1

Your name here

Regional Leader

OM2/US/37092/2.08/v3.0/05PFS356-8

Most people are concerned about money matters, but few truly understand how money works.

The Headlines Tell The Story

More than two-thirds in U.S. live paycheck to paycheck.www.reuters.com, January 23, 2013

The average American household with at least one credit card has nearly $15,950 in credit card debt (in 2012).”

CNNMoney.com, viewed July 18, 2012

Nearly half of Americans have less than $500 in savings.HuffingtonPost.com, October 22, 2012

1.46 million individuals filed for bankruptcy in 2011.CBSNews.com, September 11, 2012

95 million U.S. adults have no life insurance.Lifehealthpro.com, July 8,2013

More than half of all workers have less than $25,000 in savings and investments for retirement.

Employee Benefit Research Institute 2013 Retirement Confidence Survey

How real and serious are these problems?

100 People at age 65

100 people at age 65:

54% dependent 36% working 5% deceased 4% OK ($1 million) 1% wealthy ($5 million)

Why do 95% fail when it comes to their finances? 1. Failure to plan 2. No Financial Education (Uninformed) 3. No financial coach (Misinformed)

Source: SmartMoney, 2001

1%4%

36%

5%

54%

Savings & Investments: Long term strategy

Income Protection: Life Insurance, Long Term Care, Will etc.

Written Program: To Control & Eliminate Debt

Emergency Fund: 3-6 months salary

Fun & Games:

Problem is Most Americans build there financial house roof first, and they wonder why it’s in

shambles!

Building Your Financial House

3 Things out to get your money

1. Taxation: Money we pay to the Gov.

2. Inflation: When we lose buying power over time

3. Market Fluctuation: The ups & downs of the economy

There are proven techniques and things that we can use to protect

our money from these things.

1. Your Spouse & Kids

Tax Overpayment Solution:Save overpayment: $242 a month

That’s a extra $443,039 @ 9% by age 65!

Tax Overpayment:Average 2012 tax refund: $2,913Overpayment: $242/m

BEFORE AFTER

A snapshot of what we do

Example of a couple age 35

9

$4,000

$2,000

The Rule of 72This simple calculation gives you the approximate number of years it will take to double your investment.

Based on the Rule of 72, a one-time contribution of $2,000 doubles six more times at 12% than at 3%.This table serves as a

demonstration of how the Rule of 72 concept works from a mathematical standpoint. It is not intended to represent an investment. The chart uses constant rates of return, unlike actual investments which will fluctuate in value. It does not include fees or taxes, which would lower performance. It is unlikely that an investment would grow 10% or more on a consistent basis, given current market conditions.

$2,000 $2,000

$4,000

$4,000

$8,000

$8,000

$16,000

$16,000

$32,000

$64,000

$128,000

$256,000

$512,000$32,000$8,000

0

6

12

18

24

30

36

42

48

Numberof Years 3% 6% 12%3

%12%

6%

$2,000

$256,0006yrs

6yrs

3 D’s of successful investing

1. Discipline: Pay yourself first!

When you don’t, there’s a high cost of waiting.

$100 Monthly Savings @ 9% for 40 Years (Age 27-67)

42$112,950(-$358,690)

32 $296,380(-$175,260)

28 $430,040(-$41,600)

27 $471,640

Wait 15 years($18,000)

Wait 5 years($6,000)

Wait 1 year($1,200)

Who are people hurting if they wait?

3 D’s of successful investing

2. Dollar cost Averaging:

*Dollar cost averaging cannot assure a profit or protect against loss in declining markets. Investors should consider their ability to continue to invest in a declining market.

Month 1 Month 2 Month 3 Month 4 Month 5Month 6

$20

1816141210

86420

Share

Pri

ce

A

Investor ARising Market

Systematic Investing allows you to use dollar-cost averaging to build wealth over the long term.

Investor A Month 1 Month 2 Month 3 Month 4 Month 5 Month 6

Per share: $10 $12 $14 $16 $18 $20# of shares: 10.00 8.33 7.14 6.25 5.56 5.00

Investor BPer share $10 $7 $4 $2 $6 $10# of shares 10.00 14.29 25.00 50.00 16.67 10.00

Invests$100per month

Invests$100per month

Number ofSharesAccumulated

42Number ofSharesAccumulated

126Amount Invested Value after Average Cost

in 6 months 6 Months

A $600 $840 $14.19B $600 $1,260 $4.76

Investor A invests $100 a month in a rising market.

Investor B invests $100 a month in a fluctuating market.

Investor B

BFluctuating Market

3 D’s of successful investing Cont’

3. Diversification:

So being Disciplined, using Dollar cost averaging, and being Diversified, we increase our chances of doing better.

