Generational Wealth That Will Save The Family Farm

America is losing. We are losing farmers and farm families all too often. Our industry is losing generations of young people because they don’t want to farm. The truth is, it’s not because they are lazy, it’s because they see the cash-flow struggle, and they don’t want to live that way. Parents tell me they hope their kids DON’T farm because it’s a lot of work for little pay.

The struggle is real. One day it’s glorious, and the next could be the day that wipes it all away.


We CAN save the family farm with a little bit of planning. You may not see it in your generation but it HAS to start with your generation. I wrote a blog about taking care of the next generation titled, Who Are You Building It For. If you haven’t read it, take a look.  This article is the sequel because I am going to crack the numbers so you can see just how powerful the Farming Without The Bank strategy is.

The scenario I ran was with a Grandfather (Charlie), Son (Jason) and Grandson (Beau). This is three generations and yes, I used males because I wanted worst-case scenario numbers.

As always I can’t run EVERY scenario so use your imagination, reason, and logic when reading this.


Grandpa Charlie starts a whole life insurance policy set up like Mary Jo would on himself at age 60. He decides to budget for $20,000 of premium every year. Charlie lives until he is 80 yrs old at which time his death benefit is $671,692. Jason, his son, and farm business partner received the death benefit INCOME TAX-FREE.
Grandpa’s policy illustration below:

Save the family farm for generations

Grandpa’s death benefit is left to his son, Jason, who is 55 yrs old at the time of his father’s death. Jason takes this $671,692 and starts a policy with it. This money pays for the first eight years of premium, and from that point on Jason pays the $20,000/year premium until he passes away at age 85.  

Look at what Charlie has done for Jason, not only has he left him money to operate but by the time his $671,692 money gets into the policy in year eight, it has already given Jason access to $720,661 of cash value! Jason already has around $49,000 more to use for farming then his Father left him. You can continue to look down that cash value column to see what Jason has to work with for operating expenses, retirement, helping the kids through college, weddings, and the list goes on and on.

Jason’s policy illustration below:

how to save the family farm by creating generational wealth

When Jason passes away his son, Beau, is 55 years old. The same age his father was when his Grandfather died. Beau father has taught him well, and he too takes his inheritance of $2.7 million and buys a whole life insurance policy on himself. Beau uses this money to fund the first eight years of a life insurance policy. From that point forward Beau pays $75,000/year to continue funding his policy.

Now that may seem like a lot but after two generations of inheritance, the policy can be easily funded for the maximum benefit.

Beau’s policy illustration below:

FWTB_Grandsons Policy Illustration

Beau, like his father, has cash value to use for operating expenses right away and by the end of year eight, he has allocated the entire death benefit to the policy which has a total cash value at that time of $2,945,820. In eight years with no additional cash input, Beau has around $211,000 MORE than what his father left him.  Beau too has the same opportunities to do what his father did with his policy cash value, buy land and increase the farm, help the kids, retire, and the list continues to go on and on.


NOW, take another look at what Beau is going to leave his children when he passes at age 85…….

$11.6 million dollars….


Each of the policy death benefits left the next generation with 4-times more than what the first had. That means if Beau’s son moved this money to a policy he would leave his children around $46.6 million dollars.

Did I mention this is INCOME TAX-FREE?


This article shows how you can build wealth for “pennies” on the dollar. The total out-of-pocket premiums over the lifetime of all three of these men were $2,710,000 and the total death benefit payout was $15,059,265. That means they paid $0.18 cents for every dollar of a death benefit.  (Again we have to use logic, the money that was used to start these policies from death benefit was NOT out-of-pocket for Jason or Beau. Anything after year eight was out-of-pocket for them.) When you look at what the fourth generation’s “cost” will be it goes down to around $0.15 cents on the dollar.

The whole time Charlie, Jason, and Beau had access to the cash value to farm and live with.

Who is going to start your generational wealth plan? If it’s not you, why?

If you have not read the book Farming Without the Bank you may want to pick that little book up to get more details on how this works. It’s time to get away from the banks and time to start thinking about the next generation. You’ve worked your butt off to get here, don’t throw your hard work away. Give it the ability to keep going.

As always call when you are done reading the book so we can visit and I can get all your questions answered. Yes, I am an agent, and yes I can help you through the process of living life without the bank.

Mary Jo

P.S. There is a reason I used 8 years as the magic number to transfer money over. If you want to know why, feel free to call me. I’d love to explain.

Farming Without The Bank Proof

Seeing is Believing – Caution: Undeniable Proof That You Can Farm Without The Bank is in Here

“It’s a Scam!”

“Does it really work?”“She’s hiding something, there has to be a catch.”

“If it was so good everyone would be doing it.”

“Everyone knows whole life is bad.”This list could go on…If you didn’t say it yourself, you may have heard someone else say it when you told them about Farming Without The Bank. It’s human nature to believe things are too good to be true.

Farming Without The Bank is a system based off the Infinite Banking concept that I believe in passionately! But it IS a mindset shift. That makes it difficult to believe in for people who don’t like change. People who say things like, “Well, that’s the way we’ve done it for 100 years…”

I don’t want you to be stuck in a 100-year-old system.

I want to help you take control of your farm’s financial operations using the most up-to-date strategies available and have liquidity, control, and guarantees with your money.

