[00:00:00] Speaker A: Your mortgage payment is, let's say, 1,000 bucks a month. Let's keep it simple. If you send in $500 on the 15th and 500 bucks on the 1st, you're going to pay off interest faster because money is being thrown at the debt quicker.
[00:00:18] Speaker B: Our guest today is an expert at retirement planning, debt elimination and wealth management as well as a four time Amazon best selling author. He in 2022 he founded Diane Money, something we're going to talk a little bit about today. It's an app for consumers to get out of debt and stay there. He is also the host of the Retire as you desire TV and show and podcast. Welcome to the show, my friend, Mr. Bill Blum.
[00:00:43] Speaker A: Richard, I'm so honored to be on your show today. I'm a huge fan and it's remarkable to see what you're doing, just not on the lifetime banking aspect of things and becoming your own personal banker, which I'm a huge fan of by the way.
It's just great to see other people in our industry in different countries. Right. Doing great things for their people. So thank you.
[00:01:04] Speaker B: Oh, I'm excited. I'm so excited. I've been looking forward to this conversation for a while now. Bill, before we hit the record button, we were having a little bit of a kind of a fireside chat. We're just going to continue that chat on and we're going to bring the viewers in with us a little bit and we're talking about some of the major challenges that we all face. And you were kind of talking about where you're at today at present. You know, often when I have these conversations with folks and entrepreneurs, we, we go back to some of these things from, you know, global strife or an economic downturn or some other thing that really kind of rocked their world to some degree and they had to really put, put everything back together again. It's like, you know, someone smashed the LEGO build and you got to build to put all the pieces back together.
And our conversation already before we hit the record button was going a little bit of a different direction. It's really about where we are at right now and some of the thinking that you've had to do that's been a bit of a challenge that you've been really working on and doing a lot of self work in relation to how you think about life and business and how those things come together.
[00:02:07] Speaker A: It's really been a phenomenal journey up until this point. I mean, I'm 39 now and I've realized I've Planned out the life that I've wanted up until this point, like my wife and our two kids. And it's amazing in business and having free time and, you know, our great friend Dan Sullivan, you know, really preaches on free days and having our own, our own space to think and be in with this free time. It's really opened me up to think about what's important to my life. It's not about the material things. My wife and I had like a really, like, it was a hard conversation because I had my goals up on our board in like in my office. And it was all these things that I wanted and like a bigger house and all this stuff. And she's like, what is all this stuff? Like, what does this even mean? It was like sort of that kick in the butt moment where the universe is talking to you. And then been reading and listening to a lot of Deepak Chopra's books. And I just finished up this morning. Michael Singers, great, great, great book, Incredible book.
You know, the Surrender experiment. And I'm just learning to let go.
You want to control things as an entrepreneur, as a business owner, you want things to go your way. But the universe is giving you hints every single day. You just have to slow down and listen to them.
And I just feel so much more at peace right now. And this has really just taken place over the past three, four weeks of my life. And it's phenomenal how things are changing and unfolding already.
[00:03:41] Speaker B: Wow, that's incredible. And the fact that it's current for you, I think is really interesting. And just, you know, I mean, 39, you know, might feel like you've got a lifetime of experience, but someone who's 69 watching our program says, oh, you barely even made a dent yet, young buck, you know, they're going to give you some kind of a different context. But I really do think it's important because not only are you going through this experience and you and your wife are having these conversations, you're raising young kids, you're reflecting on your journey, thinking about what's coming up for them and their journey. And you're also surrounding yourself with a lot of high performing, key level entrepreneurs who are at various stages of their journey. You probably like me, Bill, you're surrounded by a lot of folks who are probably older than you that have had various levels of success. And you're the kind of person just knowing who you are that you really actively listen to what their life experience has been like. And you try to figure out, okay, well, how does that Relate to me.
[00:04:39] Speaker A: Navigating the world of life 1 million percent. Yes. Here's a perfect example. Randy Mollen, who's another fellow Canadian great guy in the Brubic Network, he introduced me to this gentleman named Chris Jarvis. And I went down to Dallas probably about a month and a half ago, and I sat in an all day session with him and a few other people in this bank. He introduced me to this bank to roll out Diane Money, one of my companies for their people. So, like I'm in discussions with rolling out one of my company's products to banks now and collaborating with other people like James Robert Ley and other folks through Coach to make a big difference in the world. Because when you take out the ego and you let it be about other people, that's when magic happens. And Chris Jarvis and I had a call this morning and we're collaborating on creating a new company. And his unique superpower is figuring out ways to show entrepreneurs how to lower their taxes here in the United States by 20 to 40% in 90 days.
[00:05:46] Speaker B: That sounds pretty good.
[00:05:48] Speaker A: And we did my stuff this morning. Like we spent two hours together, went through all of our taxes and all of our planning. He literally showed me in about 20 minutes on how we could save hundreds of thousands of dollars in taxes, just my wife and I.
