Heroic Investing
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Using Your Life Insurance To Grow Your Real Estate Portfolio with Active Duty Passive Income’s Mike Foster

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Gary Pinkerton plays an episode of the Active Duty Passive Income Podcast, where he is interviewed by Mike Foster. They talk about investing and growing your real estate portfolio using your life insurance. Gary talks about how this is the 1% investment. Later he gives insight into his naval career and how that translated into building true wealth through real estate.

Announcer 0:04
Welcome to the heroic investing show. As first responders we risk our lives every day our financial security is under attack. Our pensions are in a state of emergency. A single on duty incident can alter or erase our earning potential instantly and forever. We are the heroes of society. We are self reliant and we need to take care of our own financial future. The heroic investing show is our toolkit of business and investing tactics on our mission to financial freedom.

Gary Pinkerton 0:39
Welcome to the heroic investing show, a podcast for first responders, members, the military, veterans, and anyone looking to improve their financial future and gain some freedom with their time. We teach America’s heroes how to build passive income, build their startup business and safely grow wealth through real estate and other alternative investments. We have current and prior first responders put protections systems and a team in place to help them build a life where they can focus on their passion, that service or product that they’re uniquely gifted to share with others, making the world a better place for all of us. My name is Gary Pinkerton and I co host this show with Jason Hartman. This is heroic investing Episode 187. Today, we’re turning the tables yet again. If you remember back on episode 178, I interviewed Mike foster Mike is a naval officer recently retired and now working full time as a real estate investor as an educator and as a podcast host on active duty passive income podcast What an awesome organization I’ve interviewed most of the members of that group, really, really fortunate to have come across them, having been introduced by a good friend. You’ve heard them also on Jason’s creating wealth show. And I think you’re gaining great value from these guys. If you haven’t gone over to their podcast, and to their website and started to learn from their amazing education, then please do so love these guys. Many of them are close friends already of mine. So I asked Mike to be on my show and I reciprocated by being on his show. I thought we had a great conversation about how you can use life insurance to grow wealth in real estate. And so I thought I’d share that with you here. Mike’s podcast from active duty passive income. Enjoy.

Mike Foster 2:24
Hey, what’s going on, guys? Welcome to the active duty passive income podcast. All right, I am so so excited to have Gary here. He is an amazing guy, Gary figures. And not only is he a Naval Academy grad, but he is also a real estate investor. And he’s got an amazing tool that he is going to share with you guys today. Gary, how are you doing?

Gary Pinkerton 2:45
I’m doing great. I’m doing great. Yeah. And I graduated I think it was like a year before you right 1991 was another about

Mike Foster 2:50
that’s pretty close.

Gary Pinkerton 2:53
I’m really looking forward to being on your show. It’s a lot more fun sitting in this seat. Actually, I enjoy being hosts. But man, it’s more fun sitting on this side.

Mike Foster 3:00
Oh, that I believe it. And for those of you who don’t know, Gary just had me on his show he heroic investing podcast and definitely to go check it out. There will be links to that in the show notes page as well. But no, thank you so much for what you do, Gary for giving back in. And really, you know, communicating the message of real estate investing with the folks out there that needed the most thing.

Gary Pinkerton 3:22
Absolutely

Mike Foster 3:23
underserved community. So yeah, yeah. But, uh, no, 

Gary Pinkerton 3:28
I was was gonna say it’s hard to be in the military. I mean, you’re feeling the same thing. I mean, you’re you’re obviously have dedicated your life solely to doing that. And you know, active duty passive income. I’ve interviewed everyone almost, who is a member of your amazing team. And you know, and, and obviously, you guys are very devoted that it’s really hard for any of us who have retired or have served in any manner, to not want to, you know, have a pull at your heartstrings when things like veterans opportunities come up to be able to help other people out or active duty. I can remember, you know, when we would go downtown New York City, we used to do the Army Navy game at Giants Stadium before they told them that tore down the old stadium. And that’s when they were building Lincoln financial, I guess, in Philly. And we would go downtown, and I mean, you would get absolutely plastered, and not pay a penny for anything and you know, free meals and everything. Like all especially if you came across a place where there were other you know, where there were veterans or people who had served and when the greatest generation were the people lining the bar isn’t the time. You know, that wasn’t hard to do. So, you know, we all want to give back and, you know, podcast is a great way to do it. And so, you know, I’m really enjoying myself really, I was just kind of kidding. I love every time I get an opportunity to talk with people, veterans, first responders, whatever, it’s good time.

