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Create Generational Wealth Like the Rockefellers
When John D. Rockefeller became the richest man in America, he didn't just accumulate wealth. He built a system to preserve it across generations.
And the core of that system? A private family bank.
Now, you've probably heard me talk about this before. I've mentioned whole life insurance. I've talked about policy loans. But here's the thing I want to drive home today:
This isn't just about YOUR wealth. It's about building a system for your FAMILY.
Because the real power of the Family Bank isn't what it does for you in the next 10 years. It's what it does for your kids and their kids over the next 100 years.
Let me show you how it works.
The Rockefeller Structure
The concept is simple, but the impact is massive.
You set up a whole life insurance policy. You overfund it. You maximize the cash value, not the death benefit.
That cash value grows inside the policy, compounding tax-free every year.
When you need capital for a car, a down payment, an investment, whatever, you don't go to Chase or Bank of America. You borrow against your own policy.
Your cash value keeps compounding even while you have the loan out.
You're using your own asset as the foundation instead of begging a bank for approval and paying interest on money that was never yours to begin with.
The Comparison
Traditional Bank Loan:
You need $50,000 for a car. You go to the bank. They charge you 7% interest.
Over five years, you pay $17,500 total to the bank. Your net wealth? Zero.
Actually negative, because you paid interest on a depreciating asset and the bank profited from your need.
Family Bank:
You need $50,000 for a car. You borrow from your whole life policy at 5% interest. Your cash value keeps compounding in the background. You're enriching yourself, not the bank.
Same purchase. Completely different outcome.
The Velocity Play
You've probably heard me explain this before, so I'll go through it quickly. But there are two things I really want you to pay attention to.
Let's say you've built up $100,000 in cash value inside your policy. You borrow $80,000 and use it to buy Bitcoin mining equipment.
Year one: $80,000 tax write-off through bonus depreciation. That potentially saves you $30,000+ in taxes.
Over the next 2.5 years: that equipment produces 2 BTC, worth $200,000+ at today's prices.
Meanwhile: your original $100,000 is still sitting in the policy, still compounding tax-free.
One dollar just did three jobs: tax savings, Bitcoin accumulation, and policy growth.
But Here's What Most People Miss
First: the Rockefellers insured everyone in the family.
Not because they needed the death benefit. Because they realized the most valuable part of their dynasty wasn't their assets, their businesses, or their relationships.
It was the people.
The people are the ones who come up with ideas. They're creative. They're hardworking. They see opportunities.
That was their competitive advantage. That's what set them apart from every other family in the world.
And I think that's a powerful lesson to give our own kids. As entrepreneurs, as creative people, as problem solvers, we are the asset. We are the competitive advantage. That's an empowering idea to pass down.
Second: the Family Bank isn't just an account. It's a framework.
One thing I work with my clients on is creating a Family Constitution. It describes how we as a family view money, what we do with it, and our values.
I'm not planning on just giving my kids a big chunk of change when I die so they can go have a good time.
No. We've built this Family Bank as fuel to accomplish the things we feel like we were put here to do.
There are rules about what kinds of businesses you're allowed to start using the family capital. What kind of education is worth investing in and what kinds aren't. What kind of things we buy and what we don't buy.
The money has a purpose. It's fuel for a mission.
That shift in mindset is the difference between wealth that disappears in two generations and wealth that lasts forever.
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