1. Expand Your Retirement Sales in 2003 With The Transamerica Retirement Services Producer’s Toolbox
Thursday, January 30, 2003

2. Transamerica Retirement Services Producer’s Toolbox
Plan Design and Compliance Expertise
New 2003 Comp Plus Package
Preferred Producer Program
Producer Support

3. MEP Non-Control Groups
Plan Design and Compliance Expertise
Bottom-Up QNECs
Sarbanes-Oxley Act
MEP Non-Control Groups
A Guide To Evaluating Your Company’s Retirement Program
Fiduciary Guide
Deemed IRAs

4. Bottom-Up QNECs Plan Design and Compliance Expertise
Many plan sponsors are subjected to year-
end testing
Plans fail discrimination testing
Plan sponsor obtain refunds from the
discrimination test
Visit last quarter’s web conference in the
producer site Streaming Media Center on

5. Three pension provisions Blackout Notice Requirement
Plan Design and Compliance Expertise
Sarbanes-Oxley Act
Three pension provisions
Blackout Notice Requirement
Prohibition on Insider Trading of Employer Securities During Defined Contribution Plan Blackout Periods
Increased ERISA Criminal Penalties

6. Sarbanes-Oxley Act Plan Design and Compliance Expertise
DOL1 interim final rules with respect to the blackout period
The notice must be furnished at least 30 days, but not more than 60 days before the last date participants and beneficiaries could exercise their affected rights before the blackout period begins.
1Department of Labor

7. Sarbanes-Oxley Act (cont.)
Plan Design and Compliance Expertise
Sarbanes-Oxley Act (cont.)
If notice is not timely, a written explanation as to why the plan was unable to furnish the notice within the 30-day limit must be included.

8. Sarbanes-Oxley Act Plan Design and Compliance Expertise
Exceptions to the 30-day notice requirement.
Delay in implementing a blackout would violate the exclusive purpose rule or prudent man rule under ERISA
Unforeseeable events or circumstances beyond the control of the plan administrator
Blackout period is in connection with a merger, acquisition, divestiture or similar transaction.
Note: Notice must nevertheless be provided in these situations

9. Sarbanes-Oxley Act Plan Design and Compliance Expertise
Exceptions to the 30-day notice requirement. (cont.)
The Plan administrator must make a written determination (dated and signed) with respect to the circumstances precluding compliance with the 30-day notice requirement.
These regulations include a model notice
Note: Notice must nevertheless be provided in these situations

10. Sarbanes-Oxley Act (cont.)
Plan Design and Compliance Expertise
Sarbanes-Oxley Act (cont.)
Civil Penalties for Non-Compliance
$100/day penalty (assessed to plan administrator) for non-compliance with the notice requirements
Penalty cannot be paid with plan assets
Penalty applies to each participant or beneficiary for each failure

11. Sarbanes-Oxley Act (cont.)
Plan Design and Compliance Expertise
Sarbanes-Oxley Act (cont.)
These interim final rules are effective 1/26/03.
The notice requirements apply to blackout periods that begin on or after 1/26/03
For blackout periods that begin between 1/26/03 and 2/25/03, notice must be provided as soon as reasonably possible.

12. Plan Design and Compliance Expertise
MEP Controlled and Non-Controlled Groups
Controlled Group definition: A controlled group consists of a group of businesses that are at least 80% owned by another business (“parent-subsidiary” controlled group) or an individual (“brother-sister” controlled group). All member companies of a controlled group are treated as if they were one employer for a number of employee benefit plan purposes.

13. Plan Design and Compliance Expertise
MEP Controlled and Non-Controlled Groups
Non- or Near-Controlled Group definition: A non-controlled group is similar in structure to a controlled group (multiple businesses with common ownership), but does not meet the ownership requirements (80%) to make it a true controlled group.
Note: Some non-controlled groups are Affiliated Services Groups (i.e. business which share common ownership and derive a significant portion of their revenues by selling services to each other); ASGs are treated exactly the same as Controlled Groups

14. MEP Controlled and Non-Controlled Groups
Plan Design and Compliance Expertise
MEP Controlled and Non-Controlled Groups
Characteristics
Most likely do not have centralized payroll amongst member companies
May have a single plan trustee and administrator
Likely to have low employer terminations

15. MEP Controlled and Non-Controlled Groups
Plan Design and Compliance Expertise
MEP Controlled and Non-Controlled Groups
Characteristics (cont.)
Segment is attractive due to typically high asset levels and close ownership structure
Segment is not easy to proactively target, since it is difficult to identify and qualify prospects

16. A Guide To Evaluating Your Company’s Retirement Program
Plan Design and Compliance Expertise
A Guide To Evaluating Your Company’s Retirement Program
Four Pillars of a Successful Retirement Plan
Plan Design and Compliance
Employee Communication
Investment Expertise and Performance
Comprehensive Plan Administration, Service and Support

17. Plan Design and Compliance Expertise

18. Fiduciary Guide Plan Design and Compliance Expertise
TRS commitment to Plan Sponsors
Understanding Fiduciary Responsibility
Fiduciary Management for Investments
Value-added tool to help you service and manage your clients’ fiduciary risk and responsibility

19. Plan Design and Compliance Expertise

20. How can the fiduciary guide help you?
Plan Design and Compliance Expertise
How can the fiduciary guide help you?
Describe roles to help you distinguish yourself from other brokers
Provide a value-added way to service your client after plan sale
Tool to provide you with the information involved in fiduciary responsibility

21. Deemed IRAs Plan Design and Compliance Expertise
IRS issued its first guidance on Deemed IRAs in Revenue Procedure
EGTRRA added Deemed IRA provisions to the Code effective for plan years beginning after 12/31/02. 