So I don't think these things would have been happening to me with Diane Money and creating this new company with Chris to really give people value in the world and take yourself out and just put it into their hands and giving them opportunities to have a better life. And that's what I want to see happen moving forward.
[00:06:25] Speaker B: Well, not only is that interesting from a perspective of how it's happening in your life, but it also sounds to me like we're going to have to rebook another recording to have you and Chris come back on and talk a little bit about how Americans can use some of the amazing innovations that he's putting together, using the tax code to benefit their lives.
[00:06:43] Speaker A: Well, it correlates all back to some of the infinite banking strategies that you have and correlate with. I mean, it's not rocket science, but you have to understand math and the tax code. And in one of my practices, I understand these things, I really love them. But if you do the numbers, the numbers will tell the story instead of guessing or. And I'm not picking on any accountants in the world, I think accountants are super important, but they don't do a lot of compare and contrast. They just do things one way, just how they were taught A lot of doctors are that way. Doctors aren't creating their own tests, they're not testing vaccines, they're not testing drugs. Right, right. They're just administering these things because that's how they were taught. So I think there's a systemic problem in a lot of these major professional practice areas because people are just following orders and they don't think differently. And I want to think differently. And that's how you provide value. I tell my 5 year old this all the time when we talk about money, you have to provide value in order to get paid. That's how life works well.
[00:07:46] Speaker B: And it's interesting because you mentioned a few professionals, but likewise, I think for the bulk of human society, at least in North America, similar things are happening. We're administering money in our personal lives.
In other words, we're handling it, but we're not really keeping and retaining it.
That's something we talk to people about, is like, look, a lot of money's gonna come in, but a lot of it's gonna go out. You just handle it for a short period of time. And in the period that it's coming in and it's going out, it's what's being retained. How long can it work for you and how many generations can you put it to work for? That's really where the concept of, you know, what Nelson taught us on the infinite banking concept comes into play. But also just good habits and management, which is a lot of what Diane Money is going to be about. We're going to get to that later in the show. But these are the type of things that when we kind of, you know, it's, it's like you have a car and the car has got a chassis, but on that chassis, once you have that frame, you can kind of customize and build different types of vehicles on top of that main chassis. And they all look a little bit different. They all might have different features, but there's one kind of core element that's the stable force that the car's built on top of and similarly to our financial lives that exist. And what I hear you saying, Bill, and what's going on for you personally right now is that you're thinking about the chassis that your life has been built on and you're looking at making some modifications along the way to how you get that thing moving forward into the future.
[00:09:15] Speaker A: Oh yeah, even money, like from a money perspective, it's great to make a million dollars. It's great to do these things. It's great to have recurring Revenue come in where you don't have to worry about money hitting your bank account every month. That's what I wanted because as a child, my parents were very loving, right? But they had a ton of financial problems like the majority of people in this world, because again, lack of education, there's a common theme here. But I designed my life on purpose. And now that I'm here, I see that I'm a long way off from where my major purpose is intended to be.
And that's part of that letting go on the surrender experiment and really creating my own right now. Because there's literally a stack of 45 credit cards. I may have showed this to you before, like in my office that were my mom's credit cards that they had to really shuffle through throughout my childhood. They were laid on their mortgage for months at a time. We didn't know if we were going to have a roof over our head. I knew this at 8 years old. I could feel the tension in my household just around money. So I want to alleviate those problems for people moving forward. And whether you're a hundred million dollar person, you have a million dollars and you don't know how to make it last your lifetime, or you're struggling, right, you can't get out of credit card debt. It's a habitual thing. I feel like I've created three different companies to help people throughout all phases of their life.
[00:10:46] Speaker B: Oh, that's, that's powerful. And just the fact that you, you know, it sounds like that wasn't the original plan, but there was a connection to the objective of helping people and helping people around money. And that's somewhere where you and I resonate very, very clearly. And the fact that you were able to put it together in this like three tiered structure somewhat is quite interesting.
[00:11:08] Speaker A: It, it kind of just came to fruition. I mean, the last piece with working with Chris, that was like I, I allowed myself to be open and let the universe bring it to me because I always thought there was another level of planning that I could be doing. And he's teaching me all this. So I'm the mentee, he's the mentor.
Big banks, big institutions call him in for planning. So it's pretty amazing to see how life just unfolds when you let go.
[00:11:37] Speaker B: Well, I'm really excited to dive more into this. We're going to talk a little bit more about the journey of creating Diane Money. I'm excited to go down that road with you, hear more about these 45 credit cards and how that relates to that endeavor. And we'll get to that as soon as we come back from these important messages.
There's certain moments in our life where we know that things are going to change.
That happened to me in August of 2009.
