This is one of my favorite songs to listen to when doing cardio. 50 Cent seems to be suggesting that he’ll make the mother of any of his children a millionaire. Whether you love or hate 50, his plan is something we should all copy. I’ll show you how do this in this post.

This is a longer post that I initially wasn’t going to make public. It was initially written for my Cashflownaire Members, as it’s connected to achieving the Glorious Fuck You Position financially. However, I realized that it was far too important considering the impact it could have on your family… so I’m making public. 🙂

Please understand I’m writing this shortly after one of my good friends and partners passed away at the age of 48 from cancer. I’ve been helping his wife with his real estate investments and have learned a great deal through this process.

Let’s start with an important question…

What would happen to your family
if you were to pass unexpectedly?

Seriously, answer this question. It’s incredibly important!

I realize this isn’t fun to think about; however, it’s important to think through all of this while you still have the gift of time. In fact, here are specific questions for you to consider:

Would your family be able to afford your current home without your income?

Would your family be able to afford your monthly car payments without your income?

Would your family be able to afford medical care and medical insurance without your income?

Would your family be able to afford the cost of college for your children without your income?

Would your family be able to handle the monthly loan payments on all of your debt?

More than likely, your family would be in a serious financial jam, if something unexpectedly happened to you. I know this because most families would be up shit creek without a paddle if they lost an income stream.

The good news is you can give your family an amazing gift by following the ideas I’m going to share with you.

My friend owned several rental properties generating attractive monthly income. On top of this, he had ZERO debt, which helped his wife immensely. She didn’t have any financial pressure in the weeks following his passing. If one of their tenants didn’t pay rent, it wasn’t a big problem because there wasn’t a mortgage payment on the property.

By ZERO debt, I mean he had ZERO fucking debt. He didn’t owe a penny on his cars, his house, his rental properties, or on any credit cards. His wife is set for life because he was such a BADASS.

This is what I’m going to suggest you do for your family. It’s what I’m trying to do for my family.

Your mission, should you choose to accept it, is to take steps to be able to answer “YES” to each and every question above.

Your mission is to put your family in the Fuck You Position so they don’t have to worry about money. To give them an amazing gift that pays dividends for decades. And you can do all of this with the proper amount of term life insurance. Most people are way under-insured and their families end up struggling financially.

Let’s start by with a definition of Term Life Insurance from Investopedia:

“Term life insurance, also known as pure life insurance, is life insurance that guarantees payment of death benefit during a specified term. Once the term expires, the policyholder can either renew for another term, covert to permanent coverage, or allow the policy to terminate.”

(Note: please understand I’m not selling any life insurance. This isn’t a sales letter. I have zero financial interest in what I’m suggesting).

The reason why we’re suggesting term life insurance is because it’s typically the most affordable life insurance. This is important because you probably need a a lot more life insurance than you realize. Other types of insurance have higher premiums, which will make it more expensive to implement the steps we’re going to recommend.

To put your family in the Fuck You position, you’ll need a death benefit (life insurance payout) that will eliminate all of your family’s debt. In addition, your life insurance payout should also provide enough annual investment income to cover all of your family’s living expenses for decades.

I realize this doesn’t sound possible. It certainly is and we can accomplish all of this in four steps:

STEP ONE: Add up all of your current and future debt.

This includes all of your current outstanding debt including your mortgage, car loans, credit cards, equity loans, and business loans. Next estimate your future debt and add this to your current debt amount. Your future debt is any debt your family may incur in the future including the cost of college for all of your children, if you don’t currently have enough saved for their future college expenses.

We must protect our kids from predatory student loans. This means that we need to figure out a way to cover the cost of the their college educations. We cannot allow our kids to go into massive debt in their early 20s. It will mess up the rest of their lives and make every other important financial goal they’ll have virtually impossible to achieve.

To show you how this might look, consider the following example from a middle class family…


Current Debt

Outstanding mortgage balance                                      $300,000
Car loans                                                                           $35,000
Credit card balances                                                         $10,000
Equity loan                                                                        $50,000

Total current debt                                                             $395,000

Future Debt

Estimated cost of college $100,000* per child                $200,000 (two children)

Total current & future debt                                                $595,000

* The estimated cost of college is for state public school and is estimated at a total of $25,000 a year including tuition and boarding. Adjust these numbers based upon what you believe the actual college expenses will be for your children.

To eliminate all of your family’s current and future debt in this scenario, you’d need a minimum total death benefit from your term life insurance of $600,000 without factoring in any funeral expenses.

STEP TWO: Estimate your family’s annual living expenses.

Go grab your checkbook and look at all of your actual expenses. This would include medical insurance, dental insurance, car insurance, homeowners insurance, property taxes, utilities, cable/internet, food, clothing, gasoline, repairs/maintenance, landscaping, snow plowing, school expenses, extra curricular activities for your children, and any other expense they would have to pay.

Remember, your family will be debt free – so you don’t have to include any monthly loan payments in this estimate of living expenses.



Medical insurance                                                                      $1,000
Cable/internet                                                                               $150
Cell phones                                                                                   $160
Property taxes                                                                               $450
Homeowners insurance                                                                  $50
Car insurance                                                                                $200
Water/Sewer                                                                                  $200
Gas heat                                                                                        $150
Electricity                                                                                       $150
Gasoline                                                                                         $200
Food                                                                                            $1,000
Home repairs/maintenance                                                            $500
Clothing                                                                                          $300
Miscellaneous                                                                                 $400


Total Monthly Living Expenses of around                                $5,000

If this were your family, you would need an annual income of $60,000 ($5,000 * 12 months) to cover their normal living expenses. This simply means you’ll need to create an annual investment income of at least $60,000 to set your family up for life.

