Cash Flow Banking

Cash Flow Banking is a concept that allows you to capture the opportunity cost of your dollars. It is the financial strategy used by the wealthiest families, companies and the political elite people to grow their wealth. It let you be your own bank and earn interest yourself. This is commonly used by dividend-paying whole life insurance. It is the measurement of the cash that comes in and out of your business in a particular period. Positive cash flow means you have more cash coming in than leaving out from your business, so you can pay your bills and cover all the other expenses.

There are three main categories of cash flow- operating activities, investing activities and financing activities. Operating activities include cash activities related to net income. Investing activities include cash activities related to noncurrent assets. Cash flow from investing activities are basically cash received or spent by making investments, such as purchasing equipment for your company or making any kind of investment in some other company. Cash flow from financing activities is cash earned or spend in the time of financing your company like loans, lines of credit or owner’s equity.

Most people want to take care of their family after they die, they do not want that their family should face any kind on inconvenience when they are not in this world, so they buy term life insurance. When you buy a life insurance, you are insured only for a particular amount of years. If nothing happens to you during that tenure, you or your family will not get anything in return. Further, continuing it later in life will cost you monthly premiums. However, whole life policies purchased through a mutual insurance company earn a guaranteed annual interest rate and non- guaranteed dividends. There are so many companies that let you enjoy and avail all the benefits of cash flow banking.

Cash Flow Banking also referred to as Infinite Banking Concept, Private family banking or Life insurance retirement plan. When properly structured for maximum cash growth, it is known as Wealth Maximization account. It is like a savings bank account that provides liquidity, a steady rate of return, security and tax benefits. It is an asset based off whole life insurance and is a key to Cash Flow Banking. Ask yourself whether Cash Flow Banking is ideal strategy for you, ask yourself below questions- Do you want to pay less taxes lifetime? Are you risk averse? Do you own a business? Do you want to leave legacy for your family? Do you want a guaranteed rate of return? Etc.

Infinite Banking is not intended as a long-term investment that will enable you to aggressively accumulate money for retirement. It is not something that is going to make you rich quickly, deliver 10% annual returns and replace your real estate investments/ stock investments etc. Instead, the purpose is to provide a place where money starts. We should know benefits that provide max RIO infinite banking, we can find different and numerous ways to make maximum rate of interest.

Money Ripples is your financial advisor and money mentor and has increased hundreds of their clients’ cash flow by an average of $34,000 a year!