Mike Foster 4:45
Absolutely. It really is. And you do an amazing job at it. So make sure you guys go and check out this podcast because thanks is impressive. So can you get tell us a little bit about your background, maybe your naval career a little bit and then how you got started in real estate investing?

Gary Pinkerton 5:02
Yeah, you know, some people join the Navy or go to the Naval Academy, having having it been a lifelong dream. And that was just not me, I I grew up in the Midwest, on a farm, I really loved being an entrepreneur, I didn’t, I didn’t know what that word meant back then. I really loved though the time that I had on the farm with my dad, you know, you know, building little businesses, and we were like a total, you know, we would start a business on a on a moment’s notice, because there was a need out in the community and, and we thought we could get paid for it. And so we did all kinds of stuff on that farm. We had welders, and we had, you know, all kinds of equipment, so it wasn’t hard to pretty much manufacture anything the community needed. And we would do that. And I can just remember, you know, learning the aspects of man, if I spend time doing this, or I spend some intellectual property and create something new that people value, I get paid for it. So I kind of had that intellectual, that entrepreneurial spirit. There was this, there’s this time when I was longing. But before I get to this timeless, let’s go to Why’d I go to the Naval Academy. So you know, this was the late 80s. And we were, you know, we were just our farmers getting swamped and just getting destroyed by high interest rates. And so basically, we got foreclosed on and lost the farm. And we did get to sell it technical here on our way out the door. But it was, you know, this a longer story that I’ll tell tell everyone one day, but I didn’t, I knew that there was no future in farming at the time, not with the interest rates where they were. I love the community. But there were just no jobs in Illinois, either. And, or at least where I was and Southern Illinois. So I had to get out of the state and I had no money. And so I got a chance to go to University of Illinois, and I got a chance to go to the Naval Academy and a couple of really good guidance counselor’s said, well, kid, you don’t know what the heck you want to do, other than being an engineer. So why don’t you go to the Naval Academy, maybe something, you know, being halfway across the country will get you there. So I got on the second planet ever been on, went to the Naval Academy. And you know, and I kind of liked it, but I really worked my tail off. And then in the end, I, you know, got an opportunity to be a marine officer and to to go submarine force, which seemed completely opposite. But to me, I couldn’t decide, I couldn’t decide between the two because it was all about camaraderie small like having your own little company or unit. You know, and everyone knowing each other and being family and I couldn’t decide. So I went to this interview in DC and ended up becoming a Submariner they chose for me. And so I did 26 years there, I had, you know, the incredible honor on my fourth ship to come in the USS Tucson and have my own, my own, you know, crew, and we just had a great time. And in the end, I realized that my future after this was maybe a squadron of submarines, maybe you know, being an admiral one day, but it was a lot of desk jobs and telling people what to do on their ship. And I just didn’t feel like I could go back there. And it also lit this fire of entrepreneurship inside me that I just wasn’t gonna come back from. So I love the Navy. I loved my time, even my time, the Pentagon on the Joint Staff was just incredibly rewarding, mainly because of the people that I met there. My time at the Naval Academy, like I fost tried to get to two things in my career to San Diego, California, and to the Naval Academy. And they said no, repeatedly. And then, near the end of my career, I spent three of my last five years at the Naval Academy, and the other two at the Pentagon. But that following two and a half, tremendous years in commander Tucson those are like eight amazing years.

