-it-like-it-is reality therapy for personal, business and real estate investing success with your hosts, power-preneurs Angela and Ron. It’s time to get real!

Angela: Hey everybody, welcome to The Get Real Podcast. I’m Angela Thomas and I’m here with Ron Phillips.

Ron: Yeah, yeah. Another awesome show.

Angela: Today we have a special guest, Chris Miles, the owner of Money Ripples. So hey Chris, thanks for joining us.

Chris: Thanks a lot. It’s fun beyond.

Angela: So real quick, Chris is known as the cashflow expert and he calls himself the anti- financial adviser. So we’ll talk a little bit more about that in a minute. He’s a leading authority teaching entrepreneurs and professionals how to quickly free up and create more cashflow in their life so that they have more time to do what they love most. He’s an author and podcast hosts of the Chris Miles Money Show. He’s been featured in US News, CNN Money, EO Fire and has a high reputation with this company, Money ripples. He gets his clients fast, life altering financial results and his clients have increased their cashflow by over 100 million in the last eight years.

Ron: Most importantly, most importantly, Chris is a longtime friend, one of the most connected individuals I’ve ever met in my life. And he’s also, this is probably the biggest deal right here. He is the first person to ever pay me to speak. Chris, do you remember this right here?

Chris: Oh yeah.

Ron: Not only did he take me by first, everybody who’s looking at this, watching this, this is my first speaking fee and it is a six figure speaking fee. Very cool. I don’t even know what this is. Some of Vietnamese denomination.

Chris: One hundred thousand dong.

Angela: One hundred thousand Dong.

Ron: One hundred thousand dong for my first speaking. Chris officially welcome to the show buddy. This is going to be fun. I’m excited.

Chris: Thanks a lot. I appreciate being on.

Angela: Yeah, thanks for joining us Chris. So for anyone out there who you know, hasn’t heard your show or doesn’t know who you are, do you mind just giving us a little background on yourself? Tell us about you.

Chris: Yeah, you know I started out like everybody, you know, majoring in sociology and then not using it. So, you know, I started out going to college, I actually dropped out to become an entrepreneur and the business I ended up starting was actually 17 years ago as a financial advisor, right. Doing the traditional mainstream staff telling you to save all your money, pay off all your debt, you know, load up the mutual funds and all that kind of stuff and you know, take high risks to create high returns. And hopefully someday if you’re in it for the long haul long enough, you might actually have something, you know, and…

Ron: It’s such a great strategy.

Angela: Yeah we’ve all heard that strategy.

Ron: Great strategy.

Chris: It’s a real popular strategy that has yet to work and that’s kind of what I found out after four years, I’m like, hey, I’ve got clients that I have inherited, they’ve had decades of advice and they’re still broke. You know, their still not financially free. And it was a real estate investor that woke me up to that. He’s like, hey, well if anybody’s got this figured out, how about you guys, this financial advisor, how many of you are financially free, not off the commissions, but actually off of the investments you’ve been recommending? I’m like, none, maybe one.

Chris: I found that that one wasn’t either. Like once he got fired, he was scrambling trying to find work again. So that’s the big thing. And so 2006 I left that, I was like, okay, that’s it I’m done. I will never teach about money again because I felt like I was a liar and a deceiver and I was like, I’ll just do mortgages and I’ll teach ballroom dancing at the local university.

Angela: Ballroom dancing, all right.

Ron: Another fun fact Chris is quite the dancer everyone so.

Angela: We’re going to yeah. I don’t know if we can show that on here, but that sounds pretty cool.

Chris: Yeah, about 30 pounds ago I was, I was one of the nation’s top dancers so.

Angela: Nice.

Chris: But yeah, so I mean that’s kind of how I got my start. But the thing is like I started to get mentored by people that actually had become millionaires and it wasn’t soon, it wasn’t long. About July of 06′ I found out, I’m like, wait, I was looking at my money. I’m like, I’m working three hours a week and I’m making enough to pay all my bills. Like I’m technically financially independent. And that was a shocker because I didn’t have to save up $2 million like my goal was as a financial advisor. It wasn’t about that. It wasn’t about really getting cash flow to come in and it changed my world, changed my perspective.

Chris: It actually, because of it, people kept asking me like, well what’d you do and how you’re doing what you do every day. I’m like, I sell drugs. Like I didn’t know what to answer because it was such a complicated, if it’s felt like a complicated answer to me. And so that’s kind of what I did after 2007 came out of retirement, started teaching this stuff, went through the recession, went from millionaire to upside down millionaire, dug back out of that without going through bankruptcy. And I was like in the whole $16,000 a month. And I was able to dig back out of that. And it was again, financially independent and December of 2016 and I was like, there I am again.

