Money Ripples’ vision is to help 1,000 families become financially independent by 2030. But HOW can that happen? What if you haven’t saved millions of dollars? Today, Chris Miles shares one of his infinite banking clients’ plans to become financially independent by the end of 2029. Although you can use infinite banking to invest, you can also use it to take a tax-free income, and later you could take it. Currently, his client’s total cash flow is already $1,341. Tune in to this episode and see how this simple plan can apply to you as well.
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How To Retire By 2030
Welcome to the show that’s for you, that works hard for your money. You want your money to start working harder for you. You want that freedom and cashflow because cashflow equals freedom. You want that now so you can live the life you love and those you love. It is not about getting rich. It is about living a rich life because as you are blessed financially, you have a greater capacity to bless the lives of those around you. That is a ripple effect I’m here to create.
I appreciate you guys. Not only have you been tuning in, but you have been binging on our past episodes and sharing this with other people. When you elevate the people around you, you elevate yourself. That is how I got started myself. I started getting other people to listen to an AM talk radio show by a bunch of real estate investors. That is what I first had them do. I have created amazing conversations that allowed us to prosper together. I’m challenging you to do the same thing. Share this show, whether it is on iTunes or YouTube. Whatever you are using, share the show with others, even a few others. Start creating your own little mini mastermind so you can help make your life better.
As a reminder, if you haven’t done so already, go to our website, MoneyRipples.com, and check out that Passive Income Calculator because I want to know how much passive income you can create in the next twelve months. Put those numbers in there right now and let’s see what you can do. If it is a good number, we want to know about it and see if we can help you. I want to discuss the thing we talk about all the time, our real purpose here. Not really our purpose because we got a much bigger purpose than this. We want you to be financially independent by 2030. We want 1,000 of you to be that way. There are more than 1,000 of you who are reading. I know we can do this together, but it requires many of you to start taking action now.
I want to show you how simple it can be. I want to give a shout-out to one of our readers. I’m not going to disclose who he is, but he is one of our infinite banking clients. He is not hired as a consultant, but as an infinite banking client, he has said, “I want to send you my retirement plan. Tell me what you think.” His goal was to become financially independent by 2030. Specifically, he wants to make about $5,100 to $5,200 a month of passive income. What I love about it is that he is starting from an early place. He is younger. He is not an older person in retirement, although it could also apply to you if you are getting closer to retirement. He is starting from the ground level up. He is starting on this journey. He stopped funding his 401(k).
He is taking control of his own life. He has already started to buy some investments in real estate properties. Let me show you what he has done here, where the trajectory is, and what his plan is to be. His target date is 12.31.2029. It is a great date. One thing we will notice is he wants to have 82% come from investments and 18% from his life insurance. One thing I don’t often talk about with infinite banking is that although you can use it to invest, you can also use it to take tax-free income. Later down the road, you don’t have to wait until you are 59 and a half. You could take it whenever but he is showing how, under seven years, he is still putting it into his policy. He got a little bit in there already. He has taken the projections we have given him and he took out some income.
Although you can use infinite banking to invest, you can also use it to take tax-free income. Click To TweetCrazy enough, I ran the numbers myself of him taking out income with my software because he didn’t have the software to do this. He was about right on. He could take out a little bit more, depending on timeframes. He is showing how he could take out $950 a month or about a little over $11,000 a year from his policy and not run out of money. That is using the cash value for retirement and he wants to do the rest of it in investments. That is about $5,200 a month. On his cashflow investments, you can see he has a Kansas City rental, a St. Louis rental, and an Alabama rental. He did the AHP title. He read them on our show. He put some money with them. He is getting paid for that. His total cashflow is already $1,341. It is a great job and fantastic.
This guy didn’t have a ton of cash to deal with. He didn’t have enough cash to even work with us on a one-on-one consulting basis. Yet, he is getting there for sure, but he is taking control of the reigns himself. He got some of these things happening. I saw the equity in his properties. They were great. I was like, “Don’t do anything. The rentals are fine.” They are paying fantastic on what he is getting per month. Some of them were of lower interest.
