Our Site Map

Start Here 12

New here? Read these twelve articles in order. Each one builds on the one before: the idea first, then the contract it uses, how it works, the tax side, and finally the costs and the risks.

1. The idea What Is Known as The Infinite Banking Concept®: How the Method Works in Canada
2. Where it came from Who Was Nelson Nash? His Life, His Book, and What Changes When His Idea Crosses into Canada
3. The principle behind it Opportunity Cost
4. What the policy is, and is not Life Insurance Is Not an Investment
5. The contract it uses Participating Life Insurance
6. How the policy is designed High Cash Value Life Insurance in Canada: How It Is Designed
7. Reading the numbers How to Read the Cash Value Table in a Life Insurance Contract, and How Surrender Value Is Calculated
8. Adding to the contract Paid-Up Additions
9. Using the policy Policy Loans in Canada
10. The tax side Is Life Insurance Taxable in Canada?
11. What it costs The Real Costs
12. What can go wrong Risks and Failure Modes

Back to top

The Strategy 25

• Can a young family with a mortgage build its own financing system? Updated
• Capital Held Within a Family
• Claims That Should Never Be Made About This Approach
• Economic Value Added: What It Means for a Family's Money New
• How can parents teach children to think like a lender? Updated
• How do two partners run a family financing system together? Updated
• How does a family review its own financing system each year? Updated
• How long before a family financing system can finance a purchase? Updated
• How should a family decide what its financing system should finance? Updated
• How to Finance a Car with the Infinite Banking Strategy New
• Infinite Financial Sovereignty® Made Easy New
• Life Insurance Is Not an Investment
• Nash's Twin Sisters Story, Explained Simply New
• The Concept, Explained From the Start
• The Eight Rules of Infinite Banking Updated
• The IBC Policy, Which Policy Does Nash's Concept Actually Use? New
• What does it mean to think like a lender with your family’s money? Updated
• What does recapturing interest mean in Canada? Updated
• What goes into a written one-page family financing plan? Updated
• What happens to a family financing system in a hard year? Updated
• What Is Known as The Infinite Banking Concept®: How the Method Works in Canada
• What mistakes stall a family's financing system, and how are they avoided? Updated
• Who Was Nelson Nash? His Life, His Book, and What Changes When His Idea Crosses into Canada New
• Why is a family financing system built before it is used? Updated
• Why Nash Said Your Premiums Should Match Your Income New

Back to top

Whole Life Insurance 17

• A Policy Advance and Other Credit
• Converting Term Life Insurance or a New Contract Updated
• French Assurance-Vie and Canadian Life Insurance: Why the Eight-Year Rule Does Not Apply Here New
• Group Life Insurance at Work: How It Is Taxed, Where It Stops, and What Happens When You Leave New
• High Cash Value Life Insurance in Canada: How It Is Designed New
• How Much Can You Borrow From a $500,000 Life Insurance Policy? The Loan Follows the Cash Value New
• How to Read the Cash Value Table in a Life Insurance Contract, and How Surrender Value Is Calculated New
• Life Annuities
• Participating and Non-Participating Whole Life Insurance Updated
• Participating Life Insurance
• Participating Whole Life and Universal Life
• Term Life Insurance
• The Dividend Options and What Each One Does to the Contract Updated
• The First Twelve Months of a Participating Whole Life Policy: From Application to the First Anniversary New
• The Yearly Paperwork for a Policyowner: Statements, Adjusted Cost Basis, Tax Slips and the Interest Form New
• What Is the Cash Value of a $100,000 Whole Life Policy? Why the Face Amount Does Not Answer It New
• Whole Life Insurance in Canada

Back to top

How a Policy Works 30

• An Advance of the Death Benefit While Living Updated
• Cash Surrender Value Updated
• Contingent Beneficiary Updated
• Dividend-Paying Life Insurance Updated
• Family History on an Application Updated
• Financial Underwriting and Insurable Interest Updated
• How a Death Claim Is Paid in Canada Updated
• How a Participating Policy Works, Year by Year Updated
• How Many Life Insurance Policies Can You Have? Updated
• Insurance Premium Updated
• Is Life Insurance Taxable in Canada? Updated
• Is My Policy Loan Over My ACB? Updated
• Joint Owners and the Successor Owner of a Life Insurance Policy New
• Life Insurance Underwriting Updated
• Misrepresentation on an Application Updated
• Paid-Up Additions Updated
• Policy Loans in Canada Updated
• Smoker Status and the Premium Updated
• Tax-Deferred Growth Updated
• The Civil Code and the Life Insurance Contract Updated
• The Exempt Test and What Happens When a Contract Fails It Updated
• The Genetic Non-Discrimination Act and What an Insurer May Ask Updated
• The Medical and What It Measures Updated
• Travel, Residency and Occupation Updated
• Use It or Lose It: Five Things a Participating Contract Can Take Away
• Waiver of Premium Rider Updated
• What Is a Policyholder? Updated
• When a Policy Loan Becomes Taxable Updated
• When an Application Is Rated, Postponed or Declined Updated
• Who Can Own a Life Insurance Policy in Canada: You, a Company, a Holding Company or a Trust New

