Final Capstone Project_Gene_M_Gorrell_01_29_2016

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Financial Plan
For more information, please call:
Gene Gorrell
Financial Planner
Gorrell & Son
2663 Canyon Drive
Plainfield, IL 60586
Prepared for:
Naresh and Vanita Agarwal
January 29, 2016
Gorrell
and
Son
Insurance
Planning and
Risk
Management
Life-Cycle
Financial
Planning
Tax Planning
Investment
Planning
Retirement
Planning
Estate
Planning

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Title Page.................................................................................................................................. 1
Table of Contents...................................................................................................................... 2
Disclaimer................................................................................................................................. 3
Introduction............................................................................................................................... 4
Net Worth.................................................................................................................................. 5
Cash Flow ................................................................................................................................ 6
SWOT Analysis ……………………………………………………………….…………………… 7-8
Asset Allocation …………………………………………………………………...……………… 9-11
Recommended New Asset Allocation ……………...............................................…………12-14
Retirement Income Adequacy ……………………....................………………………………… 15
Insurance .......................................................................................................................... 16-17
Taxation ………………………………………………………..............................…………… 18-19
Estate Planning ................................................................................................................. 20-21
Gifting and Life Insurance in Estate Planning......................................................................... 22
Tasks for Client and Planner ............................................................................................ 23-24
Assumptions used ……....................……………………………………………………………… 25
Summary of Results ……………………………………………………………………………. 26-29
Appendix A …………. MoneyGuidePro® Comparative Analysis – Current Status vs. New Plan
Appendix B ……………………..……………... Survivorship Universal Life Insurance Illustration
Appendix C ………………………………………………………………..……………….……. Notes
Table of Contents

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This financial plan is hypothetical in nature and is intended to help you in making decisions on your financial future
based on information that you have provided and reviewed.
IMPORTANT: The projections or other information generated by MoneyGuidePro® regarding the likelihood
of various investment outcomes are hypothetical in nature, do not reflect actual investment results, and
are not guarantees of future results.
Criteria, Assumptions, Methodology, and Limitations of Plan
The assumptions used in this financial plan are based on information provided and reviewed by you. Please
review all assumptions in the Appendix - Plan Data Summary section before reviewing the rest of the report to
ensure the accuracy and reasonableness of the assumptions. Those assumptions must be reconsidered on a
frequent basis to ensure the results are adjusted accordingly. The smallest of changes in assumptions can have a
dramatic impact on the outcome of this financial plan. Any inaccurate representation by you of any facts or
assumptions used in this financial plan invalidates the results.
We have made no attempt to review your property and liability insurance policies (auto and homeowners, for
example). We strongly recommend that in conjunction with this financial plan, you consult with your property and
liability agent to review your current coverage to ensure it continues to be appropriate. In doing so, you may wish
to review the dollar amount of your coverage, the deductibles, the liability coverage (including an umbrella policy),
and the premium amounts.
This plan does not constitute advice in the areas of legal, accounting or tax. It is your responsibility to consult
with the appropriate professionals in those areas either independently or in conjunction with this planning
process.
Results May Vary with Each Use and Over Time
The results presented in this financial plan are not predictions of actual results. Actual results may vary to a
material degree due to external factors beyond the scope and control of this financial plan. Historical data is used
to produce future assumptions used in the financial plan, such as rates of return. Past performance is not a
guarantee or predictor of future performance.
The results are based on your representation of risk and include information current as of January 29, 2016. You
are responsible for confirming that the answers you provided to determine your individual risk tolerance used in
this financial plan are accurately represented. The proposed asset allocation presented in this plan is based on
your answers to a risk tolerance questionnaire and may represent a different investment strategy than your
current allocation in terms of risk. Actual return rates and performance may vary to a significant degree from that
represented in this plan.
Investments Considered
This plan does not consider the selection of individual securities; the plan provides model portfolios. The results
contained herein do not constitute an actual offer to buy, sell or recommend a particular investment or product. All
investments are inherently risky. The asset classes and return rates used in the plan are broad in nature. The
illustrations are not indicative of the future performance of actual investments, which will fluctuate over time and
may lose value. Refer to the Asset Allocation section of this report for details on return rate assumptions used
throughout this plan.
There are risks associated with investing, including the risk of losing a portion or all of your initial investment.
Disclaimer

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Why develop a plan?
By developing a financial plan, you and your family:
 Will have a better understanding of your current financial situation.
 Determine attainable retirement, insurance, estate plan, and other financial goals.
 Review goals, funding strategies, and alternatives where goals have to be compromised.
 Have the necessary financial resources set aside to fund your goals as they occur.
 Reduce the effect of unexpected events, such as disability, premature death, etc.
Planning is a life-long journey.
For the planning process to evolve successfully, changing circumstances or life-stage requirements must be factored
in. Your advisor will want to know when personal or financial events occur, anticipated or not, to clarify whether your
goals are affected and if there are new decisions needed.
When do we review the plan?
While simply having a plan in place will give you a better understanding of your financial situation, regularly reviewed
and updated, the likelihood of achieving the desired results is greatly enhanced. Some of the events for which you
may need to review your strategies are: changes in your career status,marital situation, and the well-being of your
loved ones.
Introduction

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This net worth summary provides a snap shot showing a financial situation at a certain point in time.
It includes what you own (assets), what you owe to creditors (liabilities), and the net value or difference between
the two (net worth). In simple terms, the net worth statement shows how much money would be left if everything
you owned was converted into cash and used to pay off your debts (before taxes).
The following information is a description of items likely to appear in the report below. Your report may
contain some or all of the items listed:
 Lifestyle assets include your home, vacation homes and collectibles.
 Non-Registered assets include stocks, bonds, mutual funds and cash.
 Registered assets include your registered and locked-in retirement plans, such as RRSPs, RRIFs, LIFs and
LRIFs.
 Liabilities include your mortgages, loans, personal lines of credits and credit cards.
 Cash Flow Surplus is the amount of surplus funds from your cash flow statement. In other words,
income you did not spend which may be representative of your checking account, for instance.
Net Worth Summary
As of January 29, 2016
Asset Amount Liability Amount
Cash equivalents (J) $70,000 Primary Mortgage1
$152,934
Brokerage Account (T)2
350,000 HELOC3
25,000
Brokerage Account (T)4
600,000 Credit Cards5
4,000
Stock Options (H)6
92,000
401(k) (H)7
1,200,000 Total Liabilities $181,934
401(k) (W)8
550,000
IRA (H) 123,000
IRA (W) 90,000 Net Worth $3,471,066
Residence (T)9
386,000
Personal Property (T)10
150,000
Vehicles (J) 42,000
Total Assets $3,653,000
Net Worth

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The cash flow report below outlines your current sources of income and expenses. Your income includes
employment income, investment income and any other sources. Your expenses include your daily living expenses, debt
payments, including your mortgage, current investment contributions and insurance
premiums.
Inflows Annual Amount
Naresh's Basic Pension $48,750
Vanita's Basic Pension 30,000
Interest Income:
Municipal Bonds 17,000
Other 8,000
Dividend Income 10,000
Total Inflows $113,750
Outflows
Mortgage P & I $21,584
Real Estate Taxes 6,800
HELOC Payments 5,400
Credit Cards 1,000
Homeowners' Insurance 850
Auto Insurance 1,300
Disability Insurance 1,933
Long-term Care Insurance 542
Medical Expenses 4,000
Umbrella Disability Premium 240
Food 5,000
Clothing 4,000
Utilities 5,600
Home Maintenance/Repair 4,900
Charitable Gifts 10,000
Personal Gifts 6,000
Federal Income Tax 8,000
State Income Tax 5,000
Total Outflows $92,149
Surplus $21,601
Cash Flow

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Financial Position SWOT
Strengths Weaknesses Opportunities Threats
An excellent asset-to-liability ratio,
leaving a substantial and diverse
net worth.
The asset allocation of investments
is more aggressive than the desired
“moderately conservative” profile,
yet still not performing optimally.
The investments are only yielding a
composite of 6.74% annually.
Reallocating into better performing
stock funds, while changing to a
more conservative mix should be
both safer and even yield a better
gain.
Investments are currently 62% in stock
equities. This is higher than the
Agarwal’s desired profile. Current
Stock/Income/Cash mix is
62%/32%/6%. Preferred is
40%/55%/5%.
Funds in the brokerage accounts
are fairly well diversified, and have
paid out in interest and dividends.
The stock funds in the brokerage
accounts, with the exception of
PepsiCo, have performed below the
market.
Reduce some of the over-emphasis
on individual municipal bonds, and
balance that with more municipal
bond funds; take advantage of
PepsiCo’s current risk/reward ratio;
IBM, 3M, and the current Large Cap
Value are under-performing;
emerging markets, and Large Cap
Growth are good substitutes.
Underperforming stocks and over-
investing in one area (individual
municipal bonds) leaves the brokerage
accounts vulnerable to under-
performing.
The Agarwal’s have taken
advantage of their companies’
401(k) programs and reserved a
large reserve.
Both accounts are too dependent on
company stock. While it’s common
to invest in and natural to believe in
one’s company, over-dependence on
its performance is not
recommended.
Getting out of Employers’ stocks is
a move toward safety in
retirement; shifting a large amount
of these funds into corporate and
international bonds is a good
opportunity now, as well as more
diversified stock funds, rather than
individual stocks.
The heavy reliance on Employers’
stock could turn into an erosion of
retirement funds, as they are
susceptible to both systemic and non-
systemic risk. The Agarwal’s have
earned, and are earning (through
pensions) quite a good income from
their companies. Putting their bets on
the companies is a risk, both
financially and emotionally.
The Agarwal’s have each set up an
IRA.
The IRA’s are not diversified, and is
under-performing several available
funds; the opportunity to execute a
direct rollover from their 401(k)
accounts into the IRA’s is not
necessary, but has not been
discussed either.
An opportunity to move Naresh’s
funds from the ETF into
International equities should be
considered; splitting Vanita’s funds
into at least 2 funds will help begin
diversifying her IRA.
Right now, the IRAs are not
performing much higher than the rate
of inflation. At this early stage of
retirement, the Agarwal’s are missing
out on an opportunity to earn on their
investments before age necessitates
the funds to be largely conservative.
Client is in position to exercise
stock options at a gain.
The NQSO (5 Year Plan) shares are
have gone down in value, though
they still have 2 years left to be fully
vested.
Exercise the NQSO (3 Year Plan)
and ISO options at a gain of
$26,000. This cash can be
reinvested into the IRA or
Brokerage account to retirement
funds. This will ensure a gain which
can also mitigate any losses from
the NQSO (5 Year Option) stocks.
Not exercising the NQSO (3 Year Plan)
and ISO options could subject the
client to risk a loss of the gains
currently available. It would also make
the client vulnerable to not having
gains that make sure the options as a
whole do not lose value, as the
remaining fund has already lost value.
SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats)

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Cash Flow SWOT Analysis
Strengths Weaknesses Opportunities Threats
Annual Income is more than
adequate and coming from
multiple sources.
The current projected income for
retirement assumes that both
Naresh and Vanita have elected
“Plan A” for their pension
annuities. Should either spouse die,
no pension benefits remain for the
survivor.
The opportunity for each spouse to
continue to receive survivor’s
pensions of 100% of the living
benefit with only a 10% reduction in
the annual pension amount leaves
both spouses well-protected, and
provides a “built-in” life insurance,
so to speak.
The death of either spouse
completely eliminates the
surviving spouse’s rights to any of
their departed spouse’s pension
annuity.
The Agarwal’s have planned
ahead for disability and long-term
care needs
The disability insurance policy is
one geared toward protected a
client’s ability to earn income. The
Agarwal’s are retired, and the
option to convert this to an LTC
policy should be considered; the
benefit for their current LTCI
policies is very low, at only $1,500
per month.
The Agarwal’s can probably just
cancel the disability insurance
policy, rather than convert it; at the
same time, they should increase the
benefit on their Long-term Care
Insurance policies, so that they
cover up to $300 per day, with an
inflation allowance of 4-5% per
year.
The disability policy, as is, will not
pay a benefit, as it only replaces
earned income; the Agarwal’s also
face disaster if either should need
long-term care; $1,500 per month
is just $50 a day; long-term care
could easily cost $250-$300 per
day.
SWOT Analysis (cont’d) (Strengths, Weaknesses, Opportunities, Threats)

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These pie graphs illustrate your current asset mix and suggested asset mix for your entireportfolio.
However, the suggested asset mix will not be used in the proposed plan. Due to modifications the assumed asset
mix on the following page will be used instead.
54%
30%
9%
7%
CURRENT ASSET ALLOCATION MIX
U.S. Stocks Bonds Cash International Stocks
30%
55%
5%
10%
RECOMMENDED ASSET ALLOCATION
MODERATELY CONSERVATIVE
U.S. Stocks Bonds Cash International Stocks
Rate of Return 6.75% Rate of Return 8.22%
Standard Deviation 10.21% Standard Deviation 5.58%
Asset Allocation

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Brokerage account in Naresh’s Revocable Living Trust:
Asset FMV Return
Individual Municipal Bonds $200,000 6%
Municipal Bond Funds $40,000 3.85%
IBM $21,000 5%
PepsiCo $39,000 20%
3M $50,000 9.34%
Total: $350,000 6.59% (Composite)
Brokerage account in Vanita’s Revocable Living Trust:
Asset FMV Return
Corporate Bonds $150,000 5%
Large Cap Value Fund $120,000 9.15%
Mid Cap Growth $130,000 11%
Naresh’s 401(k) (Beneficiary is Vanita):
Asset FMV Return
Employer’s Common Stock $650,000 7%
Small Cap Value $100,000 12%
International Index Fund $120,000 13%
Corporate High Yield Bond Fund $180,000 7%
TIPS Fund $150,000 3%
Total: $1,200,000 7.52% (Composite)
Vanita’s 401(k) (Beneficiary is Naresh):
Asset FMV Return
Employer’s Common Stock $200,000 7%
S & P 500 Index Fund $180,000 10%
TIPS Fund $170,000 2%
Naresh’s IRA (Beneficiary is Vanita):
Asset FMV Return
Total Stock Market ETF $123,000 5.5%
Detailed Summary of current investment holdings

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Vanita’s IRA (Beneficiary is Naresh):
Asset FMV Return
Vanguard European Stock Index $90,000 7%
Composite of All Investment Holdings:
Holding FMV Return
Brokerage account in Naresh’s RLT $350,000 6.59%
Brokerage account in Vanita’s RLT $600,000 6.80%
Naresh’s 401(k) $1,200,000 7.52%
Vanita’s 401(k) $550,000 6.44%
Naresh’s IRA $123,000 5.50%
Vanita’s IRA $90,000 7.00%
Additional
Stock Options (type) Number of Shares Grant Price FMV per Share Exercise Value
Plan #1: Non-Qualified 4,000 $24 $32 $32,000
Plan #2: Incentive 5,000 $20 $32 $60,000
Total: $92,000
Total Investment Assets: $3,005,000 6.75% (includes exercised options)
Current Allocation:
U.S. Stocks $1,613,000 55%
Bonds $920,000 30%
International Equities $262,000 9%
Money Market $210,000 7%
Current allocation is characterized as: Moderate
Investor’s Preference is: Moderately Conservative
Detailed Summary of current investment holdings (cont’d)