Gary Pinkerton 8:29
But I knew that it was time for something different. And I got inspired about real estate, mainly because while in command, I went through 2008, and nine, was paying no attention, deployed most of that time and lost about you know, three quarters of my family’s wealth. And then a lot of it came back thankfully, by the time I was leaving command, but it really shook me because it took me back to that time when I kind of made this commitment that my kids were not going to grow up the way I did, even though, you know, looking back on it now I realized that was probably the best child that I could possibly have had. But I wasn’t gonna put you know, I wasn’t going to go through the pain I saw my parents face when they couldn’t give their kids what they wanted, basically, was it. So I said this isn’t going to happen. So I’m going to take more control of my finances and I studied a lot and I read Robert Kiyosaki, like most people who are listening to your podcast, and a bunch of other books, and I decided, you know what real estate is something that kind of moves slowly, and I can control and so I was just going to take all my finances and move it out of the markets into real estate. And as I was waiting to close on that first one, I was trying to figure out how can I have less money down on properties because I saw that as the thing that was eventually going to slow me down and stop me on buying properties every few months. And I came across Patrick Donahoe from paradigm life who’s now closest friend and mentor of mine and business partner with me, and he taught me how to first store my family’s wealth in life insurance, cash value, high cash value life insurance, you might have heard infinite banking and use money use that money. Typically borrow against it use the insurance company’s money to fund the down payments on my rental property. So I have Fannie Mae conventional loans on all of our 30 or 20 properties. And I have life insurance policy loans funding the down payment. It’s the only way in America after 2008 that Fannie Mae will let you know that the government will let you fund the down payment, somebody else’s money. And so I just kind of propagated that. And after about three years of doing it, I realized, man, now I know what I want to do, because it lit that entrepreneurial fire for rested in personal financial management. I’ve done a whole lot of self improvement work here, you know, in the last few years, and what I’ve realized, is that what lights my fire is, you know, things like are in the book Atlas Shrugged, and it’s about the America that our founding fathers conceived, you know, a world where there’s rule of law, but not an intrusive government beyond that, and, and so when you have when you think of something, when, when Bill Gates, you know, thinks of Microsoft, he can become he can have all the anything in life he wants, because he’s adding so much value to the world. I mean, we don’t have any trillionaires right now, I don’t think, but it’s just because no one has created trillion dollars with a with a value yet. They will one day. So So my goal is to help other people put in place passive income and real estate’s a great option for that. It’s not the only one, but it’s the one I like. Because there’s a lot of dimensions about that, that investment with taxes and leverage and all kinds of stuff, right? It’s a, it’s an asset that no, that’s not gonna run out of style, right? Everyone’s gonna have to sleep somewhere, and they’re gonna pay you for it. They may not need an office building, you know, but they need that. And so there’s a lot of things I like about it, but it’s for me, it’s helping other people have the courage and have the resources and the knowledge to know how to put in place passive income so they can turn and aim their world at their unique genius, and, and meaning that whatever they like to do, how about we focus on that not working at McDonald’s? Because we didn’t figure out how to feed the family? Otherwise, you know, that’s what I’m inspired about.

Mike Foster 12:08
A long answer to where I came from. No, that’s awesome. That is amazing. And it’s very inspiring, you know, just the fact that you learned and they have been able to do so much. Yeah. That’s impressive. That’s so. So can you tell us a little bit about your first deal? What was that, like? You’re mentioned that you didn’t fit anything?

