1. Financial Services

2. 7U.S. Federal Reserve, May 2005. 8Baker,D. Dangerous Trends: The Growth of Debt in the U.S. Economy. Washington, D.C.: The Center of Economic and Policy Research, Sept. 2004. 9U.S. Census Bureau, Facts for Features: Back to School. August 2005. 10Weller, Christian E. Ph.D. Families Work Longer to Pay for Middle-Class Items than a Quarter-Century Ago, Center for American Progress, Oct. 2005. 11American Council of Life Insurers, ACLI Life Insurers Fact Book, 2003. The Need Exists… With little or no education on financial matters, most consumers need guidance to help them make informed choices to meet todays environment…

3. In 2005, people were spending beyond their means: Consumer Debt = More than $2 trillion Consumer Debt = More than $2 trillion Household Debt = 116% of disposable income (record high) Household Debt = 116% of disposable income (record high) MASSIVE DEBT The Need Exists…

4. Savings as a share of disposable income: 1980s = 10 % 1980s = 10 % 1990s = 5% 1990s = 5% 2000s = 1% 2000s = 1% WEAK SAVINGS HABITS

5. The Need Exists… College costs have more than doubled from 1990 to 2005. College costs have more than doubled from 1990 to 2005. Average Annual College Tuition over 4 years: Public: $42,640 Private: $124,204 Average Annual College Tuition over 4 years: Public: $42,640 Private: $124,204 HIGH COST OF EDUCATION

6. The Need Exists… Things have changed for the average two-earner American family in the last 25 years: Things have changed for the average two-earner American family in the last 25 years: They have $1,702 less annually to save for retirement after paying for basics such as clothing, food and utilities. They have $1,702 less annually to save for retirement after paying for basics such as clothing, food and utilities. RETIREMENT & THE RISING COST OF LIVING

7. The Need Exists… If you should die unexpectedly, without proper protection, your family could be facing serious financial concerns. If you should die unexpectedly, without proper protection, your family could be facing serious financial concerns. Average Single Insurance Death Claim = $11,421 Average Single Insurance Death Claim = $11,421 UNEXPECTED LOSS

8. Overview Future products Mortgage Service Refinance Purchase ELOC Primary Residence Investment Property OPPORTUNITY P and C Homeowners Insurance Umbrella Policies Insurance Services Term-ROP Term Universal Life Equity Indexed Life Wealth Accumulation Products

10. The Problem Household Expenses Mortgage $2,000 Food/Bills $1,000 Car + Insurance$ 500 Credit Cards$ 500 Misc.$ 500 TOTAL BILLS $4,500 INCOME $4,500 DISCRETIONARY INCOME : -0-

11. Household Expenses Mortgage $2,000 Food/Bills $1,000 Car + Insurance$ 500 Credit Cards$ 500 Misc.$ 500 TOTAL BILLS $4,500 INCOME $4,500 DISCRETIONARY INCOME : -0- The Problem If we could show you a way to free up $700 to $1000 from your family expenses, without changing your Lifestyle… Would you save for your future?

12. Solution New Cash Flow + $1,000 Without Cutting Back Lifestyle Household Expenses Mortgage $2,000 Food/Bills $1,000 Car$ 0 Credit Cards$ 0 Misc.$ 500 TOTAL BILLS $3,500 INCOME $4,500

13. What is it REALLY worth? Save $500 per month for Emergency Fund Save $500 per month for Emergency Fund $6,000 saved for emergency use after 1 year $6,000 saved for emergency use after 1 year Invest $500 per month for 25 years Invest $500 per month for 25 years Growth @ 6% Growth @ 8.5% $346,000 $516,000 $346,000 $516,000 Could YOU use an extra Half Million Dollars at Retirement? Could YOU use an extra Half Million Dollars at Retirement?

14. Asset Accumulation What interest rate do you earn on equity? What interest rate do you earn on equity? Is Equity liquid? Is Equity liquid? Is Equity Safe from market Risk? Is Equity Safe from market Risk?

15. Asset Accumulation If you could earn a rate of return on Equity would you want the extra money? If you could earn a rate of return on Equity would you want the extra money? Can you afford to waste the potential income? Can you afford to waste the potential income?