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Explanation of The Agarwal’s current portfolio is, essentially, a moderately allocated mix. According
New Allocation: to their preferred conservatively moderate investing preference, they would need to
consider reducing their U.S. Stock investment portion from 55% to 30%, increasing
their Bond holdings from 32% to 55%, slightly increasing their International Equities
from 7% to 10%, and allocate the remaining 5% in cash. Also, even a moderately
conservative portfolio should expect at least 8% annual returns, if not 10%. The
current allocation is earning less than 7%, indicating we should be able to reallocate
the funds and expect a higher annual return.
Review of Available Investments:
U.S. Stocks: Asset Class Average Return Standard Deviation Deviation/Return
PepsiCo 20% 19% 0.95
U.S. Large Cap 11% 20% 1.82
Large Cap Value 9.15% 18% 1.89
Mid-Cap and Small Cp. 12% 24% 2.00
S & P 500 10% 20% 2.00
Emerging Markets 14% 30% 2.14
Small Cap Value 12% 26% 2.17
Mid Cap Growth 11% 25% 2.27
3M 9.34% 24% 2.60
Employer’s Stock 7% 22% 3.14
Total Market ETF 5.5% 18% 3.27
IBM 5% 23% 4.60
Recommendation: The bottom four funds do not perform well, especially in relation to their Standard deviation
to Return ratios. The funds allocated to U.S. Stocks should be dedicated to the remaining 8
asset classes.
Bonds: Asset Class Average Return Standard Deviation Deviation/Return
TIPS Fund 3% 3% 1.00
Corporate (High Yield) 7% 8% 1.14
Corporate 5% 6% 1.20
International Bonds 7% 9% 1.29
Individual Municipal 4% 6% 1.50
Long-Term-Domestic 5% 8% 1.60
Municipal Funds 3.85% 7% 1.82
New Allocation Plan (moderately conservative)

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Recommendation: The corporate bond funds, International Bond Fund, and Long-term (Domestic) funds perform
the best, so we will want to allocate more into those funds, while allocating less into the
Municipal Fund and TIP Funds.
Recommendation: The International Equity Fund out-performs the Vanguard European Stock Index; therefore,
we will want to recommend investing the larger share of those resources into the
International Equities Fund.
Recommendation: We will make a slight adjustment and lower our Money Market Fund investment to $150,000.
Recommendation: We recommend a direct rollover of hour 401(k) accounts into your IRAs in order to reduce the
complexity associated with managing many accounts which serve the same purpose. A direct
rollover incurs no penalty tax.
NEWLY PROPOSED INVESTMENT ASSET ALLOCATION
Brokerage account in Naresh’s Revocable Living Trust:
Asset FMV Return
Municipal Bond Funds $144,000 3.85%
PepsiCo $180,000 20%
Naresh’s IRA (Beneficiary is Vanita):
Asset FMV Return
International Equity Fund $121,000 13%
Small Cap Value $90,000 12%
International Bonds $334,000 7%
Corporate High Yield Bond Fund $335,000 7%
U.S. Large Cap Stocks $117,000 11%
Mid-Cap and Small Cap Stocks $135,000 12%
Long-term Bonds-Domestic $27,000 5%
TIPS Fund $164,000 3%
Recommendations and Recommended New Allocation

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NEWLY PROPOSED INVESTMENT ASSET ALLOCATION (cont’d)
Brokerage account in Vanita’s Revocable Living Trust:
Asset FMV Return
Corporate High Yield Bonds $248,000 5%
Large Cap Value Fund $45,000 9.15%
Emerging Market Equities $136,000 14%
U.S. Large Cap Growth Stocks $13,000 11%
Mid Cap Growth $90,000 11%
Vanita’s IRA:
Asset FMV Return
International Equity Fund $101,000 13%
Vanguard European Stock Index $76,000 7%
S & P 500 Index Fund $90,000 10%
Long-term Bonds-Domestic $223,000 5%
Money Market Fund $150,000 2%
Composite of All Investment Holdings:
Holding FMV Return
Brokerage account in Naresh’s RLT $409,000 10.99%
Naresh’s IRA $1,323,000 8.22%
Brokerage account in Vanita’s RLT $612,000 8.18%
Vanita’s IRA $640,000 6.50%
CONCLUSION: The recommended course of action in order to improve return on holdings while maintaining
a moderately conservative investor profile is as follows: Exercise Naresh’s stock options and
reinvest the gains, along with the reallocation strategy shown above. This gives Naresh and
Vanita a $2,984,000 portfolio, with an improvement on expected annual returns from the
present 6.75% to an expected future return of 8.22%.
NOTE: In our recommended plan, we have removed the IBM stock, as Naresh has indicated his desire to gift
that to his nephew, Kiran. A proposed plan for handling that transaction will be outlined.
Recommendations and Recommended New Allocation (cont’d)

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RECOMMENDATIONS:
• We suggest that you both choose option D from your retirement annuity choices--Joint and 100%
Survivor, with 10% reduction in annuity payment, as an assurance that both Naresh and Vanita will
have the full amount of income available in the event of the loss of a spouse. Retirement income
adequacy – Option D Joint and 100% Survivorship @ 10% less than full single annuity amount. We
strongly recommend that neither of you opt for option “A” for your pension annuity plans. In the event
of an untimely passing of one spouse, the survivor will have lost all payments from the deceased
spouse’s retirement annuity. Consider how happy you are with your current attorney. It is surprising
that he or she would recommend that each of you opt to take the single life annuity option from your
retirement benefits, as a surviving spouse would lose all of the retirement benefit their spouse worked
for, in the event of their passing away. This will provide your household with combined retirement
annuities of $70,875 for life.
• Next, be sure to wait until Naresh reaches age 66 years, 8 months in 2024 before beginning to take
your Social Security benefit. This will provide your maximum benefit, which should begin at $33,454 for
the first year, and adjust for inflation thereafter. And for Vanita, delay taking any Social Security
benefits until you reach age 67 in 2027, which will provide you with your maximum benefit amount,
which should start at $29,027 and adjust with inflation thereafter.
• In order to lock in your budget just a little better, I recommend that you adjust your budget to include
a one-time $4,000 payoff of your 11.9% credit card debt. There is plenty of surplus written into the
current budget to allow for that. It would be a help to also pay in a little extra to your mortgage and
HELOC next month. Every extra dollar above your regular payment will reduce the principal owed on
both loans. The recommended amount you have available for this is about $3,100 for your mortgage
and $1,700 for your HELOC.
• Other adjustments to your budget will be recommended as we address your insurance needs and your
estate planning below. You will see in our appendix that your income needs are securely met with this
proposal, as you will be receiving $70,875 annually, in addition to your investment income. And when
Vanita reaches age 67, you should be receiving no less than $62,481 in combined Social Security
benefits, which totals $133,356 combined, before even factoring in investment income.
Retirement Income Adequacy

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LIFE INSURANCE
• With our newly laid out asset allocation and current income plan, we have substantial protection in the
event of the death of a spouse. The survivor will continue to receive 100% of the annuity from their
spouse’s retirement plan, as well as a social security benefit, income from the Bypass Trust (which will
be addressed in the Estate Planning portion), and funds at their disposal in the Marital Trust (also
addressed in “Estate Planning”). With that, you may continue to keep your company-paid life insurance
policies until the benefits are reduced to zero, but will no longer need personal life insurance policies
beyond the policies that we will be recommending below for Kiran, Varun, and Paavai to purchase as I
will also explain in the “Estate Planning” section.
DISABILITY INSURANCE
• Now that Naresh and Vanita are both retired, you are both no longer in need of, nor can you normally
receive a benefit from this policy. You have the option of pricing the $1,933 annual premium for
conversion into an LTC plan for Naresh, and then finding equivalent coverage for Vanita, or shopping
for a plan for both of you and freeing up the $1,933, as well as the current $542 LTC policy premium to
go toward a full coverage policy. Using these funds to go towards greater Long Term Care insurance is
highly recommended, and will be outlined in more detailed just a bit farther down in this report.
HEALTH INSURANCE
• You are in an excellent position with your employer-paid health insurance policy. This is good coverage
until age 65. After that, the provision is made for Medicare Supplement coverage. When the time
comes, you will also be well-equipped to cover the cost, which will likely begin at about $1,325 per
month when Naresh reaches age 65, and will apply to both of you at a rate of about $2,414 per month
when Vanita reaches age 65 in 2025. Remember, one of the greatest costs during your retirement
years will almost always be health care. So we will consistently re-visit these expenses.
LONG-TERM CARE INSURANCE
• Your current LTC policies cover for $1500 benefit per month. This is a very low benefit amount, and will
put a substantial amount of your estate at risk. A quality full care facility today costs $300 per day. For
example, 3 years in a quality, fully staffed facility will cost $385,500. You will pay the first $27,000 for
the 90-day elimination period, and your insurer, only covering $1,500 per month, will pay out only
$49,500 for the remaining 33 months. So in all, you will have paid out $336,000. If you are to have a
long term care insurance policy, you should have coverage for the full daily cost of care, adjusted for
inflation as well. Though the premiums are much higher than the current $542 per year you are paying
now, the new premiums provide actual adequate coverage, while the current policy, in the example
just discussed has you paying 87% of the cost of care. A full coverage policy with the same elimination
period will only cost you the $27,000 for the first 90 days, which is just 7% of the entire cost, by
comparison. And for the purposes of wealth protection, this is a sound investment, as our society has
longer life expectancy, and, frankly, a much higher rate of seniors needing full time nursing care at
least at some point during their golden years. An unfortunate truth is that among married seniors, at
least one of two spouses will in all likelihood, actually use this policy.
Insurance

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LONG-TERM CARE INSURANCE (CONT’D)
• The current statistics show that 60% of people who reach age 75 will need this coverage, and that out
of all married couples, 70% of them will see a time when at least one spouse will need it. So it must be
adequate enough to provide full coverage after the elimination period. Now that you are retired,
disability insurance is no longer of benefit. You have the option of pricing the $1,933 annual premium
for conversion into an LTC plan for Naresh, and then finding equivalent coverage for Vanita, or
shopping for a plan for both of you and freeing up the $1,933, as well as the current $542 LTC policy
premium to go toward a full coverage policy. For budgeting purposes for this report, I have located a
plan that has an annual premium of $4,479 for Naresh and $4,302 for Vanita. These policies do carry a
heavy premium, but the statistics are quite indicative that this is an area where seniors can ill-afford to
cut corners on. You will see, even with all other expenses, as well as these new premiums, our asset
allocation strategy will still allow you to preserve as much, and likely a generous amount more wealth
than you are currently on course for, while providing a solid plan of protection for you, as well as a
protection of the substantial benefit you desire to leave with Kiran, Varun, and Paavai.
HOMEOWNERS INSURANCE
• Your current HO-3 policy, covering $325,000 for the dwelling is quite adequate. The standard
requirement for coverage is for an amount equaling 80% of the replacement cost of your home. The
full replacement cost of your home is $336,000 ($386,000 fair market value minus $50,000 land value).
Thus, only $269,000 coverage will insure your home fully. Some homeowners are now opting for a 90-
10 plan, which you are still above at this point. You have the option of changing coverage to the lower
amount, but the premium savings will not have much of an impact, and you still have room in your
plan for your real estate to appreciate and still be covered under the current plan.
AUTOMOBILE INSURANCE
• Your current $500,000 combined single limit policy is normally very adequate for your automobiles.
You are in good standing with your coverage. You also have the safety net of your Umbrella Policy in
case of an extreme situation.
PERSONAL CATASTROPHE INSURANCE (UMBRELLA POLICY)
• I recommend you continue with this policy. This provides an excellent safety net in the case of any rare
event for which you could possibly be found liable. The $2,000,000 is a common amount to carry in the
policy, as it is consistently adequate. Also, your automobile and homeowners’ policies meet the
$300,000 required underlying limits, as they both provide liability coverage of at least $300,000.
Insurance (cont’d)

18 | P a g e
GETTING STARTED
• Our first priority here is to plan to retain the services of an experienced CPA to help us navigate the Tax
Code as it pertains to you in your golden years. We will want to know when and where to withdraw
funds when needed to finance your goals without incurring extra tax “penalties”. We will also integrate
our tax planning along with our Estate Planning. As you will soon see, these two are very inter-related,
and the amount your different forms of income are taxed has a large impact on the financing of your
goals; conversely, your Estate Planning will have a large impact on the amount taxes your estate will
owe when you leave your legacy behind.
• We will discuss gifting in the “Estate Planning” section; but let’s note right now that you have not used
up any of your Estate and Gift exemption currently allowed under the IRS code. This is good, as you will
want to preserve that amount as much as possible. Remember, that as of now each of you can gift up
to $14,000 to an individual during a tax year without incurring a tax. As a couple, then, you may gift a
person up to $28,000 in a year, and you may also gift as many people as you want up to that $28,000
per year with no tax due. This will come into play again in “Estate Planning”.
• One very import issue is where you decide to withdraw funds from when needed. You can call me any
time a question arises in this area. This is the recommended plan: Do not take distributions from your
retirement accounts until the year you reach age 59-1/2, or a penalty tax will be assessed. Any funds
beyond your regular income needed to finance your goals can be drawn from your brokerage accounts
until age 59-1/2. Again, when you need to withdraw funds, use only your brokerage accounts up until
the year you turn 59-1/2, respectively. Otherwise, you will incur a 10% tax penalty for withdrawals by
withdrawing from your IRAs.
• At that time (when you reach the year that you will reach age 59-1/2), we will work together and stop
withdrawing from your brokerage accounts. We will then begin to take any necessary funds from your
retirement accounts only, and this is why: When you reach age 70, you will not want to have an
extreme amount of your savings in just your retirement accounts. This is because, beginning at age 70,
you are required to begin following the Uniform Lifetime Table for minimum withdrawals from all of
your qualified retirement accounts. So, between age 59-1/2 and age 70, you should be using your
retirement accounts for needed funds, and NOT your brokerage account. The minimum withdrawal
amount at each age from 70 and up is in proportion to the amount you have in the retirement
accounts, and is calculated according to the Uniform Lifetime Table. At age 70, you are required to take
the amount in your accounts, divide that amount by 27.4, and make a withdraw at least that size. For
example, if you are 70 and you have $9 million in your IRA accounts, you are required to take out ($9
million / 27.4), or $328,467 that one year alone. At age 71, the divisor decreases to 26.5, and at 72, it
decreases to 25.6, and so on. I will provide you with the current table, and an updated copy when the
time nears. This why, once you reach the year you turn 59-1/2, it will be time to take penalty free
withdrawals from your IRAs when you need funds, and NOT your brokerage accounts. That way, when
you do reach 70, you will not have to take more money out of your IRAs than you need, and you can let
the remainder in your IRAs and brokerage accounts continue to grow/produce income, as the case may
be.
Taxation

19 | P a g e
• Recall that our new asset allocation plan includes doing a direct rollover of your 401(k) plans into your
IRAs, for simplicity in the management of your investment funds. I can work with your IRA manager to
facilitate the direct rollover properly, so that no taxes are incurred, as is the rule. You cannot simply
withdraw from our 401(k) any way, and move the money into an IRA. You could have up to 20% of your
account funds withheld, and pay a big tax penalty. With a direct rollover, the transaction will by tax-
free.
• One feature in your 401(k) plans is that you can begin enjoying payments immediately without penalty
under the IRS SEPP (Substantially Equal Periodic Payment) code, which provides that persons who
retire at age 55 or later will not be assessed the 10% penalty for early withdrawal that is normally
assessed to withdrawals made prior to age 59-1/2. For this reason, we will consult our professionals
about our direct rollover plan, to make sure delaying withdrawals for this 4-year period will not put us
at any disadvantage. It would appear that funding from your IRAs from age 59-1/2 until age 70 will
adequately reduce the dollar values in the account to keep from having to withdraw more than
necessary once you do reach 70.
• We will clearly want to work with a CPA and an Estate Attorney from this point forward. They can
review our taxation and estate planning, and help us to proceed legally and efficiently. You will see that
they will be critical in properly establishing your trusts, so that you can properly leave behind your
wealth without incurring unnecessary taxes.
Taxation (cont’d)

