Zero Tax Planning For Professional Adviser Use Only. Not for Distribution to the Public.  Wealth Design Consultants, LLC and Voorhees Family Office Services, Inc. David W. Holaday Wealth Design Consultants, LLC N. Meridian Street, Suite 560 Carmel, IN (317) THE Gathering 2012 San Diego Marriott La Jolla February 23, 2012 Tim Voorhees Matsen Voorhees LLP 695 Town Center Drive, Suite 700 Costa Mesa, CA (800)

7 Highly Practical Topics #1 Why Public Policy Promotes Zero Tax Planning #2 Why Zero Tax Planning Is More Attractive Than Ever #3 Why Everyone Needs a Plan With Integrated Financial and Tax Solutions #4 Why Most Clients Prefer to Start With a Tactical Plan #5 Which Deliverables Are Best #6 How to Establish a Process #7 How to Communicate the Message

#1 Why Public Policy Promotes Zero Tax Planning

…. If I went over the toll bridge and through the barrier without paying the toll, I would be committing tax evasion. If, however, I drive the extra mile and drive outside the city of Washington, I am using a legitimate, logical and suitable method of tax avoidance, and I am performing a useful social service by doing so. For my tax evasion, I should be punished. For my tax avoidance, I should be commended. The tragedy of life today is that so few people know that the free bridge even exists.” --U.S. Supreme Court Justice Louis D. Brandeis

Synergistically Combine Charitable and Non- Charitable Tools Convert involuntary philanthropy into voluntary philanthropy Integrate complementary tools Low-interest loans Charitable gifts Discounting Life insurance

#2 Why Zero Tax Planning Is More Attractive Than Ever

Prepare for New Opportunities Estate tax exemption will likely drop to $1 million on 1/1/2013. Exploit new opportunities to move assets to irrevocable trusts Help clients fund the most powerful and popular irrevocable trusts

Implement More Trusts Learn ways to super-charge trust strategies Use web-based software to produce customized client illustrations Present marketing materials for business owners, retired couples, and elderly clients Serve attorney referral sources more effectively Provide trust funding services to attorneys Position yourself as the quarterback on every case

#3Why Everyone Needs a Plan With Integrated Financial and Tax Solutions

8,000,000+ Millionaires Served by Financial Planners 800,000+ Deci- Millionaires Served by MFOs 80,000+ Centi- Millionaires Served by MFOs & SFOs 900+ Billionaires Served by SFOs MFO = Multi- Family Office SFO = Single Family Office $10,000,000+ Net Worth = Deci-millionaire $100,000,000+ Net Worth = Centi-millionaire

14 The Family Office Wealth Counselor Sees All Sides

#4 Why Most Clients Prefer to Start With a Tactical Plan

Dynasty Trust Insurance as an Asset Class Life Settlements Insurance Trust Review Premium Financing Capacity Capture Insurance Warehousing Annuity Income Maximization IRA Maximizer Sale of Partnership Interests to a Family Grantor Trust Financed Indexed UL Annuity Arbitrage Private Split Dollar Zero Tax Estate Planning Credit Shelter Trusts with Life Insurance Intellectual Property Strategy Qualified Money Conversion Defined Benefit Combo Equity Appreciation Sharing Cost Segregation Study Captive Insurance Company Tax-Efficient Squeeze Freeze Popular Strategies in 2012

Illustrate Advanced Trust Design Techniques A) Annuity Arbitrage. Transfer extra wealth to heirs tax-efficiently B) Leveraged ILIT. Facilitate the tax-efficient funding of premium financing strategies C) IDIT with Insurance. Monitor cash flows and inheritance amounts year-to-year

A) Annuity Arbitrage TAX ADVICE DISCLOSURE To ensure compliance with requirements imposed by the IRS under Circular 230, we inform you that any U.S. federal tax advice contained in this communication (including any attachments), unless otherwise specifically stated, was not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any matters addressed herein.

$ 1 Million Annuity or IRA Value

5. Benefits after Estate tax

B) Leveraged ILIT TAX ADVICE DISCLOSURE To ensure compliance with requirements imposed by the IRS under Circular 230, we inform you that any U.S. federal tax advice contained in this communication (including any attachments), unless otherwise specifically stated, was not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any matters addressed herein.

A) Annuity Arbitrage TAX ADVICE DISCLOSURE To ensure compliance with requirements imposed by the IRS under Circular 230, we inform you that any U.S. federal tax advice contained in this communication (including any attachments), unless otherwise specifically stated, was not intended or written to be used, and cannot be used, for the purpose of (1) avoiding penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any matters addressed herein.

Tim Voorhees, JD, MBA Family Office Services Von Karman Ave. Suite 150 Irvine, CA (949)

#5 Which Deliverables Are Best

#6 How to Establish a Process for: Generating More Fee Income Implementing More Investment and Insurance Cases Documenting More Gifts for Charities Consistently Collecting More Positive Client Satisfaction Surveys

Training/ Coaching Marketing Planning/ Production Tools Administrative Workflows Hi-Tech, Hi-Touch Cornerstones Hi-Tech, Hi-Touch Cornerstones Business Plan

#7 How to Communicate the Message Estate tax practitioners need to know how to build the following concepts into estate plans: Income tax plans Business transition plans Business formation design/drafting Asset protection Will contest prevention Legacy planning to equip heirs Trust planning Special needs trust design/planning

7 Highly Practical Topics #1 Why Public Policy Promotes Zero Tax Planning #2 Why Zero Tax Planning Is More Attractive Than Ever #3 Why Everyone Needs a Plan With Integrated Financial and Tax Solutions #4 Why Most Clients Prefer to Start with a Tactical Plan #5 Which Deliverables Are Best #6 How to Establish a Process #7 How to Communicate the Message

Disclaimer Wealth Design Center LLC and Matsen Voorhees LLP do not give tax, accounting, regulatory, or legal advice to its clients unless clients have a current engagement defined in a signed retainer agreement. Clients must consult with advisers regarding the tax, accounting, and legal implications of these proposed strategies before any strategy is implemented. The effectiveness of any of the strategies described will depend on a client’s individual situation and on a number of complex factors. Nothing in this presentation is intended to offer securities or investment advice. Any discussion in this presentation relating to tax, accounting, regulatory, or legal matters is based on our understanding as of the date of this presentation. Rules in these areas are constantly changing and are open to varying interpretations.

© Tim Voorhees, JD, MBA, Phone: Fax: Jeff Matsen, Esq. Dave Holaday, ChFC, CAP Tim Voorhees, JD, MBA