Preparing for our future with our “Safe” money Saving Today’s Dollars…To Provide For Tomorrow’s Security! RB & Associates, Inc. Welcome! This presentation is for illustration purposes only and is not intended as a full description of benefits. Please refer to each company’s brochure for a more comprehensive description of benefits, terms and conditions. Life and Health Insurance plans require underwriting. Benefit amounts can vary based on underwriting. Initial payment does not guarantee approval.

Can we count on Social Security? 16 workers to 1 retiree in 1950 3.3 workers to 1 retiree today Within 40 years it will be 2-to-1 “ Social Security was never meant to be the sole source of income in retirement. It is often said that a comfortable retirement is based on a "three-legged stool" of Social Security, pensions and savings . American workers should be saving for their retirement on a personal basis and through employer-sponsored or other retirement plans.” Social Security Administration web site Saving Today’s Dollars…To Provide For Tomorrow’s Security!

Out of every 100 people born 65 to 69 years ago… 19 HAVE INCOMES OF LESS THAN $7,000 50 HAVE INCOMES OF $7,000 to $45,000 ONLY 4 HAVE INCOMES OF MORE THAN $45,000+ 27 have died For the remaining 73 people , retirement looks like this: Saving Today’s Dollars…To Provide For Tomorrow’s Security!

19 HAVE INCOMES OF LESS THAN $7,000

50 HAVE INCOMES OF $7,000 to $45,000

ONLY 4 HAVE INCOMES OF MORE THAN $45,000+

Most people don’t plan to fail … They just fail to plan! (Usually because they don’t know there is a plan) Saving Today’s Dollars…To Provide For Tomorrow’s Security!

What do the 4% who retire successfully do? 1. They stop procrastinating & get started 2. They save consistently on a monthly basis 3. They put a fair share of their savings into an account that has… ● S afety ● A competitive rate of return Saving Today’s Dollars…To Provide For Tomorrow’s Security! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

The secret to long term success… “ Spend less than you earn, save & invest the difference and do that for a long time.” Ron Blue Saving Today’s Dollars…To Provide For Tomorrow’s Security!

No matter how much we make… We always seem to spend to that limit We need to pay ourselves first each month! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

There are 2 sides to the retirement story Accumulation Phase Distribution Phase Saving Today’s Dollars…To Provide For Tomorrow’s Security! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

There are 3 things we can all do with our money… SPEND IT !!! SAVE IT!!! INVEST IT!!! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

SPEND IT !!!

SAVE IT!!!

INVEST IT!!!

Our money will be “safe” but… what’s been the return ? Typically only 1 – 3% What about going the banking route? Saving Today’s Dollars…To Provide For Tomorrow’s Security!

What about going the stock market route? Saving Today’s Dollars…To Provide For Tomorrow’s Security! Option 1 Option 2 Invest $10,000 in the Stock Market Place $10,000 in a Safe Account Get an 80% increase Get a 50% decrease Get a 5% increase Get a 5% increase Results? $9,000 (a $1,000 loss) Results? $11,025 (a $2,025 difference) Nasdaq, Jan 2, 2000 (+87.09%) Nasdaq, Jan 2, 2001 (– 44.52%) Year 1 Year 2

The average return on mutual funds? Only 3.1% for past 25 years (minus the fees) Saving Today’s Dollars…To Provide For Tomorrow’s Security!

No wonder they call the Stock Market the… “ Wall Street Casino” Saving Today’s Dollars…To Provide For Tomorrow’s Security!

Can we balance our need for safety… and make our money grow? Indexed Universal Life Mutual Funds Bonds Variable Ann Stocks CD’s Fixed Ann T-Bill’s Saving Today’s Dollars…To Provide For Tomorrow’s Security! Saving Today’s Dollars…To Provide For Tomorrow’s Security! Protection Potential

What is Indexed Universal Life? Inside an insurance “wrapper” It’s a Safe SAVINGS program Savings Inside! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

What is the S&P 500 ? Saving Today’s Dollars…To Provide For Tomorrow’s Security!

S&P Annual Returns 1954 - 2005 How the market works… Will it be “up” the year you retire and when you need your money? Saving Today’s Dollars…To Provide For Tomorrow’s Security!

With Indexed Universal Life You Only SHARE in Index Gains You Never SHARE in Index LOSSES S&P Annual Returns 1954 - 2005 Saving Today’s Dollars…To Provide For Tomorrow’s Security!

When saving for your future, be sure to follow the rules… "Rule No. 1: Never Lose Money. Rule No 2: Never Forget Rule No. 1." Warren Buffett Saving Today’s Dollars…To Provide For Tomorrow’s Security!

How does an IUL work? Insurance “Wrapper” Savings side Your Savings Dollar 1. Watches S&P 500 3. If S&P 500 “down” pays guaranteed 1% ! 2. If S&P 500 is “up” it pays up to 15% ! 4. When you retire… take your money tax-free ( based on current tax law) Die Prematurely Become Disabled The plan is self-completing or Saving Today’s Dollars…To Provide For Tomorrow’s Security!

Immediate death benefit $226,284 (can you get that guarantee from your banker of stockbroker?) Live ? …Retire Tax Free! (based on current tax law) Potential Retirement Income: (age 70) + $418,581 Potentially withdraw $63,009 Tax-Free annually to age 120 (based on current tax law) Plan completed for Disabled ? you! Die ? Plan completed for you! We can all be better prepared… With a Self-Completing IUL Retirement Plan Payments made for you each month (payments made for 5 years) $334.00/monthly (must qualify for this option) Saving Today’s Dollars…To Provide For Tomorrow’s Security!

Most of us don’t hear the 2 nd half of the retirement story The # 1 fear that retired Americans face is… Outliving their money! Distribution Phase Saving Today’s Dollars…To Provide For Tomorrow’s Security!

The 2 nd half of the retirement story 70 71 72 73 74 75 76 77 78 79 80 80 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 Age Retirement Income Summary beginning at age 70 Bank CD EIUL IRA/401K $ 418,581 $ 1,049,717 Out of money in 19 years Out of money in 7 years Tax-Free* $63,009 to age 120! At age 100 you would have collected $1,890,270 (tax-free)* and still leave behind * Based on current tax law Saving Today’s Dollars…To Provide For Tomorrow’s Security!

Indexed Universal Life vs. Market You Win! When the Market is up... You Don't Lose! When the Market is down... Saving Today’s Dollars…To Provide For Tomorrow’s Security! Saving Today’s Dollars…To Provide For Tomorrow’s Security!

1. 2. 3. 4. 5. 6. RB & Associates, Inc. An Insurance Marketing Company Friend’s Name Telephone # Bill & Susan Smith (949) 100-0001 Sam & Jill Miller (949) 200-0002 (714) 786-3201 Ron & Florence Day Pete Johnson Craig & Jane Jones Tom & Sandy Wilson (949) 100-0001 (714) 962-1700 (949) 355-9801 “ Providing you with a solution …not just a product.”™ Saving Today’s Dollars…To Provide For Tomorrow’s Security!