Angela: You got one of those cool stories. Go ahead Ron.

Ron: I mean how cool is it that, how cool is it that you go all that way down? Because I mean, we hear a lot of stories about people who succeed, right? We hear fewer people say, I succeeded, I completely failed and then I came back. And oh, by the way, I didn’t come back by eliminating all of my debt. I came back by paying it all off. What a stand up thing to do, Chris. I think everybody has to understand the difference between the two, right?

Angela: Yeah, for sure.

Chris: Yeah, it was really tough. But that’s the thing. Like I saw as an opportunity to prove that the principles and the strategies that we teach actually work, you know, and so to have to dig back out of a huge hole, it’s one thing coming from zero and going up right. Or coming little going up to retired, but to go from basically what should have been bankrupt, to then be able to be financially free and about within about a 10 year period of time. You know, that’s, you know, that to me was, you know, or less than 10 years I guess it was. I mean that to me is kind of like the testament of what we teach really works.

Ron: Absolutely. So just talk to us a little bit more about anti-financial advisor. I love the term incidentally. I love the name of your book too, which I think, I think kind of both of these go together. But tell us a little bit about anti-financial adviser and then I’m going to and then I’m going to pimp your book out because I absolutely fell in love with the name of it.

Chris: Yeah. So anti-financial advisor, basically it just means doing the opposite of everything you’ve been taught. So instead of focusing on trying to throw money in mutual funds and let it accumulate and grow. Because if you think about it, like even if someone’s lucky enough to save up say $1 million in mutual funds, which there are some people out there, I’ve got clients that have that, but the problem is, is you become a millionaire. But if you go off the traditional financial advice, they say, don’t live off more than 2% or 3% a year. Well, if you’re a millionaire, then you’re living on a $20,000 or $30,000 a year, you’re in poverty. So you’re a poverished millionaire, right.

Ron: That’s ridiculous that they say that you should pile all this money up and then you should get a pathetic return on it. And that’s what you’re supposed to live on. It never works. People actually cannibalize their money, Chris. It’s insane.

Angela: Yeah. You can’t do that. And you don’t want to do that, right?

Chris: Not at all. Which is totally different. I mean making $20,000 or $30,000 a year from 1 million bucks where I know what strategies you guys use, because I referred a lot of my clients to you guys, that same million bucks could easily generate like, you know, $8,000 to $10,000 a month passive income, you know? I mean that’s over $100,000 grand a year. So it’s like do you want $10,000 or $20,000 you know, $20,000 or $30,000 a year or you want over a $100,000 grand a year? I mean hard choice, you know? And that’s the difference. Like anti- financial is like, hey, let’s not focus on trying to build and accumulate money, which only feeds banks and financial companies, not you, right. Because they want you to keep money in there forever so they keep making their fees for eternity.

Angela: Exactly, exactly, right.

Chris: But we’re teaching like, no, we want cashflow. Like how do we create cash right now? And that’s really what it is. It’s just turning the whole thing upside down and saying, no screw all that stuff. Sorry if this is now PG-13 because I said screw.

Ron: Oh dammit, now I’m going to have to put an E by the…

Chris: This is no longer rated E for everyone. You know, like a video game.

Ron: Explicit thanks to Chris.

Angela: If that’s a bad word I’m going to be kicked off so.

Chris: Tipper Gore’s rolling over in her grave. Oh wait she is still alive, never mind.

Angela: Yeah so Chris, that is so cool. What other strategies, you mentioned briefly real estate and I don’t know if you want to share a little bit more about how you got into that, but yeah. How did you get started in the real estate of this and what other strategies are in there? Sorry, that’s kind of a big question, but yeah.

Chris: Well I started doing real estate myself like before the recession and I was being stupid. Like I was just like, I was thinking like, well man, if a small property, $150,000 makes 10% appreciation, that’s $15,000 grand, but if I can get a $500,000 property, that’s $50,000 appreciation. So let’s just go big, right.

Angela: We’ve heard that before, Chris.

Chris: What’s that?

Angela: We’ve heard that before from people, that never goes well.

Ron: Chris that’s called the go big and go home strategy.