My life completely and totally changed forever for the better. I learned about this incredible concept called the infinite banking concept. Becoming your own banker. It was created by R. Nelson Nash. Nelson became my friend and my mentor. I loved him dearly.
I now have the blessed life of being able to teach his incredible message, his incredible concept to the people I love to serve.
You can learn all about it by registering for a free
[email protected] Go ahead, take the initiative. Start your learning journey. Now.
We are back here with Bill Bloom and we're having an incredible conversation about letting go. Now, one of the things Bill let go of in the last number of years was $400,000. Now, he didn't just let it go, he invested it, but he invested it into an idea that was going to turn the dial for a ton of North Americans in a way that is really going to be unmatched and uncanny. It goes back to what he was sharing with us about these 45 credit cards. And this is the creation of this incredible app called Diane Money. So, Bill, walk us through a little bit. We'll talk more about Diane Money as we go, but give us the high level on what was the vision of creating Diane Money? And then where did it go wrong before it was able to go right?
[00:13:23] Speaker A: Well, we could do like 17 shows on this. So number one, I was sitting in a 10x class with Dan Sullivan. We're in Chicago, not far from our house.
And it was just, it hit me like a ton of bricks. I'm like, how can I help people figure out a way for them to achieve their financial goals?
So I was introduced to someone, then introduced to another person.
And this guy's like, yeah, I could build this for you. It would be great, fantastic. So I said, sure, let's try it. Totally quick started this.
We got through probably a year's worth of planning, and then the product should have been done by then. And it was all based on your goal, where we were showing you the math on how much money you need to save or invest every month to achieve your goal on your time. And I learned two really hard lessons.
Number one, people don't really know what they want.
That was like, earth shattering to me because I know what I want. I'm very, like, very tuned into that. I've always been like that, even when I was a little kid. And then number two is, you cannot let developers create a product for you. You need to lead the product or have someone leading the product and the project.
Because things totally went awry. They were overcharging me, too, for all the billable hours, so I got a refund from them. It was just a nightmare. And then one of the folks at Strategic Coach, we were talking, and he was like, I could do this for you. This will be easy. And, boy, Richard, that was music to my ears. Easy. And app website. Giddy up. Sign me up. Let's do it. Quick started that again.
[00:15:09] Speaker B: Quick start number two.
[00:15:10] Speaker A: Yeah. Quick start number two. So, lo and behold, they took over the project. We reconfigured it, still based it on goals, and it turned out, to make a long story short, one of their developers.
When you're doing an app, you had to do a front end and a backend. That's how you do testing. And on the back end, they did everything into the production mode instead of a staging or a development mode.
So everything was being pushed to production, and the algorithms were not working at the time. So the math that I did to configure all of this went to heck, right? It just did not work. And the hard part came. I had to say, this company is named after my mom who passed away a couple years ago, and now it's going to be almost four years. And this is, like, my honor to her.
This has my mom's name on it, and you guys are not doing this properly. I got an email back saying the code is correct, everything is good.
Total nonsense, right? It, like, blew my mind. And I'm a very calm person. I was really livid at this. I saw this email, so I did a code audit on them.
I paid 8,800 bucks to have this firm out of Boston run all the code. And they found all these problems naturally. They wanted. They wanted to take over my project, but I sent them the code audit. We went through everything, and then they did their own code audit. And guess what, Richard?
They found all the same problems.
They found all the same mistakes.
So from a good faith standpoint, this company and I was really blessed with this when I kind of let this go, because this added another year onto the project, is we reconfigured on how the app worked. We made it about debt and how to get rid of your debt. Because, again, people are not signing up for goals. And they got stuck. Like, what's my goal? Well, I want to buy a pair of shoes. Well, they're 200 bucks. I can afford it. Big deal. But from a bigger picture planning standpoint, it's hard to do. You and I both know this, right? That's our lives.
So they paid to refix the problems, which was a blessing. Most development companies would debut high and dry, say tough.
And I kind of just surrendered at that moment, unknowingly.
And I learned a really tough lesson. But it also gave me a lot of strength and confidence to say, you know what? I used my voice. I spoke up. I never did that before. I was frustrated and I had to let this go.
And now we're at a point where we're releasing the product out into the wild.
And I couldn't be happier because now we have a solid product. It's been tested properly, we have people using it.
And it will literally show you which credit card or which debt account you should pay off first and how much per month. Because if you link your bank accounts or your credit cards, we're able to see your spending.
You have a tool that will show you every month how much money you're spending. And then we could say, you know what, maybe you should spend a thousand dollars less on entertainment or other. Right. Then you have found money to go off and pay off your debt, and then you can be free.
So it's been quite a journey. That's why I lost my hair. But it's been total. It's been totally worth it. It's been totally worth it. It's all been meant to be. And yeah, the money left. Right. But that's part of life. It's not mine as it is. It's. It's meant to make the world a better place.
