1. Pension Structure and Maximization 141 North State Road Suite 1-E Briarcliff Manor, NY 10510 Tel: (914) 502-0700 www.spsfinancialservices.com

2. $50,000

3. Option A Maximum Option B 85% $50,000 Per Year $42,500 Per Year $7,500.00 Per Year Difference

4. $7,500.00 = $225,000

5. You Die

6. $1,000,000 Pension Company

7. $50,000 per Year Pension Company

9. Pension Company Keeps Death Benefit

10. You and Your Spouse are Dead … Pension Company has the Money… …Your Kids Don’t

12. Real-Life Case # 1 Retiring Officer John Doe Age 43 Final Average Salary $90,000.00 Pension= 50% of FAS or $45,000.00 In Good Health Life Expectancy- Age 78* *Source: Social Security Administration Mrs. Doe (John’s Wife) is the same age and also in good health.

13. Option A Maximum Option B 85% Difference $45,000 14%$38,700 $6,300.00 Per Year Officer John Doe

14. Doe Elects Option A (Full $45,000.00) Purchases $1,000,000 Life Insurance Guaranteed to Age 100 for $6,000.00 per year* *Estimate based on 43 year-old male in good health- rates are illustrative and vary from person-to-person

15. As per Social Security Rules, Officer Doe dies at age 78 Mrs. Doe Collects $1,000,000 Tax-Free From the Insurance Company *Note: The Doe’s Have Paid Approximately $204,000 into the Policy over 34 years and Will Receive $1,000,000.00 in Death Benefit. In This Case, the Return is Over 8.5% Tax Free.

16. Mrs. Doe’s Options: 1. Live on the $50,000 Interest and Leave the Entire $1,000,000 Proceeds to the Children 2. Use It All (Approximately $70,000 Per Year Over 20 years to Compensate for Inflation) 3. Use What She Needs and Leave the Balance to the Children

17. End Result: The Doe’s Usually Pay LESS Than the Cost of “Option B” Every Year Mrs. Doe Has MORE Money and MORE Options In Her Later Years Kids Receive Whatever is Left Over (Instead of NOTHING) and say nice things about you when you’re gone.