Gary Pinkerton 12:30
Yeah, so I was listening to podcasts. And they weren’t a lot of them around in 2011. Not like now. And so radio shows and podcasts and reading books while I was deployed. And I came across an opportunity to buy a new construction, four unit building in Texas. And it was not an inexpensive early deal. But again, I was moving money repositioning money that I’d save for 20 plus years. And so I was waiting on this thing to be built. I kind of did a little bit of due diligence, not a lot. But I did due diligence on, you know, where’s Where are people moving? And what’s the demographics, and I decided that at the time, Texas was a good market, and it certainly was, but it was near the end, actually of Texas in a really solid, you know, best option over everyone else. And I found San Antonio, and it looked good. And these properties are being built on there. So I put one in contract. And so I didn’t know I didn’t know anything about rehab. This is brand new construction. Since then the majority my properties have been rehab properties. I’ve done predominantly turnkey stuff, because I’ve went from being very busy in the military to be very busy and inspired with this personal financial, wealth, strategist role and life insurance. And so I’ve never really gotten to where I thought it was going to go, which is personally taking care of my properties and personally finding properties, maybe even personally swinging hammers, man love to do that stuff. But I’ve kind of with all this work decided it’s not my unique genius, so I predominantly work with turnkey. And nothing’s turnkey. That’s really a misnomer right now. If it was that easy, everyone would do it. You still got to pay attention. But I’ve gone I’ve sought out places like active duty passive income before you guys were around, and trying to piece it together myself on lessons learned and surround myself with a community of people who I can ask questions of. But yeah, the first deal was a fairly expensive new construction for you in a building that I still own. It’s the only property that nearly bankrupt to me at the beginning. That’s again, a story we won’t go down here probably but it was you know that the builder was building a product that shouldn’t have been building during that period and he was essentially already bankrupt when I met him. And he was running a little Ponzi scheme have to in deposits from one person to you know, get another one finished, and then you kind of roll on it for Well, my timing was not good. The building did get finished. But he didn’t pay for any of the any of the things that were required. For the occupancy certifications, again, it’s a really long story. But I lost $100,000 in income, income and damages. And there, there’s this one point where a bunch of college kids got into the building, and had some pretty tremendous parties knocked through walls and stuff. Oh, and there was one code thing that we didn’t I couldn’t prove was done. So the city had to come in eventually and knocked on half my walls to prove that there was concrete between them. So it was a mess, but almost caused me to quit. But it’s also the only property I have today, eight years later, that actually is what Robert Kiyosaki would call an infinite return. So I’ve refinanced it last year, and pulled out more than I put in as a down payment, and it continues to cashflow tremendously. So, you know, my message for you is if you have a good asset, and you just one asked specter of it was bad, but the fundamentals are still there, stick with it, I mean, Real Estate’s a long term investment. But you need to surround yourself with people who have been through similar kinds of Halloween horror stories, if you will. Because know it. Again, I was at this one, at one point, I was on this island, and I was looking around and my wife was not all that happy with my decision for new investment. And we were about to take Dr. Ball and go home. All right, well, I know what people talk about with this real estate stuff, but we’re out this didn’t work. And I know people have done that. And it’s really sad, you know, so surround yourself with people who can kind of buffer your emotional responses to this tenants until it stuff.

Mike Foster 16:35
Right. Right? That is so so important. And that’s something that we stress a lot. You know, having education is great, right? Knowledge is power, but that action is authority, and you have to surround yourself with a network of individuals that will help you get through whatever, you know, horror stories, right, like you said, that you may experience or even just the bouncing off, right?

Gary Pinkerton 16:58
Yeah, yeah. And, and to stay on your path and to reinforce your path and to give you ideas about how to get to get on, maybe optimize to a little bit better path, because we’re all gonna, you know, as you go through your real estate investing world, you’re gonna reach stumbling blocks that you maybe can’t get over, maybe you change jobs, and you don’t have two years work history. So you can’t get conventional loans. Or, or maybe it’s just that there’s a major repair due on a building, and it’s the first time you’ve experienced that. And you don’t know if it’s really true that the furnaces got to get replaced. I mean, like, why is this dude telling me that this are 22 stuff doesn’t work, our r1, 14 stuff doesn’t work anymore, and I got to spend $800, or $8,000, or whatever, to replace this, you know, why don’t I just recharge it? Right? So I know, you got to have people that you can call and ask, you know, questions and bounce stuff off of. And the other thing is, like what Jim Rohn says, and you know, it’s in a lot of different self help books, but you know, be careful who you surround yourself with, right? You know, you’re the sum total, the people you’re around. And the reason is because you know, that that whole concept about guard, what goes into your head, like what you allow into your mind, because it, you know, affects your subconscious. And it forces you down passage, and I mean, paying attention your head and down.

Mike Foster 18:16
That’s right. That’s so true. Amazing. Can we do a real quick break down on the infinite banking concept course? Yeah, that is something that our listeners have heard of yet?

