Powerpoint created by Ind. National Sales Director, Lara McKeever

Two sources of income: 1. sales– 50% Commission 1. On the Face – Skin Care Class, Facials 2. On the Go 3. Online - website 4. On Paper – PCP 5. Show Previews 6. Reorders

Foundation of the Business! On the face - 3+3+3 3 selling appointments $300 sales 3 prospects 30 faces a month =$3,000 sales (5 parties of 6) Money management 50 / 10 / 40 split 50%: product = $1500 10%: business aids = $300 40%: profit = $1200

Why inventory is wise & important: Women will buy more if its cash and carry Time is money Bonuses on bulk ordering Saves money on shipping / ordering less often Achieve Star Consultant Earn prizes and incentives Less likely to embezzle Investment can build credit score Inventory is not required. Inventory has a 90% buy back guarantee (see Independent beauty consultant agreement.)

Second source of income: 2. team building SENIOR CONSULTANT 1 active team member 4% Commission Active = An Independent Beauty Consultant is considered “active” in the month a minimum $225 wholesale Section 1 product order is received by the Company and in the following two calendar months Qualified = $600 initial wholesale order

STAR TEAM BUILDER 3-4 active team members 4% commission Example: $50 Bonus (each qualified new team member) $130 $50 rebate for red jacket

TEAM LEADER/ Future Director 5-7 active team members 9% - 13% commission Opportunity to go on-target for Grand Achiever (Cruze) 5 or more active team members earn = 9% total personal team commission. 5 or more active personal team members plus you place $600 cumulative wholesale orders in current month and earn 13% commission instead of 9%. Examples: 5 active - $4,000 x 9% = $360 or $4,000 x 13% =$520 + $50 Bonuses for each qualified new team member.

Consultant On target grand achiever Earn Chevy Cruze or $425 cash compensation 1-4 months qualification Start with 5 active personal team members & qualify with 16 total active personal team members. Total Team Production $23,000 Minimum $5750 per month

1st Month – On Target Grand Achiever Start 5 team members + 2 new = 7 PRODUCTION: 5 consultants order $2000 2 new team members order Your order $1000 Monthly Total Production $5000 COMMISSION: Team production $4000 Team Commission X 13% $520 2 new qual. Team mem. $100 Total $620 $620 team comm. + $1200 sales profit = $1820 + Reorders *You do not receive commission on your own personal order until you are an Independent Sales Director.

2nd Month – On Target Grand Achiever Start 7 team members+ 2 new recruits = 9 PRODUCTION: Team orders $3000 2 new team members order $2000 Your order $1000 Monthly Total Production $6000 ($11000 total prod.) COMMISSION: Team production $6000 Team Commission X 13% $780 2 new qual. Team mem. $100 Total $880 $880 team comm. + $1200 sales profit = $2080 + Reorders

3rd Month – On Target Grand Achiever Start 9 team members+ 2 new recruits = 11 PRODUCTION: Team orders $3000 3 new team members order $2000 Your order $1000 Monthly Total Production $6000 ($17000 total prod.) COMMISSION: Team production $6000 Team Commission X 13% $780 2 new qual. Team mem. $100 Total $880 $880 team comm. + $1200 sales profit = $2080 + Reorders

4th Month – On Target Grand Achiever Start 11 team members+ 3 new recruits = 14 PRODUCTION: Team orders $3000 4 new team members order $2000 Your order $1000 Monthly Total Production $6000 ($23000) COMMISSION: Team production $6000 Team Commission X 13% $780 2 new qual. Team mem. $100 Total $880 $880 team comm. + $1200 sales profit = $2080 + Reorders AT LEAST 16 TEAM MEMBERS MUST BE ACTIVE by end of qual!

Maintenance- Momentum month/ Performance account $5,750 per month 6 active consultants $600 credit for each new qualified team member (refer to “Advance Brochure” for more details. It can be found at www.marykayintouch.com).

Maintenance Production is doubled the month after qualification is completed and is added to the performance acct. New $600 personal qualified team member credit is added. $3500 Team Production $1800 New team member intial order $600 New qualified team member credit $5900 x 2 $11800 -$ 5750 Performance Account: $ 6050 Monthly production > $5750 Added to performance account Monthly production < $5750 Difference drawn from performance account *a Qualified new team member is one that places a initial order of at least $600 in the month of her agreement or the following month.