* Diversification does not assure a profit or protection against loss.

Do You Know Your Financial Independence Number?

To get there, invest $585 per month for 30 years at 9% = $1,080,000

Your FIN is $1,080,000

This hypothetical example assumes 20 years of retirement income needed, at a 6% post-retirement rate of return and 3% inflation. Hypothetical investment rates assume a nominal 9% rate of return, compounded monthly, and is not indicative of any specific investment. Any actual investment may be subject to taxes and fees, which would lower performance. This example shows a constant rate of return, unlike actual investments which may fluctuate in value.

How important is it to know your Financial Independence Number?

Your financial independence number is the amount of money you need to accumulate so that when you retire you won’t run out of money and have to go back to work!

You want $2,500 per month to retire

today…

30 years from now, after 3% inflation… you will need $6,083 per month to buy what $2,500 buys

today!

“$30,000 today is $73,000 in 30 years!”

Tax Overpayment Solution:Save overpayment: $242/m

Debt Situation: 1st mortgage/personal debt: $212,664Monthly payments: $2,720/mDebt Free: 24 Years - AGE 59Cost $214,442 in interest

Tax Overpayment:Average 2012 tax refund: $2,913Overpayment: $242/m

BEFORE

Debt Solution:Eliminate with debt stackingMonthly payments: $2,720/mDebt Free In : 9 Years – AGE 44Save $130,643 in interest

AFTER

Save $2.4 million @ 9% by age 67!

Save $443,039 @ 9% by age 65!

A snapshot of what we do

If you could improve on your current situation anyway similar would that

interest you?

Debt Stacking

Retail Card

1

Credit

Card 2

Car Loan

Credit

Card 1

Mortgage

Total

$353

$551

$303

$1,293

$2,720

$551

$303

$1,293

$2,720

$303

$1,293

$2,720

$1,293

$2,720

$220

$353

$551

$303

$1,293

$2,720

As each debt is paid off, you apply the amount you were paying to that debt to the payment that you were making on the next target account.

$1,427

$1,124

$2,720

$573

+ $220

+ $573+

$1,124 + $1,427

$220

Age 35

23 years to pay off debt and $214,442 in interest paidPaid off in 9 years, Age 44 (14 years sooner) Interest saved

$130,643

(Age 44) Once debts are paid off, invest $2,720 each month at 9%@ Retirement … Age 67 = $2.4 million

Do Financial Companies Want You To Know This?*The above example is for illustrative purposes only. The Debt Stacking concept assumes that: (1) you make consistent

payments on all of your debts, (2) when you pay off the first debt in your plan, you add the payment you were making toward that debt to your existing payment on the next debt in your plan (therefore you make the same total monthly payment each month toward your debts) (3) you continue this process until you have eliminated all of the debts in your plan. In the example above, when the retail card 1 is paid off, the $220 is applied to credit card 2, accelerating its payment to $573. After credit card 2 is paid off, the $573 is applied to car loan for a total payment of $1,124. The process is then continued until all debts are paid off. Note that the total payment per month remains constant.

Tax Overpayment Solution:Save overpayment: $242/m

Debt Situation: 1st mortgage/personal debt: $212,664Monthly payments: $2,720/mDebt Free: 24 Years - AGE 59Cost $214,442 in interest

Life Insurance:What exactly is Life Insurance by definition?

Tax Overpayment:Average 2012 tax refund: $2,913Overpayment: $242/m

BEFORE

Debt Solution:Eliminate with debt stackingMonthly payments: $2,720/mDebt Free In : 9 Years – AGE 44Save $130,643 in interest

AFTER

Save $2,021,087 @ 9% by age 65!

Save $443,039 @ 9% by age 65!

A snapshot of what we do

To Create an Immediate estate in the event of a premature death.

Today1. Young children2. High debt3. House mortgage

Loss of income would be devastating

At Retirement1. Grown children2. Lower debt3. Mortgage paid

Retirement income needed

How Life Works

The Theory of Decreasing Responsibility

17

SAME $298

Cash Value Life Insurance vs. Buy Term and Invest the Difference

Cash Value Life Insurance Whole Life, Universal Life, Variable Life

Which program would you want?