Gary Pinkerton 18:28
Yeah, absolutely. So so there’s things we do on our financial lives that are necessary. And sometimes we’re not doing them efficiently. So for example, storing and growing wealth for the family. So there’s an aspect of, of our finances that need to be in a very liquid safe place. So it’s your emergency funds for the family, you know, a lot of times people will say six months of income, you know, is held back in case you lose your job in case, you have expenses that aren’t covered by someone else in the family. And then if you have properties, there’s going to be principal interest tax and insurance required to be held back before they’ll give you another loan for a while. It’s you know, six months worth of that stuff. But then it kind of goes down when you get more and more properties. But still, it’s it’s, you know, 10s of thousands of dollars that have to be sitting on the sidelines, or they won’t give you more more loans, right. And it’s prudent to do it anyway. So if you’re funding these things out of cash, and you don’t have extra cash sitting around, and you could have to sell your properties at a fire sale, if you know if you have to get money. And it’s no it’s not accessible. So property reserves and if you run in a business business reserve, so there’s this liquid money that’s gotta be out there. And where are you going to store it like I used to store mine. I used to convince myself that I stored it in my Thrift Savings Plan are my 401k or my IRA, or my brokerage account, right? Like I met with a client just yesterday and he had his he had two accounts that were safe money and Play money, then I was like, tell me about the safe money. He’s like, Oh, that’s the money that I would use if I need it. And I’m like, but it’s in stocks, like, how is that. So, you know, it’s understanding what’s safe and what’s not safe, and there’s a portion that we will for prudent will keep in a safe place. And you’re probably also putting money that, that you need in the near future in that locations, you’re saving up money for the next down payment and a checking account, or for your next vacation in a checking account. So there’s other monies looking for other reasons. And then, you know, most people do that in a savings account or checking account, which doesn’t earn much now you can get a percent and a half in some places like online bank accounts, right. But life insurance, it turns out, is an asset that enjoys taxation, life insurance was around before the tax code and has been grandfathered in as essentially a tax free asset. I mean, I think the CPAs would tell me, I have to say it’s tax advantaged, or tax deferred, but everyone I know, has operated tax free throughout their lives. And you’re, you’re able to access the value of it in there by borrowing against the policy pledged as collateral or physically withdrawn, some of it grows on the order of four to 5%, maybe tax free, and this is zero interest rate world. And in higher interest rate worlds, it has historically done still, you know, three or 4% better than a savings account, right? while providing life insurance already factored in there, and privacy and protection and just a lot of benefits. But just thinking about it as a place to store and grow cash, it’s far more efficient. I don’t downplay the side of life insurance, I have had little kids, when I started mine, most of my clients and most of your listeners have little kids. Life Insurance is the only thing permanent, whole life insurance is the only thing that will guarantee that what you intend to happen for your family is going to happen. So this vehicle that we’re really using and haven’t placed, because it’s a bank, also brings life insurance already, you know, factored into that performance or that cost. And, you know, if I die tomorrow, I know that my family will have a tremendous future, I plan to make that future happen for them. But it’s going to happen regardless of whether I’m here or not. And there’s not any other vehicle on earth that will do that for you. But again, let’s go back to the cash side, right. So you have this place that you store liquid cash, and it’s available. There’s you know, $30,000, in net worth $300,000. And you find a property you want to you want to purchase, right, so you go through the normal process of getting the conventional loan or commercial loan, however you’re buying it, and then it comes to the down payment side. So you can go to the insurance company, and you can say, Hey, I would like to borrow $20,000 from you guys to be the downpayment on this property, and you don’t have to go to that much. You just say I want to borrow $20,000, please put it in this account. And they do that. And then you use that mine the money they gave you to fund the down payment or go on vacation or whatever it’s for.

Gary Pinkerton 22:59
You don’t have to go through a you know, a credit check or any other kind of loan application process. And you don’t have to set up when you’re going to repay it. Because the reasons because they’re not looking at the asset, you’re borrowing it for like the normal bank is not looking at the house and how worthy it is or your paycheck and how worthy that is. They’re just looking at the cash that you have in your policy. And that’s the collateral in this case. So there’s a lot of math behind why it’s better than just putting the downpayment inside there. But there’s a lot of benefits to doing it. And I think almost everyone I’ve showed this to and walks through, I get tons of videos that people you know, I’ve handed out to people to take a look at. It’s pretty compelling. I think when you when you go and actually take a look at

Mike Foster 23:41
it is it is really compelling. And thank you so much for breaking it down for us. Because this is something that I know a lot of people are going to ask me about. Yeah, you get some questions in our Facebook group. But it’s nice to have someone who’s invested with it.