[00:19:02] Speaker B: One, a couple interesting things about the, you know, the experience that you're sharing. Bill, what comes up for me is that your knowledge base, your knowledge base is on helping people. On knee to knee conversations, the kitchen table type. Yeah. Here's how we're going to help you with your struggles. And there's, there's a. There's a real relationship base that happens there because you start to learn and interpret and get to know people. And it helps you gauge and understand not only how to help and coach them based on their unique circumstances, but also on their personality. And you're going from this knowledge base of trained and learned skill. Okay. And some natural ability, and now you're transitioning it to a vision of a thing that you want to build that's going to help people without you being there. So you're disconnecting a little bit like the relationship piece because you. But you're not disconnecting it from a vision. So you're trying to create. How can I create a relationship that if you couldn't sit down with Bill, you could have a tool that treats you and your money like Bill might and give you guidance directly in sort of almost like a way that Bill would. Is kind of how I visualize what you've done. So it's how can I remove Bill from the equation but create the most amount of impact and provide the right kind of advice in the right direction? That's sort of how I visualize what you've built with Diana. How on track am I?
[00:20:30] Speaker A: You're pretty spot on because the reason why I called it Diane money was you wanted to have this motherly type figure looking over your shoulder, tapping you on the shoulder and saying, hey, sonny, hey, daughter. You might want to change this a little bit. And here's a great way to do this. You may want to consider this, like those little subtle nudges that the universe gives all of us. That's exactly what it is. And then it's all habitual. Your money is a habit, and you probably do the same things month after month after month and you don't realize it. And like, you have to be a great steward of your own money. Most people aren't. They're not taught how to be a great steward of their own money. And it's really hard to have those one on one conversations with people because so many people are different and finding that avatar. But, you know, Gary Clavin taught me this when we were at abundance. 360. He's like, people don't make money decisions unless they have a life event like getting married. Someone passes away, someone retires. Like, you and I both know this, or you get a raise. What do we do with this? But there has to be pain in order to want to change.
And with there being over $1.2 trillion as of today's recording of what new credit card debt?
How is that not paying? How would you want. Why would you want to stay in that framework of your life for 20 years, 10 years? How much money are you losing because of that? And that relationship is just being built with the trust of the product. And it's all math. We're just doing the math for you and taking the guesses and stresses out of your financial life.
[00:22:10] Speaker B: Well, it's even more than that, because although it's doing math, it's what the Math is showing people that matters and it's showing them behavioral impact. So this is something that we talk a lot about with our clients is what is the impact of your decision making and how does that impact now affect you at a longer term horizon? And with what I understand you've built with Diane Money, that motherly nudge, it's also giving you a little bit of a roadmap into how those decisions are going to impact you. Okay, we've taken a look at your spending, we've taken a look at your budget, we've taken a look at the categories where money's going. Based on how money is spending, here's some considerations you may need to do. So it's doing a lot of that back. It's kind of like having a personal AI around your, your money, but your, your monthly budget.
[00:22:59] Speaker A: Right.
[00:23:00] Speaker B: To navigate customized for your circumstances. There's a lot of advice out there. There's a lot of great YouTube videos, there's a lot of great shows and programs. But what there isn't is customization for the individual circumstance. That's where Diane money's really coming in.
[00:23:14] Speaker A: And I totally agree with that. And this was an AI based configuration. I mean, we are doing the algorithmic math to show you what you need to do, how you can get out of the bad debt. And if you're not getting customized advice, whether it's on life insurance or investments or debt reduction, you're just wasting time. Everything needs to be about you. And that's how I run my other businesses and this one specifically, it really needs to be tailored to what you need. As most people don't know, the majority of folks who have started to use this product have said, oh my God, I didn't realize I was getting charged 30% or more in credit card debt, interest or 30, 28%, 27%. People can't believe it. And then when you actually calculate how that interest is being affected and how much money you're losing, you just see that monthly charge. But it's so much more than that. If you can take that $10,000 and use that as an investment vehicle, what would that look like in 20, 30, 50 years? It's a big deal. That's a lot of money. So the whole purpose of this is to help people figure out where they're going wrong by showing them their transactions and where their money is being spent. This is like a great caveat to Mint. With Mint being off the marketplace, this kind of takes that place on a higher level. It's not a Granular level, it's on a higher level. But if you know where your money is going, then you can make better decisions moving forward as to where to allocate those dollars.
[00:24:57] Speaker B: Yeah, that's perfect. And allocation is key. Speaking of allocation, we're going to allocation a few moments for some great commercials, but when we come back, we're going to get more into Diane Money.
Okay, Richard, I keep hearing about this thing called the Colby A index. You talk about it all the time on the show. What is it? How do I get information about this thing and why is it so important?
