[00:00:00] Intro: Welcome to Private Banking Strategies Podcast with Vance Lowe and Seth Hicks, your secret weapon to protect your assets and never have to start over financially again. Vance and Seth help high net worth individuals, families, business owners, and investors structure an asset-protected, tax-free fortress for their families.
[00:00:26] Intro: Learn how to keep what you earn and use the velocity of money to create your own private banking system. Join us on this journey as we explore the secret strategies of the rich and political elite and help you take total control of your financial security. Now, onto the show.
[00:00:42] Seth Hicks Esq.: Hello, and welcome to Private Banking Strategies with Vance Lowe and Seth Hicks.
[00:00:46] Seth Hicks Esq.: Vance, how are you today?
[00:00:47] Vance Lowe: Oh, I’m doing great. It’s a great day today. I’m gonna enjoy what we’ll talk about today.
[00:00:53] Seth Hicks Esq.: We’re gonna talk to folks about taxes and tax mitigation and the value of compounding [00:01:00] growth within a tax-efficient system. Those are things that can give you a, a catapult on your wealth curve, give you lift, as we like to call it, rather than drag.
[00:01:11] Seth Hicks Esq.: Taxes are statistically the single greatest drag on your growth of wealth over a lifetime. Wow. And so you’ve seen that play out over 40 years of wealth management, and you’ve seen people make those missteps.
[00:01:25] Vance Lowe: I, I’d like to set a little bit of foundation and groundwork when we talk about taxes, because I think we compromise.
[00:01:32] Vance Lowe: I think we do not allow how we feel about taxes or the impact on taxes that it really has on our lives.
[00:01:44] Seth Hicks Esq.: Well, it, it’s interesting that we’ve discussed this in prior podcasts, and there’s a growing audience in our country that analyzes what happened with the creation of the Federal Reserve and the creation of the Internal Revenue System, which both occurred at b- [00:02:00] almost the same time.
[00:02:01] Seth Hicks Esq.: Mm-hmm. And at that time when income tax was implemented, which is one of the major taxes on, uh, Americans, it was, I believe, single-digit percentage, maybe even 1%, when originally imposed. And I was speaking with a good friend of mine recently, he’s quite successful and wealth manager, and he was paying 54%.
[00:02:24] Vance Lowe: See, folks, that’s totally unjust. Nobody deserves that. They are not providing for us individually the value of what we have to pay them, not even close.
[00:02:36] Seth Hicks Esq.: And then when we see exposés on Minnesota fraud and Somali illegals sucking taxpayer dollars out of the system, and dead people voting, and benefits for people that have long been deceased still being paid, those type of things and that type of mismanagement, gross mismanagement, is [00:03:00] what causes people to go, “No, I don’t wanna work my fingers to the bone to hand government my money that benefits me none.”
[00:03:08] Vance Lowe: Maybe it’s a call to action, but we really wanna go into this and just see how much taxes have an impact on us. So if we’re setting up a plan, 100-year, 50-year legacy plan that we’re trying to implement, how can we eliminate, mitigate the impact of the taxes that have to be paid? So we gotta identify the taxes first, I think, Seth, and then find out what we can do to, uh, eliminate as much of that off the table as possible.
[00:03:39] Seth Hicks Esq.: Absolutely. We’ve got income tax, for example, and then we’ve got capital gains tax. For those who are successful investors and entrepreneurs, they’ve got the capital gains tax, dividend tax, interest income tax. And then here’s a, a big kicker. People go, “We have property rights, and we own our [00:04:00] property.” Do you?
[00:04:00] Seth Hicks Esq.: Do you own your property? If you don’t pay your property taxes for a couple years, do you think that you still own your property? Now, here’s one, Vance, the next one, sales tax. People don’t really tally up sales tax, but every time you buy something at the store or pay for various things, you’re paying sales tax.
[00:04:17] Vance Lowe: So, folks, these are things that are happening to us. Taxes are happening, and we’re letting it happen to us.
[00:04:23] Seth Hicks Esq.: Let’s talk a little bit about the result of this overtaxation, and something that I believe was like the frog in warm water that slowly boiled from early 1900s to present day, where it was initially 1% income tax.
