One of the biggest mindset shifts in the Infinite Banking world is understanding premium as a contribution to capital. I recently attended the Nelson Nash Institute’s IBC Think Tank in Henderson, Nevada—a gathering of professionals dedicated to deepening their understanding of the Infinite Banking Concept (IBC). One powerful insight stood out this year: premium isn’t a cost—it’s the foundation of financial control.
Whether you’re an IBC practitioner, a client, or someone exploring financial freedom, this shift in thinking can completely transform how you manage your money.
Reframing the Premium: It’s Not a Cost, It’s Capital
Too often, people view premium as an unwanted expense—something to be minimized. But that mindset is rooted in traditional financial thinking, where banks hold the keys to your capital. In the IBC model, premium as a contribution to capital changes the game.
Premium is not a bill—it’s an investment in your personal banking system. It funds a pool of money that you control, and over time, that pool becomes the engine of your financial freedom. As Nelson Nash said, premium isn’t the problem—it’s the solution.
Why Most People Stay Financially Stuck
Here’s the problem: most people hand control of their money over to banks, credit card companies, and financial institutions. They pay interest, fees, and penalties to use someone else’s money—essentially financing their lives on someone else’s terms.
But when you treat premium as a contribution to capital, you’re reclaiming that control. You’re building your own capital reservoir—your own family banking system—that grows, compounds, and puts you in the driver’s seat.
Capital = Control
Capital is the fuel of freedom. Whether you’re an entrepreneur, a real estate investor, or someone just trying to make smart money moves, having access to your own capital determines whether you can act when opportunity arises.
Nelson Nash often said, “You’re already in the banking business—whether you realize it or not.” The question is: are you profiting from it, or is someone else?
With premium, you’re funding your own system instead of Wells Fargo’s. You’re growing your money, borrowing against it when needed, and paying yourself back—with interest. That’s how you build wealth within your family, not someone else’s institution.
The Long-Term Payoff of Paying Premium
Let’s be clear: building this system takes time, money, and discipline. Just like a business, it doesn’t yield massive returns overnight. But it does give you consistent growth, tax advantages, and the ability to use capital without interrupting its compounding.
And as your system grows, so does your freedom. You won’t need to apply for loans or jump through hoops. You’ll already have access to the funds—because you created them.
A Real Financial Strategy—Not Just a Product
At Sage Wealth Strategy and Factum Financial, we help people build systems—not just buy products. This isn’t about another insurance policy or cookie-cutter financial plan. It’s about empowering you to control your financial environment and make strategic decisions that benefit you, not a third party.
Whether you’re starting small or bringing in six figures a year, the process is the same: fund your system with premium, leverage it smartly, and grow from there.
Ready to Reclaim Control?
Here’s the truth: premium as a contribution to capital is a simple idea—but it requires a big mindset shift. Once you see premium as a tool to build wealth, not a cost to fear, everything changes.
It doesn’t matter if you’re 30, 50, or 70. The best time to start building your banking system is now. Every day you delay is another day you depend on someone else’s capital. And the sooner you get started, the sooner you gain true financial independence.
If you’re ready to take back control and build a system that puts you first, let’s talk. Reach out to us at Sage Wealth Strategy—we’ll help you map out your path toward financial freedom.