He still says he needs an additional $2,909 a month of cashflow to hit his target. He needs another $3,000 a month in the next 6 and three-quarters years. How is he going to do it? He’s reinvesting his money so he needs a monthly increase in cashflow. Here is where he is getting it from now. He shows the life insurance. It shows that the cash value grows. He is paying the premium in and the cash value continues. This is a cash value net of his loans that he was taking out too. He gets up to a couple hundred thousand in less than ten years that he can pull money off of. You can pull off roughly about 7% or 8% of the total cash value to be able to get the returns you need and still not run out of money. Here is his plan and conclusion.
In 2024, with his $15,000 payment to life insurance, he then purchases between the money he has been putting into his life insurance as well as the money he has been using for building up his cash from investments that already come in. He already has roughly $17,000 a year coming in passive income. Combining that together, that is about $60,000 to put down. He says 2024 but this includes 2023. He is trying to save up $30,000 a year total between all of this. $60,000 down produces a $600 a month cashflow.
I did tell him. I said, “That is if you get a 12% cash-on-cash return. That is not necessarily happening now. The markets have changed. The vast I see with rental real estate is maybe a 10% or so cash-on-cash return, but things can change. Rents can pick up again, even with interest rates, despite them rising. There are a lot of different ways where that could work. Even if it didn’t, there are other investments you could be doing.”
$600 a month for $60,000. He is now taking that money. He is about $2,000 a month. He is taking that plus the money he has been saving. The next year, he has $30,000 to put a down payment on a house for $300 a month. He is still paying his premiums. He is still using his money and purchases, too, because, with those two properties alone, he has gotten himself over roughly about $30,000 a year plus the money he has put away.
By 2026, he got about $60,000 to put down plus his life insurance has been growing and compounding, making him more money than when he is paying into it. He is getting compounding interest from the life insurance and the money he has been putting away and saving already and the increased cashflow from his properties. The next year, $60,000 again and he is buying two rental properties assuming of course, they are roughly about $150,000 a piece.
He keeps buying these properties. This is a simple plan. I know there are some of you out there saying, “Chris, you can do this. This and that would happen.” I also told him too. One thing he didn’t factor in was increasing rent costs. He said, “No, I don’t want to because there could be vacancies and increased maintenance or other things could happen. I didn’t want to count on increasing cashflow.” In reality, you are going to see increasing cashflow year after year on the properties you have already purchased.
It is not factored in here that by 2027 or 2028, some of those earlier properties he has already purchased, the return on equity is lower. It means that the equity he has in there compared to the cashflow. For example, he has $30,000 equity in some of those properties, which is $400 a month. What if, all of a sudden, between them, the renter pinned down your mortgage over several years, and the appreciation happens in the mortgages or the house?
Let’s say you have $100,000 of equity. If you are still earning $400, you could take the $100,000 and produce at least $800 to $1,000 a month of cashflow by reinvesting that into another property. That is called a tax-free 1031 exchange into a new property. That is assuming you get at least a 10% to 12% return. I get that. If you can make at least $900 to $1,000 for $400, all of a sudden, you jump up an extra $500-plus a month from where you were.
There are a lot of variables that could offset. If someone is skeptical about this, you could say, “There is the other side.” There is an interesting return on equity or the increase of the value of equity, not even including tax benefits or anything else that is part of this. That is $5,200 a month. He already started a few years ago. For him, this is about an 8 to 9-year plan. When we talk about people trying to do this in ten years, is it possible? Yes. Some of you are much further along. You have more money to work with than he has.
We even talked about if he has increases in income or cashflow. He gets raises that can allow him to build up this money faster. That is not even calculated here. There are many other variables that can happen. My point is that trying to become financially independent in less than ten years is not that hard. It depends on your situation. If you are starting from zero from scratch, it is an uphill battle, no doubt. If you have already been putting money away in the stock market and savings and you are not sure what to do with it, you are already a step ahead of this guy. You already have a leg up and hope. Of course, there are variables that can happen. There is a possibility you could lose money and some deals. That is possible.
I have a rental property right now that hasn’t been great. Out of all the different real estate properties I have, some of them are overperforming what I expected while others are underperforming. That is why I buy a portfolio of them. I also have other investments like syndications that I’m invested in. I have money and funds. We talk about that. We advertise that on the show sometimes. We have all these options here. All of these things allow this to become a reality. It has already become a reality for many of our clients, too. This could be the same for you.