[00:04:40] Seth Hicks Esq.: And the American Revolution was initiated and catalyzed on single-digit taxation without representation. And so the result of this taxation is what? What, what occurs with your ability to pro- to grow, produce, keep wealth, and succeed? [00:05:00]
[00:05:00] Vance Lowe: It, it’s actually devastating, and it, it’s easily to prove. We’ve got charts and graphs on if we compound $100,000 at, at 5 or 6% over a 10-year period of time becomes a very large number.
[00:05:15] Vance Lowe: But then once we introduce taxes into it, it really starts to shrink over that time if you have to pay tax on them along the way, and a lot of times we have to do that. So let’s say we, we grow an investment to a million and a half dollars without tax over that same period of time, whatever that length of period of time, 10 years or longer, it could result in literally being 10% of that value to 25% of that value because they take away and that tax money doesn’t get to compound.
[00:05:52] Vance Lowe: It’s a huge effect. So when government says they need more tax revenue, that’s a lie. [00:06:00] They want more control. They want more out of you so that we cannot be independent, so that we cannot function on our own. Trump right now, in 2026, has proven that the import tax completely eliminate income tax, and it isn’t even half a year.
[00:06:19] Vance Lowe: That’s the effect of it. We cannot get where we wanna be if we don’t know what the tax obligations are always out there. They’re ever-changing. Uh, government is mainly just putting your thumbs down on you to control us and our wealth and our gain, uh, that it doesn’t happen. Everything shrinks because of taxes.
[00:06:39] Seth Hicks Esq.: If you are able to mitigate certain taxation risk and, and keep some of that within your wealth curve, how does that change your outcome?
[00:06:50] Vance Lowe: So Seth, what you just said, let me rephrase that. What if we decide not to play in that ballpark? Now, as far as our state goes and sales tax, [00:07:00] we’re not gonna escape 100% of it ’cause we have to use money.
[00:07:04] Vance Lowe: But if we could circulate money inside of our own personal economy, we could escape every one of these taxes. It’s when we have to use services, outside services, that they’ll get us in some taxes. So if we set up our own banking strategy, our own banking concept, and start funneling money in and out of that, it creates our own economy.
[00:07:32] Vance Lowe: And as long as the money that has come in here has been satisfied with outside taxes, the gain, the growth from that point on, moving it from point A to point B, always under our banking control, it never triggers a taxable event. Never. So folks, that’s the good news. There is a way to really- Eliminate most of the taxes out of our life.
[00:07:56] Vance Lowe: Income taxes, many forms of taxes that [00:08:00] government, every time you buy something or sell something, they want a fair share of that, will help eliminate a lot of that. Not all of it, but you will be surprised that if you don’t have to pay, uh, a lot of federal taxes on your gains once you have control, you can compound wealth very quickly.
[00:08:19] Midroll: Did that story feel like it was about you? Do you feel like you are generating a lot of revenue, but are not moving forward as fast as you would like? Do you feel you should be making more progress toward your financial goals? Do you feel stuck? Let us help you get unstuck. Are you ready to take action and get your own private bank?
[00:08:42] Midroll: Please visit us at www.privatebankingstrategies.com. And, and
[00:08:48] Seth Hicks Esq.: the reason that you’re able to mitigate certain taxes within the life insurance contracts is because of the laws that were set [00:09:00] up to govern the life insurance contracts. It’s Internal Revenue Code 7702, which outlines life insurance contracts and a few other financial instruments that within that system, there is no taxable event with money in or out.
[00:09:16] Seth Hicks Esq.: Once you’ve got money in the system, after-tax dollars into the life insurance contract, as you pull money out or as you place money back in from, through policy loans or premiums, there’s no taxable event there. Is that correct?
[00:09:30] Vance Lowe: That is absolutely correct, and then when you learn the secret of self-financing, this is the banking equation back in your life.
[00:09:38] Vance Lowe: You’re literally taking your money and putting it to work within the things that you have for your lifestyle, cars, homes, education, toys. If you finance those things and pull the money back, you’re gonna get the gains, you’re gonna get the earnings, you’re gonna get the profits, all within your own system.
[00:09:58] Vance Lowe: That’s hard for a [00:10:00] person to understand at the beginning, but once you start functioning that way, once you really understand how the banking system works, you’ve created your own economy. There’s no taxable events when you’re self-financing your own mortgages and you’re paying the, the monthly fees, you’re financing the cars, you’re financing the education.