22. Deemed IRAs Plan Design and Compliance Expertise Background Highlights
Impact

23. Preferred Producer Program Educational Opportunities
Broker Support
Comp Plus
Preferred Producer Program
Educational Opportunities
Internal Sales Desk

24. Applies to Partner Series and Director Series Products
Comp Plus
Changed for 2003
Applies to Partner Series and Director Series Products
All above contracts in their first deposit year are eligible
Comp Plus paid on all commissions generated in the first deposit year

25. (Commissionable Contracts) Comp Plus (% of First Year Commission)
First Year Deposits
(Commissionable Contracts)
Comp Plus (% of First Year Commission)
First $1,000,000 0%
Next $4,000,000
15%
Next $5,000,000
30%
Excess over $10,000,000
50%

26. First-Year Deposits: $6,000,000 Eligible Comp Plus Amt: $6,000,000
Example:
First-Year Deposits: $6,000,000
Eligible Comp Plus Amt: $6,000,000
Compensation: $ ,000
(1% first commissions)
Comp Plus Bonus: $ ,500

27. Bonus available for commissionable cases only
Comp Plus 2003
Bonus available for commissionable cases only
Applicable to Partner Series and Director Series Products*
Paid Monthly
*“Director Series” and “Partner Series” refers collectively to the following policy forms: “Transamerica Director Series I” and “Transamerica Partner Series I”--Contract Form No. TGP is a group annuity issued by Transamerica Life Insurance and Annuity Company, Charlotte, NC, and offered through Transamerica Retirement Services. Contract Form and number may vary, and this product may not be available in all jurisdictions. Not available in New York. “Director Series I” and “Partner Series I”--Contract Form No. TA-AP-2001-CONT is a group annuity contract issued by AUSA Life Insurance Company, Inc., Purchase, NY, and offered through Transamerica Retirement Services. In the State of New York, Transamerica Retirement Services refers to AUSA Life Insurance Company, Inc.

28. Preferred Producer Program
Effective January 1, 2003, the following levels have been restructured based on written first year assets:
PLATINUM $10 million
GOLD $ 5 million
SILVER $ 2 million
Only sales of the Director Series and Partner Series qualify

29. Silver Preferred Producer
Preferred Producer Program
Silver Preferred Producer
($2 Million)
Customized Ads
Customized Worth A Look
Marketing letters and customized materials
Customized prospecting lists
Seminar support
Preferred Installation Service

30. Gold Preferred Producer
Preferred Producer Program
Gold Preferred Producer
($5 Million)
Customized Ads
Customized Worth A Look
Contact Management Software
Customized prospecting lists
Seminar support
Preferred Installation Service
Personal Marketing Consultant

31. Platinum Preferred Producer
Preferred Producer Program
Platinum Preferred Producer
($10 Million)
Customized Ads
Customized Worth A Look
Contact Management Software
Customized prospecting lists
Seminar support
Preferred Installation Service
Personal Marketing Consultant
Invitation to Big Kahuna

32. Platinum Preferred Producer
Preferred Producer Program
Platinum Preferred Producer
Big Kahuna Contest
To qualify for this trip, you must have
$10 million in first-year sales! 
Regular standing updates on producer website
Big Kahuna destination for 2004: Prague

33. Retirement Services University (RSU) Business Builder Workshops
Producer Support
Retirement Services University (RSU)
Business Builder Workshops
Internal Sales Desk
Contact Us

34. Producer Support
RSU
Transamerica’s Retirement Services University is for those who already do retirement plan business and still want to do more. Our objective is to create an open forum where the best producers can get together and share tips for success.

35. Business Builder Workshops
Producer Support
Business Builder Workshops
Held in Boston, Chicago, Los Angeles and San Francisco
Expanding to run more workshops in other cities
One-day workshops designed to
Help you assess your business and
To become a more effective producer

36. Internal Sales Desk Producer Support 3 teams:
4-6 Internal Sales Consultants per team
Small teams where relationships are built yet large enough to respond to the needs of producers in various regions
Calls are routed by area code
(888)

37. Your one-stop solution to all the sales support you need Proposals
Producer Support
Internal Sales Desk
Your one-stop solution to all the sales support you need
Proposals
ERISA Desk/ Plan Design
Exceptions
Closing Support
(888)

38. Internal Sales Desk Producer Support
Live attendance (coverage 9 AM-5 PM)
Contact for marketing materials and fulfillment
Answers plan design or ERISA-related questions
Referral to appropriate TRS department
Help with producer website login information
(888)

39. Contact our Internal Sales Desk at (888) 401-5826 for any questions.
Producer Support
Contact Us . . .
Contact our Internal Sales Desk at
(888) for any questions.
Visit our website at
to learn more about what we have to offer.