Gary Pinkerton 23:58
Yeah, and I want people to make their decision on their own, you know, I’m not going to be that high pressure person. I’m, you know, God’s graced me with me in a very, very busy person, in this world, in this business in the four years, I’ve been doing it. So I’m not gonna, you know, beat somebody’s door down. But what I will do is provide whatever resources I can, I got a ton of videos, I have no written stuff, whatever. However, people like to learn, happily, you know, share my experience, show how my policies perform, how my real estate performance, whatever, whatever they want. I mean, very passionate about getting military people, you know, the resources they want, and also put them on a good path.

Mike Foster 24:36
But I’m on a good path. And you know, it’s and it’s just information because, yeah, you know, in the military, we’re so comfortable with our su li, right, and it’s turn and as soon as you get out, it’s done. Right. I mean, there are there are certain benefits that you can get if you continue on now I think they have a better and one that you can pay into a little bit and it’s not as much coverage but it’s a little But at the same time, though, it’s still it’s terminal. Right? And then just understanding the difference between term life insurance and whole life insurance. Yeah, value that you can bring to the table and for your family, your life, insurance huge. Matter of fact, we might as well talk about that. Do you mind breaking down? Like the difference between German oil quick, jerk? might not know?

Gary Pinkerton 25:27
Yeah, yeah, sure. So term insurance, I have a bunch of it, I love this stuff, it’s for a completely different purpose, its purpose is to very inexpensively push risk at the insurance company. It’s just like car insurance and health insurance, or any other thing where you can, for a very small amount monthly or annually, say, Listen, you take this risk, I realize it’s completely unlikely event that I would die at a young age, but it’s possible. And if it happens, and I’m funding it, my family’s bankrupt. If it happens in the insurance companies funding it, well, there was 10,000. Other people like me, that didn’t happen to that are going to continue to pay premiums. And so that’s how they stay safe with life insurance is pooling that risk among hundreds of thousands of people. And they can handle the one off when it happens to me, and I’m self insuring, unquote, which means I’m not insured, then that means I’m bankrupt. So it’s a good way to push risk to somebody else. And I love term insurance. In fact, I’ve maximized you know how much in insurance they will, there’s a max amount of insurance, you can actually get in life, and it’s based on kind of age and income and net worth, but I push it to that level. You know, I don’t know when you know, I’m 50. So, you know, I don’t know, when the next mole I have taken off, they’ll be like, Oh, you know what, that thing was cancerous, but we don’t know, right? And the insurance company is going to say, Well, you know, for seven more years, we’re not going to talk to you. So, I love term insurance. And I think it’s great, but it’s not a way to grow wealth. It’s like car insurance in that I mean, pay us a does have a subscriber savings account, and I love it. But in general car insurance and health insurance, there’s not much to show for it at the end of the year, once you’ve paid that premium, right. And the same thing with term insurance,

Gary Pinkerton 27:15
whole vehicle, it’s intended to be permanent. And it’s a savings account with benefits. So it is about growing cash value. And it’s something that does not get expensive in old age, it’s going to be there for the rest of your life unless you decide to get rid of it. And you know, there’s a lot of people out there that would buy it from you just like buying your banknote from you because it’s a financial asset. It’s got a lot of value, and it’s a guaranteed product. So, you know, is it likely that I die with my term insurance in place? Gosh, I hope not. And in fact, 99.5% of time it doesn’t happen. Is it likely I’m going to die with my whole life insurance in place? Well, I mean, the chance that I was going to die before age 50 was pretty low the chance that I’m going to die after age 50. pretty high. Right? So, you know, so yeah, it’s gonna happen if I keep it in place.

