The Family Office: Build and Keep Generational Wealth

Family Office_Build and Keep Generational Wealth Exodus 12_3-4 featured image

Thank You, Lord, for wisdom in how to properly set up the framework to build and keep generational wealth with the Family Office.

First Reading: Exodus 12: 1-8, 11-14 

1 And the Lord said to Moses and Aaron in the land of Egypt: 

2 This month shall be to you the beginning of months: it shall be the first in the months of the year.

3 Speak ye to the whole assembly of the children of Israel, and say to them: On the tenth day of this month let every man take a lamb by their families and houses.

4 But if the number be less than may suffice to eat the lamb, he shall take unto him his neighbour that joineth to his house, according to the number of souls which may be enough to eat the lamb.

5 And it shall be a lamb without blemish, a male, of one year: according to which rite also you shall take a kid.

6 And you shall keep it until the fourteenth day of this month: and the whole multitude of the children of Israel shall sacrifice it in the evening.

7 And they shall take of the blood thereof, and put it upon both the side posts, and on the upper door posts of the houses, wherein they shall eat it.

8 And they shall eat the flesh that night roasted at the fire, and unleavened bread with wild lettuce.

11 And thus you shall eat it: you shall gird your reins, and you shall have shoes on your feet, holding staves in your hands, and you shall eat in haste: for it is the Phase (that is the Passage) of the Lord.

12 And I will pass through the land of Egypt that night, and will kill every firstborn in the land of Egypt both man and beast: and against all the gods of Egypt I will execute judgments: I am the Lord.

13 And the blood shall be unto you for a sign in the houses where you shall be: and I shall see the blood, and shall pass over you: and the plague shall not be upon you to destroy you, when I shall strike the land of Egypt.

14 And this day shall be for a memorial to you: and you shall keep it a feast to the Lord in your generations with an everlasting observance.

Build and Keep Wealth  

For a week now I’ve been praying for wisdom regarding how to properly set up the framework for doing and applying everything you have recently taught me about building and keeping wealth like the Rockefellers: the Family Trust and The Family Office.

In preparation for me actually doing them eventually. Hopefully by next year or so, God willing.

Increase Cashflow

This year is focused on getting current on my bills, paying off debts, and increasing Cashflow. 

I do this by establishing a budget and living within that budget. A budget assigns every peso that I get an assignment.

Then I look at how I can save on interest from existing loans and free up more cashflow.

Thank You for helping me understand how to use Velocity banking to supercharge this process.

Velocity Banking helps me use credit responsibly to pay off debts that are holding up much of my cash. 

How do I do this? I learned to look for the Cashflow Index for each of my existing loans so that I know which to pay off first.

According to the WealthFactory, a Cashflow Index helps you see clearly which of your existing loans are you pay off first.

The Cash Flow Index (CFI) is a scoring system to help you identify the efficiency of each of your loans. It allows you to pay off the most inefficient loans first. It then prioritizes the repayment order of all remaining loans to maximize your results.

How do you get that number? Take the balance of a loan divided by the minimum monthly payment. 


Credit Card loan: 39,200 (loan Balance)/4,500 (monthly minimum payment) =  8.7 Cashflow Index (CFI)  
Condo Mortgage: 947,134.82 (loan Balance)/7311 (monthly payment) = 130  Cashflow Index (CFI)                             

Anything <50 CFI like the credit card loan in our example is a cash hog, an inefficient loan, it’s holding up your cashflow and benefiting the financial institution. We have to pay this loan down as soon as we can. 

Pay off first the loan with the lowest cashflow index. This means pay the minimum for all loans but pay extra to the loan with the lowest Cashflow Index first until you pay it off. Then use that freed-up monthly payment + whatever extra money you have to pay extra to the next loan with the lowest CFI.

Loans with CFI of <100 and above are efficient loans so you can just pay this as is. You don’t have to agitate about paying for those fast.

This is basically using the debt snowball with the Cashflow Index as the basis not the interest rate of existing loans. Consequently, you are freeing up your cash much faster.

So I’ve been using this strategy and am in the process of debt snowballing my loans.

Anyway, I’ve been asking You, Lord, how to go from there.