[00:10:21] Vance Lowe: None of that is taxable. It’s not even creating a taxable event. We use that cash value to self-finance. We put it back into the policy. There’s no taxable event.
[00:10:33] Seth Hicks Esq.: Here’s another big benefit is that when the death benefits are paid, when the insured life passes and death benefits are paid, when it’s structured properly, there’s no taxable event on that lump sum distribution.
[00:10:47] Seth Hicks Esq.: When you avoid that massive cut into the death benefit or retirement distribution type of liquidation of cash value in the policies, no taxation.
[00:10:58] Vance Lowe: Yeah, absolutely. So [00:11:00] think of we’ve got an IRA or a 401that is now available to us. Let’s say, you know, it’s $200,000, and you can now take that. If you take that out of an IRA, you’re gonna have to pay taxes.
[00:11:12] Vance Lowe: And if you’re under age 59 and a half, you’re gonna pay penalties. Welcome to the real world, folks, because that tax money and that penalty money is not yours. So you don’t have $200,000. You never had $200,000, but yet we think we do. But we have to pay all the upkeep and all the expense on the full $200,000, and government says, “Thank you very much.”
[00:11:36] Vance Lowe: If we pull the difference out and we use that to buy our mortgage, and now the mortgage payment switches to our bank, guess who’s gonna make the interest? Untaxable. And guess how fast we’re gonna make up the tax money that we had to pay Uncle Sam on the penalty money. That average is less than three years, folks, and you never look back, and now we’re [00:12:00] compounding.
[00:12:00] Vance Lowe: Now we’re doubling things every two and a half to five years, totally untaxable. That’s the opportunity, folks. When we can control the tax situation, control that narrative into our own private economy, life changes. We don’t have to work harder. We hardly even have to work smarter. All we have to do is control who ends up with the money at the end of the day.
[00:12:23] Seth Hicks Esq.: That’s exactly right. Well, folks, if this is resonating with you, if you wanna learn more about this, visit us at privatebankingstrategies.com, privatebankingstrategies.com, and there you’ll be offered the opportunity to get Vance’s book that he and I authored called Secrets the Banks Don’t Want You to Know.
[00:12:42] Seth Hicks Esq.: Put in your name and your email there, and we’ll send you weekly emails that give you updates to our podcast and valuable content. But most importantly in that email, you’re gonna get a link to Vance’s calendar. And if you would like to see how this will apply to your financial circumstances, [00:13:00] schedule an exploratory call with Vance.
[00:13:02] Seth Hicks Esq.: Tell them what happens in that exploratory call, Vance.
[00:13:05] Vance Lowe: Yeah, we’re just gonna walk through and set up a test drive for you. We’re gonna offer a test drive at no cost to you so that you can actually see your numbers, how it would actually work for you month by month over an eight-year analysis. You’ll be amazed.
[00:13:22] Vance Lowe: Uh, I’ll be asking you, “With all this debt that you have, how long do you think it’s gonna take you to get out of debt?” And I want you to be honest with me. Everybody will make a statement, and then I’ll show them how fast without changing anything, their lifestyle. They don’t have to be more complicated.
[00:13:39] Vance Lowe: They don’t have to work harder. It’s just getting the money back and then using it again and getting more credit against that loan and then getting that money back and how that multiplies.
[00:13:48] Seth Hicks Esq.: Folks, if that sounds good to you, go to our website, privatebankingstrategies.com. Put your name and email in there.
[00:13:54] Seth Hicks Esq.: You’ll get a weekly email that announces our most recent content and podcast. Also on our [00:14:00] website, there’s an abundance of resources you can educate yourself with from blog articles and over 150 prior podcasts. Uh, but most importantly, you’re gonna have access to Vance’s calendar to schedule an exploratory call and see how this particular strategy will work in your life and with your numbers, your finances, and you can take it on a test run.
[00:14:22] Seth Hicks Esq.: Thanks for joining us today, folks, and look forward to seeing you on our next podcast.
[00:14:26] Vance Lowe: Thank you very much. Bye for now.
[00:14:28] Outro: Did that story feel like it was about you? Do you feel you should be making more progress toward your financial goals? Do you feel stuck? Let us help you get unstuck. Are you ready to take action and get your own private bank?
[00:14:45] Outro: Please visit us at www.privatebankingstrategies.com. Thank you for listening to
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