Back to top

Retirement 12

• Business Owners Retirement Plan
• Doctor Retirement Plan
• How can a Canadian dentist plan retirement income without an employer pension? New
• Insured Retirement Plan
• Insured Retirement Plan or Infinite Financial Sovereignty®: One Policy, Two Uses New
• Is It Too Late After 65? Whole Life Insurance as a Warehouse of Wealth for Affluent Retirees New
• Real Estate Investor Retirement Planning
• Retirement calculator: what the lifestyle you want could cost from 65 to 95 New
• Retirement Income From a Contract and the Word Tax-Free
• Retirement Planning in Canada
• Retirement Without an Employer Pension: A Collection for Professionals New
• RRSP, TFSA or a Participating Whole Life Policy: Three Tools, Three Different Jobs New

Back to top

Estate 21

• A Death Benefit and a Testamentary Trust
• A Family Trust and Its Policy, From Year One to the 21st Anniversary New
• A Family Trust as the Owner of a Life Insurance Policy New
• A Family Trust With a Beneficiary Outside Canada, and the Policy New
• A Life Insurance Policy in a Trust: An Objective Study of the Pros and Cons, Scenario by Scenario New
• A Minor Beneficiary, a Beneficiary Who Cannot Be Found, and the Estate by Default
• A Trust as the Beneficiary or as the Owner of the Policy: Two Different Tools New
• Alter Ego and Joint Partner Trusts and a Life Insurance Policy New
• An Estate With Assets and No Cash
• Asset Protection
• Estate Planning in Canada: What It Is, How It Works, Importance, Costs
• Family Patrimony and the Beneficiary Designation
• Generation Wealth Building
• Moving a Life Insurance Policy to a New Owner: The Tax Cost of Each Move New
• Naming a Beneficiary or the Estate: Probate Fees, Delays and Creditors, Province by Province New
• Taxes on Death Benefits Updated
• The Deemed Disposition at Death and Where the Death Benefit Sits
• The Designation and What a Creditor Can Reach
• The Trust Deed Clauses That Matter When a Trust Owns a Life Insurance Policy New
• What a Trust Is, in Plain Language, for Someone Who Owns Life Insurance New
• Will Verification in Quebec and the Death Benefit