When I first got my Colby done, it totally revolutionized everything for me. I finally felt like, oh, man, this is what I was looking for. All the things I've been doing that have been working for me and all the frustrations I'd had, if I just understood this at an earlier age, boy, oh, boy, would my life be different.
You can take that step. If you want to learn and understand how it can change things for you and the way you communicate with others, you can go to coachcanfield.com and download your free report.
So we have the power now to become debt free. We've got a visual, we've got gauge. It's going to walk us through the whole process, and it's going to. It's going to give us all the navigation direction, the seeds. It's going to basically tap us on the shoulder and say, come on, man, pay that debt down. Diane Money, it's coming in to help us out. It's a powerful tool. Bill, during the break, we were talking a little bit about some of the things you can do with Diane Money, and I'm really fascinated by the way you guys thought this through. And I want to share a couple of things. You talked about some sliders. I'll get you to maybe give us some insight into that, but I can't emphasize enough the value and importance of being able to see your own behavior. So as a consumer, someone who has debt, if you're thinking about that for yourself, imagine not trying to do it on your own.
Imagine having the equivalent of a person in your back corner, someone you know, you're in the boxing ring fighting with the debt, and you got a corner man that's telling you how to sidestep what punches to do, what moves you need to make so you can win the fight. That's what Diane Money's doing for you. So tell us a little bit, Bill, about some of the opportunities that people have. They've entered a whole bunch of debt into the system. It's watching their budget come in. They want to look at it and say, okay, how could I improve my goal? It's giving them a visual roll up of how much debt they've got and what they're going to pay in interest or what they're going to pay in all that debt. Now they can start to say, okay, what if scenarios to really start moving the dial forward. Walk us through how that functions in the tool.
[00:27:28] Speaker A: Now, let me give you a real life example of one of our users. I think this would be super helpful.
So this lady, I'm going to keep her nameless at this point, no names, just for security purposes. But she had about $17,000 of credit card debt. And she came to us saying, I have no idea how to get out of this. This is just killing me financially. I'm stuck. And I think that's what the majority of people who are going to come to us are going to say, like, I'm stuck. I don't know where to show me what to do and I'll do it.
So when you sign up and you link your bank accounts, link your credit cards and link your debt, what you see is literally a graph and it's going to show you how long it's going to take you to get rid of your debt. And that's the scary part. If you just pay your minimums, your credit card won't be paid off on average for 20 to 30 years.
It's an atrocity. The banks are making money hand over foot and you're losing money. So first and foremost, you want to stop using the credit card. I mean, from a habit standpoint, if you have a problem, put it away just like any other kind of problem, right? Stop doing it.
But what you're able to do is when you use the subscription version is we have a slider on there that's so easy to use, it goes in $5 increments.
So if you have an extra $25 a month to pay off your credit card, it's going to show you how much money you're going to save and how much quicker you're going to get rid of your credit card debt or your bad debt. So you have an interactive tool that shows you in real time. If you do this, you will have a better situation here. If you do this, you will have that. And again, it comes down to not adding more money to your credit card debt. That's the biggest thing. But every month you have a tool to show you what you can do. And it's going to help you prioritize things because this person had a wedding that they wanted to go to in Maui.
So if you already have $17,000 of credit card debt, you want to go to your friend's wedding vacation, what do you do? So we also have a goals tab where we show you how much money you need to save every single month to get to your goal by a certain date. So it goes back to the original product, but it's tied in in a much better way this time because you should have things to celebrate and should have things to do. For instance, if you want to get rid of your credit card debt, how are you going to celebrate? So once you pay off one of your credit cards, maybe you start saving and put it into that goal account.
So that way you have money working for you. Both ways you're saving and you're teaching yourself how to save. So that way in the future, you don't go back to the credit card habit and you figure out, I'm going to spend the money when I have it, which is really the only way to go.
[00:30:38] Speaker B: I mean, that's powerful. Again, it's interactive. And we can't understate the value of that enough. You know, people are interacting with their money all the time, but they're not interacting with it in a positive way or in a visual way. So you're bringing a combination of that positivity and visualization into the, into the game. And although it might look a little bit bleak once you put the information in, the fact that you can now deal with it is the key. So, you know, when we first talked about this, you mentioned you were building things to help people with their goals and isolate them. But not everyone is clear on their goals. They don't know what they want, but they often have a better way of understanding or clarifying what they don't want. I've found that to be the case. And I look at it, okay, why don't you isolate and write down all the things you don't want, and then you can create a new column and you can say, what's the opposite of that? True. And sometimes it's just easier to think about those. So if you brain dump them onto a sheet of paper and you can do this as an exercise, as a viewer, and then write down beside, okay, well, what are the wants? If this is the don't wants, here's the wants. And think about the opposite aspect. And so if you know that you don't want a bunch of bad debt and you don't want a bunch of debt payments walking out the door, never to be seen again. Clearly you want the opposite of that. And so, Diane, mine's going to help you do it. So the Goals tab is there, but I also love how, because you made it about really solving a problem, people know that they focus on the problem that they want to take care of. Goals being a little bit more nebulous. They don't know how to focus on those. So the tool's really doing both things. You're meeting that original objective, but you're doing it in a unique way, which I think is very powerful.