You might say, “It isn’t $5,200 a month, Chris. I want $10,000 to $20,000 a month.” Great, perfect. That can happen. Will it mean it will happen in ten years? Maybe not. It depends on your situation. Why not give yourself the best odds of success? Why not start doing something wise now with your money? Don’t gamble it in the markets where you are probably going to lose it. I can’t tell you to get out of the stock market and sell off anything. I’m not going to give you any investment advice that way. I don’t know your situation and what you are invested in, but I can tell you if you get set back by 1 or 2 down years in the stock market, that could take a decade to get back to where you were not even talking about trying to grow that money.
We don’t want to be in that place. That happened with Y2K and the Great Recession. It took fifteen years for people to get their money back. Sometimes longer, depending on the performance of their mutual funds. Don’t get caught in that trap. You could be doing something different. You could be doing something that is better and proven, not now but historically, much better, by doing alternative investments versus doing the majority of what they are doing, which is Wall Street. They are only doing Wall Street because every financial advisor is telling you to do it. That is because financial advisors’ bosses are Fidelity, Merrill Lynch, Goldman Sachs, and the companies that want your money under management because that is what they get paid.
They pull out guaranteed fees. They take cashflow from you. That is the passive or residual income they are getting while you keep paying those fees, whether you make money or not. You are hoping that somehow, it might work. They are incentivized to have you keep your money with them forever. That is why people aren’t retiring. Not because it’s from a mental standpoint but because they know that you will make money. The truth is you are not going to make as much as what financial advisors have been saying.
The problem is, can you arrest them for that? No, because they are going to say the same number and put all the same disclaimers on it. At the end of the day, you are the victim. You are the one that is at risk here. You are the casualty in this case. You don’t have to be the victim. You can’t be the hero. There is plenty of hope here. That is why I’m showing you this. I’m impressed with my client that sent this. This is a simplistic way to look at it. It’s using simple turnkey real estate properties and passively managing it. Even if he tried to save this money over the next six and a half plus years, it is the same money he was talking about here. He would not even have close to the amount of cashflow using mutual funds. That is assuming the mutual funds go up.
The choice is yours. I’m not going to sugarcoat this. It is not the road that is most traveled. That is what Robert Frost said, “The road less travel, nothing made all the difference.” The whole reason that the name Money Ripples exist is because of the inspiration I received. Back in the day, I was doing a lot of passive investing. I was teaching about cashflow, ways of finance, and freeing up cash. I was working with Wealth Factory with Garrett Gunderson. I was coaching all these clients. I was their head financial architect there and did all that stuff.
As I worked with hundreds of clients, I started thinking about the impact I wanted to make. I could see that I could make a bigger impact than even what they were doing there. As I was thinking about it, I was giving feeling this pull or calling. Have you ever felt that calling before? You feel like you are meant for something more. You are meant to do something different from what you are doing now. I was feeling the same thing. I felt like maybe I wouldn’t be with Garrett forever.
I remember going out for a run. While I was going for a run, I was like, “If I create a website, what would I call it?” I remember looking up all these different things like cashflow this, cashflow that, and passive income. It wasn’t quite resonating, not to mention, you have the word cashflow on there. The price skyrocketed on me. It was a horrible price to try to get a website like that. I went back to going to that quiet place I was running. I was thinking about the clients we had. I thought about one client in particular. It is funny because I’m connected with him on Facebook. I won’t reveal their identity, but their chiropractor out in the Midwest, the Central state there. They’re doing much better now. At that time, they weren’t. They are making decent-okay money.
The problem was that all that was going away. The point that he was working six days a week in his practice sometimes, he didn’t have that extra time. He was stuck in a rut. Worse is that by the time he even had time to go home and be with his family, he wasn’t physically, mentally, or emotionally present because he was exhausted from the work week. He was doing what he loved, but it was exhausting him. Maybe you can relate to it. We freed up about $6,000 a month of cashflow by not investing anything. It is by saving money on taxes. We even helped pay off certain debts. We refinanced the property and got cash out to pay off debts instead. We did all these strategies to free up $6,000 a month. In the first month, what did they do? They bought a $6,000 four-wheeler.