Chris: Yeah, that’s right. That’s a way to go the doghouse, you know, so yeah. So I mean I got caught up in that a little bit. I mean I wasn’t like horribly in it, but I had the perfect storm to the recession because it wasn’t just real estate, but the business wasn’t doing great, you know, like, because I was focused on real estate professionals back then. So everybody was like freaking out and, you know, so I mean that’s kind of was my start. And it actually took you guys to get faith in it again, just within, for myself personally in the last few years, even though I’ve referred clients to you guys for like six years now, for me personally, it took like up until the recent last few years of say, okay, I think it could do this again because I think I can actually do it right. Learning what I’ve learned and from all the mistakes, and you guys actually addressed that because you talk about, hey, we don’t go for one horse towns.

Chris: You know, we don’t try to go for the Vegas or the Detroit’s, you know, where everything’s betting on one industry and hey, we’re not buying high priced homes we’re buying low price ones. So even if there is another recession, like the last one, which is unlikely, well who cares? Because the low price homes, that’s where people flock towards and that could actually make your property value go up. And so just all that stuff, like I’ve taught my clients, it’s like, no, this is cool stuff like this is great, you know, especially if they want to go more the passive routes, but just somebody really busy, you know?

Angela: Yeah. So what other strategies are in there? I mean that’s really cool. Thanks for that Chris. The real estate thing, but if you’ve only got to that in recent years, can you share more about, just give us like a, you know, overview of what kind of strategies feed into this, how you turned your life around.

Chris: Yeah, you know, a lot of them is actually in the book that Ron was mentioning. I mean, a lot of them…

Angela: Wait what’s the book?

Ron: Wait, wait, wait.

Angela: Wait, wait, wait. Let’s just stop there.

Ron: The name of this book is so good. It’s called Beyond Rice and Beans. So go to MoneyRipples.com and I think you get a free copy, right Chris?

Chris: Yes.

Ron: So get a free copy.

Chris: And it’s a huge book. It’s like 28 pages because I put page breaks in it.

Ron: If you don’t know the reference, this is a little bit of a dig at Dave Ramsey for all of you who love him. God bless. I’ve met him in person, ate lunch with him, he’s a great guy. And a lot of what he teaches is good for a lot of people, but it’s not great for everybody. So anyway, Chris, lead into your book. Go ahead.

Chris: Yeah, it is. It’s kind of a slap at him. I mean, my wife was actually the first certified instructor for Dave Ramsey from the state of Utah and has been to his house and she’s like, he doesn’t even follow the same advice he gives. It’s ridiculous, you know, it’s like they’re all broke ministers that follow his advice, you know, pretty much make $30,000 $40,000 a year it’s great, but if you make more than that, you don’t want to follow that advice. And that’s how I talk about my book. I mean, I talk a little bit about that, but for example, I had to get my money under control. I had a watch what I was doing, tracking my money, looking at, you know, what’s coming in both income and expenses, not just expenses. Because you have to understand there’s three paradigms when it comes to money.

Chris: There’s the saver paradigm that we’re all taught, supposed to be heavenly, right? Which is save, save, save is really a scarcity mentality. If you think about it, it’s, you can never save enough. You can never pay off debt fast enough. You’re always trying to accumulate, but you’ll never get to a point where you feel like you’re safe, right? Flip side, the other scarce one is spender, which we all know that obviously you get money, you blow it, you know, and there’s also fear there because you have to keep producing money to keep going. And then the one that’s actually an abundance is a steward mentality. You know, steward takes the best of the spender and the saver and puts it into one. So a steward realizes like, Hey, I’m here, you know that money is meant to be used unlike a saver who doesn’t want to use money ever, right?

Chris: Money is meant to be used. It’s meant to be put in a way that creates production. It creates ways to bless people’s lives, allows people to grow. Like you can multiply it and you can edify people and you can actually make your life and the lives around you better because of it. And that’s what a steward does.

Ron: I love that.

Angela: That’s really cool. Thanks for sharing that.

Ron: I love that word too, man. And it goes along with what Angela and I talk about. Man, I think almost in every episode, which is our purpose as a company.

Angela: We beat it down, yeah.

Ron: Through service, we build people. That is exactly what people who are good stewards of their money. We’ve never used that word it’s a fantastic when I’m going to go ahead and steal that one from you from now on. Great, great term.

Chris: And that’s the thing is like, I mean, we’ve been there, we’ve been in place where we finally been free or independent, you know, as people would say. And the thing is, you can either just be comfortable yourself or you can help others do the same. You know, you can create a ripple effect. That’s why my company’s called Money Ripples, I want to create that ripple effect through people’s lives, you know, because I’ve seen it.