[00:32:13] Speaker A: Thank you, my friend. I. They go hand in hand. Because once you get rid of the bad debt, what do you do with your money? And that's where saving, investing, infinite banking, whatever route you want to go. Real estate, you have to have a destination for your money. It needs to have a home.
And when you get rid of the debt, just imagine that if you're struggling with credit card debt, if you have five minutes to just silence your mind and breathe on it and think, okay, what would my life really look like if I didn't have to spend four grand a month on my credit card debt? Why was I so silly to do that? Stop beating yourself up over these things and start addressing them. Because all progress starts when you tell yourself the truth, Truth and the answer.
And you just have to be honest with yourself and say, you know what? Something needs to change and you can do it. I have faith in you. This is just a really simple tool to use every month. It's going to show you what you need to do. So when you're able to go look back into your transactions for the past three months, most of the time we're seeing everything is pretty similar from a spending perspective. Sometimes it's going to be off a little bit. Your car goes out, you have something else, a big insurance payment come due, things happen. It's like happens to all of us. So we need to get over those things. But when you see yourself doing the same thing month over month over month, I mean, Richard, you know this. If you could stop $500 of outgoing money, that may be your ticket. And we show you where you're spending your money so you don't have to do the work, you don't have to nitpick through every single transaction. It's going to be there for you, and then you can make better decisions moving forward. So that may be your ticket out of debt, in and of itself is just understanding where Your money is going.
[00:34:12] Speaker B: You know, a friend of mine, real estate investor, she used to say that the more you manage your money, the more money you have to manage.
[00:34:20] Speaker A: Yeah.
[00:34:21] Speaker B: And I mean, it's real simple. Now, with that in mind, something that comes up for me as I think about this is something I learned from my mentor, Nelson Nash. And he really talked in his book Becoming youg Own Banker about the power and the awareness that people need to have about interest, volume. People get really focused on rates and all the conversations around the water cooler at work are all about the rates, the rate we're going to get in return, the rate we're going to pay out on this. All these things are rate focused. But percentages on their own are actually very deceiving. And I feel like they put people sometimes in a mental prison. Whereas volume is really about, you know, what's the physical amount of money that's gonna come into your hands and then leave your hands, never to be seen again. So it's about the dollars, not about the percentage. And an example of that often is like the mortgage. And people, you know, a lot of people wanna pay off their mortgage, which is absolutely great. And there's a lot of huge advantages to doing that, but they focus on the interest rate. Whereas, you know, what they don't realize is often people are moving across town. You have to upgrade the house, you had another baby, you need the garage, you got to relocate it. So on average, every five to seven years, the average North American is picking up and moving or they're refinancing a property. And so they're taking the beginning part of the mortgage amortization and they're resetting it. So they're never actually getting a lot of headway there. Instead, they're paying the highest volume of interest, regardless of the rate in that first five to seven year period of time. And that can be really crushing over a lifespan. So what are some thoughts that come up for you, Bill, as we talk that through?
[00:35:54] Speaker A: So we have five investment properties, one of them's paid off, three of them we turned into short term rentals, one of them we still have a mortgage on.
You're going to pay so much money in the first 15 years of interest, you almost pay for a second home. It's crazy.
Now we were all sold here in North America that mortgages are okay. It's how you do things. You don't pay for your house in cash, but you have to ask yourself who wins?
And the people who win are the banks.
So inevitably you're paying two to three times the amount of the home over a 30 year period. And the thing that I don't necessarily agree with from a refinance standpoint is if you restart a 30 year program because then you're repaying that interest for the 15 years and you're going to pay double almost if you don't pay that off sooner. Some of the tips and tricks is your mortgage payment is, let's say $1,000 a month. Let's keep it simple. If you send in $500 on the 15th and 500 bucks on the 1st, you're going to pay off interest faster because money is being thrown at the debt quicker. You want to do that or pay off an extra payment every single year and you knock off something like 10 to 13 years of your mortgage just by sending in an extra monthly payment. All these little things become a math problem. You have to look at your amortization schedules. I've looked at it for every single house we purchased. Look at the debt amounts. You're paying pennies on the dollar for the first however many years whenever you make a mortgage payment. And here in America, the tax laws change for mortgage rate interest write off. So debt is not good.
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[00:38:22] Speaker A: Debt is not good, like having debt on rental properties. That's good debt because someone else is paying off your loan using other people's money. But if it's for your own house, you have to be careful with these things. Especially if you buy. My wife and I were looking just like house shopping online.