Raise capital by saving 

I want to start buying my own whole life insurance policy so I can:

  • protect my self and insure my Human Life Value
  • start my own Private banking system to fund future investments
  • Buy my net worth by buying death benefits on myself, and hopefully on each of my family members

Then I want to hold all the insurance policies in a Family Trust with the Trust as the beneficiary so that if something happens to me, the insurance will pay out the death benefits to the Trust and the Trustee will manage it according to my wishes.

First off, starting a Trust (well, here in the Philippines) costs about 100k starting capital, I think, plus attorney’s fees in drafting the Trust agreement, about 5k/hour. 

But, I figured, after I’ve deposited that starting capital in the Trust bank account, I can use it to start my insurance policy as the Trust’s first investment.

This will kick off the process of me starting Infinite Banking using this life insurance policy to primarily fund more investments.

If I start saving 10k a month (2,500 a week) starting next month, by next year I can have 120k to start as capital.

I should start doing it too, right? Experts say the number 1 rule in creating wealth is to pay yourself first. The bills will always be there and you can always find a way to pay them.

Pay God first, pay yourself second

But I say pay God first (the tithe or 10% of all income), and pay yourself second (the savings). This serves as insurance for God to bless your 90% in ways you can never ask or imagine.

Case in point, we were just hit by a typhoon that brought torrential rains for 2 days straight causing landslides and wiping off 2 entire barangays (God bless those poor families’ souls).

Because of this, our city’s water infrastructure was badly damaged so we don’t have water supply. 

But amazingly, my brother in law, who’s a seaman and is now in Manila preparing for his onboarding papers for his joining on April 27 (answered prayer from my tithe for him to be blessed with a job after 2 years of being put on hold by the Rona), called his sister from 3 towns away to send us drinking mineral water. She sent 3 gallons just in time our last supply was consumed.

That same afternoon, our neighbor offered to bring our empty gallons so they can fetch us drinking water together with theirs. Now we have 4 more gallons of drinking water supply.

Problem was water for basic living: bathing, washing the dishes, flushing the toilets. 

To be honest, we haven’t bathed since the water was cut off during the typhoon, 5 days ago.

Good thing it’s been raining so the temperature was down so we’re not perspiring at all and we used the rainwater for basic needs. Not enough to bathe, no.

But now that the rains have stopped, we started looking for other sources. My sister spent a whole afternoon lining up for govt-provided temporary water stations. 

Then today, a friend who we hired to walk our dog everyday came in and just casually asked my mama if we have water. She said no and he offered to fetch from their well and he did. We only have to pay for his tricycle fare. 

Now we have water and hopefully, he’ll continue to help us. 

Can you believe that? That’s grace. God providing for our needs just in time.

I believe that’s because I’ve been tithing regularly and God will bless the faithful tither as He says. 

Family Office_Build and Keep Generational Wealth Exodus 12_3-4 featured image

Establishing a Family Office, a family holding company

I read this about the Rockefellers from The New York Times and how they’ve built and kept generational wealth:

In 1934, John D. Rockfeller Jr. established trusts for his daughter and five sons that consisted of oil company stocks and real estate holdings. These trusts still hold the bulk of the fortune. 

Another set of trusts were set up in 1952 for his grandchildren, the fourth generation of the family. When family members die, their trusts divide into new trusts for their children.

In the last three years, the family has hired a new team of professional money managers. They oversee Rockefeller Financial Services, as the new family holding company is called, and are also developing a money management business for institutions and wealthy families who want to invest along with the Rockefellers.

The 200 or so professionals who manage the family fortune are known within the family as either "the family office" or "Room 5600," the number of the suite where they work on the 56th floor of 30 Rockefeller Plaza. 

These advisers also handle the family members' income taxes, philanthropic pursuits and legal work, insure their huge art collection and help write speeches for family members. 

I may not yet have the wealth on a grand scale like the Rockefellers, but I want to leave the same legacy of Blessing to my family so they too can become blessings in their generations.

Now that I’ve got my finances in order, I’m on the lookout for how I can further use the velocity banking method to accelerate my goals: 

  • stay current with bills, 
  • pay off debts, 
  • increase Cashflow.

Yesterday, as I was mulling on this process, I stumbled upon an offer on this new bank I’ve started (CIMB) because of GCash save.

They’re offering personal loans of up to 1M at 1.12% per month and fixed loans of up to 100k with no interest, just an 8% processing fee off the top. Better than the 3% per month interest rate I’m paying for right now with one of my loans.