Chris: So yeah, so I mean, from a steward perspective, like, you know, when it comes to looking at your income and expenses, stewards look at both because spenders only look at the income, but they ignore the expenses while those that are, you know, those that are savers, they only look at the expenses but ignore the income, right? Stewards look at both. Other strategies I did, I mean, obviously saving money on taxes. I know you guys, both of us use the same accountant great CPA, right? So I know that’s a big thing. Other things I’ve done help, debt. I mean debts a fun one for a lot of people.

Ron: So tell me more about both of those, right. So look, I’m a professional or I’m a, you know, I’m a hardworking person, business owner, you know, whatever. And I say, okay, I love this idea of finding, you know, a whole bunch of money I didn’t know was there because you know, you, I know you, I mean, I follow you on Facebook I listened to your show. And you know, sometimes you save people six figures and not just save, but like make people six figures after the first meeting when you meet with them. But on average it’s still what, $20,000 $30,000 grand, something like that on average a year?

Chris: It’s about a $34,000 grand a year is a between saving or making money.

Ron: So if I’m listening to this right now and I’ve got and I know what my current situation is logically in my brain I’m going to be saying, yeah, right there’s no way in hell you’re going to find $34,000 grand. I mean, I’ve got an accountant, I’ve been through this. I already know I look for money all the freaking time. How the hell are you going to find me $34,000 extra dollars in Chris Miles says?

Chris: Chris Miles says like, it just depends. It’s everywhere. I mean, you know, for example, I mentioned just tracking money. Like if someone’s a busy entrepreneur and they say they’re too busy to track their money, I can assure you, I can guarantee you 100% of the time they’re losing at least $500 a month. That’s $6,000 grand a year, right? That’s, I mean, I had one, one person in fact that she said that same thing. And then we started looking at some things, even like food costs and you know, just random stuff. Even like cable, you know, like Internet, you know, satellite TV and all that stuff. And we found $1,500 a month, which was funny because she’s like, I’m too busy to track my money.

Chris: I’m like, well, you’re too busy not to because that’s $1,500 bucks a month you have to keep producing just to do the same crap? You know, like you know taxes is another one business owners especially now if you’re not a business owner, hang in there, there’s more. But for, you know, for most part business owners are overpaying on taxes. You know, like I had somebody who was in network marketing that she had six kids.

Angela: Yeah, that’s a sore subject, man. Don’t bring up…

Chris: Especially this time of year, right?

Ron: It’s a sore subject. But this is the perfect time of year to bring it up because it hurts so bad when you write that check when you’re a business owner and Angela, you and I, you know, we’ve done this. I mean every quarter we go through our finances and how many times a year and you know, there’s four quarters, how many times a year do we find auto payment crap that it’s just for paying and nobody knows even what the hell it is? It’s just sitting there getting clocked out of our checking account and neither one of us even know what it is.

Angela: No, I was just going to say, I bet you have Chris, maybe not with your personal finances, although he probably would if you’re being honest with yourself. But if you went through our business account I bet he would find all kinds of crap that we miss because you know, you and I are kind of like, you know, we see a butterfly and get distracted and forget what we’re doing.

Ron: I mean with you it’s butterflies, with me, you know it’s probably something different than butterflies. I’m not copping to that Angela.

Angela: Okay. Wow.

Chris: That’s the thing….

Angela: I’m just saying if he sat down I bet…

Chris: Yeah. There’s no like bad expenses necessarily. It just depends on what it’s doing for you, right. Is it creating the ROI that you hope for? You know, like, it’s funny because I had a dentist that between tax savings and refinancing some loans and consolidating into some stuff and restructuring things, we saved them $6,000 a month with them. Then he just took the same stuff from the whole spending like productive consumptive destructive expenses. We kind of classify them, you know, you know consumptive are okay, but they’re not, you know, they’re just like lifestyle type stuff sometimes. But destructive means you’ve got to get rid of it. Well he went to his practice, this is a guy in Virginia, right? Dennis in Virginia went to his practice. He said he found another $16,000 a month without me.

Chris: He was just taking the same principles and apply it from personal to his practice, you know, and it was just like that subscriptions he’s like, I didn’t realize I was paying for this every month. And you know, I think he let go of an employee that just wasn’t pulling their weight. So he’s like, okay, this is extra weight. This is extra fat let’s trim it. And so when we’re all said and done, it’s like, well good job buddy. You just freed up $300,000 this year. And that was with no investing, right. That was even talking about the investing part, which to me is way more fun.

Ron: That wasn’t even tax savings. That’s just wasted money.

Chris: Yeah. We saved about $20,000 grand for him in tax savings, but still like that’s not close to $300,000.