16. Solution #1 OR $2,000 The difference is $500 If we invest $500 per month over 30 years @ 8.5% =$825,000 Then pay off loan-($300,000) The client has $525,000 Level Interest Only Mortgage Interest Only Mortgage$1,500 Loan Amount $300k$300k

17. Solution #2 However, not everyone lives in their home for 30 years. Assuming we live in our home for 7 years. We invest $500 per month over 7 years @ 8.5% : $ 57,122 After 7 years, the home may appreciate to $400,000 The client owes: -($300,000) Profit on sale of home is: $100,000 Client nets: $157,122 Level Interest Only Mortgage Interest Only Mortgage$1,500 $2,000 Loan Amount $300k$300k

18. Equity is Great

19. Cash Is KING!

20. Compensation Life License: Life License: 25% - 75% Commission 25% - 75% Commission

21. Compensation You can BE the advisor You can BE the advisor You can TRAIN with an advisor You can TRAIN with an advisor You can REFER to an advisor You can REFER to an advisor

22. Compensation Refinance $400,000 Loan Amount x 2% (points) x 2% (points)$8,000 x 60% Commission x 60% Commission $4,800: x 3 Clients Equity Indexed Life $ 500 per month x12 $ 6,000 x70% x70% $4,200: x 3 Clients $14,400 Mortgage Income $14,400 Mortgage Income $12,600 Financial Services Income $12,600 Financial Services Income $27,000 Monthly Income $27,000 Monthly Income $324,000 / Year potential $324,000 / Year potential

23. Compensation Referring agent Compensation $ 500 per month x12 $ 6,000 x70% x70% $4,200: x 3 Clients 25/75 Split with advisor Initiate and introduce Advisor manages the relationship/process $1050. per client (example) $14,400 Mortgage Income $14,400 Mortgage Income $4200 Financial Services Income $4200 Financial Services Income $18,600 Monthly Income $18,600 Monthly Income $223,000 / Year potential $223,000 / Year potential

24. Compensation Participating Agent $ 500 per month x12 $ 6,000 x70% x70% $4,200: x 3 Clients 50/50 Split with advisor Attending Client meetings Managing the relationship $2100. per client (example) $14,400 Mortgage Income $14,400 Mortgage Income $6,300 Financial Services Income $6,300 Financial Services Income $20,700 Monthly Income $20,700 Monthly Income $248,000 / Year potential $248,000 / Year potential

25. Compensation Producing/ Sr. Agent $ 500 per month x12 $ 6,000 x70% x70% $4,200: x 3 Clients $14,400 Mortgage Income $14,400 Mortgage Income $12,600 Financial Services Income $12,600 Financial Services Income $27,000 Monthly Income $27,000 Monthly Income $324,000 / Year potential $324,000 / Year potential

26. Compensation We are looking for Leaders/Managers We are looking for Leaders/Managers As a Managing Advisor you supervise 10 Advisors As a Managing Advisor you supervise 10 Advisors $15,000Business $15,000Business x 10 Advisors x 10 Advisors $150,000Total $150,000Total x 20% (Avg-Management Override) x 20% (Avg-Management Override) $30,000 Monthly Income Potential $30,000 Monthly Income Potential This does NOT include renewal or trail commissions This does NOT include renewal or trail commissions This does NOT include any IRA/401k Rollover business This does NOT include any IRA/401k Rollover business

27. Take the Next Step Four major reasons to expand into Financial Services A tremendous need in marketplace exists for solid financial advice A tremendous need in marketplace exists for solid financial advice Excellent earning potential as an Advisor or Manager. Excellent earning potential as an Advisor or Manager. Opportunity to help others while helping yourself and your family Opportunity to help others while helping yourself and your family Powerful recruiting tool for Loan Advisors and Leaders Powerful recruiting tool for Loan Advisors and Leaders

28. Take the Next Step Now the time has come to… Now the time has come to… Register for the Life Insurance class today. Register for the Life Insurance class today. Begin to Identify and prepare your best prospects Begin to Identify and prepare your best prospects A Great Opportunity is only Great IF YOU ACT ON IT A Great Opportunity is only Great IF YOU ACT ON IT

29. Pre-Registration For Class Tentative dates for prep classes Tentative dates for prep classes October 9 th through the 13 and the 17 th October 9 th through the 13 and the 17 th October 23 through the 27 th and the 30 th October 23 through the 27 th and the 30 th Class will start promptly at 1:00 pm Class will start promptly at 1:00 pm