Back to top

Business Owners 65

• A Corporate Contract When the Company Is in Trouble Updated
• A Family Trust, a Holding Company and the Policy: How the Three Relate New
• An Estate Freeze and a Life Insurance Policy: How the Two Fit New
• Buying a Pharmacy or Joining a Banner as a Pharmacist New
• Buying Into a Partnership at the Point of Highest Debt Updated
• Canadian Business Owners, Real Estate Investors and Dentists in the US: Whole Life Insurance and Tax on Both Sides of the Border New
• Closing or Leaving a Medical Practice: The Money Questions New
• Corporate-Owned Life Insurance (COLI) Updated
• Cost Per Mile, and the Cost of Capital Nobody Costed
• Dentists and the Equipment Cycle: Who Is Paid Every Time Updated
• Farm Families and the Land That Cannot Be Divided Updated
• Fee-for-Service Billing, Overhead and the Physician's Irregular Income New
• Financing a Medical Career: From Medical School to an Established Practice New
• Financing a Pharmacy Career: From Pharmacy School to Ownership New
• For Dentists: Ten Articles From the First Year to the Sale of the Practice Updated
• For Pharmacists: The Capital on the Shelf and the Retirement Behind the Counter Updated
• For Physicians: Your Corporation, Your Retirement, and No Pension Plan Updated
• For Professionals: Lawyers, Accountants, Engineers, Consultants and Veterinarians Updated
• Funding a Buy-Sell Agreement Updated
• Funding Premiums from Corporate Cash Flow Updated
• How a Capital Dividend Is Elected and Paid After a Shareholder Dies Updated
• How can a Canadian dentist put the financing concept of Nelson Nash to work across a career? New
• How should a dentist finance the move from associate to practice owner in Canada? New
• How should a dentist plan for leasehold improvements, a lease renewal and a second location? New
• Insurance and Capital for Canadian Business Owners Updated
• Joining or Buying Into a Clinic or Group Practice as a Physician New
• Manufacturers and the Machine That Outlives Its Financing Updated
• Medical Specialists, Equipment and the Private Clinic Cycle New
• Pharmacists, Disability and the Capital Plan New
• Pharmacy Owners, Renovation, Automation and a Second Store New
• Pharmacy Owners, Salaried Pharmacists, and the Capital on the Shelf Updated
• Physicians, Disability and the Capital Plan New
• Relief Shifts, Locum Work and the Pharmacist's Irregular Income New
• Retained Earnings and the Passive Income Rule
• Salary, Dividend, and What Each One Builds
• Selling a Pharmacy: The Money Questions New
• Selling the Company, and the Contract Inside It
• Six Months of Income Against Twelve Months of Cost Updated
• Somebody Else's Calendar: The Refit, the Lease and the Guarantee
• Ten Years to the Exit, and a Contract That Wants Thirty Updated
• The Accountant Asked to Approve This, and What to Check Updated
• The Capital Dividend Account, Explained for Canadian Business Owners New
• The Contractor With One Client and a Contract That Ends Updated
• The Corporate Reserve
• The Design Practice and the Obligation That Outlives the Work Updated
• The Holdback, the Crew and the Money Already Earned Updated
• The Incorporated Physician's Corporation, and What Sits Inside It Updated
• The Pharmacist's Spouse and the Two-Pharmacist Household New
• The Physician's Spouse and the Two-Physician Household New
• The Policyholder Decision for an Incorporated Owner Updated
• The Real Estate Agent's Year: Lumpy Income, Monthly Bills Updated
• The Shareholder Loan and the Policy Loan
• The Small Firm, the Draw, and Money That Is Not the Firm's
• Veterinarians and What the Practice Is Worth to Anybody Else
• What a Corporate Contract Leaves on the Balance Sheet Updated
• What happens to a dental practice and its financing plan when the dentist cannot work? New
• What Is the Succession Planning Process?
• What should a dentist know before selling a dental practice in Canada? New
• What should a new dentist in Canada do first about student debt, insurance and financing? New
• What Should a New Pharmacist in Canada Do First About Student Debt, Insurance and Savings? New
• What should a new physician in Canada do first about residency debt, insurance and financing? New
• What should an incorporated dentist know about retained earnings and whole life insurance? New
• What should dentists consider when a spouse works in the practice or both spouses are dentists? New
• When the Corporation Pays the Premium and the Shareholder Owns the Contract
• Which Company Should Hold the Contract, and What That Changes

Back to top

Real Estate Investors 33

• A Policy Loan for the Next Down Payment
• A Policy Loan or a Collateral Loan
• Cash Value as the Down Payment on Five Units
• Contract First, or Property First
• Financing a New Build From Land to Stabilisation
• Four Units and Five Units Are Two Worlds
• Funding the Renovation Gap on a Repositioning
• Holding Property in a Corporation and the Contract
• How a Lender Reads the Premium
• How Much Coverage a Leveraged Portfolio Calls For
• Interest on a Policy Loan Used for a Rental
• Keeping the Properties in the Family
• Policy Loan or HELOC for a Landlord
• Private Lending Between Investors
• Refinancing or a Policy Loan to Recycle Equity
• Renewals in the Same Year
• Renovating Between Tenants
• Repaying a Policy Loan From Rent
• Selling a Property and the Year of the Tax Bill
• Short Term Rental Income and the Off Season
• The Accidental Landlord
• The Holdback, the Surveyor and the Interest Reserve
• The Joint Venture Partner Who Leaves
• The Special Assessment
• The Strategy Beside a Property Portfolio
• The Tax at Death on a Rental Portfolio
• The Vacancy and the Repair
• What a Lower Dividend Scale Does to a Real Estate Plan
• What a Policy Loan Cannot Do for an Investor
• What a Policy Loan Does to Your Coverage Ratio
• When a Rental Portfolio Should Say No
• Where Capital Waits Between Properties
• Who Owns the Contract When a Couple Owns Property

Back to top

For Physicians 11

• For Physicians: Your Corporation, Your Retirement, and No Pension Plan Updated
• What should a new physician in Canada do first about residency debt, insurance and financing? New
• Financing a Medical Career: From Medical School to an Established Practice New
• Joining or Buying Into a Clinic or Group Practice as a Physician New
• Fee-for-Service Billing, Overhead and the Physician's Irregular Income New
• Medical Specialists, Equipment and the Private Clinic Cycle New
• The Incorporated Physician's Corporation, and What Sits Inside It Updated
• The Physician's Spouse and the Two-Physician Household New
• Physicians, Disability and the Capital Plan New
• Closing or Leaving a Medical Practice: The Money Questions New
• Doctor Retirement Plan