Ron: Yeah, that’s actually phenomenal. And you know, I hear about this all the time. There was actually a post, not from you, from another guy I know where he talked about this very thing. He’s like, look, how many of you out there know that you’re wasting money on a monthly basis? And then all of these entrepreneurs, my buddies, they all get on there and start saying how much money they found just by one post from a guy to go in and take a look at your QuickBooks file.

Ron: I mean people were going, you know, $2,000 one guy said he just found $20,000 he spent last year on a Facebook ad that was on auto run he didn’t even know was running. It’s just sitting there running and they had the wrong phone number on it. So no leads for them right. It was all because of a post where someone actually said, hey, just take a second go look through your QuickBooks and see what’s in there, you know. Let’s just see what’s in there.

Angela: Okay guys this is hurting me. I like feel like I need to pull up our bank account in QuickBooks right now.

Ron: Can we just pull up QuickBooks right now. Let’s just do this live with Chris.

Chris: That’s right. We’re just going to open the books.

Angela: Yeah let’s jus do it.

Chris: It’s helpful if you pull up QuickBooks more than once a year.

Ron: Absolutely. It does. Probably more than once a quarter, which I just know…

Angela: More than once a quarter, yeah.

Chris: I recommend every three weeks, if not weekly.

Ron: I just said publicly we do it once a quarter. So I guarantee there’s way more money in there for us as well, Chris.

Angela: You know we’re going to be later. Yay. Well, okay that, that kind of hurts the expenses part. But I read somewhere, Chris, I think in something you send to us that you have about 14 different streams of income and that got me thinking too, I’m like, shoot, I have maybe two, you know? Yeah two to one and a half. So a holy crap man. How do you get to 14? What am I doing wrong here?

Chris: One by one, you know.

Angela: Well, okay, come on. I can’t add 12 tomorrow.

Chris: Yeah. So let me kind of break it down generally speaking here, because I mean there’s a lot of them to cover, I don’t want to cover every single one, but,

Angela: And no I’m not asking you to pull down your pants. You can just tell us.

Chris: I mean I don’t mind.

Ron: I mean you could. You could, we can’t see it anyway. We’re on a…

Angela: We can only see the top, so it’s okay.

Chris: That’s true.

Ron: He probably doesn’t have pants on anyway.

Chris: That’s true. You know, that’s the fun thing of working from home, you know? Yeah. So I mean, the mainstreams, I mean, obviously I got like real estate with you guys, which has definitely been awesome. I do like lending, lending deals and stuff, you know, so that pays some streams, income, because I’m not a big fan of doing a lot towards lending because I’d rather have ownership and control. And you’ll lose that when you just say, here, somebody else invest it and then pay me. But I am getting paid 10% or 12% a year by doing nothing? So I do some lending deals.

Chris: And then a lot of my other streams of income come from like affiliate stuff where sometimes I have like, you know, resources where people have been referring to for years. I thought I got the crazy idea. This happened in 2006. I was like, wait, I could actually like ask to see if I get a referral fee. And so I’ll get referral fees from all these different sources. Not a lot, not like compare to some, I’m not like, you know, the affiliate junky or anything like that, but just keep people I usually refer to often and I get paid commission.

Angela: No we know, we know about that one, Chris. We know you got that one going right?

Chris: That’s right. Yeah, so I do that. I mean there’s also like, you know, I’ve got the active streams of income within my business. Like I do consulting part time, right. I have like life insurance streams of income because I do things with life insurance, are pretty creative with investing. I’ve got streams of income with, you know, like even a network marketing company occasionally will pay me. I’m like, oh crap, I forgot about that one. You know, taking the interest from that. So I mean really if you break down the 14, it’s in those three, four or five areas that I get paid from.

Ron: Okay. So you said one that I’m really interested in, I think a lot of people on here would be to and, you know, I realize this is probably an entire show in and of itself, but let’s talk really quickly about the life insurance thing because I recently, opened up a life insurance policy through you and I already had one, but it wasn’t set up exactly right. And what I was trying to accomplish, I think is, I mean, it just wasn’t set up right for what I was trying to accomplish. And that’s, I think that’s what you’re talking about. So can you just help everybody else understand a little bit about what you helped me do and also what you’re doing with money that’s inside of yours and kind of how all that works in a nutshell.

Chris: Yeah. So really what you do is you’re creating a super charged tax-free savings account.

Ron: That sounds awesome.

