1. Important Distinction So far, the only strategies we’ve discussed for getting money into your Strategic Affluence 401k have been called “Contributions” and “Reinvestment”. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

2. Important Distinction Contributions and Reinvestments are based on nothing more than putting money into your Strategic Affluence 401k, and using those funds to generate profits. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

3. Important Distinction For most people, these are the only types of funding strategy they ever know. However, due to the fact that your Strategic Affluence 401k is totally and completely self-directed, and has none of the limitations of “Wall Street” retirement accounts… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

4. Important Distinction You’re able to get investment capital into your Strategic Affluence 401k in a couple of additional and critically important ways. So let’s discuss the 2 “Non- Contribution” ways to acquire investment capital for your Strategic Affluence 401k. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

5. ‘Non-Contribution’ Strategy #1 Imagine that you have a great investment opportunity for your Strategic Affluence 401k, but not quite enough investment capital to make the investment. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

6. ‘Non-Contribution’ Strategy #1 With any type of conventional retirement account, you’re out of luck! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

7. ‘Non-Contribution’ Strategy #1 But with the Strategic Affluence 401k, you have another alternative… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

8. Non-Contribution Strategy #1: Borrowing 3 rd Party Capital Salary Deferral Profit Sharing Maximizer Strategy Your Strategic Affluence 401k Reinvest Borrow Capital This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

9. Borrowing In Your Strategic Affluence 401k Yes, there are a few limitations. Your Strategic Affluence 401k can’t borrow money from you, or from anyone directly related to you. (That’s called a “Prohibited Transaction” and will be addressed in a different training.) This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

10. Borrowing In Your Strategic Affluence 401k And if loans are acquired by pledging the assets of the Strategic Affluence 401k, the loan must be to the Strategic Affluence 401k, and not to you personally. Obviously, seek your own legal and financial advice, but in general, those are the two restrictions for borrowing in your Strategic Affluence 401k. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

11. Borrowing In Your Strategic Affluence 401k The notion of borrowing in your Strategic Affluence 401k brings up some very natural questions, such as: This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

12. Borrowing In Your Strategic Affluence 401k Why would I want to borrow on behalf of my Strategic Affluence 401k? Who would be willing to lend to my Strategic Affluence 401k? This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

13. To answer those questions, let’s consider some highly relevant case studies… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

14. Case Study: Real Estate You have only $5,000 in your Strategic Affluence 401k You’ve found a home that’s worth $150,000… but it needs a bit of fix-up to be market ready The property will require $10,000 in repairs You negotiate a purchase price of $90,000 This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

15. Case Study: Real Estate Your Strategic Affluence 401k is $95,000 short of the funding that’s needed to buy and repair this Strategic Affluence, and to make a profit of up to $50,000… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

16. Case Study: Real Estate In today’s low-interest rate environment, many people would be thrilled to make 8% on their money. And since your Strategic Affluence 401k is buying and repairing this property at only 2/3 of its retail value, This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

17. Case Study: Real Estate you could offer strong security to your lender by offering a first mortgage on the property so that they are secured by the value of the property in the event your Strategic Affluence 401k doesn’t repay them. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

18. Case Study: Real Estate You could very plausibly structure this transaction as a no-payment loan which accrues interest at 8% and is payable in 6-12 months. This allows for plenty of repair and resale time! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

19. Case Study: Real Estate If the project took an entire year to fix and resale, you’d pay $7,600 in interest based on a loan of $95,000…. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

20. Case Study: Real Estate …If you plan to pay another 5% of the resale price ($150,000) to cover closing costs and your side of the real estate commissions, then your Strategic Affluence 401k’s financial situation would look like this: This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

21. Case Study: Real Estate Purchase Price:$90,000 Repair Cost:$10,000 Interest Expense:$7,600 (8% on 1-year loan of $95,000) Closing Costs/R.E. Comm:$7,500 Total Expenses:$115,100 This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