If you buy a $5 million property here in Chicago, you're going to pay $60,000 or whatever it was a month for your insurance, for your mortgage, for your property taxes. It's like, why would you do that? Rich people don't have mortgages on their own houses. Rich people do not have debt. That's how you become rich is either using good debt from a business or a real estate standpoint. And you stay out of personal debt. That's the way to go. And that's my big focus on life too, is no personal debt. The thing is, for Our house. I'll be very open and honest. Like, we have a 2.75% mortgage rate on our house.
Our house was $850,000. We only owe 413,000 on it. So I paid half of it off in three years. All right, but we're only paying a small amount of interest because I've already paid down the first 15 years already. Half of it's gone. So it's not that big of a deal. I'm making a lot more money on my money versus a 2.75% mortgage. So that's where you want to be. And inevitably, if we ever move out of this house, we'll keep it and rent it because we can cash flow and make a couple thousand dollars a month.
[00:40:06] Speaker B: Cash flow is king.
[00:40:08] Speaker A: Yes, yes, yes, yes. I love real estate. It's great. It's really, really great.
You have to pick where you want your money to go. You have to choose which investment route you feel comfortable with and try it all, because you may love one and hate another one.
[00:40:24] Speaker B: Not every time that you do it, even if it's the same thing, is it going to be as successful as it was in the past. I've got a lot of great stories about investment real estate that not everyone would want to tell.
But one thing really interesting, Bill, that you said is, again, what do the rich do? And if you really think about this and get clear on mirroring and modeling what successful people are already doing. And one thing that I noticed that's very common for people who are wealthy is that they want to own the debt they don't want. So everyone has a balance sheet. There's assets and there's liabilities.
The typical consumer mind thinks of debt, and they only see it under the liability column.
But every debt that's a liability to someone shows up on someone else's asset column.
For the banks, a loan is good. The word loan is good. Loans are good. That's an asset to the bank. That's cash flow. What's, what's a. What's a liability to a bank is deposits.
That's the money that they owe someone else. And so your deposit is an asset to you, but it's a liability to the bank. So literally, it's just a role reversal. And for a lot of people, it's hard to visualize that. But if you get clear on the fact that every asset that you, you know, every. Every liability that you have is someone else's asset, you can really start to think through things a bit differently. And that ability to think through. It starts to say, okay, how can I move into that position? What might I do differently to be in a position where I might be in control of the debt versus being beholden to it?
[00:42:05] Speaker A: Yeah. I think that this really ties into you having the ability to have monies where you could take a loan out against certain dollar holders. I, I don't, I don't know how we want to quantify this, but, I mean, I have policies that I've taken loans out against to use and then pay it back and deploy. And I, I'm 39. Right. I've done it twice.
You could pay yourself back, and there's a power to that. I didn't have to go out and get a loan, get my credit screwed up because I have someone checking my credit. You. You have a better control. But it all comes down to figuring out what to do with your dollars first. And automate it. If you can just automate it. If you have five grand coming in a month, automate your, your mortgage, automate your rent, automate your investing, automate your savings.
If you just automate all that stuff, stay on the straight and narrow, use your debit card or use cash, it's a game changer. Your life could literally change. And that could be part of taking that guesswork and the stresses out of your financial life.
[00:43:22] Speaker B: Yeah, there's a, you know, we circle back to behavior, and there's something called Parkinson's Law. It shows up in many ways for people. One of the ways it shows up is that expenses rise to equal income.
That's not a function of, of the income change. It's a function of the behavior that goes to the income change. And as soon as people get really clear on that, they can start to do things. And what, Diane money is going to help people with is if their income goes up, let's say they got. You got a pay raise or your spouse gets a pay raise.
[00:43:52] Speaker A: Yeah.
[00:43:52] Speaker B: You get an extra 100 bucks every two weeks. Maybe net money showing up. Well, that's, that's not $200 a month. It's actually $200 times 26 weeks, which is more than $200 a month. And now what's common for most people is if they don't watch it and they're not visualizing that, that money is going to immediately disappear in their life because they're not paying attention. But if they have a tool like Diane, money that can see that now, it can take the impact of that, that new change, and it can say, well, here's how much quicker we got you out of debt and your behavior is like, oh my God, I went from here to here. Wow, that's amazing. And your brain starts to see that possibility and it begins to make the behavioral adjustments to see that goal become a reality. That's the power of a tool like you've built.
Again, an amazing legacy to your mom for providing that motherly advice. What a tremendous thing that you're building and how it's going to help so many people. I mean, just imagine, Bill, that we had, we had 30,000 people eliminate all their debt in the next four years because of Diane money. And then that 30,000 becomes 300,000, and then that 300,000 becomes 3 million.