Most financial guys would say, “You blew your money. How dare you?” No, that wasn’t the case at all. His wife said with tears in her eyes, “Chris, you don’t understand. This $6,000 four-wheeler was the best investment we could have made, especially right off the get-go because now, my husband feels comfortable not working 5 or 6 days a week. He takes longer weekends. I get my husband back. My kids get their father back. That is what that four-wheeler did. Every weekend, he goes four-wheeling and spends time with the family. We are living a life that we love. He is still doing what he loves, but we love our lives too. That is what means so much to us.”
As I was running, I was thinking about what I was going to call this company. I thought about that ripple effect because it didn’t help him. It didn’t help her and the kids, but it gave the kids even a new legacy to look up to. They can look up to their father and create a whole new life that most kids don’t give. They don’t see that from their parents because it is mostly out of survival, not in a place of thrival as they call it. You are not thriving. You are surviving.
On top of that, think about what that does for the community. I see this now because they have this life of freedom. They are traveling and doing fun stuff. It is way more fun than they were doing a decade ago, but now they are able to enjoy their lives. They are a better example in their community. He has been able to build his business because he does have the shackles of the worry of the cashflow of trying to make money. It has become more successful. They are in a much better place of prospering. That is when I thought about that ripple effect and what that does across the community and the world. That is when Money Ripples came to my mind.
This is why Money Ripples exist. We are here to serve you so you can create your own ripple effect. You can be a blessing in people’s lives. This is bigger than Chris Miles. This is bigger than even Money Ripples the company. This is about what you can do. This is why we are committed to the vision of trying to get at least 1,000 of you. That should be a low number, but I’m trying to be realistic here. We need at least 1,000 of you financially independent. I’m asking you whether you are ready to be that person. It is up to you guys. It is in your control and grasp. It is possible, and you have seen a guy do it. That is not even working for us. You don’t even have to work with us necessarily. I’m saying we could help you get there faster, and I would like to see that happen. We would love to be able to serve you.
If you are in that position where you got some money and are wondering how to get to work for you better, reach out to us at MoneyRipples.com. Message us because that is the life that I want to see. That is a ripple effect I’m here to create. That is why I’m working even when I don’t have to work. That is why my wife says, “Why are you working hard? Why are you doing what you do when you could be doing so many other things? You could be happier. You don’t have to be creating this business.” She is right. I’m here because I believe my life is worth something more than being comfortable. More than being out of the rat race. More than being financially free, traveling, and doing the things I love. That is selfish. It is not about providing for my family.
It is providing for my family. You are part of this world. You are a part of my family. This is why we exist. This is why we are here. If you are in the right place and the right person, please do not reach out to us. I repeat, do not reach out to us if you are not going to take action and do anything. If you are going to sit around scared and not do anything, even though we provide you with the path, or you are skeptical, don’t even bother reaching out to us.
The truth is, we have the results to prove it. You have seen the numbers. $35,000 a year is what our client has been able to achieve. Some of it is freed up cashflow. Some of this is passive income. Some are both. Our clients are even getting higher numbers than that cause of what we are able to help them create. We have done and proven it in hundreds of clients time and time again. The question is, are you in a place where you are ready to make a change in your own life? That is the real question. Don’t bother reaching out to us if you are not going to take action and do anything serious. If you are happy reading the blog, keep reading the blog. I hope your life changes for the better and we give you value, but what we are trying to do is create a bigger ripple effect that makes a real change in your own life.
If you are committed, serious, willing to have an open mind and back the status quo of these dumb 401(k) that haven’t worked anyways, you want to do something different so you can get different extraordinary results, which is what extraordinary people do, it requires you to make an extraordinary change. The change is not as hard as you think. Most of it is up here. The question is, are you ready for that? That is my challenge to you. If you have questions or you are ready to make that change, reach out to us on MoneyRipples.com and make it a great day.
Important Links
- iTunes – Money Ripples Podcast
- YouTube – Money Ripples Podcast
- Passive Income Calculator
- Infinite Banking
- Wealth Factory