22. Case Study: Real Estate Resale Price:$150,000 Total Expenses:($115,100) Return Of Your Capital:($5,000) _ Total Profit:$29,900 This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

23. Case Study: Real Estate And remember: Your Strategic Affluence 401k only invested $5,000 and got its entire investment back, plus $29,900 in profit. That’s an annual profit of 598%! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

24. Case Study: Real Estate In reality, this project should not take an entire year, so you’d likely make even more by paying less in interest. But even planning for the possibility of a long resale/repair period, your profit is still very impressive… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

25. Case Study: Real Estate …and it may not have happened at all without the potential for your Strategic Affluence 401k to borrow money! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

26. This is another circumstance in which the Strategic Affluence 401k is vastly superior to any IRA… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

27. …if you’d done this same transaction in your IRA, your IRA would have to pay current income taxes on approximately 95% of the profits This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

28. since 95% of the deal was financed with borrowed money. That tax is called “Unrelated Business Income This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

29. Tax” and is a killer for many IRA owners. Guess what? That tax simply virtually never applies to your Strategic Affluence 401k! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

30. Ok, so it’s great that your Strategic Affluence 401k can borrow money. But who would be willing to lend to it? This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

31. Lending Sources The fact is, you can’t simply go to “just any old bank” to borrow on behalf of your Strategic Affluence 401k. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

32. Lending Sources Generally speaking, any loan that your Strategic Affluence 401k takes must not place your personal assets, or the assets of any party related to you, at legal risk in the event of the default of your Strategic Affluence 401k. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

33. Lending Sources This type of loan is called “non-recourse” and is frequently said to be the only type of loan that can benefit a retirement plan… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

34. Warning! “Conventional” Wisdom is that retirement plans (such as your Strategic Affluence 401k) can only accept “Non-Recourse” loans. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

35. This is False! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

36. If you’d like to get loans in the name of your Strategic Affluence 401k without the involvement of any financial partners, non-recourse loans can accomplish this. This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

37. Using “Full Recourse” Loans But here’s a way to use a normal full-recourse loan to benefit your Strategic Affluence 401k: This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

38. Using “Full Recourse” Loans Identify an unrelated third party who has the financial profile necessary to acquire the type of loan your Strategic Affluence 401k needs Have your Strategic Affluence 401k co-sign the loan with your financial partner, being sure to specify all recourse as belonging to the partner. Pay the financial partner a “loan guarantee/acquisition” fee… and enjoy your new financing! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

39. Lending Sources Some of the most common sources for such loans are: This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

40. Case Study: Real Estate Friends & Family (other than those considered disqualified parties) Colleagues familiar with your history of success in real estate Retirement plans owned by others Lenders who offer non-recourse loans This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

41. Loans From 3 rd Party Retirement Plans It is very common for people who own retirement accounts to seek out fixed-rate return investments that offer some type of securitization (such as a mortgage against real estate). This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

42. Loans From 3 rd Party Retirement Plans This is another reason it is critically important for you to make every effort to join us at our live training events, as there will be many people with fully self- directed retirement accounts in attendance, some of whom may well be interested in lending to you! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

43. Lenders Who Offer Non Recourse Loans A collection of lenders who have offered non recourse loans that are suitable for your Strategic Affluence 401k can be found at: http://www.Strategic Affluence401kCo.com/nonrecourselenders http://www.Strategic Affluence401kCo.com/nonrecourselenders Also, search the internet for “non-recourse lender” and you’ll see a wide array of such lenders This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

44. As you can see, your Strategic Affluence 401k isn’t likely to get a loan from your local bank… This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com

45. But there are millions of dollars of funding available with just a slight amount of creativity… and that creativity can EXPLODE the value of your Strategic Affluence 401k! This material is copyright © 2013 by SSEN LLC and is used under license by Strategic Affluence LLC. This presentation is not to be construed as legal or professional advice and is subject to terms and conditions posted at http://www.StrategicAffluence.com