Chris: Simply put. I mean it’s like, I mean, imagine if had a savings account you can invest from that instead of paying you point nothing percent at the bank and then you get taxed on that point nothing percent, right? This is something that pays you like 3%, 4%, 5% average, you know, and it’s tax-free. And so you would have to find like the same account, especially with the tax rates. You might have to find a savings account that pays you five, five and a half percent a year to match what we’re trying to do with this strategy.

Chris: And so rather than just buying life insurance, like buy term insurance, like a lot of people do, right. Buy term invest the difference.

Ron: Like that beans and rice guy tells you to do.

Chris: Exactly. And trust me, my wife who was indoctrinated in that was like freaking out. She’s like, why would you ever use life insurance? Especially whole life insurance is the strategy that you can only do this with. The other ones don’t work the same way. But she’s like, why would you ever do that? Dave says this, like, well, Dave’s broke in his head. You know, like Dave doesn’t get it.

Chris: Dave is actually right in some ways because the way that most insurance agents that are banking on this, literally because it’s their livelihood, they’ll have you, you know, buy basic policies like even whole life that will charge you lots of fees and give you a little back.

Ron: Even the ones who are trying to set up the exact type of thing that you are talking about here. Because that’s what I thought I did.

Angela: Yeah we thought you already did that.

Ron: So we set it up right because mine wasn’t set up right.

Chris: No not at all.

Ron: And that’s why I got so frustrated because it wasn’t working the way that I thought it was working and I couldn’t do what you teach. And then we finally fixed it so.

Angela: So Chris, is there an easy way, sorry if there’s not, but is there an easy way for people to know, like if they already have a whole life plan, if theirs is setup right or not?

Chris: Yeah. What they would do is they would go to their company, whichever insurance company they they’ve used, right. And they would ask for what’s called an in force illustration, like IN-F O R C E in force illustration, get that run and then email it over to me, just Chris@MoneyRipples.com email over to me and we can look at that because sometimes it’s great, you know, or sometimes you’ve had it for so long, like there’s no reason to mess with it. But I’ll tell you like, especially I’ve had people like with Northwestern policies or whatever or you know, Ron yours is actually a company I work with that I like, that’s the ironic thing. It has nothing to do with the insurance company has all to do with the artistry behind it. The design, how you make the policy work.

Chris: Because most people teach you it’s this long-term thing that eventually someday you’ll have cash to maybe get a little retirement income on. I’ve run the numbers any way possible. It doesn’t matter if it’s mutual funds or life insurance, you will never ever retire off of those things. It’s impossible. I’ve run the numbers any way you can, but what you can do with this is you can…

Angela: Ouch Chris, ouch. No I’m just kidding.

Ron: It’s The Get Real show. That’s a pretty Get Real situation.

Angela: It’s Get Real, there you go.

Ron: And it’s true. When I had my policy for whatever, six or seven years, Chris and I was pissed because I mean, the money in there, I hadn’t even broken even yet. I hadn’t even broken even. And here I am, a guy who knows how to make money on investments and I didn’t think my insurance policy was an investment, but I didn’t even have enough money inside of their for cash value to be able to invest and do this bank insurance. I even dumped more money into it, right? It was stupid, ridiculous set of policy.

Chris: Yeah it’s crazy. Even guys that propose themselves to be bankers, which are different than normal insurance agents, they’re better. It’s kind of like good, better, best, right? Like there’s great, there’s good insurance agents out there, there’s better ones who teach infinite banking, but it’ll take you at least seven, eight years to breakeven or yours was even longer ironically. But for what I teach, we try and do it in five. Where you break even on cost. It becomes like free insurance by that point where you have just as much cash regardless of all the costs, right? You have just as much cash in there is what you’ve put in. And that’s what’s cool is that you’re…

Ron: And here’s the really cool part for me, Chris. So this is the thing that I think a lot of people don’t understand about theirs. There’s a couple of things that I think are really key. The first one is that I can over fund this thing. I can dump a bunch of money into this and the cash is nearly all accessible a few weeks after I put it in there, which is like I never have, I felt once you put the money in, you have to wait seven years before you’re going to be able to have it. Which that’s the way my most banks do.

Ron: But I can over fund this thing, put it into this quote bank account, you’re talking about Chris and then the money that I’ve overfunded, not the insurance product money, but the money that I’ve overfunded into it is accessible for me to borrow out and yet it stays in there and grows at the same time.