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ESTABLISHING THE MARITAL TRUST AND THE RESIDUAL, (OR “BYPASS TRUST)
• We shall assume, for now, that our Estate Attorney will agree with this common course of action:
Because the Revocable Living Trust is set up with a reduce-to-zero formula, the bypass trust will
receive proceeds of the deceased spouse’s trust until the amount adds up to $5,430,000 (less any
gifts made above the annual gift tax exclusion during the lifetime of the deceased). This “reduces to
zero”, or “uses up” the entire Federal Estate and Gift amount that is exempt from taxation (under
the Unified Tax Credit code) at the transfer of those funds into said bypass trust.
• Any proceeds from the estate of the deceased beyond this will be put into a Marital Deduction
Trust, with the surviving spouse as the beneficiary, putting to use funds at his or her own
discretion. The instructions left for the Bypass Trust are to provide income for the surviving spouse,
as well as the two nephews and niece, Kiran, Varun, and Paavai. An experienced Estate Attorney
shall be needed to properly establish the trusts. Also, Naresh must make sure the attorney provides
clear language as to how the funds within the trusts will be distributed to the surviving spouse and
the nephews and niece. With the instructions legally binding, it is then advised that we name a
corporate trustee to administer the funds. Although we will pay fees for this service, it will give us a
few advantages that we need: (1) We have professionals in service to act as impartial fiduciaries,
charged with legally investing and distributing the funds from the Bypass Trust. (Many people
suffer heartache and lawsuits because they do not have the experience, knowledge and legal savvy
to properly and legally carry out the duties of a Trustee). (2) It will remove any undue stress on the
surviving spouse, as the duties of a trustee are not simple and require careful attention, especially
in Vanita’s case, for instance, as she is still in the early stages of learning wealth management, and
does not need this heavy responsibility weighing on her. And (3) It is to the family’s advantage for
the sake of the peace of mind provided by having an impartial third party distribute the income
provided by the Bypass Trust. No matter how closely related the beneficiaries of a trust may be, or,
perhaps not so closely related, the issue of having one of the beneficiaries named the trustee and
the other parties as co-beneficiaries has a history of lawsuits behind it. Along with this can come
immeasurable grief if the trustee should make a legal mistake, a poor investment, or even
inadvertently fail to follow the instructions of the Trust maker. So let’s work with our estate
attorney, agree upon a written investment and distribution strategy that the corporate trustee will
have a very clear, concise set of instructions that make sure the Bypass Trust is invested per the
wishes of Naresh and Vanita, as well as the generated income be distributed within the specified
parameters that they wish for the survivor and the three young relatives to be paid. We will need
consultation from our attorney on how to choose a trustee, as some corporate trustees will only
administer trusts drafted by their own attorney, as will be discussed just below.
Estate Planning

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LEGACY PLANNING FOR NEPHEWS AND NIECE
• Now we must address another concern, and that is seeing to it that the estate does, indeed, fulfill
the wishes of Naresh and Vanita to favor your nephews and niece, Kiran, Varun, and Paavai. First, I
call attention to the plan to give Kiran the IBM stock. As a young grad school student, this is an
excellent opportunity for Kiran to begin his journey of wealth management and planning for his
future. Kiran is undoubtedly very bright, and will catch on quickly to the needs he will soon face, so
long as Naresh and Vanita give, along with this favor, the gift of a good foundation in becoming
educated in wealth management. I recommend the following as a form of giving the IBM shares to
Kiran: (1) Schedule a ½-hour meeting with me, and allow Naresh, Vanita and Kiran to have a brief
discussion about long term disability insurance, and the essential value it has at this stage of his
life. As he is nearing his entry into the workforce, especially, we must protect the income he is
currently using to fund graduate school, and later, the income from his new career. A good policy
for a young healthy upstart can be an affordable $540 per year, or just $45 a month, and will pay
80% of his salary at his new job if an injury or illness befalls him. So I recommend that 2 years’
worth of premiums, or about $1,080 from the IBM stock gift be set aside specifically to start Kiran
on a disability insurance policy. (2) As a brand new investor, I recommend that you consider helping
Kiran open up his own brokerage account and diversify the value of the IBM shares. Kiran can learn
from Naresh and Vanita why their income strategy is now moderately conservative, and learn that,
as a brand new investor, far from retirement, his strategy, according to his risk tolerance, will
probably be maximum growth potential, or at least, some asset mix which is designed for long term
growth. The value of diversifying will be another good lesson for the young investor. I will provide
copies of our office’s “Portfolio Strategies” guide to help him devise a strategy for his first account.
This will also prepare him to manage his retirement account(s) that he will want to open as soon as
he becomes employed. This is my recommendation. We have seen that the IBM stock has earned a
return, but a modest return, and this is a great opportunity to have Kiran diversify into some funds,
and keep some of the IBM shares if he so desires, as part of his portfolio.
Estate Planning (cont’d)

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GIFTING TO NEPHEWS AND NIECE FOR PROVIDE FUNDS FOR SURVIVORHSIP UNIVERSAL LIFE POLICIES
• Next, we must consider how best to protect your wishes to favor your nephews and niece. The risk,
as of now, is that they may not receive the substantial gift that you intend for them to receive. It is
not uncommon for a retired married couple to pass away within a few short years of one another,
when that time comes. Should you pass away within a short period of time relative to one another,
then that short time period is the only time your nephews and niece will be receiving distributions
from the Bypass Trust. Once the survivor passes, the remaining principal, at your wishes, will be left
to the American Red Cross. A way to protect your nephews and niece from not receiving the
blessing you intend to give them is to gift them annually, beginning this first year of retirement. You
can gift them each equal amounts, and have them each use the gift to purchase a Survivorship
Universal Life Insurance policy on the two of you. This policy, though rather expensive, pays off
quite substantially for the beneficiary, and will be a vehicle for your nephews and niece to receive
an excellent payout. The Survivorship Universal Life Insurance policy provides that, after the death
of the surviving spouse, the beneficiary is paid a scheduled benefit. The policy I recommend is one
with payments for a predefined number of years, 7 years in your case, which can be extended if
you find yourself a “centenarians”, at which point the guarantee of benefits may have eroded, as
only 7 years’ premiums had been paid. This will require a simple “upkeep” of the policy, returning
to the process of gifting equal amounts to each beneficiary, who will pay the annual premiums. I
have already run a test quote for you, and a recommended procedure: The annual tax exempt
amount that the 2 of you can gift to any one individual is $28,000 ($14,000 each). Anything beyond
that amount will begin to use up your Estate and Gift exemption that we want to preserve for your
Bypass Trust. So, I have found a policy with a $27,275 annual premium, which has both a cash
surrender value and a guaranteed minimum interest rate. The policy’s death benefit is $725,000,
which grows at least at the guaranteed 2%, and sometimes up to 3.85%. For example, the life
insurance illustration report, which I will include in the appendix, shows that if you should both
pass away earlier than expected, at 76 to 78 years old, each of your three beneficiaries would
receive a benefit of approximately $900,000, even at the guaranteed minimum interest rate. This
plan puts a safety measure in place to fulfill your desire to bless your nephews and niece. Should
you both die the same year, for example, they would receive very little, or perhaps no benefit from
the Bypass Trust. But they would receive a substantial life insurance policy benefit, giving you
peace of mind, and them a legacy and a blessing to remember you by.
Gifting and Estate Planning for Your Beneficiaries

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CLIENTS’ TASKS
1) Exercise stock options and invest the funds with brokerage account manager.
2) Work with Planner to implement direct rollover of 401(k) plans into IRAs.
3) Work with Planner and IRA manager to implement new asset allocation strategy.
4) Work with Planner and Brokerage account manager to implement new asset allocation strategy.
5) Work with Brokerage account manager to sell IBM shares.
6) Work with planner, nephew Kiran, and insurance agent to select and buy a Disability Insurance policy.
7) Work with planner, nephew Kiran, and Brokerage account manager to open an investment account.
8) Submit formal request to implement Option D for both retirement annuities: Joint and 100%
Survivorship.
9) Pay off credit card debt.
10) Consider paying down principals on Home Equity Line of Credit and Mortgage loans.
11) Work with Insurance agent to replace the current disability policy and Long Term Care policies with
new Long Term Care policies that provide a daily benefit of at least $300, an elimination period of 60 or
90 days, and a 5-year benefit period.
12) Retain an experienced CPA to review your new retirement strategy and establish the relationship
necessary to review tax implications of the plan.
13) Meet with your Estate Attorney and explain your intention to implement the Joint and 100%
Survivorship Annuities. If not comfortable with your Estate Attorney’s level of experience, consult
Planner to give you some names of Estate Attorneys to consider.
14) Lay out a plan to only withdraw funds from your Brokerage Account until age 59-1/2. If more
comfortable with 401(k) withdrawals, let Planner know that you opt to not implement the direct
rollover of the 401(k) funds into your IRAs.
15) Work with your Estate Attorney to establish a reduce-to-zero Marital Deduction Trust with the
maximum allowable funds to go into the Bypass Trust, and the remaining funds to go into the Marital
Trust. Before meeting, write down your goals and stipulations for distributions of income funds from
the Bypass Trust to the surviving spouse and to Kiran, Varun, and Paavai. Work with Planner and Estate
Attorney to selected a qualified Trustee with limited authority who will faithfully administer the Bypass
Trust. Make clear all of the wishes you have written down, as well as the last beneficiary designated as
the American Red Cross, only after the death of the surviving spouse.
16) Bring in Kiran, Varun, and Paavai to become educated about your plan to gift them each $27,725 per
year for the next seven years, which they will use as premium payments for their $725,000
Survivorship Universal Life Insurance policies.
17) Discuss with family, write down end of life decisions, and work with Attorney to draw up “Living Wills”
(Declarations to Physicians).
Tasks for Clients and Planner

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PLANNER’S TASKS
1) Call and meet IRA manager to communicate the intentions of Clients’ to implement a direct rollover of
401(k) plans into IRAs.
2) Inform IRA manager about clients’ new asset allocation strategy; answer any questions if necessary.
3) Call and meet Brokerage account manager to help clients communicate the new asset allocation
strategy.
4) Work with Brokerage account manager and CPA to determine any unforeseen concerns with the sale
and/or gifting of the IBM shares.
5) Work with clients, nephew Kiran, and insurance agent talk about selecting and purchasing a Disability
Insurance policy.
6) Work with clients, nephew Kiran, and Brokerage account manager to open an investment account.
7) Call Company, introduce self as Clients’ planner and inform them that the clients are ready to
implement Option D for both retirement annuities: Joint and 100% Survivorship.
8) Provide a list of reputable CPAs to review Clients’ new retirement strategy and establish the
relationship necessary to review tax implications of the plan.
9) If requested by Clients, provide a list of experienced attorneys who specialize in Estate Planning.
10) Work with clients’ Estate Attorney to talk through the establishing of the reduce-to-zero Marital
Deduction Trust, along with the Bypass Trust, and be with clients and Estate Attorney if allowed, in
order to be unified in helping clients accurately communicate the specific instructions desired in the
Bypass Trust and the Marital Trust.
11) Bring in Kiran, Varun, and Paavai to become educated about the plan to gift them each $27,725 per
year for the next seven years, which they will use as premium payments for their $725,000
Survivorship Universal Life Insurance policies. Be available to assist Client when they select an agent
and policy.
12) Follow up with Clients by February 15, 2016, to chart progress on their tasks and offer any assistance.
Tasks for Clients and Planner (cont’d)

25 | P a g e
• Naresh and Vanita will want to get away and celebrate their retirement sometime this year;
$16,000 is budgeted for a celebration trip.
• Naresh and Vanita will want the freedom to travel and see places they’ve never seen before.
$25,000 per year, increasing annually with inflation is budgeted into the plan.
• The Agarwal’s drive two cars. Each one will be taken in for a trade-in purchase every five years, at a
net cost of $21,000 today, adjusted for 3% annual inflation.
• Moderate economic growth environment, with 3% GDP anticipated.
• Inflation is expected to be 3% annually.
• Social Security will keep pace with inflation.
• Health Care policy premiums will have an inflation rate of 7% annually.
• Long Term Care insurance policies will have an inflation rate of 5% annually.
• Risk free rate is 3%.
• Domicile: Non-Community Property State (Common Law) (Madison, WI)
• Long-term capital gains and qualifying dividends: as per recent legislation.
• Continued graduated income tax system.
• State income tax: 5% of Federal Adjusted Gross Income (AGI).
• Life Expectancy: 90 years.
• Naresh and Vanita’s investment profile is moderately conservative.
Assumptions used

26 | P a g e
This financial plan is written with fiduciary responsibilities to the Clients. Planner will only share Clients’
information contained within this plan to other professionals with Clients’ expressed consent.
If this plan is fully implemented, the data below, generated by MoneyGuidePro® Software, is a calculated
estimate of the results anticipated as a result, when compared to current asset allocation and before
implementing other proposed strategies. Results are based on past performance of funds and are in no way
guaranteed. Any investment strategy is exposed to risk and is in no way guaranteed by Planner nor by
Planner’s office and staff. A complete report from MoneyGuidePro® will follow in the Appendix section.
Key “Takeaways”: As will be shown below and in the Appendix section, MoneyGuidePro® has calculated that if
the Clients’ Plan is fulfilled in 2050 (per clients’ input instructions), that the entire investment portfolio in the
Estate will have accumulated to a cash value of $16,431,449, as compared to the current conditions yielding a
predicted portfolio cash value of $13,734,055. In addition to this predicted increase in portfolio value of
$2,697,000, the Plan, as designed accomplishes the following:
1) The beginning of an income protection plan and Life-Cycle financial plan for your nephew, Kiran.
2) Solidification of annuity income for life with the selection of the Joint and 100% Survivorship
retirement annuities.
3) Elimination of credit card debt.
4) Provision of wealth protection through the purchase of a more comprehensive Long Term Care
insurance policy for both Naresh and Vanita.
5) An investment withdrawal strategy which will allow a maximum amount of assets to be earning passive
income for Naresh and Vanita, by avoiding the Minimum Withdrawals as stipulated by the Uniform
Lifetime Table.
6) The establishing of Marital Deduction and Bypass Trusts which will minimize the tax burden on the
Estate left to the beneficiaries.
7) The securing of passing a Legacy on to your nephews and niece, Kiran, Varun, and Paavai, with the
gifting of funds to purchase Survivorship Universal Life insurance policies that will pay them each
$725,000 plus a substantial interest accrued.
8) The peace of mind and securing the drafting and filing all Estate Planning documents, include the Living
Wills and the designation of funds through the Bypass Trust, designed to provide income for a surviving
spouse and the nephews and niece, Kiran, Varun, and Paavai.
9) The new investment allocation predicts a higher return (8.22% versus 6.75%), with a lower Beta
(Standard Deviation) (5.58% versus 10.21%). The portfolio is now positioned to earn more on their
investment at a lower risk.
BRIEF SUMMARY
Summary of Results