Mike Foster 28:02
And man, that’s so true. Do you mind offering real quick advice for those who might be interested in? in taking advantage of something like that? Sure. Of course. So. Yeah,

Gary Pinkerton 28:15
yeah, absolutely. So the easiest way to grab me is or to find, they asked me or contact me, it’s so that I can, you know, send you videos and my little ebook and that kind of stuff is, is just to go is just my name. So Gary Pinkerton calm. And Gary at Gary Peters. Calm is the email. There’s a little ebook on on that website. It’s not the most exciting website in the world, but I’m working on it. And you can find me there. And you can, you know, I think you’ll probably put in the show notes, that email address, or you can happily put my cell phone or anything like that in there. I’m really passionate, as I said, probably a dozen times on this show, about helping helping military however, I can, you know, I, I have a lot of friends that are captains of industry. And if you go back to the, you know, every the mission statement of every service Academy out there talks about, you know, leaders in command, citizenship and government, right, and I really, really believe in America and that the American Dream is alive and that our constitution meant something. And I believe also that we have a duty to lead an industry and government as members of the military. Certainly, certainly the officers who went through those academies, and I want to help enable that, you know, that there’s some statistic out there that there are more Marines served in Marines in charge of major companies than any other group out there. And it doesn’t surprise me at all. You know, I’ve worked a lot of those guys. But I think it’s true for for most military leaders, and I’m talking about anybody who’s like above any three, you know, we know stuff about leadership, and we’re driven to help others around us and so I want to help enable that right. So I don’t want somebody caught in a corporate job that they didn’t really fit but it helps supplement the rest. They’re their retirement income that they, you know, they gave up when they when they retired, but they’re not inspired about it, right. I want people to be able to launch from their service. They’ve done enough time, you know, helping others and you know, leaving their family, let’s launch into something that they’re inspired to do. And that will help others around them because we all win that way. Right? So I think you asked me about

Gary Pinkerton 30:22
how to contact me, Gary fingers calm, but that’s what I’m about. As much as I can.

Mike Foster 30:27
No, that’s awesome. Gary and I and we absolutely know that that’s why we’re so excited to have you on the show. And guys really can’t stress it enough. Gary’s an amazing guy, you need to go and pick this man’s brain, literally, about anything. But about this, because it’s an awesome topic. And if it’s cool, we’d love to bring you on again, in no time just kind of detail, more detail about it really talk more detail and dissect strategies, because it’s just something that is a game changer, guys. And it will absolutely help impact your life. Your future. Well, this is one of those strategies that you really implement to build generational wealth. Right? Yeah, those lines down the road. It’s crazy.

Gary Pinkerton 31:07
Yeah, that is definitely worth. So it’s probably worth a podcast to talk the details of that. But it’s absolutely worth one, the talk legacy and multi generational wealth and how to set up our kids for success. I mean, one of the primary reasons I left the military was to was to help that entrepreneurial fire that I had to go in, but it was mainly to get back connected with my oldest son, Jake, who is now 17. But at the time, you know, it was 1213. And, you know, I just I’ve been away from way too long. And, and I think back to my childhood, I was around my dad 24 seven, just by virtue of having to work on the farm. And, you know, so I saw I wasn’t doing that. And so I’m very inspired also about family legacy. And there’s a lot we can learn from wealthy families who take the time, have the time because they’ve set up their life, right, but they take the time to educate their children, about finances, about finances, and you know, in life, I’m super inspired about that. And I’m working with a buddy actually on a business that we think is going to be able to help the middle class American families get along way down that road about trusts and legacy and family and just give them tools for free to help them out doing that.

Mike Foster 32:15
Amen. Amen. Guys has been absolutely amazing. I gotta say, this was one of my favorite podcasts. This is awesome. But um, but thank you so much, again, for the wisdom that you’ve shared. I’ve got three questions for you if that’s okay, it sounds good. bonus round. So first question. What’s your favorite book?

Gary Pinkerton 32:35
My favorite book? So atlas shrugged. Because when you when you get to goats, goats, that to me is the epitome of America where we ought to be and that’s where I’m trying to take us.

Mike Foster 32:45
Okay. Atlas Shrugged,

Gary Pinkerton 32:47
right. Atlas Shrugged by Ayn Rand. Yeah, it’s a big book. It’s not a small undertaking.

Mike Foster 32:52
Ooh, all right. Well, guys, there’ll be a link to that in the show notes, assuming they’ve downloaded enough of those pages. And put it into the bread. Awesome. Well, who is your biggest hero and why?