Chris: Yeah, it’s tax-free dividends. Yeah. It’s awesome because yeah, in that kind of case, you can borrow it like the next, within the next month. You know, like I had somebody just yesterday was saying, hey, I know the money went into the beginning of this month, can I access it? And I looked in his account, and was like, yeah, you’ve got this much you can access. You know, he’s like, well great. How do I get a loan out? I’m like ask, you know, just ask. You can call up the company or just shoot me an email and say here’s how much I want to get and I’ll shoot them an email and you’ll have the money within a week, you know. And that’s just not something that has been taught. If people don’t realize that you know the money you’re going to use for investments anyways, you can flow through there right back out. And this is the key. It’s not only a cool savings account, but it’s earning, like you said, it’s earning money at the same time.

Chris: So you can go in and you know, do a loan, like a line of credit against it from the insurance company, a private line of credit. And so it doesn’t show up on your credit or anything. You could do a line of credit against this money. And what happens that, that money is still fully in there because the money’s still building up compounding. But now you have the money to access to start using to invest however you want. So the cool thing is you can actually make money in two places at the same time.

Ron: And all of your cash flow from, let’s say you invested in a real estate investment, because you know…

Angela: Because that’s what we like.

Ron: Let’s say you do that, right? The money that comes in from the cashflow can go back into your policy and build it back up again. And the people who use this strategy, we find by three to four times the amount of real estate as all of our other clients. And the reason is because they’re not touching the money. Number one, they’re not living off of it. The money is going back into this bank account, which they just don’t use to spend, right. It’s used to build money up and you’re double arbitrage the money. And here’s the other really cool thing that I learned about this. And why the wealthy use this and have so many life insurance policies and that is that it is one of the things that’s very difficult to attach to in a lawsuit. Very difficult, right?

Chris: Depending on which state you’re in most states there’s a hundred percent protection on your money, meaning that you can have a millions of dollars in there, someone sues you and they win and they still can’t get to that money.

Angela: That’s beautiful.

Ron: It’s a fantastic place to park money. I mean it’s a great place to park money. You get interest on it if you’re smart about it and you have somebody who understand like I still don’t know how to, if I went to an insurance agent right now and I wanted to tell them how to set this up, I don’t know how to do it, but I know, I know Chris who does know how to do it and he’s just, he’s just done it for me. It’s fantastic so. So thank you for that. Thank you for fixing my life insurance policy. And here’s the other thing that people don’t think about Chris, when it comes to whole life insurance or permanent life insurance to begin with.

Ron: This whole go buy term and invest the difference works really well unless you get sick. Because if you get sick during your term and then you’re uninsurable, you are screwed. You’ll never get life insurance again as soon as the term runs out you’re done. And that almost happened to my wife as you know, she has health problems. And we had convertible term, thank God. So we just converted all of her term into permanent life insurance.

Ron: But how many people out there go get, they go on this stupid advice to buy term and invest the difference and then they wake up one day with cancer and now they’re uninsurable and now they’re screwed, can’t ever get insurance again. And if that happens in year 10 of your term policy, you’re just done. You paid 10 years worth of money in and you’re never going to get insurance again.

Chris: Yup I’ve had that happen in fact to a client in Maine that very same thing happen where we got a whole life for him, which was great. So he had a banking policy there. But then to make up for the difference we also had a separate term policy, right. And he was 65 years old at the time, he was perfect health. He was a chiropractor, right. Well, two years later he calls me up, he says, hey, I just found I have a brain tumor and it’s inoperable, so I’m going to do lots of treatments. I hope it works, but we don’t know. Well, a year and a half later he’s cleared like no sign of tumor at all. But he cannot get any insurance because just because he had the tumor, right?

Chris: So even though he’s brought back to good health again, he can’t get that insurance. So luckily that term he’s like, well, what do we do with this term? Can we convert that? And I was like, absolutely, we can convert that and we probably will want to do that. You know, however much you need, let’s convert it. And so the cool thing is he’s converting it as if he’s in perfect health because they can’t take that health rating away that he had before. So he’s uninsurable now, he still would have this perfect health policy he’s converting over so it’s a lot cheaper.

Ron: That’s fantastic.

Angela: That is powerful stuff, yeah.

Ron: I didn’t think we were going to talk about that today.

Chris: You never know.

Ron: You know, we just did this, I don’t know how many months ago, but I completely forgot about it, that’s how brain dead I am. And when you talked about it, I was like, oh my gosh, everybody needs to know about this because it’s such a myth out there about these insurances and how they work and why you would want to have one or not want to have one. So I’m glad we got to cap and this is a conversation obviously that’s a little more in depth than we just had, but hopefully people took the nuggets, Chris and are interested in how that works, man. And how everything else that you put together works because it’s to kind of the whole package that really starts to sing for people, right?