27 | P a g e
ILLUSTRATION OF PREDICTED RETURNS AND FUTURE PORFOLIO CASH VALUE
58 / 56 2016 0 2,984,000 0 0 78,750 199,086 24,975 100,249 3,136,612
59 / 57 2017 0 3,136,612 0 0 78,750 208,972 24,630 106,594 3,293,110
60 / 58 2018 0 3,293,110 0 0 78,750 217,874 23,890 131,403 3,434,441
61 / 59 2019 0 3,434,441 0 0 78,750 228,754 23,382 111,741 3,606,822
62 / 60 2020 0 3,606,822 0 0 78,750 238,625 22,320 138,086 3,763,792
63 / 61 2021 0 3,763,792 0 0 78,750 251,073 21,711 110,858 3,961,046
64 / 62 2022 0 3,961,046 0 0 78,750 264,207 21,403 113,760 4,168,839
65 / 63 2023 0 4,168,839 0 0 78,750 275,677 20,562 152,070 4,350,634
66 / 64 2024 0 4,350,634 0 0 121,128 291,716 31,858 130,018 4,601,602
67 / 65 2025 0 4,601,602 0 0 122,399 307,372 31,175 150,537 4,849,662
68 / 66 2026 0 4,849,662 0 0 123,709 325,726 31,265 127,990 5,139,841
69 / 67 2027 0 5,139,841 0 0 165,237 347,189 43,238 133,070 5,475,960
70 / 68 2028 0 5,475,960 0 0 167,832 365,115 83,443 168,330 5,757,134
71 / 69 2029 0 5,757,134 0 0 170,505 385,753 88,144 143,960 6,081,287
72 / 70 2030 0 6,081,287 0 0 173,257 403,749 113,512 181,563 6,363,218
73 / 71 2031 0 6,363,218 0 0 176,092 424,422 120,858 155,918 6,686,957
74 / 72 2032 0 6,686,957 0 0 179,013 445,740 128,697 162,334 7,020,679
75 / 73 2033 0 7,020,679 0 0 182,021 465,356 136,472 203,775 7,327,809
76 / 74 2034 0 7,327,809 0 0 185,119 487,828 145,521 176,128 7,679,106
77 / 75 2035 0 7,679,106 0 0 188,310 508,435 154,535 220,367 8,000,949
78 / 76 2036 0 8,000,949 0 0 191,597 531,966 165,184 191,329 8,367,999
79 / 77 2037 0 8,367,999 0 0 194,982 556,055 175,945 199,508 8,743,583
80 / 78 2038 0 8,743,583 0 0 198,469 577,954 186,773 248,342 9,084,891
81 / 79 2039 0 9,084,891 0 0 202,060 602,942 198,800 217,139 9,473,954
82 / 80 2040 0 9,473,954 0 0 205,760 625,513 210,748 269,331 9,825,148
83 / 81 2041 0 9,825,148 0 0 209,570 651,246 224,291 236,639 10,225,034
Portfolio Value over Time (Current Conditions) Portfolio Value over Time (Proposed Plan)
Age | Year | Beginning Portfolio Value | Income | Invstmnt. Earnings | Taxes | Funds Used | Ending ValuePortfolio Performance (Current Conditions)
Summary of Results (cont’d)

28 | P a g e
84 / 82 2042 0 10,225,034 0 0 213,495 677,338 238,566 247,159 10,630,142
85 / 83 2043 0 10,630,142 0 0 217,537 700,630 251,928 304,882 10,991,499
86 / 84 2044 0 10,991,499 0 0 221,701 727,222 266,783 269,899 11,403,740
87 / 85 2045 0 11,403,740 0 0 225,989 750,737 280,934 331,675 11,767,857
88 / 86 2046 0 11,767,857 0 0 230,406 777,643 296,551 295,137 12,184,218
89 / 87 2047 0 12,184,218 0 0 234,956 804,692 312,702 308,790 12,602,373
Naresh's Plan 2048 0 12,602,373 0 0 239,642 828,239 327,094 377,265 12,965,895
Ends
- / 89 2049 0 12,965,895 0 0 118,730 854,965 316,507 245,208 13,377,876
Vanita's Plan 2050 0 13,377,876 0 0 121,392 878,054 330,402 312,865 13,734,05
Ends
58 / 56 2016 0 2,984,000 0 0 70,875 232,654 20,673 191,120 3,075,735
59 / 57 2017 0 3,075,735 0 0 70,875 239,856 18,486 193,884 3,174,095
60 / 58 2018 0 3,174,095 0 0 70,875 245,768 16,699 218,857 3,255,183
61 / 59 2019 0 3,255,183 0 0 70,875 253,907 15,058 199,364 3,365,543
62 / 60 2020 0 3,365,543 0 0 70,875 260,661 12,962 225,883 3,458,234
63 / 61 2021 0 3,458,234 0 0 70,875 269,151 26,002 198,834 3,573,425
64 / 62 2022 0 3,573,425 0 0 70,875 279,568 22,724 201,921 3,699,223
65 / 63 2023 0 3,699,223 0 0 70,875 295,706 9,473 158,596 3,897,734
66 / 64 2024 0 3,897,734 0 0 113,253 316,710 21,326 136,740 4,169,632
67 / 65 2025 0 4,169,632 0 0 114,524 335,595 44,029 157,460 4,418,262
68 / 66 2026 0 4,418,262 0 0 115,834 358,986 31,746 135,121 4,726,215
69 / 67 2027 0 4,726,215 0 0 157,362 387,398 30,292 140,415 5,100,269
70 / 68 2028 0 5,100,269 0 0 159,957 412,343 68,811 175,895 5,427,863
71 / 69 2029 0 5,427,863 0 0 162,630 441,199 73,804 151,752 5,806,136
72 / 70 2030 0 5,806,136 0 0 165,382 467,075 104,302 189,588 6,144,703
73 / 71 2031 0 6,144,703 0 0 168,217 496,733 113,314 164,184 6,532,155
74 / 72 2032 0 6,532,155 0 0 171,138 527,742 123,135 170,849 6,937,051
75 / 73 2033 0 6,937,051 0 0 174,146 557,273 133,116 212,545 7,322,808
76 / 74 2034 0 7,322,808 0 0 177,244 590,873 145,156 185,162 7,760,607
77 / 75 2035 0 7,760,607 0 0 180,435 622,832 157,462 229,671 8,176,741
78 / 76 2036 0 8,176,741 0 0 183,722 658,964 172,129 200,912 8,646,385
79 / 77 2037 0 8,646,385 0 0 187,107 696,437 187,318 209,379 9,133,232
80 / 78 2038 0 9,133,232 0 0 190,594 731,883 203,138 258,509 9,594,062
81 / 79 2039 0 9,594,062 0 0 194,185 771,744 221,072 227,611 10,111,308
82 / 80 2040 0 10,111,308 0 0 197,885 809,340 239,404 280,117 10,599,011
83 / 81 2041 0 10,599,011 0 0 201,695 851,436 260,154 247,748 11,144,240
84 / 82 2042 0 11,144,240 0 0 205,620 894,658 282,465 258,602 11,703,451
85 / 83 2043 0 11,703,451 0 0 209,662 935,180 304,278 316,668 12,227,346
Age | Year | Beginning Portfolio Value | Income | Invstmnt. Earnings | Taxes | Funds Used | Ending Value
Portfolio Performance (Current Conditions) (cont’d)
Portfolio Performance (Recommended Financial Plan)

29 | P a g e
86 / 84 2044 0 12,227,346 0 0 213,826 980,379 328,638 282,039 12,810,874
87 / 85 2045 0 12,810,874 0 0 218,114 1,022,534 352,826 344,179 13,354,517
88 / 86 2046 0 13,354,517 0 0 222,531 1,069,461 379,600 308,016 13,958,893
89 / 87 2047 0 13,958,893 0 0 227,081 1,117,220 407,882 322,055 14,573,257
Naresh's Plan 2048 0 14,573,257 0 0 231,767 1,161,416 434,624 390,928 15,140,888
Ends
- / 89 2049 0 15,140,888 0 0 159,605 1,213,411 451,472 253,226 15,809,206
Vanita's Plan 2050 0 15,809,206 0 0 162,267 1,262,011 480,911 321,124 16,431,44
Ends
Naresh and Vanita,
It has truly been a pleasure to spend time with you and help you prepare for a healthy, happy retirement. My
services most certainly do not end here. You are now an appreciated partner, and more than welcomed to
contact me anytime you are in need of consultation. I will check back with you after 2 or 3 weeks to let you
know what I found out for you from my task list, and to see if you are in need of assistance making adjustments
or completing any of the tasks that are listed in this report. And remember, as written in the Introduction, please
do contact me in the event of any life situation changes that will have an effect on our planning process.
Best Regards,
Gene Gorrell
Financial Planner
Portfolio Performance (Recommended Financial Plan) (cont’d)

January 29, 2016
Financial Goal Plan
Prepared by:
Gene Gorrell
Financial Consultant
Appendix A
MoneyGuidePro® Comparative Analysis – Current Status vs. New Plan

Table Of Contents
IMPORTANT DISCLOSURE INFORMATION 1 - 5
Glossary 6 - 9
Summary of Goals and Resources
Personal Information and Summary of Financial Goals 10 - 12
Current Financial Goals Graph 13
Net Worth Summary - All Resources 14
Net Worth Detail - All Resources 15 - 16
Resources Summary 17 - 19
Risk and Portfolio Information
Risk Assessment 20
Target Band 21
Results
What If Worksheet 22 - 28
Worksheet Detail - Combined Details 29 - 42

IMPORTANT DISCLOSURE INFORMATION
01/29/2016
Prepared for : Naresh and Vanita Agarwal Prepared by: Gene Gorrell
Page 1 of 42
The return assumptions in MoneyGuidePro are not reflective of any specific product, and do
not include any fees or expenses that may be incurred by investing in specific products. The
actual returns of a specific product may be more or less than the returns used in
MoneyGuidePro. It is not possible to directly invest in an index. Financial forecasts, rates of
return, risk, inflation, and other assumptions may be used as the basis for illustrations. They
should not be considered a guarantee of future performance or a guarantee of achieving
overall financial objectives. Past performance is not a guarantee or a predictor of future
results of either the indices or any particular investment.
IMPORTANT: The projections or other information generated by MoneyGuidePro regarding
the likelihood of various investment outcomes are hypothetical in nature, do not reflect
actual investment results, and are not guarantees of future results.
MoneyGuidePro results may vary with each use and over time.
Information that you provided about your assets, financial goals, and personal situation are
key assumptions for the calculations and projections in this Report. Please review the
Report sections titled "Personal Information and Summary of Financial Goals", "Current
Portfolio Allocation", and "Tax and Inflation Options" to verify the accuracy of these
assumptions. If any of the assumptions are incorrect, you should notify your financial
advisor. Even small changes in assumptions can have a substantial impact on the results
shown in this Report. The information provided by you should be reviewed periodically and
updated when either the information or your circumstances change.
Information Provided by You
MoneyGuidePro Assumptions and Limitations
All asset and net worth information included in this Report was provided by you or your
designated agents, and is not a substitute for the information contained in the official
account statements provided to you by custodians. The current asset data and values
contained in those account statements should be used to update the asset information
included in this Report, as necessary.
Assumptions and Limitations
MoneyGuidePro offers several methods of calculating results, each of which provides one
outcome from a wide range of possible outcomes. All results in this Report are hypothetical
in nature, do not reflect actual investment results, and are not guarantees of future results.
All results use simplifying assumptions that do not completely or accurately reflect your
specific circumstances. No Plan or Report has the ability to accurately predict the future. As
investment returns, inflation, taxes, and other economic conditions vary from the
MoneyGuidePro assumptions, your actual results will vary (perhaps significantly) from those
presented in this Report.
All MoneyGuidePro calculations use asset class returns, not returns of actual investments.
The average annual historical returns are calculated using the indices contained in this
Report, which serve as proxies for their respective asset classes. The index data are for the
period 1970 - 2014. The portfolio returns are calculated by weighting individual return
assumptions for each asset class according to your portfolio allocation. The portfolio returns
may have been modified by including adjustments to the total return and the inflation rate.
The portfolio returns assume reinvestment of interest and dividends at net asset value
without taxes, and also assume that the portfolio has been rebalanced to reflect the initial
recommendation. No portfolio rebalancing costs, including taxes, if applicable, are
deducted from the portfolio value. No portfolio allocation eliminates risk or guarantees
investment results.
MoneyGuidePro does not provide recommendations for any products or securities.

01/29/2016
Page 2 of 42
Historical Return IndexAsset Class
Cash & Cash Alternatives Ibbotson U.S. Treasury Bills - Total Return (1926-2014)
Cash & Cash Alternatives (Tax-Free) U.S. 30-Day Treasury Bill adjusted by Donoghue TF discount (1970-1981)
Tax-Free Money Market Average (1982-2014)
Short Term Bonds 50% Ibbotson U.S. Treasury Bills and 50% Ibbotson Intermediate-Term Government
Bonds (1970-1978)
BofA Merrill Lynch 1-3 Year Govt Bonds (1979-2014)
Short Term Bonds (Tax-Free) 50% Ibbotson U.S. T-Bill and 50% Ibbotson Intermediate-Term Government Bonds
adjusted by Barclays Capital 3-year Muni discount (1970-1990)
Barclays Capital 3-year Muni Bonds (1991-2014)
Intermediate Term Bonds Ibbotson Intermediate-Term Government Bonds - Total Return (1926-2014)
Intermediate Term Bonds (Tax-Free) Ibbotson Long-Term Government Bonds - Total Return adjusted by Barclays Capital
10-year Muni discount (1970-1979)
Barclays Capital 10-year Muni Bonds (1980-2014)
Long Term Bonds Ibbotson Long-Term Corporate Bonds - Total Return (1926-2014)
Long Term Bonds (Tax-Free) Ibbotson Long-Term Government Bonds - Total Return adjusted by Barclays Capital Long
Muni Bonds discount (1970-1980)
Barclays Capital Long Muni Bonds (1981-2014)
Large Cap Value Stocks S&P 500 Composite Total Return (1970-1994)
S&P 500 Value Total Return(1995-2014)
Large Cap Growth Stocks S&P 500 Composite Total Return (1970-1994)
S&P 500 Growth Total Return (1995-2014)
Mid Cap Stocks S&P 500 Composite Total Return (1970-1979)
Russell Midcap (1980-2014)
Small Cap Stocks Ibbotson Small Company Stocks - Total Return (1926-2014)
International Developed Stocks MSCI EAFE Equity (1970-2014)
International Emerging Stocks MSCI EAFE Equity (1970-1975)
IFC Global Emerging Markets Index (1976-1987)
MSCI EM (Emerging Markets) (1988-2014)

01/29/2016
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Risks Inherent in Investing
Investing in fixed income securities involves interest rate risk, credit risk, and inflation risk.
Interest rate risk is the possibility that bond prices will decrease because of an interest rate
increase. When interest rates rise, bond prices and the values of fixed income securities fall.
When interest rates fall, bond prices and the values of fixed income securities rise. Credit
risk is the risk that a company will not be able to pay its debts, including the interest on its
bonds. Inflation risk is the possibility that the interest paid on an investment in bonds will
be lower than the inflation rate, decreasing purchasing power.
Cash alternatives typically include money market securities and U.S. treasury bills. Investing
in such cash alternatives involves inflation risk. In addition, investments in money market
securities may involve credit risk and a risk of principal loss. Because money market
securities are neither insured nor guaranteed by the Federal Deposit Insurance Corporation
or any other government agency, there is no guarantee the value of your investment will be
maintained at $1.00 per share. U.S. Treasury bills are subject to market risk if sold prior to
maturity. Market risk is the possibility that the value, when sold, might be less than the
purchase price.
Investing in stock securities involves volatility risk, market risk, business risk, and industry
risk. The prices of most stocks fluctuate. Volatility risk is the chance that the value of a stock
will fall. Market risk is chance that the prices of all stocks will fall due to conditions in the
economic environment. Business risk is the chance that a specific company’s stock will fall
because of issues affecting it. Industry risk is the chance that a set of factors particular to an
industry group will adversely affect stock prices within the industry. (See “Asset Class –
Stocks” in the Glossary section of this Important Disclosure Information for a summary of
the relative potential volatility of different types of stocks.)
International investing involves additional risks including, but not limited to, changes in
currency exchange rates, differences in accounting and taxation policies, and political or
economic instabilities that can increase or decrease returns.
Report Is a Snapshot and Does Not Provide Legal, Tax, or Accounting Advice
This Report provides a snapshot of your current financial position and can help you to focus
on your financial resources and goals, and to create a plan of action. Because the results
are calculated over many years, small changes can create large differences in future results.
You should use this Report to help you focus on the factors that are most important to you.
This Report does not provide legal, tax, or accounting advice. Before making decisions with
legal, tax, or accounting ramifications, you should consult appropriate professionals for
advice that is specific to your situation.
MoneyGuidePro Methodology
MoneyGuidePro offers several methods of calculating results, each of which provides one
outcome from a wide range of possible outcomes. The methods used are: “Average
Returns,” “Historical Test,” “Historical Rolling Periods,” “Bad Timing,” “Class Sensitivity,”
and “Monte Carlo Simulations.” When using historical returns, the methodologies available
are Average Returns, Historical Test, Historical Rolling Periods, Bad Timing, and Monte Carlo
Simulations. When using projected returns, the methodologies available are Average
Returns, Bad Timing, Class Sensitivity, and Monte Carlo Simulations.
Results Using Average Returns
The Results Using Average Returns are calculated using one average return for your
pre-retirement period and one average return for your post-retirement period. Average
Returns are a simplifying assumption. In the real world, investment returns can (and often
do) vary widely from year to year and vary widely from a long-term average return.
Results Using Historical Test
Results Using Historical Rolling Periods
The Results Using Historical Rolling Periods is a series of Historical Tests, each of which uses
the actual historical returns and inflations rates, in sequence, from a starting year to an
ending year, and assumes that you would receive those returns and inflation rates, in
sequence, from this year through the end of your Plan. If the historical sequence is shorter
than your Plan, the average return for the historical period is used for the balance of the
Plan.
Indices in Results Using Historical Rolling Periods may be different from indices used in other
MoneyGuidePro calculations. Rolling Period Results are calculated using only three asset
classes -- Cash, Bonds, and Stocks. The indices used as proxies for these asset classes when
calculating Results Using Historical Rolling Periods are:
• Cash - Ibbotson U.S. 30-day Treasury Bills (1926-2014)
• Bonds - Ibbotson Intermediate-Term Government Bonds - Total Return (1926-2014)
• Stocks - Ibbotson Large Company Stocks - Total Return (1926-2014)
The Results Using Historical Test are calculated by using the actual historical returns and
inflation rates, in sequence, from a starting year to the present, and assumes that you
would receive those returns and inflation rates, in sequence, from this year through the end
of your Plan. If the historical sequence is shorter than your Plan, the average return for the
historical period is used for the balance of the Plan. The historical returns used are those of
the broad-based asset class indices listed in this Important Disclosure Information.