Buy Term and Investthe Difference

(35-year Level Term, $25,000 on two children) Renewable to Age 95

$150,000

John age 35

$150,000

Mary age 33

$300,000

Mary age 33

$300,000

Johnage 35

$298

Monthly

Premium

$123

Monthly Premium

Investment

at 70

$51

8,6

73

Monthly premium for cash value policies is an average of whole life policies from three major North American life insurance companies for male, age 35, standard risk and female, age 33, standard risk. Cash value life insurance can be universal life, whole life or variable life, and may contain benefits in addition to a death benefit, such as dividends, interest, or cash value available for a loan or upon surrender of the policy. Whole life usually has a level premium for the life of the policy. Primerica monthly premium for age 35, non-tobacco use for 35-year Custom Advantage policy (C535) and spouse age 33, non-tobacco use for 35-year Custom Advantage rider (C5SR), both with rates guaranteed for 20 years, plus a child rider of $25,000 each on two children, underwritten by Primerica Life Insurance Company, Executive Offices: Duluth, GA. Term insurance provides a death benefit only and its premiums increase at certain ages. The accumulation figure reflects continued investment at the same rate over 35 years at a 9% nominal rate of return compounded monthly and does not take into consideration taxes or other factors, which would lower results. This example uses a constant rate of return, unlike actual investments which will fluctuate in value. This is hypothetical and does not represent an actual investment.

Cash Value

???

Savi

ngs

$175

@9%

Life Insurance Solution:$300,000 term on Jack & Donna$25,000 on ChildrenTotal coverage: $625,000Cost per month: $123/m

Tax Overpayment Solution:Save overpayment: $242/m

Debt Situation: 1st mortgage/personal debt: $212,664Monthly payments: $2,720/mDebt Free: 24 Years - AGE 59Cost $214,442 in interest

Life Insurance:$150,000 Cash Value on Jack$150,000 Cash Value on Donna$0 on ChildrenTotal coverage: $300,000Cost per month: $298/m

Tax Overpayment:Average 2012 tax refund: $2,913Overpayment: $242/m

BEFORE

Debt Solution:Eliminate with debt stackingMonthly payments: $2,720/mDebt Free In : 9 Years – AGE 44Save $130,643 in interest

AFTER

Auto & Home Insurance:Average cost per month: $243/m

Auto & Home Ins. Solution:Average savings per month: $65/m

Save $2,021,087 @ 9% by age 65!

Save $119,980 @ 9% by age 65!

Save $292,918 @ 9% by age 65!

Save $443,039 @ 9% by age 65!

A snapshot of what we do

Our Mission

To help families earn more income and become properly protected, debt free

and financially independent

What we do: Primerica providesa complimentary FNA(Financial Needs Analysis)

A Financial GPS

*See endnotes for important disclosures.

Primerica DebtWatchersOffered by Primerica Client Services, Inc. through contractual agreement with

®

Life Insurance

Debt Solutions

Legal Protection

Auto & Home Insurance

Quotes from such companies as:Safeco and Progressive

Referrals by Primerica Client Services, Inc. to

Our Partners

1 Not all products/services available in all states or provinces. A representative's ability to market products from the companies listed is subject to state and federal licensing and/or certification requirements. 2 Not available to residents of Washington, D.C. 3 In the United States, securities are offered by PFS Investments Inc. (PFSI), 1 Primerica Parkway, Duluth, Georgia 30099-000I. 4 PFS Investments Inc. (PFSI) is an SEC Registered Investment Adviser doing business as Primerica Advisors. PFSI is a member of FINRA and SIPC. Lockwood Advisors, Inc. (Lockwood) is an SEC Registered Investment Adviser and an affiliate of Pershing LLC, each subsidiaries of The Bank of New York Mellon Corporation (BNY Mellon). Pershing LLC, member FINRA, NYSE, SIPC. SEC registration neither implies nor asserts the SEC or any state securities authority has approved or endorsed PFSI or Lockwood or the contents of this disclosure. ln addition, SEC registration does not carry any official imprimatur or indication PFSI or Lockwood have attained a particular level of skill or ability. Neither Lockwood or BNY Mellon is affiliated with Primerica. 5 In Canada, mutual funds are offered by PFSL Investments Canada Ltd., mutual fund dealer, Segregated funds are offered by Primerica Life Insurance Company of Canada. See notes page for important company affiliations and other disclosures. 6 Neither PCS nor its representatives offer or provide services such as credit repair or improvement, debt or credit counseling, debt settlement or other similar services.

Only 5% of the U.S. Populationhave a financial game plan

How many people need help financially?

How many people have a financial plan?

What’s the likelihood they will retire financially secure without a plan to help them along the

way?

Question

23

Primerica

We have a 35-year proven track record #1 rank term life company

– 4.3 million lives insured through our life companies– Over $675 billion of life ins. in force– Over $2.8 million in death claims paid every day

Over 2 million investment clients– $45 billion in assets under management– Winner of 10 Dalbar Awards in a row

A+ accredited member of the Better Business Bureau Rated A+ (Superior) by A.M. Best, the oldest and most

prominent rating agency in the industry.* Doing business in one of the most highly regulated industries