DIRECTOR IN QUALIFICATION: Qualify in 1,2,3 or 4 months Star consultant previous or current quarter Start 10 *active Personal Team Members 24 total active DIQ unit members Team members of your team members now start counting toward your future unit. New 5 Qualified active personal Team members 18,000 total DIQ unit wholesale production $4,000 maximum personal wholesale production $4,000 monthly DIQ unit wholesale production minimum to remain in DIQ **see Advance Brochure on Intouch for more specific details.

INDEPENDENT SALES DIRECTOR

Independent Sales director (Must maintain $4500 montly wholesale unit production) Rewards (see next slide for Class of 2016 rewards) Eligible to wear Sales Director suit Directors Memo Eligible to order Sales Director Buzz Kit (formerly Sales Director Unit Support Package) Eligible to wear Sales Director pin and enhancer Eligible to earn the use of a Sales Director Career Car or Cash Compensation option Eligible to qualify for quarterly Star Sales Director recognition and yearlong consistency prizes Eligible for Wellness Award Bonus program Eligible for Disability Award program Eligible to attend Leadership Conference Eligible to qualify for Top Sales Director Trip Opportunity to personally recruit in designated international markets

Class of 2017 New INDEPENDENT SALES DIRECTOR & Senior Offspring REWARDS On the Move Fabulous 50s Honors Society Dean's List Triple Crown

New Sales Director: Grand Achiever- Cruze $7000 x 13% $910 Unit Volume Bonus (10% to nearest 100) $700 Personal Team Production ($4000 x 13%) $520 Personal team building bonus (3 Qualified) $300 Unit development bonus (5 Qualified) $500 Monthly Income $2930 ($35,160 yrly) Monthly Sales Profit $1200 Car or Car Cash Compensation $375 Total Combined Monthly Income $4505 Est. combined Annual Income $55,060 *does not include quarterly / annual contest bonuses

Sales Director: Premier Club- Equinox or Fusion $9500 x 13% $1235 Unit Volume Bonus $900 Personal Team Production ($4000 x 13%) $520 Personal team building bonus (3 Qualified) $300 Unit development bonus (5 Qualified) $500 Monthly Income $3455 ($41,460 yrly) Monthly Sales Profit $1200 Car or Car Cash Compensation Total Combined Monthly Income $5155 Est. Combined Annual Income $61,860 *does not include quarterly / annual contest bonuses

Sales Director: Premier Plus $12500 x 13% $1625 Unit Volume Bonus $1200 Personal Team Production ($6000 x 13%) $780 Personal team building bonus (2 Qualified) $200 Unit development bonus (5 Qualified) $500 Monthly Income $4305 ($51,660 yrly) Monthly Sales Profit $1000 Car or Car Cash Compensation Total Combined Monthly Income $5805 Est. Combined Annual Income $69,660 *does not include quarterly / annual contest bonuses

Sales Director: Cadillac $17000 x 13% $2210 Unit Volume Bonus $1700 Personal Team Production ($6000 x 13%) $780 Personal team building bonus (2 Qualified) $200 Unit development bonus (5 Qualified) $500 Monthly Income $5390 ($64,680 yrly) Monthly Sales Profit $1000 Car or Car Cash Compensation $900 Total Combined Monthly Income $7290 Est. Combined Annual Income $87,480 *does not include quarterly / annual contest bonuses

Top Sales Director: Half Million $21000 x 13% $2730 Unit Volume Bonus Personal Team Production ($8000 x 13%) $1040 NEW Personal team building bonus (2 Qualified) $200 Unit development bonus (5 Qualified) $500 Monthly Income $6570 ($78,840 yrly) Monthly Sales Profit $1000 Car or Car Cash Compensation (Cadillac) $900 Total Combined Monthly Income $9390 Est. Combined Annual Income $90,130 *does not include quarterly / annual contest bonuses

Top Sales Director: $650,000 Circle of Excellence $27100 x 13% $3523 Unit Volume Bonus $2700 Personal Team Production ($8000 x 13%) $1040 NEW Personal team building bonus (2 Qualified) $200 Unit development bonus (5 Qualified) $500 Monthly Income $7963 ($95,556 yrly) Monthly Sales Profit $1000 Car or Car Cash Compensation (Cadillac) $900 Total Combined Monthly Income $9863 Est. Combined Annual Income $118,356 *does not include quarterly / annual contest bonuses