01/29/2016
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Results with Bad Timing
Results with Bad Timing are calculated by using low returns in one or two years, and
average returns for all remaining years of the Plan. For most Plans, the worst time for low
returns is when you begin taking substantial withdrawals from your portfolio. The Results
with Bad Timing assume that you earn a low return in the year(s) you select and then an
Adjusted Average Return in all other years. This Adjusted Average Return is calculated so
that the average return of the Results with Bad Timing is equal to the return(s) used in
calculating the Results Using Average Returns. This allows you to compare two results with
the same overall average return, where one (the Results with Bad Timing) has low returns in
one or two years.
When using historical returns, the default for one year of low returns is the lowest annual
return in the historical period you are using, and the default for two years of low returns is
the lowest two-year sequence of returns in the historical period. When using projected
returns, the default for the first year of low returns is two standard deviations less than the
average return, and the default for the second year is one standard deviation less than the
average return.
Results Using Class Sensitivity
The Results Using Class Sensitivity are calculated by using different return assumptions for
one or more asset classes during the years you select. These results show how your Plan
would be affected if the annual returns for one or more asset classes were different than
the average returns for a specified period in your Plan.
Results Using Monte Carlo Simulations
Monte Carlo simulations are used to show how variations in rates of return each year can
affect your results. A Monte Carlo simulation calculates the results of your Plan by running
it many times, each time using a different sequence of returns. Some sequences of returns
will give you better results, and some will give you worse results. These multiple trials
provide a range of possible results, some successful (you would have met all your goals) and
some unsuccessful (you would not have met all your goals). The percentage of trials that
were successful is the probability that your Plan, with all its underlying assumptions, could
be successful. In MoneyGuidePro, this is the Probability of Success. Analogously, the
percentage of trials that were unsuccessful is the Probability of Failure. The Results Using
Monte Carlo Simulations indicate the likelihood that an event may occur as well as the
likelihood that it may not occur. In analyzing this information, please note that the analysis
does not take into account actual market conditions, which may severely affect the
outcome of your goals over the long-term.
MoneyGuidePro uses a specialized methodology called Beyond Monte Carlo™, a statistical
analysis technique that provides results that are as accurate as traditional Monte Carlo
simulations with 10,000 trials, but with fewer iterations and greater consistency. Beyond
Monte Carlo™ is based on Sensitivity Simulations, which re-runs the Plan only 50 to 100
times using small changes in the return. This allows a sensitivity of the results to be
calculated, which, when analyzed with the mean return and standard deviation of the
portfolio, allows the Probability of Success for your Plan to be directly calculated.
MoneyGuidePro Presentation of Results
The Results Using Average Returns, Historical Test, Historical Rolling Periods, Bad Timing,
and Class Sensitivity display the results using an “Estimated % of Goal Funded” and a
“Safety Margin.”
Estimated % of Goal Funded
For each Goal, the “Estimated % of Goal Funded” is the sum of the assets used to fund the
Goal divided by the sum of the Goal’s expenses. All values are in current dollars. A result of
100% or more does not guarantee that you will reach a Goal, nor does a result under
100% guarantee that you will not. Rather, this information is meant to identify possible
shortfalls in this Plan, and is not a guarantee that a certain percentage of your Goals will be
funded. The percentage reflects a projection of the total cost of the Goal that was actually
funded based upon all the assumptions that are included in this Plan, and assumes that you
execute all aspects of the Plan as you have indicated.
Safety Margin
The Safety Margin is the estimated value of your assets at the end of this Plan, based on all
the assumptions included in this Report. Only you can determine if that Safety Margin is
sufficient for your needs.
Bear Market Loss and Bear Market Test
The Bear Market Loss shows how a portfolio would have been impacted during the worst
bear market since the Great Depression. Depending on the composition of the portfolio,
the worst bear market is either the "Great Recession" or the "Bond Bear Market."
The Great Recession, from November 2007 through February 2009, was the worst bear
market for stocks since the Great Depression. In MoneyGuidePro, the Great Recession
Return is the rate of return, during the Great Recession, for a portfolio comprised of cash,
bonds, stocks, and alternatives, with an asset mix equivalent to the portfolio referenced.

01/29/2016
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The Bond Bear Market, from July 1979 through February 1980, was the worst bear market
for bonds since the Great Depression. In MoneyGuidePro, the Bond Bear Market Return is
the rate of return, for the Bond Bear Market period, for a portfolio comprised of cash,
bonds, stocks, and alternatives, with an asset mix equivalent to the portfolio referenced.
The Bear Market Loss shows: 1) either the Great Recession Return or the Bond Bear Market
Return, whichever is lower, and 2) the potential loss, if you had been invested in this
cash-bond-stock-alternative portfolio during the period with the lower return. In general,
most portfolios with a stock allocation of 20% or more have a lower Great Recession
Return, and most portfolios with a combined cash and bond allocation of 80% or more
have a lower Bond Bear Market Return.
The Bear Market Test, included in the Stress Tests, examines the impact on your Plan results
if an identical Great Recession or Bond Bear Market, whichever would be worse, occurred
this year. The Bear Market Test shows the likelihood that you could fund your Needs,
Wants and Wishes after experiencing such an event.
Regardless of whether you are using historical or projected returns for all other
MoneyGuidePro results, the Bear Market Loss and Bear Market Test use returns calculated
from historical indices. If you are using historical returns, the indices in the Bear Market Loss
and the Bear Market Test may be different from indices used in other calculations. These
results are calculated using only four asset classes – Cash, Bonds, Stocks, and Alternatives.
The indices and the resulting returns for the Great Recession and the Bond Bear Market are:
Because the Bear Market Loss and Bear Market Test use the returns from asset class indices
rather than the returns of actual investments, they do not represent the performance for
any specific portfolio, and are not a guarantee of minimum or maximum levels of losses or
gains for any portfolio. The actual performance of your portfolio may differ substantially
from those shown in the Great Recession Return, the Bond Bear Market Return, the Bear
Market Loss, and the Bear Market Test.
MoneyGuidePro Risk Assessment
The MoneyGuidePro Risk Assessment highlights some – but not all – of the trade-offs you
might consider when deciding how to invest your money. This approach does not provide a
comprehensive, psychometrically-based, or scientifically-validated profile of your risk
tolerance, loss tolerance, or risk capacity, and is provided for informational purposes only.
Based on your specific circumstances, you must decide the appropriate balance between
potential risks and potential returns. MoneyGuidePro does not and cannot adequately
understand or assess the appropriate risk/return balance for you. MoneyGuidePro requires
you to select a risk score. Once selected, three important pieces of information are available
to help you determine the appropriateness of your score: a cash-bond-stock portfolio, the
impact of a Bear Market Loss (either the Great Recession or the Bond Bear Market,
whichever is lower) on this portfolio, and a graph showing how your score compares to the
risk score of others in your age group.
MoneyGuidePro uses your risk score to select a risk-based portfolio on the Target Band
page. This risk-based portfolio selection is provided for informational purposes only, and
you should consider it to be a starting point for conversations with your advisor. It is your
responsibility to select the Target Portfolio you want MoneyGuidePro to use. The selection
of your Target Portfolio, and other investment decisions, should be made by you, after
discussions with your advisor and, if needed, other financial and/or legal professionals.
Asset Class Index Great Recession
Return
11/2007 – 02/2009
Bond Bear Market
Return
07/1979 – 02/1980
Cash Ibbotson U.S. 30-day
Treasury Bills
2.31% 7.08%
Bond Ibbotson Intermediate-Term
Government Bonds – Total
Return
15.61% -8.89%
Stock S&P 500 - Total Return -50.95% 14.61%
Alternative HFRI FOF: Diversified*
S&P GSCI Commodity - Total
Return**
-19.87%
N/A
N/A
20.28%
*Hedge Fund Research Indices Fund of Funds
**S&P GSCI was formerly the Goldman Sachs Commodity Index

Glossary
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Glossary
Asset Allocation is the process of determining what portions of your portfolio holdings are
to be invested in the various asset classes.
Asset Allocation
This optional strategy simulates creating a separate account for funds that you want to
invest differently than your Target Portfolio. You specify the expected return assumptions,
and the Program calculates a range of possible results using those assumptions. Generally,
this strategy is included when you have excess funds after fulfilling your financial goals, and
used to create a legacy or to fund discretionary objectives.
Aspirational Cash Reserve Strategy
Bonds
Bonds are either domestic (U.S.) or global debt securities issued by either private
corporations or governments. (See the “Risks Inherent in Investing” section in this
Important Disclosure Information for a summary of the risks associated with investing in
bonds. Bonds are also called “fixed income securities.”)
Domestic government bonds are backed by the full faith and credit of the U.S.
Government and have superior liquidity and, when held to maturity, safety of principal.
Domestic corporate bonds carry the credit risk of their issuers and thus usually offer
additional yield. Domestic government and corporate bonds can be sub-divided based
upon their term to maturity. Short-term bonds have an approximate term to maturity of 1
to 5 years; intermediate-term bonds have an approximate term to maturity of 5 to 10
years; and, long-term bonds have an approximate term to maturity greater than 10 years.
Asset Class
Asset Class is a standard term that broadly defines a category of investments. The three
basic asset classes are Cash, Bonds, and Stocks. Bonds and Stocks are often further
subdivided into more narrowly defined classes. Some of the most common asset classes are
defined below.
Cash and Cash Alternatives
Cash typically includes bank accounts or certificates of deposit, which are insured by the
Federal Deposit Insurance Corporation up to a limit per account. Cash Alternatives typically
include money market securities, U.S. treasury bills, and other investments that are readily
convertible to cash, have a stable market value, and a very short-term maturity. U.S.
Treasury bills are backed by the full faith and credit of the U.S. Government and, when
held to maturity, provide safety of principal. (See the “Risks Inherent in Investing” section
in this Important Disclosure Information for a summary of the risks associated with
investing in cash alternatives.)
Stocks
Stocks are equity securities of domestic and foreign corporations. (See the “Risks Inherent
in Investing” section in this Important Disclosure Information for a summary of the risks
associated with investing in stocks.)
Domestic stocks are equity securities of U.S. corporations. Domestic stocks are often
sub-divided based upon the market capitalization of the company (the market value of the
company's stock). "Large cap" stocks are from larger companies, "mid cap" from the
middle range of companies, and "small cap" from smaller, perhaps newer, companies.
Generally, small cap stocks experience greater market volatility than stocks of companies
with larger capitalization. Small cap stocks are generally those from companies whose
capitalization is less than $500 million, mid cap stocks those between $500 million and $5
billion, and large cap over $5 billion.
Large cap, mid cap and small cap may be further sub-divided into "growth" and "value"
categories. Growth companies are those with an orientation towards growth, often
characterized by commonly used metrics such as higher price-to-book and
price-to-earnings ratios. Analogously, value companies are those with an orientation
towards value, often characterized by commonly used metrics such as lower price-to-book
and price-to-earnings ratios.
International stocks are equity securities from foreign corporations. International stocks are
often sub-divided into those from "developed" countries and those from "emerging
markets." The emerging markets are in less developed countries with emerging economies
that may be characterized by lower income per capita, less developed infrastructure and
nascent capital markets. These "emerging markets" usually are less economically and
politically stable than the "developed markets." Investing in international stocks involves
special risks, among which include foreign exchange volatility and risks of investing under
different tax, regulatory and accounting standards.
Asset Mix
Asset Mix is the combination of asset classes within a portfolio, and is usually expressed as a
percentage for each asset class.
Base Inflation Rate
The Base Inflation Rate is the default inflation rate in the Program. You can adjust this rate
in financial goal expenses, retirement income sources, savings rates, and in each What If
scenario. Also see “Inflation Rate.”

Glossary
01/29/2016
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Bear Market Test
The Bear Market Test, included in the Stress Tests, examines the impact on your Plan results
if a Bear Market Loss occurred this year. The Bear Market Test shows the likelihood that you
could fund your Needs, Wants and Wishes after experiencing such an event. See Bear
Market Loss.
Bond Bear Market Return
The Bond Bear Market Return is the rate of return for a cash-bond-stock-alternative
portfolio during the Bond Bear Market (July 1979 through February 1980), the worst bear
market for bonds since the Great Depression. MoneyGuidePro shows a Bond Bear Market
Return for your Current, Risk-based, and Target Portfolios, calculated using historical returns
of four broad-based asset class indices. See Great Recession Return.
Cash Receipt Schedule
A Cash Receipt Schedule consists of one or more years of future after-tax amounts received
from the anticipated sale of an Other Asset, exercising of Stock Options grants, or proceeds
from Restricted Stock grants.
Confidence Zone
See Monte Carlo Confidence Zone.
Concentrated Position
A Concentrated Position is when your portfolio contains a significant amount (as a
percentage of the total portfolio value) in individual stock or bonds. Concentrated Positions
have the potential to increase the risk of your portfolio.
Current Portfolio
Your Current Portfolio is comprised of all the investment assets you currently own (or a
subset of your assets, based on the information you provided for this Plan), categorized by
Asset Class and Asset Mix.
Current Dollars
The Results of MoneyGuidePro calculations are in Future Dollars. To help you compare
dollar amounts in different years, we also express the Results in Current Dollars, calculated
by discounting the Future Dollars by the sequence of inflation rates used in the Plan.
Fund All Goals
Fund All Goals is one of two ways for your assets and retirement income to be used to fund
your goals. The other is Earmark, which means that an asset or retirement income is
assigned to one or more goals, and will be used only for those goals. Fund All Goals means
that the asset or income is not earmarked to fund specific goals, and can be used to fund
any goal, as needed in the calculations.
Expense Adjustments
When using historical returns, some users of MoneyGuidePro include Expense Adjustments.
These adjustments (which are specified by the user) reduce the return of the affected Asset
Classes and are commonly used to account for transaction costs or other types of fees
associated with investing. If Expense Adjustments have been used in this Report, they will
be listed beside the historical indices at the beginning of this Report.
Future Dollars
Future Dollars are inflated dollars. The Results of MoneyGuidePro calculations are in Future
Dollars. To help you compare dollar amounts in different years, we discount the Future
Dollar amounts by the inflation rates used in the calculations and display the Results in the
equivalent Current Dollars.
Great Recession Return
The Great Recession Return is the rate of return for a cash-bond-stock-alternative portfolio
during the Great Recession (November 2007 through February 2009), the worst bear
market for stocks since the Great Depression. MoneyGuidePro shows a Great Recession
Return for your Current, Risk-based, and Target Portfolios, calculated using historical returns
of four broad-based asset class indices. See Bond Bear Market Return.
Inflation Rate
Inflation is the percentage increase in the cost of goods and services for a specified time
period. A historical measure of inflation is the Consumer Price Index (CPI). In
MoneyGuidePro, the Inflation Rate is selected by your advisor, and can be adjusted in
different scenarios.
Liquidity
Liquidity is the ease with which an investment can be converted into cash.
Bear Market Loss
The Bear Market Loss shows how a portfolio would have been impacted during the Great
Recession (November 2007 through February 2009) or the Bond Bear Market (July 1979
through February 1980). The Bear Market Loss shows: 1) either the Great Recession Return
or the Bond Bear Market Return, whichever is lower, and 2) the potential loss, if you had
been invested in this cash-bond-stock-alternative portfolio during the period with the lower
return. See Bear Market Test, Great Recession Return, and Bond Bear Market Return.