Back to top

For Dentists 11

• For Dentists: Ten Articles From the First Year to the Sale of the Practice Updated
• What should a new dentist in Canada do first about student debt, insurance and financing? New
• How can a Canadian dentist put the financing concept of Nelson Nash to work across a career? New
• How should a dentist finance the move from associate to practice owner in Canada? New
• Dentists and the Equipment Cycle: Who Is Paid Every Time Updated
• How should a dentist plan for leasehold improvements, a lease renewal and a second location? New
• What should an incorporated dentist know about retained earnings and whole life insurance? New
• What should dentists consider when a spouse works in the practice or both spouses are dentists? New
• What happens to a dental practice and its financing plan when the dentist cannot work? New
• What should a dentist know before selling a dental practice in Canada? New
• How can a Canadian dentist plan retirement income without an employer pension? New

Back to top

For Pharmacists 10

• For Pharmacists: The Capital on the Shelf and the Retirement Behind the Counter Updated
• What Should a New Pharmacist in Canada Do First About Student Debt, Insurance and Savings? New
• Financing a Pharmacy Career: From Pharmacy School to Ownership New
• Buying a Pharmacy or Joining a Banner as a Pharmacist New
• Relief Shifts, Locum Work and the Pharmacist's Irregular Income New
• Pharmacy Owners, Renovation, Automation and a Second Store New
• Pharmacy Owners, Salaried Pharmacists, and the Capital on the Shelf Updated
• The Pharmacist's Spouse and the Two-Pharmacist Household New
• Pharmacists, Disability and the Capital Plan New
• Selling a Pharmacy: The Money Questions New

Back to top

Immediate Financing Arrangement (IFA) 9

• IFA or Nelson Nash's Method? Two Different Uses of the Same Kind of Contract New
• The Collateral Assignment and the Lender
• The Immediate Financing Arrangement (IFA), Step by Step
• The Minimum Tax and the Quebec Investment Expense Limitation
• Unwinding an Arrangement, and What It Costs
• What the Lender Can Do, and When
• Which Part of a Premium Is Deductible When a Contract Is Assigned
• Who an Immediate Financing Arrangement Is Wrong For
• Why the Premium Is Paid Before the Loan

Back to top

Sovereignty for Women 8

• A De Facto Spouse in Quebec, and What Changed
• Building Alone: When the Arithmetic Says No
• Caring for a Parent and the Years It Costs
• Divorce and the Designation Nobody Changed
• Financial Sovereignty for Women in Canada
• Insuring a Child Who Receives Disability Support
• Maternity Leave and the Contribution Room
• What the Survivor Actually Receives

Back to top

Family Finance 19

• A Large Sum Arrives, and Nothing Has to Be Decided This Month
• A New Baby and the First Year of Money New
• Blended Families and Who the Life Insurance Contract Protects New
• Family Finance
• Grandparents Helping Grandchildren with Money New
• Helping an Adult Child Buy a First Home New
• Insuring a Child, and What the Contract Is Actually For
• Life and Critical Illness Insurance for Children in Canada: What the Numbers Show New
• One Income and a Parent at Home New
• Pay Off the Mortgage or Save First? New
• Requalifying Mid-Career, and the Timeline That Got Shorter
• The Family Emergency Reserve New
• The First Contract at Twenty-Five
• The Guaranteed Insurability Option
• Think Like the Wealthy: How Affluent Families Pay for Their Children's Education, Activities and Future New
• Two Incomes in the Forties, and Where the Money Goes
• University Fees: A Known Cost on a Known Date
• When a Parent of Young Children Dies: The Money That Follows New
• Who Owns a Child's Policy

Back to top

Money Principles 13

• A Tax Bill in April Updated
• Capital Recovery Updated
• Compound Interest Updated
• How Affluent Families Pay for the Wedding Their Daughter Dreams Of New
• Money Principles Updated
• Opportunity Cost Updated
• Paying for a Renovation Updated
• Paying for a Vehicle Updated
• Paying for Travel, Vacations and Children's Sports: Cash, Card Points and Your Policy New
• The Down Payment Updated
• The Money Multiplier Updated
• What Are the Fees for a Wealth Manager? Updated
• Why Is Personal Finance Important? Updated