And how much debt gets eliminated and the burden. And so how much more successful are those families? How much more food is in their bellies? How much more opportunities do their children have on their college funding, on their family vacations, their quality of life, the memories that they put forth? That's the unseen. You know, we talk about. What's the scene? That's like an illustration. That's like a rate calculator. These are spreadsheets that we can put numbers into. That's your budget.
[00:45:35] Speaker A: Oh, yeah.
[00:45:35] Speaker B: That's how much money is in the bank account. The unseen is the impact of decisions you make and how they ripple through time.
[00:45:43] Speaker A: Well, over the past three to four weeks, I know that I want to help eliminate a billion dollars worth of credit card debt.
But also I know when these things happen, the value of the company will go up. And one of the things that I want to do is create a foundation where we're able to, literally depending on the metrics, is give money to every child in the United States. And this is something that's been like on my heart, not on my mind, in my heart, imagine if every child in the US got $100,000 or a million dollars, right? Social Security will be solved, right. Medicare probably won't meet it. You'll be able to self fund and really create accounts for every kid, probably what, 100 million kids in the U.S. this could happen right now with $100 million donation, right.
We don't need trillions of dollars to fix some of these problems. If we have the ability, which I want to be the person to help with this or do this.
Just seeing my kids and the life that they have. I want all these kids to not have to worry about money like I did growing up.
That's going to change the world, that's going to change how things are and give People, a brighter hope. Whether you're living in poverty or you're living in a mansion, it literally sets the playing field for all kids to have a bigger and better and a bright future. And that's the big purpose behind this. That's really what's been coming to my heart and that's the true purpose behind the project.
[00:47:22] Speaker B: Well, the fact that you've been able to let go, like we talked about earlier, to have some of these things even crystallize more for you, I think is really powerful. And I'm very in alignment with the things you identified, Bill. We're kind of. It's like we're just two different guys in two different countries thinking the same way. It's like, what have you been doing in my head, Bill, Come get out of there. But, but, you know, similarly to that same vision and idea, I have a similar thought process around if every child born in Canada, in the United States, if they were all provided and could qualify for through, through an endowment or something, essentially a whole life insurance contract where the premiums were now funded for say 25 years automatically. It was 100 bucks, 200 bucks a month equivalent.
[00:48:07] Speaker A: Yeah.
[00:48:07] Speaker B: The impact of that over two generations is that there's going to be tax free value of capital available, there's going to be constant growth and accumulation, and there's going to be a tax free payout that automatically reduces the burden on the system that now requires essentially an entitlement of government funding to fix. So if we remove the need of those things, it has a drastic impact over two generations on what's possible for the human existence.
[00:48:37] Speaker A: Oh yeah, it doesn't take much. It just does not take much. And you have the same philosophy when you put other people first and you take your ego out of things. I think that's when the universe really tries to conspire to help you and put the right people in place. And to be able to do a show like this at this time is just. It's all meant to be and we're gonna go through hard times. Things are gonna happen. It happens to everyone. Whether you lose a loved one or people get sick, people go through divorce, whatever, you name it, it happens. But just letting go and allowing the universe to come to you. It sounds quirky, but it's so true. It's so true. That's how things work.
[00:49:22] Speaker B: Well, I'm super pumped about what you're building in the three core elements of the three core businesses that you have. We spent a lot of time on Diane money today, of course, you have some new endeavors around saving massive amounts of tax very applicable to folks in the United States. I'm looking forward to continuing that conversation on Bill, but before we leave and adjourn for the day, what would you share with people just around your own experience? You talked about it this morning on the impact of some of these, these, these innovative ways of looking at taxes. I shouldn't say innovative on tax savings, but innovative on understanding maybe the tax code and your unique circumstance. You personally, you and your wife are going to see some dramatic savings which you can then reallocate to investing in maybe another business employing more people, et cetera. Walk us through that perspective from you and what can we look forward to when we have you back?
[00:50:16] Speaker A: My perspective on money is make as much of it as you can.
Keep as much of it as you can from a tax perspective because that just gives it volume. And when you have volume, you're able to go out, either donate, create, or build on top of those dollars so you're in more control of your money.
There are legal ways for you to plan for great or lower taxation, and it doesn't take a lot to actually make it happen. So I'm happy to speak with people about this, especially the entrepreneurs, the people who are really being affected. I mean, we have clients who pay millions of dollars in taxes every year, and these are the folks who we want to be a hero to because that's how you can set up the family endowment. That's how you could set up the family foundation. That's how you could start impacting these people's lives. And that's what it's all about. You're choosing where your money's going instead of it being told where it needs to go. So very powerful.
[00:51:19] Speaker B: Love it. Well, so happy to have you on the show, Bill. Thanks again for being with us. Thanks for putting Diane Money together and investing so much time, effort and capital into creating something that's going to make a real difference in the world. And for those of you watching, make sure you tune in next week as we continue to hear the major challenges entrepreneurs are overcoming and how they are innovating for a bigger and brighter future.