Glossary
01/29/2016
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Monte Carlo Confidence Zone
The Monte Carlo Confidence Zone is the range of probabilities that you (and/or your
advisor) have selected as your target range for the Monte Carlo Probability of Success in
your Plan. The Confidence Zone reflects the Monte Carlo Probabilities of Success with
which you would be comfortable, based upon your Plan, your specific time horizon, risk
profile, and other factors unique to you.
Monte Carlo Probability of Success / Probability of Failure
The Monte Carlo Probability of Success is the percentage of trials of your Plan that were
successful. If a Monte Carlo simulation runs your Plan 10,000 times, and if 6,000 of those
runs are successful (i.e., all your goals are funded and you have at least $1 of Safety
Margin), then the Probability of Success for that Plan, with all its underlying assumptions,
would be 60%, and the Probability of Failure would be 40%.
Monte Carlo Simulations
Monte Carlo simulations are used to show how variations in rates of return each year can
affect your results. A Monte Carlo simulation calculates the results of your Plan by running
it many times, each time using a different sequence of returns. Some sequences of returns
will give you better results, and some will give you worse results. These multiple trials
provide a range of possible results, some successful (you would have met all your goals) and
some unsuccessful (you would not have met all your goals).
Needs / Wants / Wishes
In MoneyGuidePro, you choose an importance level from 10 to 1 (where 10 is the highest)
for each of your financial goals. Then, the importance levels are divided into three groups:
Needs, Wants, and Wishes. Needs are the goals that you consider necessary for your
lifestyle, and are the goals that you must fulfill. Wants are the goals that you would really
like to fulfill, but could live without. Wishes are the “dream goals” that you would like to
fund, although you won’t be too dissatisfied if you can’t fund them. In MoneyGuidePro,
Needs are your most important goals, then Wants, then Wishes.
Portfolio Set
A Portfolio Set is a group of portfolios that provides a range of risk and return strategies for
different investors.
Portfolio Total Return
A Portfolio Total Return is determined by weighting the return assumption for each Asset
Class according to the Asset Mix. Also see “Expense Adjustments.”
Probability of Success / Probability of Failure
See Monte Carlo Probability of Success / Probability of Failure.
Real Return
The Real Return is the Total Return of your portfolio minus the Inflation Rate.
Recommended Scenario
The Recommended Scenario is the scenario selected by your advisor to be shown on the
Results page, in Play Zone, and in the Presentation.
Retirement Start Date
For married couples, retirement in MoneyGuidePro begins when both the client and spouse
are retired. For single, divorced, or widowed clients, retirement begins when the client
retires.
Risk
Risk is the chance that the actual return of an investment, asset class, or portfolio will be
different from its expected or average return.
Risk-based Portfolio
The risk-based portfolio is the Model Portfolio associated with the risk score you selected.
Retirement Cash Reserve Strategy
This optional strategy simulates creating a cash account to provide funding for near-term
goal expenses. You select the number of years of Needs, Wants, and Wishes to be included
in the cash account. The Program then funds the Retirement Cash Reserve with the
designated amounts, and simulates rebalancing your remaining investments to match the
selected Target Portfolio.
Standard Deviation
Safety Margin
The Safety Margin is the hypothetical portfolio value at the end of the Plan. A Safety Margin
of zero indicates the portfolio was depleted before the Plan ended.
Standard Deviation is a statistical measure of the volatility of an investment, an asset class,
or a portfolio. It measures the degree by which an actual return might vary from the
average return, or mean. Typically, the higher the standard deviation, the higher the
potential risk of the investment, asset class, or portfolio.

Glossary
01/29/2016
Page 9 of 42
Star Track
Star Track provides a summary of your Plan results over time, using a bar graph. Each bar
shows the Monte Carlo Probability of Success for your Recommended Scenario, on the date
specified, compared to the Monte Carlo Probability of Success for a scenario using all Target
values.
Target Band
The Target Band is the portfolio(s) that could be appropriate for you, based upon the
risk-based portfolio.
Target Portfolio
Target Portfolio is the portfolio you have selected based upon your financial goals and your
risk tolerance.
Target Retirement Age
Target Retirement Age is the age at which you would like to retire.
Target Savings Amount
In the Resources section of MoneyGuidePro, you enter the current annual additions being
made to your investment assets. The total of these additions is your Target Savings
Amount.
Time Horizon
Time Horizon is the period from now until the time the assets in this portfolio will begin to
be used.
Target Goal Amount
The Target Goal Amount is the amount you would expect to spend, or the amount you
would like to spend, for each financial goal.
Total Return
Total Return is an assumed, hypothetical growth rate for a specified time period. The Total
Return is either (1) the Portfolio Total Return or (2) as entered by you or your advisor. Also
see “Real Return.”
Wants
See "Needs / Wants / Wishes".
Willingness
In MoneyGuidePro, in addition to specifying Target Goal Amounts, a Target Savings
Amount, and Target Retirement Ages, you also specify a Willingness to adjust these Target
values. The Willingness choices are Very Willing, Somewhat Willing, Slightly Willing, and
Not at All.
Wishes
See "Needs / Wants / Wishes".
Worst One-Year Loss
The Worst One-Year Loss is the lowest annual return that a portfolio with the specified asset
mix and asset class indices would have received during the historical period specified.

Summary of Goals and Resources

Personal Information and Summary of Financial Goals
01/29/2016
Page 10 of 42
See Important Disclosure Information section in this Report for explanations of assumptions, limitations, methodologies, and a glossary.
Needs
Retirement - Living Expense10
Both Retired (2016-2048)
Mortgage Reduction of $21,584 (2025)
HELOC Reduction of $5,400 (2021)
Credit Cards Reduction of $996 (2021)
Vanita Alone Retired (2049-2050)
$59,149
$51,803
Base Inflation Rate (3.00%)
Health Care10
Both Retired Before Medicare (2016-2022)
Naresh Medicare / Vanita Retired Before Medicare (2023-2024)
Both Medicare (2025-2048)
Vanita Alone Medicare (2049-2050)
$4,000
$9,902
$15,759
$7,858
Base Inflation Rate plus 4.00% (7.00%)
Naresh's Vehicle (after trade-in)8
In 2018
Recurring every 5 years until end of Naresh's plan
$21,000
Vanita's Vehicle (after trade-in)8
In 2020
Recurring every 5 years until end of Vanita's plan
$21,000
Wants
Travel7
In 2017
Recurring every year until end of plan
$25,000

01/29/2016
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Annual Charities7
In 2016
$10,000
Gift or Donation7
In 2016
$6,000
Gift to Nephew Kiran Pandya7
In 2016
Recurring every year for a total of 7 times
$0
No Inflation
Gift to Nephew Varun Singh7
In 2016
$0
No Inflation
Gift to Niece Paavai Chitturi7
In 2016
$0
No Inflation
Pay off Credit Cards7
In 2016 $260
No Inflation

01/29/2016
Page 12 of 42
Pay Down Principal on HELOC7
In 2016 $1,723
No Inflation
Pay Down Principal on Mortgage7
In 2016 $3,117
No Inflation
Trip - Celebrate Retirement7
In 2016 $16,000
Personal Information
Naresh
Male - born 01/02/1958, age 58
Vanita
Female - born 01/02/1960, age 56
Married, US Citizens living in WI
Retired
Retired
• This section lists the Personal and Financial Goal information you provided, which will
be used to create your Report. It is important that it is accurate and complete.
Participant Name Date of Birth Age Relationship
Kiran Pandya 0 Other Beneficiary
Paavai Chitturi 0 Other Beneficiary
Varun Singh 0 Other Beneficiary
American Red Cross 0 Charity

Current Financial Goals Graph
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This graph shows the annual costs for your Financial Goals, as you have specified. Because these costs will be used to create your Plan, it is
important that they are accurate and complete. All amounts are in after-tax, future dollars.

Net Worth Summary - All Resources
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This is your Net Worth Summary as of 01/29/2016. Your Net Worth is the difference between what you own (your Assets) and what you
owe (your Liabilities). To get an accurate Net Worth statement, make certain you have entered all of your Assets and Liabilities.
+ $642,900Other Assets
Investment Assets $2,984,000
Total Liabilities $176,834
Net Worth $3,450,066
$3,626,900Total Assets
-
Description Total
Investment Assets
Employer Retirement Plans $1,965,000
Individual Retirement Accounts $90,000
Taxable and/or Tax-Free Accounts $929,000
Total Investment Assets: $2,984,000
Other Assets
Home and Personal Assets $642,900
Total Other Assets: $642,900
Liabilities
Personal Real Estate Loan: $173,094
Other Personal Debt: $3,740
Total Liabilities: $176,834
Net Worth: $3,450,066

Net Worth Detail - All Resources
01/29/2016
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This is your Net Worth Detail as of 01/29/2016. Your Net Worth is the difference between what you own (your Assets) and what you owe
(your Liabilities). To get an accurate Net Worth statement, make certain you have entered all of your Assets and Liabilities.
Description TotalJointVanitaNaresh
Investment Assets
Employer Retirement Plans
Naresh's 401(k) $1,200,000$1,200,000
Naresh's Exercised Stock Options $92,000$92,000
Naresh's IRA $123,000$123,000
Vanita's 401(k) $550,000$550,000
Individual Retirement Accounts
Vanita's IRA $90,000$90,000
Taxable and/or Tax-Free Accounts
Naresh's Brokerage Account $329,000$329,000
Vanita's Brokerage Account $600,000$600,000
Total Investment Assets: $2,984,000$1,744,000 $1,240,000 $0
Other Assets
Home and Personal Assets
Home $386,000$386,000
Money Market (Cash Reserve) $64,900$64,900
Personal Property $150,000$150,000
Vehicles $42,000$42,000
Total Other Assets: $642,900$0 $536,000 $106,900
Liabilities
Personal Real Estate Loan:
HELOC $23,277$23,277
Home Mortgage $149,817$149,817
Other Personal Debt:
Credit Cards $3,740$3,740

Net Worth Detail - All Resources
01/29/2016
Page 16 of 42
Total Liabilities: $176,834$0 $173,094 $3,740
Net Worth: $3,450,066

Resources Summary
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Page 17 of 42
Description Owner Current Value Additions Assign to Goal
Investment Assets
NareshNaresh's 401(k) $1,200,000 Fund All Goals
NareshNaresh's Brokerage Account $329,000 Fund All Goals
NareshNaresh's Exercised Stock Options $92,000 Fund All Goals
NareshNaresh's IRA $123,000 Fund All Goals
VanitaVanita's 401(k) $550,000 Fund All Goals
VanitaVanita's Brokerage Account $600,000 Fund All Goals
VanitaVanita's IRA $90,000 Fund All Goals
$2,984,000Total Investment Assets :
Description Owner Current Value Future Value Assign to Goal
Other Assets
Home Vanita $386,000 Not Funding Goals
Personal Property Vanita $150,000 Not Funding Goals
Vehicles Joint Common $42,000 Not Funding Goals
Money Market (Cash Reserve) Joint Common $64,900 Not Funding Goals
$642,900Total of Other Assets :
Annual Premium Cash ValueDescription Owner BeneficiaryInsured Death Benefit Premium Paid
Insurance Policies
Insurance Policies Summary (not included in Assets)
Employer Paid
Group Term
Naresh Co-Client of Insured
- 100%
Naresh $130,000
Employer Paid
Group Term
Vanita Co-Client of Insured
- 100%
Vanita $80,000
Employer Paid
Group Term
- 100%
Naresh $130,000
Employer Paid
Group Term
- 100%
Naresh $130,000

Resources Summary
01/29/2016
Page 18 of 42
Annual Premium Cash ValueDescription Owner BeneficiaryInsured Death Benefit Premium Paid
Insurance Policies
Employer Paid
Group Term
- 100%
Naresh $130,000
Employer Paid
Group Term
- 100%
Naresh $130,000
Employer Paid
Group Term
- 100%
Vanita $80,000
Employer Paid
Group Term
- 100%
Vanita $80,000
Employer Paid
Group Term
- 100%
Vanita $80,000
Employer Paid
Group Term
- 100%
Vanita $80,000
$1,933American Protection Insurance
Personal
Naresh
$4,479LTCI
Nursing Home Care
Naresh
$4,302LTCI
Nursing Home Care
Vanita
$650American Auto Insurance I
Auto
$650American Auto Insurance II
Auto
$850American Homeowners
Homeowners
$240American Protection Insurance
Umbrella
$1,050,000Total Death Benefit of All Policies :
When the insured dies, the Cash Value of that policy is included in the Total Investment Assets.