We can estimate the total amount of life insurance needed to generate $60,000 of annual income as follows:

$60,000/.0288 = $2,083,000

The .0288 (2.88%) represents the annual dividend yield of the Vanguard High Dividend Yield Fund (VHDYX), as of the time of this publication.

This means you could create an annual income of $60,000 per year FOR LIFE by investing $2,083,000 into this low-cost index dividend fund. You’d never have to worry too much about this fund, as it will quietly pay out quarterly dividends for your family.

STEP THREE: Add an additional $80,000 to the numbers you calculated in Steps One and Two.

We’re adding $80,000 to cover the first year of living expenses and the cost of the funeral. This way your family would collect their first year’s living expenses from the life insurance policy. They could then let the dividends from the Vanguard High Yield Dividend Fund accumulate during the first year and would be able to use those dividends to cover their living expenses starting in the second year.

Here’s how all of this looks for this example:

Amount needed to pay off all debt                                                            $595,000
Amount needed to create annual investment income                            $2,083,000
The additional $80,000 from Step Three                                                     $80,000

Total Death Benefit Required                                                                  $2,758,000

By obtaining term life insurance with a total death benefit of $2,758,000, you would put your family in the F You Position for LIFE!

Think about this for a minute….

  1. This plan doesn’t require your family to sell any of the shares of the Vanguard High Yield Dividend Fund. They would be living off the dividends. Your significant other could leave all of the shares of the fund to your children. Your children would then be able to enjoy the annual investment income for the remainder of their lives.
  2. The plan doesn’t require any expensive money manager or complex investment knowledge.
  3. Market crashes and interest rate fluctuations won’t have any real impact on their dividend income.
  4. The plan is very conservative, as the Vanguard High Yield Dividend Fund is comprised of 400 different stocks.
  5. Your family would be 100% debt free.
  6. Your family would be able to stay in your home and wouldn’t be forced to move because they couldn’t afford the home.
  7. You’ve covered the cost of college for your kids and have protected them against large student loan balances.

Now I realize this level of death benefit from term life insurance may be expensive. However, you cannot allow yourself to look at this as an “expense.” You have to force yourself to see this as THE MOST IMPORTANT INVESTMENT YOU’LL EVER MAKE, because this is exactly what it is.

In fact, you might even consider creating monthly income from rental real estate that you can use to pay the life insurance premiums. As an example, let’s assume the premiums for your required term life insurance are $300 a month, or $3,600 a year. You could completely offset this monthly investment by acquiring an income producing real estate. You could then use the monthly rental profits to pay your life insurance premiums.

The best rental real estate investment, in my opinion, is a mobile home. You can buy these properties without debt and they provide a very attractive return on in investment. You can learn more about investing in mobile homes here. My mobile home investments typically generate a positive monthly cashflow of $275 a month. One mobile home could offset the entire cost of this plan.

Or you could buy a single-family home or a multi-unit rental property.

An example of how this could look:

Monthly Rental Income                                   $1,600
Mortgage Payment                                           ($800)
Property Taxes                                                  ($350)
Home Insurance                                                 ($50)
Maintenance & Repairs                                    ($100)

Monthly Rental Profit                                         $300

You could simply use this monthly rental profit of $300 to pay your life insurance premiums. Each month, your tenants would be paying down the mortgage for your rental property and their rent would also covering the entire investment for your life insurance setting your family up financially for decades. (Make sure you add the mortgage on this rental property to the amount of debt you have, as we calculated in Step One)!

You’d be using one asset (rental home) to pay for another asset (life insurance).

Obviously, you should adjust the amounts needed for your family by subtracting any existing retirement and college savings you have. We haven’t factored any retirement or college savings into our examples to keep things simple. Your savings would obviously reduce the amount of life insurance needed.

Our Cashflownaire Principal #10 states:

We seek opportunity in EVERY adversity.

The reality is your (or your spouses) passing would create massive adversity for your family. Why not prepare for this adversity now while you’re still able to set this up for them?

Sadly, we never know when our time is up, and NOW is the BEST time to do it. You don’t have to tell anyone in your family what you’re doing. Just set them up financially and write them a letter to open if something were to happen to you. In your letter, explain what you’ve done for them. Tell them exactly what to do…which is to pay off all of your debt and to create the investment income needed to cover all of your living expenses.

After putting this plan into place, you may be surprised at the mental peace you experience. We all fear death on some level; however, setting your family up financially seems to reduce these fears because you’ll know they’ll be okay. You’ll know that you’ve taken care of them by giving them one final amazing gift that will make every day of their lives better.

NOTE 1: If you’re unable to get life insurance because of your health, you have to get your ass in shape ASAP. Download this free month of my Cashflownaire Newsletter here and implement the fat loss system I detail inside.

NOTE 2: Please discuss the ideas in this plan with your legal, tax, financial, health advisors and maybe even your kid’s soccer coach. I have to include this stupid sentence because I’m not licensed for any of this stuff. I simply do what I need to do to protect my family. I make my own fucking decisions, but that’s me. You may want to discuss this with some professionals to make sure it’s appropriate for your family, which of course it is.

NOTE 3: If this was helpful for you, become a Cashflownaire Member here. Seriously, it will make your life better. 🙂

NOTE 4: One of my Cashflownaire Members is an insurance specialist and he helped me with this strategy. If you need help getting life insurance, reach out to Carlos Samaniego here. He’s my trusted resource for insurance.