Back to top

Objections and Risks 13

• American Videos on This Strategy and Canadian Law Updated
• Is It Legitimate? Updated
• Is Participating Whole Life Insurance Only for High Earners? What Income Level Really Changes New
• Policy Loan Interest Against Dividends: Is the Gap Really an Arbitrage? New
• Risks and Failure Modes Updated
• The 10/8 Arrangement and the Leveraged Insured Annuity, and Why They Ended Updated
• The Comparison Question Updated
• The Honest Case Against, and What It Gets Right Updated
• The Real Costs Updated
• The Usual Pros and Cons of the Method, Checked One by One Under Canadian Rules New
• What Critics Get Right Updated
• What Makes a Bank a Bank in Canada, and Why a Life Insurance Policy Is Not One New
• “Velocity Banking” and a Policy Loan: Two Ways to Borrow, Under Canadian Rules New

Back to top

Answers 126

• IBC Answers
• Myth or Contract?
• Ten Questions to Answer Before Considering This Method

Back to top

Glossary 6

• Adjusted Cost Basis (ACB)
• Capital Dividend Account (CDA)
• Dividend Scale
• Glossary of Canadian Life Insurance Terms
• Restricted Financial Vocabulary
• The Exempt Test

Back to top

Where We Serve 46

• Brandon: The Land That Cannot Be Split
• Burlington: The Second Death, Not the First
• Calgary: The Income That Arrives in Lumps
• Dieppe: The Language the Paperwork Is In
• Edmonton: The Pension Is Real, the Capital Is Not
• Fredericton: One Household, Two Different Risks
• Hamilton: When the Body Is the Income
• Kitchener and Waterloo: When the Job and the Savings Are One Company
• Laval: The House Is the Balance Sheet, and It Cannot Be Divided
• Lethbridge: The Water Travels With the Land
• Life Insurance by Province and City in Canada
• Life Insurance in Abbotsford: The Working Farm Inside a City
• Life Insurance in Alberta: Rules, Probate and Who May Advise You
• Life Insurance in Brampton: The Obligations Nobody Wrote Down
• Life Insurance in Burnaby: A Home You Own With Other People
• Life Insurance in Coquitlam: The Money the Parents Put In
• Life Insurance in Kelowna: Arriving With the Sale Behind You
• Life Insurance in Langley: The Business That Ends With You
• Life Insurance in London, Ontario: Money Left Over and No Decision Made
• Life Insurance in Longueuil: One Industry, and a Pension That Is a Promise
• Life Insurance in Manitoba: The Province That Abolished Probate Fees
• Life Insurance in New Brunswick: Title Protection and Two Official Languages
• Life Insurance in Quebec: A Different Legal System Entirely
• Life Insurance in Richmond: The Name You Put on the Title
• Life Insurance in Sherbrooke: Smaller Numbers, and Why the Order Matters More
• Life Insurance in Surrey: The Household Three Generations Deep
• Life Insurance in Vancouver: What Is Different in British Columbia
• Life Insurance in Victoria: The Household That Has Already Stopped Building
• Lévis: The Career, the Crossing, and No Sum to Direct
• Markham: The Money That Never Leaves the Company
• Mississauga: Capital an Owner Controls
• Moncton: Income Without Capital Behind It
• Montreal: Where a Renting City's Money Actually Goes
• Oakville: Pay You Have Not Been Given Yet
• Ottawa and Gatineau: Living in One Province, Working in Another
• Provinces Where This Practice Is Not Licensed
• Quebec City: Beyond an Indexed Pension
• Red Deer: When Every Customer Slows at Once
• Saguenay: Distance Changes What Capital Is For
• Saint John: One Employer Holds All Three
• Terrebonne: The Decade the Mortgage Is Largest and the Savings Smallest
• Toronto: How to Stop Financing Your Life Through Someone Else
• Trois-Rivières: A Pension That Is Owed Rather Than Held
• Vaughan: The Year the Work Stops
• Windsor: A Household on Two Sides of a Border
• Winnipeg: The House Is Paid For and the Estate Is Thin

Back to top

The Practice 11

• A Complimentary 30-Minute Discovery Meeting
• About IBC Financial
• Becoming a Client
• Contact IBC Financial
• Helping Canadians to Be Wealthy and Financially Sovereign
• Jose Salloum
• Michael Salloum
• Our Team
• Services
• Start Building Your Wealth From What You Are Losing Unknowingly and Unnecessarily
• Who You Are Dealing With New

Back to top

Resources 4

• How to Get a Better Voice When You Listen to a Page New
• Learning Centre
• The Book, and Why There Is Nothing to Download Yet
• The Real Estate Edition, and How to Ask for It

Back to top

Legal and Privacy 7

• Cookie and Consent Policy
• Disclaimer
• Governance of Personal Information
• How the Numbers on This Site Are Counted
• Privacy Policy
• Terms and Conditions of Service
• Terms of Use

Back to top