Resources Summary
01/29/2016
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Social Security
Description Value Assign to Goal
Social Security Naresh will file a normal application at age 66 Years, 8 Months.
He will receive $33,454 in retirement benefits at age 66.
Fund All Goals
Social Security Vanita will file a normal application at age 67.
She will receive $29,027 in retirement benefits at age 67.
Fund All Goals
Retirement Income
Description Value Assign to GoalOwner Inflate?
Pension Income Naresh $48,750 from 2016 to End
of Naresh's Plan
Fund All GoalsNo
Pension Income Vanita $30,000 from 2016 to End
of Vanita's Plan
Fund All GoalsNo
Type Outstanding Balance Monthly PaymentDescription Interest RateOwner
Liabilities
Credit Cards Credit Cards $3,740 $8311.900%Joint
Equity Line HELOC $23,277 $4506.000%Vanita
1st Mortgage Home Mortgage $149,817 $1,7996.000%Vanita
$176,834Total Outstanding Balance :

Risk and Portfolio Information

Risk Assessment
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Page 20 of 42
Compare Me to my Group
Average Age 50 to 64
Bear Market Loss
Capital Preservation II
$2,984,000Portfolio Value
-10%Great Recession Return from November
2007 through February 2009
-$298,400Potential loss of Portfolio Value
You are a Much Lower than Average Risk-Taker
You selected a Risk Score for your Household of 35.
• The Bell Curve above shows the normal distribution of risk scores for your group. The average score is 50.
• Your Score corresponds to a Capital Preservation II Portfolio with 38% Stock .
• You know that the Capital Preservation II Portfolio you selected had a -10% return during the Great Recession and are willing to accept
the risk that you could experience a similar or worse result.
• Your Score indicates that you are a Much Lower than Average Risk-Taker (scores 30-37) as compared to other Investors of similar age.
Portfolio Appropriate for Score
Capital Preservation II
Average Return: 8.11%
HouseholdNaresh Vanita
Risk Score: 35 3535
Portfolio Selected: Capital Preservation II Capital Preservation IICapital Preservation II
% Stock : 38% 38%38%
Average Return: 8.11% 8.11%8.11%
Great Recession Return: -10% -10%-10%
Bond Bear Market Return: 1% 1%1%

Target Band
01/29/2016
Page 21 of 42
The Risk-Based Portfolio was selected from this list of Portfolios, based upon the risk assessment. The Target Band is comprised of the
portfolio(s) that could be appropriate for you, based upon the Risk-Based Portfolio indicated. The Target Portfolio was selected by you. The
Average Real Return is equal to the Average Total Return minus the inflation rate of 4.22%. Refer to the Worst 1-Year Loss and Standard
Deviation columns in the chart below to compare the relative risks of your Current Portfolio to the Target Portfolio.
Risk
Based
Target
Band
Name Total Worst 1 Year
Loss
Stock RealCurrent
Average Return
Standard
Deviation
BondCash Alternative
Capital Preservation I 7.75% -5.59%28% 3.53% 5.77%67%5% 0%
Capital Preservation II 8.11% -10.06%38% 3.89% 7.01%57%5% 0%
Balanced I 8.35% -13.08%45% 4.13% 8.02%51%4% 0%
Balanced II 8.64% -17.32%54% 4.42% 9.35%42%4% 0%
Current 8.68% -21.00%59% 4.46% 10.21%27%15% 0%
Total Return I 8.89% -21.11%61% 4.67% 10.49%35%4% 0%
Total Return II 9.26% -26.29%72% 5.04% 12.32%25%3% 0%
Capital Growth I 9.71% -30.73%82% 5.49% 14.05%16%2% 0%
Capital Growth II 9.99% -35.19%91% 5.77% 15.59%9%0% 0%
Equity Growth 10.27% -39.57%100% 6.05% 17.19%0%0% 0%
Efficient Frontier Graph
This graph shows the relationship of return and risk for each Portfolio in the chart above.
When deciding how to invest your money, you must determine the amount of risk you are
willing to assume to pursue a desired return. The Efficient Frontier Graph reflects a set of
portfolios that assume a low relative level of risk for each level of return, or conversely an
optimal return for the degree of investment risk taken. The graph also shows the position of
the Current, Target, Risk-Based, and Custom Portfolios, if applicable. The positioning of
these portfolios illustrates how their respective risks and returns compare to each other as
well as the optimized level of risk and return represented by the Portfolios.
** The Investment Assets allocated to Asset Class 'Unclassified' are not included in the
calculation of the Portfolio Total Return and Standard Deviation.

What If Worksheet
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Page 22 of 42
This Worksheet allows you to analyze and compare the results of one or more scenarios that you created by varying the Plan assumptions.
Goals
Estimated % of Goal Funded
Current Scenario Recommended Scenario Previous Scenario
Average Return Bad Timing Average Return Bad Timing Average Return Bad Timing
100% 100% 100% 100% 100% 100%All Goals
$4,881
$13,734
Current dollars (in thousands) :
Future dollars (in thousands) :
$5,839
$16,431
Safety Margin (Value at End of Plan)
$5,008
$14,091
$4,112
$11,570
$4,579
$12,885
$4,760
$13,393
Your Confidence Zone: 70% - 90%
Likelihood of Funding All GoalsMonte Carlo Results
Total Spending : $3,446,334 $4,203,993 $3,446,334
Key Assumptions Current Scenario Recommended Scenario Previous Scenario
Stress Tests
Method(s) Bad Timing
Program Estimate
Years of bad returns:
2016: -7.23%
2017: -12.45%
Bad Timing
Program Estimate
2016: -6.28%
2017: -4.91%
Bad Timing
Program Estimate
2016: 0.06%
2017: 1.56%
Indicates different data between the Scenario in the first column and the Scenario in any other column.

What If Worksheet
01/29/2016
Page 23 of 42
Funding Order
Assets - Ignore Earmarks No No No
Retirement Income - Ignore Earmarks No No No
Hypothetical Average Rate of Return
After Retirement : Entered Return Entered Return Entered Return
Total Return : 6.75% 8.22% 6.75%
Standard Deviation : 10.21% 5.58% 3.69%
Total Return Adjustment : 0.00% 0.00% 0.00%
Adjusted Real Return : 3.75% 5.22% 3.75%
Base inflation rate : 3.00% 3.00% 3.00%
Tax-Free Options
After Retirement
Reallocate a portion of bonds to tax-free: No Yes Yes
Percent of bond allocation to treat as tax-free: 0.00% 18.80% 47.80%

What If Worksheet
01/29/2016
Page 24 of 42
Goals
Living Expense
Planning Age
Naresh 90 90 90
Vanita 90 90 90
Both Retired
Both Retired $59,149 $64,455 $59,149
One Alone - Retired
Vanita Alone Retired $51,803 $54,826 $51,803
Naresh Alone Retired $0 $55,003 $53,720
Health Care
Cost determined by Schedule : See details See details See details
Naresh's Vehicle (after trade-in)
Year : 2018 2018 2018
Cost : $21,000 $21,000 $21,000
Is recurring : Yes Yes Yes
Years between occurrences : 5 5 5
This goal will end at End of Naresh's plan.
Vanita's Vehicle (after trade-in)
Year : 2020 2020 2020
Cost : $21,000 $21,000 $21,000
This goal will end at End of Vanita's plan.
Travel
Year : 2017 2017 2017
Cost : $25,000 $25,000 $25,000

What If Worksheet
01/29/2016
Page 25 of 42
Goals
This goal will end at End of plan.
Annual Charities
Year : 2016 2016 2016
Cost : $10,000 $10,000 $10,000
Gift or Donation
Year : 2016 2016 2016
Cost : $6,000 $6,000 $6,000
Gift to Nephew Kiran Pandya
Year : 2016 2016 2016
Cost : $0 $27,275 $0
Number of occurrences : 7 7 7
Gift to Nephew Varun Singh
Year : 2016 2016 2016
Cost : $0 $27,275 $0
Gift to Niece Paavai Chitturi
Year : 2016 2016 2016
Cost : $0 $27,275 $0

What If Worksheet
01/29/2016
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Goals
Pay off Credit Cards
Year : 2016 2016 2016
Cost : $260 $4,000 $260
Pay Down Principal on HELOC
Year : 2016 2016 2016
Cost : $1,723 $1,723 $1,723
Pay Down Principal on Mortgage
Year : 2016 2016 2016
Cost : $3,117 $3,117 $3,117
Trip - Celebrate Retirement
Year : 2016 2016 2016
Cost : $16,000 $16,000 $16,000

What If Worksheet
01/29/2016
Page 27 of 42
Retirement Income
Pension Income (Naresh)
Annual Income : $48,750 $43,875 $48,750
Start Year : 2016 2016 2016
Select when income will end : End of Naresh's Plan End of Plan End of Naresh's Plan
Year to end retirement income :
Survivor Benefit : 0% 100% 0%
Pension Income (Vanita)
Annual Income : $30,000 $27,000 $30,000
Start Year : 2016 2016 2016
Select when income will end : End of Vanita's Plan End of Plan End of Vanita's Plan
Year to end retirement income :
Survivor Benefit : 0% 100% 0%
Social Security
Select Social Security Strategy Current Current Current
Naresh
Filing Method : Normal Normal Normal
Age to File Application : 66 Years, 8 Months 66 Years, 8 Months 66 Years, 8 Months
Age Retirement Benefits begin : 66 Years, 8 Months 66 Years, 8 Months 66 Years, 8 Months
First Year Benefit : $33,454 $33,454 $33,454
Vanita
Filing Method : Normal Normal Normal
Age to File Application : 67 67 67
Age Retirement Benefits begin : 67 67 67
First Year Benefit : $29,027 $29,027 $29,027
Reduce Benefits By : 0% 0% 0%

What If Worksheet
01/29/2016
Page 28 of 42
Tax Options
Include Tax Penalties : Yes Yes Yes
Change Tax Rate? No No No
Year To Change :
Change Tax Rate by this % (+ or -) : 0.00% 0.00% 0.00%

Worksheet Detail - Combined Details
01/29/2016
Page 29 of 42
Total Portfolio Value Graph
These pages provide a picture of how your Investment Portfolio may hypothetically perform over the life of this Plan. The graph shows the
effect on the value of your Investment Portfolio for each year. The chart shows the detailed activities that increase and decrease your
Investment Portfolio value each year including the funds needed to pay for each of your Goals. Shortfalls that occur in a particular year are
denoted with an 'X' under the Goal column.
Scenario : Current Scenario using Average Returns
x - denotes shortfall

01/29/2016
Page 30 of 42
Event or Ages Year
Beginning Portfolio Value
Earmarked Fund All
Goals
Additions
To Assets
Other
Additions
Post
Retirement
Income
Investment
Earnings
Taxes
Funds Used
All Goals Ending
Portfolio
Value
58 / 56 2016 0 2,984,000 0 0 78,750 199,086 24,975 100,249 3,136,612
59 / 57 2017 0 3,136,612 0 0 78,750 208,972 24,630 106,594 3,293,110
60 / 58 2018 0 3,293,110 0 0 78,750 217,874 23,890 131,403 3,434,441
61 / 59 2019 0 3,434,441 0 0 78,750 228,754 23,382 111,741 3,606,822
62 / 60 2020 0 3,606,822 0 0 78,750 238,625 22,320 138,086 3,763,792
63 / 61 2021 0 3,763,792 0 0 78,750 251,073 21,711 110,858 3,961,046
64 / 62 2022 0 3,961,046 0 0 78,750 264,207 21,403 113,760 4,168,839
65 / 63 2023 0 4,168,839 0 0 78,750 275,677 20,562 152,070 4,350,634
66 / 64 2024 0 4,350,634 0 0 121,128 291,716 31,858 130,018 4,601,602
67 / 65 2025 0 4,601,602 0 0 122,399 307,372 31,175 150,537 4,849,662
68 / 66 2026 0 4,849,662 0 0 123,709 325,726 31,265 127,990 5,139,841
69 / 67 2027 0 5,139,841 0 0 165,237 347,189 43,238 133,070 5,475,960
70 / 68 2028 0 5,475,960 0 0 167,832 365,115 83,443 168,330 5,757,134
71 / 69 2029 0 5,757,134 0 0 170,505 385,753 88,144 143,960 6,081,287
72 / 70 2030 0 6,081,287 0 0 173,257 403,749 113,512 181,563 6,363,218
73 / 71 2031 0 6,363,218 0 0 176,092 424,422 120,858 155,918 6,686,957
74 / 72 2032 0 6,686,957 0 0 179,013 445,740 128,697 162,334 7,020,679
75 / 73 2033 0 7,020,679 0 0 182,021 465,356 136,472 203,775 7,327,809
76 / 74 2034 0 7,327,809 0 0 185,119 487,828 145,521 176,128 7,679,106
77 / 75 2035 0 7,679,106 0 0 188,310 508,435 154,535 220,367 8,000,949
78 / 76 2036 0 8,000,949 0 0 191,597 531,966 165,184 191,329 8,367,999
79 / 77 2037 0 8,367,999 0 0 194,982 556,055 175,945 199,508 8,743,583
80 / 78 2038 0 8,743,583 0 0 198,469 577,954 186,773 248,342 9,084,891
81 / 79 2039 0 9,084,891 0 0 202,060 602,942 198,800 217,139 9,473,954
82 / 80 2040 0 9,473,954 0 0 205,760 625,513 210,748 269,331 9,825,148
83 / 81 2041 0 9,825,148 0 0 209,570 651,246 224,291 236,639 10,225,034
84 / 82 2042 0 10,225,034 0 0 213,495 677,338 238,566 247,159 10,630,142
85 / 83 2043 0 10,630,142 0 0 217,537 700,630 251,928 304,882 10,991,499
86 / 84 2044 0 10,991,499 0 0 221,701 727,222 266,783 269,899 11,403,740
87 / 85 2045 0 11,403,740 0 0 225,989 750,737 280,934 331,675 11,767,857

01/29/2016
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Event or Ages Year
Earmarked Fund All
Goals
Additions
To Assets
Other
Additions
Post
Retirement
Income
Investment
Earnings
Taxes
Funds Used
All Goals Ending
Portfolio
Value
88 / 86 2046 0 11,767,857 0 0 230,406 777,643 296,551 295,137 12,184,218
89 / 87 2047 0 12,184,218 0 0 234,956 804,692 312,702 308,790 12,602,373
Naresh's Plan
Ends
2048 0 12,602,373 0 0 239,642 828,239 327,094 377,265 12,965,895
- / 89 2049 0 12,965,895 0 0 118,730 854,965 316,507 245,208 13,377,876
Vanita's Plan
Ends
2050 0 13,377,876 0 0 121,392 878,054 330,402 312,865 13,734,055

01/29/2016
Page 32 of 42
Event or Ages Year
Funds Used
Retirement Health Care Naresh's
Vehicle
(after
trade-in)
Vanita's
Vehicle
(after
trade-in)
Travel Annual
Charities
Gift or
Donation
Gift to
Nephew
Kiran
Pandya
Gift to
Nephew
Varun Singh
Gift to
Niece Paavai
Chitturi
Pay off
Credit
Cards
Ending
Portfolio
Value
58 / 56 2016 59,149 4,000 0 0 0 10,000 6,000 0 0 0 260 3,136,612
59 / 57 2017 60,084 4,280 0 0 25,750 10,300 6,180 0 0 0 0 3,293,110
60 / 58 2018 61,047 4,580 22,279 0 26,523 10,609 6,365 0 0 0 0 3,434,441
61 / 59 2019 62,039 4,900 0 0 27,318 10,927 6,556 0 0 0 0 3,606,822
62 / 60 2020 63,061 5,243 0 23,636 28,138 11,255 6,753 0 0 0 0 3,763,792
63 / 61 2021 57,717 5,610 0 0 28,982 11,593 6,956 0 0 0 0 3,961,046
64 / 62 2022 58,801 6,003 0 0 29,851 11,941 7,164 0 0 0 0 4,168,839
65 / 63 2023 59,918 15,900 25,827 0 30,747 12,299 7,379 0 0 0 0 4,350,634
66 / 64 2024 61,068 17,013 0 0 31,669 12,668 7,601 0 0 0 0 4,601,602
67 / 65 2025 40,668 28,973 0 27,400 32,619 13,048 7,829 0 0 0 0 4,849,662
68 / 66 2026 41,889 31,001 0 0 33,598 13,439 8,063 0 0 0 0 5,139,841
69 / 67 2027 43,145 33,171 0 0 34,606 13,842 8,305 0 0 0 0 5,475,960
70 / 68 2028 44,440 35,493 29,941 0 35,644 14,258 8,555 0 0 0 0 5,757,134
71 / 69 2029 45,773 37,978 0 0 36,713 14,685 8,811 0 0 0 0 6,081,287
72 / 70 2030 47,146 40,636 0 31,764 37,815 15,126 9,076 0 0 0 0 6,363,218
73 / 71 2031 48,560 43,481 0 0 38,949 15,580 9,348 0 0 0 0 6,686,957
74 / 72 2032 50,017 46,524 0 0 40,118 16,047 9,628 0 0 0 0 7,020,679
75 / 73 2033 51,518 49,781 34,710 0 41,321 16,528 9,917 0 0 0 0 7,327,809
76 / 74 2034 53,063 53,266 0 0 42,561 17,024 10,215 0 0 0 0 7,679,106
77 / 75 2035 54,655 56,994 0 36,824 43,838 17,535 10,521 0 0 0 0 8,000,949
78 / 76 2036 56,295 60,984 0 0 45,153 18,061 10,837 0 0 0 0 8,367,999
79 / 77 2037 57,984 65,253 0 0 46,507 18,603 11,162 0 0 0 0 8,743,583
80 / 78 2038 59,723 69,820 40,238 0 47,903 19,161 11,497 0 0 0 0 9,084,891
81 / 79 2039 61,515 74,708 0 0 49,340 19,736 11,842 0 0 0 0 9,473,954
82 / 80 2040 63,360 79,937 0 42,689 50,820 20,328 12,197 0 0 0 0 9,825,148
83 / 81 2041 65,261 85,533 0 0 52,344 20,938 12,563 0 0 0 0 10,225,034
84 / 82 2042 67,219 91,520 0 0 53,915 21,566 12,940 0 0 0 0 10,630,142
85 / 83 2043 69,235 97,927 46,647 0 55,532 22,213 13,328 0 0 0 0 10,991,499
86 / 84 2044 71,312 104,781 0 0 57,198 22,879 13,728 0 0 0 0 11,403,740