Million Dollar Sales Director: $1,000,000 Circle of Excellence $41700 x 13% $5421 Unit Volume Bonus $4100 Personal Team Production ($8000 x 13%) $1040 NEW Personal team building bonus (2 Qualified) $200 Unit development bonus (5 Qualified) $500 Monthly Income $11,260 ($135,132yrly Monthly Sales Profit $1000 Car or Car Cash Compensation (Cadillac) $900 Total Combined Monthly Income $13,160 Est. Combined Annual Income $157,920 *does not include quarterly / annual contest bonuses

Additional Compensation & Cash Bonuses *Achieve Independent Senior, Future Executive, Executive, or Elite Executive Sales Director to receive additional 4-6% offspring Sales Director commission. *Sales Director Quarterly Red Development Bonus- $150 or more *New/Re-qualified Cadillac Bonus = $1000 *New Unit Circle of Achievement Bonus = $1000 *New Independent Sales Director Program Bonuses & Rewards= up to $3000 *Wellness Award Bonus Program= $800, $1300 or $2000

Additional CONSULTANT INCENTIVES: (Directors may earn as well) (Royalty prizes rewarded at each level & all attend Royalty reception at Seminar). National Court of Sales- Choice of Royalty jewelry National Court of Sharing- Choice of Royalty jewelry

*Circle of Achievement-$300,000-450,000: 14kt Bar pin Additional DIRECTOR INCENTIVES: (Royalty prizes rewarded at each level & all attend Royalty reception at Seminar.) *Circle of Achievement-$300,000-450,000: 14kt Bar pin *Half Million Dollar Club-14kt Bar pin plus Choice of Ring or $3750. *Circle of Excellence-14kt Bar pin, choice of above ring/$3750, plus Top Director Charm bracelet & 14kt Charm & Alaskan Cruise Sept. 2017

*Prestige Club-14kt pin, Prestige ring/$4250, Top director charm bracelet & 14kt Rome & Venice charms, plus Trip to Rome and Venice Italy, Sept. 2016 *Millionaires Club-14kt Bar pin, choice of ring/$4250, 2 Trips, $5000 Cash award, Limo to Seminar Awards, Million-Dollar weekend In Dallas with Top 5 unit members, Unit March with custom banner at Seminar, Name on Millionaires Wall in the Mary Kay Museum.

Additional DIRECTOR INCENTIVES: (Royalty prizes rewarded at each level & all attend Royalty reception at Seminar.) *Double & Triple Crown Achievers: Achieve two or three National Courts and receive add a slide necklace & pave slide. Each year repeated you will receive additional pave diamond slide. *Miss Go-Give recipient- nominated by peers- Monthly nominees receives 14kt Go-give pin and National Go-Give Achiever receives 14kt & diamond heart pin & $1000 donated in her name to MKACF.

NATIONAL SALES DIRECTOR Independent NATIONAL SALES DIRECTOR

Other advantages Tax benefits Sales Director Disability Award Program Independent Sales Directors & Independent National Sales Directors have the opportunity to expand their business in designated international markets. Family Security Program Compensation Program for Independent National Sales Director Emeriti. Great Futures Compensation Program for Independent National Sales Director Emeriti that choose to expand their in designated international markets. All expense paid luxury trips DIAMONDS AND MORE DIAMONDS!!!!!! Please note that this Compensation scenario DOES NOT include the Independent National Sales Director Compensation. Mary Kay Cosmetics has more self made millionaires than any other company. Out of our 225 active U.S. Independent National Sales Directors, most have achieved millionaire status. There have been over 600 NSD’s in the U.S. Mary Kay Cosmetics is currently doing business in 35 International markets. Please contact your Independent Mary Kay Beauty Consultant to learn more about the National Sales Director compensation.

disclaimer The above scenarios of compensation are only an example of what can be obtained and is not a guarantee of earnings. Please call your Independent Beauty Consultant she/he will help you set up a business plan that aligns with your personal goals. Powerpoint created by Ind. National Sales Director, Lara McKeever