So I’m thinking of consolidating my loans into one by applying for this loan.

The only requirements are income documents such as, for someone like me who’s self-employed: 

  • a business registration: DTI/SEC
  • Mayor’s permit
  • Bank account records for 6 mos or Income Tax Return 

That got me thinking if I should start applying for formal business registration for my practice: virtual assistance, and make it into a virtual assistance business.

This way I can raise capital much faster.

I can start by registering as a sole proprietor with a license from the Department of Trade and Industry so it’s so much faster and easier to process. Just so I can first have the licenses to be able to apply for loans.

Later on, when I’m ready to buy my first insurance policy, I can set up a Trust and a holding company to manage my Trust.

I researched and found that I can register for One Person Corporation at the SEC with just around 2k and a minimum of 25k capital.

I can apply for 2 OPCs, I think, one to act as a holding company and another as the operating company which is my VA and digital business.

This way, I can use the holding company to be the Family Office as trustee for when I establish the Family Trust. I learned of it all in this video last night.

What is a Family Office

I read this about a Family Office:

According to Ernst & Young, there are more than 10,000 family offices globally, and some estimates put the figure in the U.S. at 6,000. The largest family offices are well known: Bill and Melinda Gates’ Cascade Investment, Sergey Brin’s Bayshore and David Rubenstein’s Declaration Partners Capital are just a few examples. With large office spaces, dozens of employees and seemingly un­ending resources, these family offices are easy to spot. Thousands of family offices are much smaller, with most employing as few as one or two people to help the principal manage their wealth./There are three categories of family office:

The traditional family office. The concept is straightforward. A wealthy principal forms a legal entity, and then hires a staff whose job it is to invest and protect the family’s wealth, manage the family’s assets and assist with their lifestyle.

The multifamily office. The rapid growth of family offices has been accompanied by new, creative variations. One of the most common is the multifamily office. These outside firms are set up to perform most of the functions of a fully staffed family office: They help set investment strategy, perform due diligence on private investments, assist with tax and estate planning, interface with investment managers and advise on family governance. They charge a fee, typically a percentage of total net worth, and have dozens of client families. These models are more affordable than a traditional family office, but because you share resourc­es with other families, they lack the same level of control as a traditional family office.

The outsourced family office. Finally, an outsourced family office isn’t an office at all, or a single organization, but a collaborative effort across several supporting players. A financial adviser handles the investment portfolio, an attorney handles the estate plan and a CPA handles tax strategy and pays bills. Concierge services, next-generation education and family governance advice are types of services often included in the fees at large wealth advisory firms. Creating an outsourced family office lacks the total control and coordination of a traditional family office, but it is the least expensive approach.

Today, You confirmed to me that this is the way for me to establish that framework for my own Financial Dynasty, establishing a Family Office to be a family holding company.

3 Speak ye to the whole assembly of the children of Israel, and say to them: On the tenth day of this month let every man take a lamb by their families and houses.

4 But if the number be less than may suffice to eat the lamb, he shall take unto him his neighbour that joineth to his house, according to the number of souls which may be enough to eat the lamb. 

Exodus 12

I take this to mean You want me to establish the Family Office/ holding company first.

I’ll have to ask an attorney to validate all these plans as applicable in the Philippines setting, of course. 

What matters is I now have an idea of what to do step by step.

And when that framework is established as He told me to do, He can establish that dynasty He promised He will do for me.

Anyway, He is my CEO and I’m just His manager. He sets the vision for where He wants to take me. I just follow and obey.

Now Your Turn 

Are you looking to build wealth for yourself and your family and generations after you? 

Seek God first. 

Make Him the CEO of your life and He will do with it more than you can ever ask or imagine.

And God is able to give you more than you need, so that you will always have all you need for yourselves and more than enough for every good cause.2 Corinthians 9:8 GNBDK
healthwealthvictory tips
  • Give your life to God
  • Make Him CEO and have a controlling interest in every area of your life. 
  • Obey whatever He tells you to do.
praying hands of a child

Dear Lord,

I give You my life. Be my Chief Executive Officer and have all the controlling interest. Help me to build and keep generational wealth so I can be Your source and symbol of Blessing. In Jesus’ Name. Amen


This is it for now. Till next time.

To our health, wealth, and victory – GODSPEED!

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