When you talk to folks about these new strategies and get negative feedback, consider the source. Is the person knocking whole life insurance a licensed insurance agent?

Is he knowledgeable about the insurance industry?

In most cases they are not, they are basing their judgments on hear say not facts..Do you need facts? I had a client ask 14 people about it and they all told him he was being lied to. It doesn’t work.

Then he asked his banker. His banker told him he’d be silly NOT to buy it. The banker could see the value with open eyes rather than preconceived notions others put in her head.

Let’s take a look at 3 Examples.

In the first one you’ll see the illustration given to the client when they policy was purchased. Each example includes an inforce illustration, which is an updated illustration showing actual numbers today based on what the client paid since the inception of the policy.

The illustration is an important tool for projecting what will happen to the policy. We can compare the projection to what is actually happening today, by looking at an inforce illustration. Is the growth what they expected?

Inforce illustrations are a great way to show you that dividend paying whole life does what the company and I say it will do.

A couple of things to note when learning from these examples:

1. All premiums were paid as projected.

2. LOANS were TAKEN!

3. Some loans have been paid back and some have not.

4. All policies are going into their 7th year.

If you’ve read my books or heard me speak, you’ve heard me say, “Loans do not affect your cash value growth because you borrow AGAINST it,” Now you can see it.


In the first example, a premium of $6,400/year has being paid. The guaranteed seven-year cash value projection is $9,031+$29,727=$38,758.

The Non-Guaranteed seven-year cash value projection is $43,111

Right below that is the inforce illustration from the day I wrote this blog post. Line one represents year seven – – today.

The Guaranteed side shows a cash value of: $11,602 +$29,727= $41,329

The Non-Guaranteed side shows a cash value of: $42,219

Wow! The company is off a mere $1,100 on the non guaranteed side but up by $2,571 on the guaranteed side.


Why is the guaranteed side so much higher?

Because the guaranteed side is showing the projected value if dividends are not paid. However, that has not happened in 140 years. Dividends have been paid for over 140 years. Once dividends are paid to the non-guaranteed side, that dividend is “assumed” and moved over to the guaranteed, increasing the value.



The Guaranteed seven-year cash value projection is: $50,708 + $4,150 = $54,858.

The Non-Guaranteed seven-year cash value projection is: $62,576.

You may have noticed the low cash value in the early years of this policy. That is not typical, but due to health ratings for this client we had to put most of the money toward the death benefit. However, you can see the cash value still grows at a good rate and is very close to what was projected.

Shown below is the inforce illustration. Line one represents year seven – today.

The Guaranteed side shows a cash value of: $55,617 + $4,150 = $59,767.

The Non-Guaranteed side shows a cash value of: $61,052.



The Guaranteed seven-year cash value projection is: $16,468 + $45,213= $61,681.

The Non-Guaranteed seven-year cash value projection is: $67,169.

The inforce illustration was saved on the day I wrote this blog post. Line one represents year seven – today.

The Guaranteed side shows a cash value of: $19,660 +$45,213= $64,873.

Non-Guaranteed side shows a cash value of: $66,395.


After seeing these three examples you may be asking, why is the guaranteed side so much higher than projected? As stated above, the guaranteed side is showing the worst case scenario–a dividend never being paid. However, dividends ARE paid, increase the value, and once paid they are assumed and will not be taken away!

What is the big takeaway here?


If you put money into a tool that projects future cash value nearly exactly while leaving money LIQUID  without giving up CONTROL and with GUARANTEED cash values higher than they expected, this strategy cannot be denied!

In each real-life example the policy owners took loans from the policy to do other things: buy a vacation home, take a long vacation, and buy equipment for their business.

It doesn’t matter what it’s used for! After all, the policy owner is in control!

Looking back at older policies confirms that even the market crash of 2009 did not harm the policy performance.

Traditional money management cannot do what we do here: offer liquidity, control, and guarantees along with discounted dollars to leave to your family upon your death. If you have land, there is no guarantee that land value will increase. You have to sell it to have the liquidity. (don’t forget to take off the fees for realtors and such).

If you have an investment such as an IRA there are NO guarantees or liquidity. Borrowing against an IRA affects the growth of your IRA. In addition, your IRA is not even worth what it shows on paper. You will pay taxes and/or penalties for withdrawal and lose the growth from the money that was removed.

Moral of the story: the next time someone suggests to you whole life insurance is a bad tool ask them to show you the proof of their money growth with liquidity, control, and guarantees.

Remember, if you’ve read my book – you are more of an expert on the matter than most “professionals” out there.  If you have read the book, t’s time for us to meet. Message us on Facebook for the link to schedule. If you have NOT read the book, I hope this article clarifies a few of the details. The book will explain more about the strategy and our FREE 1-hour consultation will define the details and how this strategy would work in your operation. So – What are you waiting for?

As always, I appreciate your comments or questions!

Mary Jo

Mary Jo is proud to be a Certified Infinite Banking Practitioner helping family farms keep more of the profits, create financial systems, and bring financial clarity to an uncertain industry though correctly structured whole life insurance policies.

Need More Information? Use these books and learn what tool can take away the worry.

Wealth Without The Bank or Wall StreetGet Farming Without The Bank


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