Gary Pinkerton 33:07
My dad, we’ve talked about it. I mean, you know, personal time between parents and children. There’s, there’s a picture out there that used to haunt me and now and inspires me, and I don’t know exactly what it says. But it’s this little kid who’s in blue jeans with his hands in his back pockets looking at a lake. And it’s, you know, essentially, it’s like, I’m gonna totally butcher this, but the toys that you have the the position you rise to in business, and the amount of money in your bank account will matter, not when you pass from this earth, but the difference you’ve made in child can make all the difference in the world. So yeah, my dad understood that maybe it was just out of, you know, maybe just out of need where we were in that world. But yeah, my dad.

Mike Foster 33:49
Awesome. Outstanding. That and got an incredible guy. Yeah. Question number three is, if you could give, I mean, you already given us a lot of nuggets. You can break down three things to get give to those who are just getting started. What would you tell them? Yeah, so

Gary Pinkerton 34:09
surround yourself with a team of people I call it? Well, my buddy calls it the C suite. You know, and that comes from corporations where you have like the chief financial officer, Chief Investment Officer, you know, so you, your people. So in a real estate world, it’s going to be your, your mortgage guy, you’re in my I believe your insurance guy or your protections guy, you’re your insurance person, I’m sorry, your your property insurance person, your CPA, and maybe an attorney, depending on how big how big your your operation is. So surround yourself with a team.

Gary Pinkerton 34:42
The three things right, so, network, again, we’re surrounded with a team but maybe those people you’re not real intimate with but you will need to be intimate with people who are going in the direction you want to go not in the direction that you currently are or in a place you’re coming from. So even if it just makes Go to a meetup group in your local town and just talk to people about what you’re trying to do to get reinforcement that you’re not that weird because when you step into a new place in life, you’re gonna feel weird. And you’re going to be weird, or you’re gonna be weird. And you’re still going to the same watercolors and talking to the same people. I remember walking out when I was at the Naval Academy, and there’s this big conversation about mutual funds and 401k isn’t and about getting out of debt and everything. And they asked me what I thought. And I said, you know, the funny thing is, I was just, I just spent an hour over lunch, reading about how to get into more debt. And they all lived in their house crazy and didn’t join me in the conversation and kind of ostracized myself for that. But it was actually almost intentional, because I realized, if I continue to be in conversations like that, I’m going to stay on that path. And I’m going to not leap. And then so the third thing is work on yourself because you are your number one best asset you always will be. We look at you know, our income in the military and our retirement we say those are assets in my life, but they’re not the asset in your life is your ability to be the officer or the the seen the enlisted individual that was worthy of paying that money to like the fact you didn’t get kicked out. And then you got continued to get promoted. And they they accepted your enlistment reenlistment, when you did it is because you added value. And when you went off to get, you know, a higher degree or, or you got a fitness instructor, so you can stay within the requirements, right? That added value and and you know, to the one asset that will always be most important in your life. And that’s you. So spend money on yourself, improving yourself. And with your family. If I could add a third one, you know, our fourth one, focus on your family spend time with a family my my very close friend. And mentor when it comes to family relation says he started a website called 18 summers 18. Summers calm and it’s it basically means you get 18 summers with your kids. And then after that you’re asking their permission to hang out with them. But you get 18 summers and influence your children and don’t waste them.

Mike Foster 36:58
Wow. That’s real. real good. This man. All right. Well, thank you so much again, Gary, I really appreciate that. It’s been amazing. And a lot of good notes. I hope all of you guys have been taking notes. And if you haven’t, make sure you re listen to this again, and take some notes because a lot of good, good information in here. And Gary, I can’t wait to have you back on the podcast again.

Gary Pinkerton 37:23
For another 14 minute tremendous pleasure. It’s been very similar to every time that one of you guys from activity passive income have come onto my, my, my podcast and it was funny, there was a period of time, right before Tim Kelly came on as the first member of the dominoes that have that have fallen here. And, and I was at this kind of low point where I couldn’t find really good people that were a perfect fit for my my podcast, but it’s just like a really good meeting. So I really look forward to, you know, future. Future times being on yours and you guys being on ours. I think we can do a lot more to

Mike Foster 37:59
get. Absolutely looking forward to that.

Gary Pinkerton 38:03
All right. Awesome. Thank you my friend. Yeah.

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