Chris: Yeah, it really does. Like that’s the thing everything adds up, it’s a compound effect, right? Like really it’s all the little things that you do that makes a massive difference to creating that freedom for yourself. You know, and sometimes people got some things right, you just need a little tweak to it and all of a sudden boom, like they take off, they accelerate the results, you know? And that’s the cool thing that I love that. Like, I love when people are like, yeah, I have this 10 year goal to be financially free. I’m like, I think you do it in five.

Angela: That is fun, yeah.

Chris: I know you guys get that experience a lot too.

Ron: There’s nothing cooler than telling someone that they’ve completely underestimated their ability to walk away from whatever it is they hate. I mean, there’s nothing better than that, right.

Chris: And some people aren’t ready for it, you know, like, it’s crazy. I had a woman where she came to me and she’s like, yeah, I need, really, all I need is like $1,500 a month of income to make up for my expenses. I’m like, dang, you know she’s a single woman and she’s like, I’ve got $200,000 in mutual funds. I was like, well what’s your retirement goal? Because I’m already smiling because I’m like, oh this is going to be so fun. She’s like, well if I can in 10 years back off my hours as a fitness trainer to three hours a day, that would be great. And I was like, what if I could tell you that this year you wouldn’t have to do any fitness training? You’re just doing it because you love it. Like you would have enough passive income to replace that $1,500 a month with that $200,000 grand in mutual funds.

Chris: And it was crazy. She’s like, are you kidding me right now? I’m like, no, I’m being conservative. I think you could do better than that, but I don’t want to over promise. And what ended up happening is she freaked out. She’s like, oh, I just don’t think that’s possible. Like, no, I’m going to do more mutual funds. I’m like, are you kidding me? Like that was retarded. Like, why would you go back to something, you know, it doesn’t work. And $200,000 will not help her out at all. I mean, she’s got the save up way more than that.

Ron: Chris, how can people get Ahold of you? People are listening and they’re going, oh my gosh, that sounds awesome. I need a checkup on my finances. That’s what you do. How can people reach out to you and have some of this life altering financial advice that you give as a non-financial anti-financial adviser. How does that, how’s that work?

Chris: Yeah, I mean, you can obviously go to MoneyRipples.com. Send me a message through there. Or you can even just shoot me an email, Chris with a CH, you know Chris@MoneyRipples.com And you just ask me whatever questions you have, you know, and you know, and of course, if you’re like, hey, I’m not even ready to reach out to you, maybe I need to check you out a little bit more. Hey, check out the podcast. Let’s go to the Chris Miles Money Show and see what I teach. I mean obviously is a lot like what we just talked about here, but you know…

Ron: But it’s really in depth I’d encourage people to go and listen to the show because not only do you, not only do you talk about your stuff, but you have experts on in other fields as well. And every show is really, really well done. And then there’s a ton of meat. It’s not like, you know, some of these fluff shows that really all they’re trying to do is sell their stuff. It’s a really in depth show that that provides a lot of solid advice in many different areas. So I encourage people to go check it out. It’s, a very real podcast. So if you’re looking for some more real content, Chris show is fantastic. It’s called the Money Show with Chris Miles?

Chris: The Chris Miles Money Show.

Angela: Chris Miles Money Show.

Ron: Put Chris Miles in their first people. Chris Miles Money Show. And then you can find him at the places he just said, I encourage you guys all to go reach out to him. Again, long time friend Angela and I have, man, we’ve eaten many a meal with Chris Miles.

Angela: We’ve known him forever. Yeah. Real quick, Chris, for anyone listening to this that is like, oh my gosh, you know, I hasn’t got started and as new to all this, can you just give us what you know, what, what do you wish you would’ve known before you started down this path back in the day?

Chris: I think it’s just cashflow is what is really the key. Cashflow is what creates freedom. It’s not how much money you’ve saved up in your account it’s what kind of income stream is that cash producing? And so if you just focus purely on what can I do to replace my income, right? You put that focus there instead of how much do I save, it will revolutionize your entire mentality. It rocks everything that’s been taught in the financial industry because they don’t do that.

Angela: Awesome. I love it. Well, thanks so much Chris. Thanks for joining us and thanks Ron. Go check out Chris. Go check out a show and then, you know, if you want to subscribe to our podcast or give us any feedback, go to GetRealEstateSuccess.com. Let us know what you think, let us know if there’s anything else you want here in the future and we’ll, uh, we’ll see you next time.

Ron: Thanks, Chris.

Angela: Thanks for again.

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