01/29/2016
Page 33 of 42
Event or Ages Year
Funds Used
Vehicle
(after
trade-in)
Vanita's
Vehicle
(after
trade-in)
Travel Annual
Charities
Gift or
Donation
Gift to
Nephew
Kiran
Pandya
Gift to
Nephew
Varun Singh
Gift to
Niece Paavai
Chitturi
Pay off
Credit
Cards
Ending
Portfolio
Value
87 / 85 2045 73,452 112,116 0 49,488 58,914 23,566 14,139 0 0 0 0 11,767,857
88 / 86 2046 75,655 119,964 0 0 60,682 24,273 14,564 0 0 0 0 12,184,218
89 / 87 2047 77,925 128,362 0 0 62,502 25,001 15,000 0 0 0 0 12,602,373
Naresh's Plan
Ends
2048 80,263 137,347 54,077 0 64,377 25,751 15,450 0 0 0 0 12,965,895
- / 89 2049 63,187 73,276 0 0 66,308 26,523 15,914 0 0 0 0 13,377,876
Vanita's Plan
Ends
2050 65,082 78,405 0 57,370 68,298 27,319 16,391 0 0 0 0 13,734,055

01/29/2016
Page 34 of 42
Event or Ages Year
Funds Used
Pay Down
Principal on
HELOC
Pay Down
Principal on
Mortgage
Trip -
Celebrate
Retirement
Ending
Portfolio
Value
58 / 56 2016 1,723 3,117 16,000 3,136,612
59 / 57 2017 0 0 0 3,293,110
60 / 58 2018 0 0 0 3,434,441
61 / 59 2019 0 0 0 3,606,822
62 / 60 2020 0 0 0 3,763,792
63 / 61 2021 0 0 0 3,961,046
64 / 62 2022 0 0 0 4,168,839
65 / 63 2023 0 0 0 4,350,634
66 / 64 2024 0 0 0 4,601,602
67 / 65 2025 0 0 0 4,849,662
68 / 66 2026 0 0 0 5,139,841
69 / 67 2027 0 0 0 5,475,960
70 / 68 2028 0 0 0 5,757,134
71 / 69 2029 0 0 0 6,081,287
72 / 70 2030 0 0 0 6,363,218
73 / 71 2031 0 0 0 6,686,957
74 / 72 2032 0 0 0 7,020,679
75 / 73 2033 0 0 0 7,327,809
76 / 74 2034 0 0 0 7,679,106
77 / 75 2035 0 0 0 8,000,949
78 / 76 2036 0 0 0 8,367,999
79 / 77 2037 0 0 0 8,743,583
80 / 78 2038 0 0 0 9,084,891
81 / 79 2039 0 0 0 9,473,954
82 / 80 2040 0 0 0 9,825,148
83 / 81 2041 0 0 0 10,225,034
84 / 82 2042 0 0 0 10,630,142
85 / 83 2043 0 0 0 10,991,499
86 / 84 2044 0 0 0 11,403,740

01/29/2016
Page 35 of 42
Event or Ages Year
Funds Used
Pay Down
Principal on
HELOC
Pay Down
Principal on
Mortgage
Trip -
Celebrate
Retirement
Ending
Portfolio
Value
87 / 85 2045 0 0 0 11,767,857
88 / 86 2046 0 0 0 12,184,218
89 / 87 2047 0 0 0 12,602,373
Naresh's Plan
Ends
2048 0 0 0 12,965,895
- / 89 2049 0 0 0 13,377,876
Vanita's Plan
Ends
2050 0 0 0 13,734,055

01/29/2016
Page 36 of 42
Total Portfolio Value Graph
These pages provide a picture of how your Investment Portfolio may hypothetically perform over the life of this Plan. The graph shows the
effect on the value of your Investment Portfolio for each year. The chart shows the detailed activities that increase and decrease your
Investment Portfolio value each year including the funds needed to pay for each of your Goals. Shortfalls that occur in a particular year are
denoted with an 'X' under the Goal column.
Scenario : Recommended Scenario using Average Returns

01/29/2016
Page 37 of 42
Event or Ages Year
Earmarked Fund All
Goals
Additions
To Assets
Other
Additions
Post
Retirement
Income
Investment
Earnings
Taxes
Funds Used
All Goals Ending
Portfolio
Value
58 / 56 2016 0 2,984,000 0 0 70,875 232,654 20,673 191,120 3,075,735
59 / 57 2017 0 3,075,735 0 0 70,875 239,856 18,486 193,884 3,174,095
60 / 58 2018 0 3,174,095 0 0 70,875 245,768 16,699 218,857 3,255,183
61 / 59 2019 0 3,255,183 0 0 70,875 253,907 15,058 199,364 3,365,543
62 / 60 2020 0 3,365,543 0 0 70,875 260,661 12,962 225,883 3,458,234
63 / 61 2021 0 3,458,234 0 0 70,875 269,151 26,002 198,834 3,573,425
64 / 62 2022 0 3,573,425 0 0 70,875 279,568 22,724 201,921 3,699,223
65 / 63 2023 0 3,699,223 0 0 70,875 295,706 9,473 158,596 3,897,734
66 / 64 2024 0 3,897,734 0 0 113,253 316,710 21,326 136,740 4,169,632
67 / 65 2025 0 4,169,632 0 0 114,524 335,595 44,029 157,460 4,418,262
68 / 66 2026 0 4,418,262 0 0 115,834 358,986 31,746 135,121 4,726,215
69 / 67 2027 0 4,726,215 0 0 157,362 387,398 30,292 140,415 5,100,269
70 / 68 2028 0 5,100,269 0 0 159,957 412,343 68,811 175,895 5,427,863
71 / 69 2029 0 5,427,863 0 0 162,630 441,199 73,804 151,752 5,806,136
72 / 70 2030 0 5,806,136 0 0 165,382 467,075 104,302 189,588 6,144,703
73 / 71 2031 0 6,144,703 0 0 168,217 496,733 113,314 164,184 6,532,155
74 / 72 2032 0 6,532,155 0 0 171,138 527,742 123,135 170,849 6,937,051
75 / 73 2033 0 6,937,051 0 0 174,146 557,273 133,116 212,545 7,322,808
76 / 74 2034 0 7,322,808 0 0 177,244 590,873 145,156 185,162 7,760,607
77 / 75 2035 0 7,760,607 0 0 180,435 622,832 157,462 229,671 8,176,741
78 / 76 2036 0 8,176,741 0 0 183,722 658,964 172,129 200,912 8,646,385
79 / 77 2037 0 8,646,385 0 0 187,107 696,437 187,318 209,379 9,133,232
80 / 78 2038 0 9,133,232 0 0 190,594 731,883 203,138 258,509 9,594,062
81 / 79 2039 0 9,594,062 0 0 194,185 771,744 221,072 227,611 10,111,308
82 / 80 2040 0 10,111,308 0 0 197,885 809,340 239,404 280,117 10,599,011
83 / 81 2041 0 10,599,011 0 0 201,695 851,436 260,154 247,748 11,144,240
84 / 82 2042 0 11,144,240 0 0 205,620 894,658 282,465 258,602 11,703,451
85 / 83 2043 0 11,703,451 0 0 209,662 935,180 304,278 316,668 12,227,346
86 / 84 2044 0 12,227,346 0 0 213,826 980,379 328,638 282,039 12,810,874
87 / 85 2045 0 12,810,874 0 0 218,114 1,022,534 352,826 344,179 13,354,517

01/29/2016
Page 38 of 42
Event or Ages Year
Earmarked Fund All
Goals
Additions
To Assets
Other
Additions
Post
Retirement
Income
Investment
Earnings
Taxes
Funds Used
All Goals Ending
Portfolio
Value
88 / 86 2046 0 13,354,517 0 0 222,531 1,069,461 379,600 308,016 13,958,893
89 / 87 2047 0 13,958,893 0 0 227,081 1,117,220 407,882 322,055 14,573,257
Naresh's Plan
Ends
2048 0 14,573,257 0 0 231,767 1,161,416 434,624 390,928 15,140,888
- / 89 2049 0 15,140,888 0 0 159,605 1,213,411 451,472 253,226 15,809,206
Vanita's Plan
Ends
2050 0 15,809,206 0 0 162,267 1,262,011 480,911 321,124 16,431,449

01/29/2016
Page 39 of 42
Event or Ages Year
Funds Used
Vehicle
(after
trade-in)
Vanita's
Vehicle
(after
trade-in)
Travel Annual
Charities
Gift or
Donation
Gift to
Nephew
Kiran
Pandya
Gift to
Nephew
Varun Singh
Gift to
Niece Paavai
Chitturi
Pay off
Credit
Cards
Ending
Portfolio
Value
58 / 56 2016 64,455 4,000 0 0 0 10,000 6,000 27,275 27,275 27,275 4,000 3,075,735
59 / 57 2017 65,549 4,280 0 0 25,750 10,300 6,180 27,275 27,275 27,275 0 3,174,095
60 / 58 2018 66,676 4,580 22,279 0 26,523 10,609 6,365 27,275 27,275 27,275 0 3,255,183
61 / 59 2019 67,837 4,900 0 0 27,318 10,927 6,556 27,275 27,275 27,275 0 3,365,543
62 / 60 2020 69,033 5,243 0 23,636 28,138 11,255 6,753 27,275 27,275 27,275 0 3,458,234
63 / 61 2021 63,869 5,610 0 0 28,982 11,593 6,956 27,275 27,275 27,275 0 3,573,425
64 / 62 2022 65,137 6,003 0 0 29,851 11,941 7,164 27,275 27,275 27,275 0 3,699,223
65 / 63 2023 66,444 15,900 25,827 0 30,747 12,299 7,379 0 0 0 0 3,897,734
66 / 64 2024 67,789 17,013 0 0 31,669 12,668 7,601 0 0 0 0 4,169,632
67 / 65 2025 47,592 28,973 0 27,400 32,619 13,048 7,829 0 0 0 0 4,418,262
68 / 66 2026 49,019 31,001 0 0 33,598 13,439 8,063 0 0 0 0 4,726,215
69 / 67 2027 50,490 33,171 0 0 34,606 13,842 8,305 0 0 0 0 5,100,269
70 / 68 2028 52,005 35,493 29,941 0 35,644 14,258 8,555 0 0 0 0 5,427,863
71 / 69 2029 53,565 37,978 0 0 36,713 14,685 8,811 0 0 0 0 5,806,136
72 / 70 2030 55,172 40,636 0 31,764 37,815 15,126 9,076 0 0 0 0 6,144,703
73 / 71 2031 56,827 43,481 0 0 38,949 15,580 9,348 0 0 0 0 6,532,155
74 / 72 2032 58,532 46,524 0 0 40,118 16,047 9,628 0 0 0 0 6,937,051
75 / 73 2033 60,288 49,781 34,710 0 41,321 16,528 9,917 0 0 0 0 7,322,808
76 / 74 2034 62,096 53,266 0 0 42,561 17,024 10,215 0 0 0 0 7,760,607
77 / 75 2035 63,959 56,994 0 36,824 43,838 17,535 10,521 0 0 0 0 8,176,741
78 / 76 2036 65,878 60,984 0 0 45,153 18,061 10,837 0 0 0 0 8,646,385
79 / 77 2037 67,854 65,253 0 0 46,507 18,603 11,162 0 0 0 0 9,133,232
80 / 78 2038 69,890 69,820 40,238 0 47,903 19,161 11,497 0 0 0 0 9,594,062
81 / 79 2039 71,987 74,708 0 0 49,340 19,736 11,842 0 0 0 0 10,111,308
82 / 80 2040 74,146 79,937 0 42,689 50,820 20,328 12,197 0 0 0 0 10,599,011
83 / 81 2041 76,371 85,533 0 0 52,344 20,938 12,563 0 0 0 0 11,144,240
84 / 82 2042 78,662 91,520 0 0 53,915 21,566 12,940 0 0 0 0 11,703,451
85 / 83 2043 81,022 97,927 46,647 0 55,532 22,213 13,328 0 0 0 0 12,227,346
86 / 84 2044 83,452 104,781 0 0 57,198 22,879 13,728 0 0 0 0 12,810,874

01/29/2016
Page 40 of 42
Event or Ages Year
Funds Used
Vehicle
(after
trade-in)
Vanita's
Vehicle
(after
trade-in)
Travel Annual
Charities
Gift or
Donation
Gift to
Nephew
Kiran
Pandya
Gift to
Nephew
Varun Singh
Gift to
Niece Paavai
Chitturi
Pay off
Credit
Cards
Ending
Portfolio
Value
87 / 85 2045 85,956 112,116 0 49,488 58,914 23,566 14,139 0 0 0 0 13,354,517
88 / 86 2046 88,534 119,964 0 0 60,682 24,273 14,564 0 0 0 0 13,958,893
89 / 87 2047 91,190 128,362 0 0 62,502 25,001 15,000 0 0 0 0 14,573,257
Naresh's Plan
Ends
2048 93,926 137,347 54,077 0 64,377 25,751 15,450 0 0 0 0 15,140,888
- / 89 2049 71,205 73,276 0 0 66,308 26,523 15,914 0 0 0 0 15,809,206
Vanita's Plan
Ends
2050 73,341 78,405 0 57,370 68,298 27,319 16,391 0 0 0 0 16,431,449

01/29/2016
Page 41 of 42
Event or Ages Year
Funds Used
Pay Down
Principal on
HELOC
Pay Down
Principal on
Mortgage
Trip -
Celebrate
Retirement
Ending
Portfolio
Value
58 / 56 2016 1,723 3,117 16,000 3,075,735
59 / 57 2017 0 0 0 3,174,095
60 / 58 2018 0 0 0 3,255,183
61 / 59 2019 0 0 0 3,365,543
62 / 60 2020 0 0 0 3,458,234
63 / 61 2021 0 0 0 3,573,425
64 / 62 2022 0 0 0 3,699,223
65 / 63 2023 0 0 0 3,897,734
66 / 64 2024 0 0 0 4,169,632
67 / 65 2025 0 0 0 4,418,262
68 / 66 2026 0 0 0 4,726,215
69 / 67 2027 0 0 0 5,100,269
70 / 68 2028 0 0 0 5,427,863
71 / 69 2029 0 0 0 5,806,136
72 / 70 2030 0 0 0 6,144,703
73 / 71 2031 0 0 0 6,532,155
74 / 72 2032 0 0 0 6,937,051
75 / 73 2033 0 0 0 7,322,808
76 / 74 2034 0 0 0 7,760,607
77 / 75 2035 0 0 0 8,176,741
78 / 76 2036 0 0 0 8,646,385
79 / 77 2037 0 0 0 9,133,232
80 / 78 2038 0 0 0 9,594,062
81 / 79 2039 0 0 0 10,111,308
82 / 80 2040 0 0 0 10,599,011
83 / 81 2041 0 0 0 11,144,240
84 / 82 2042 0 0 0 11,703,451
85 / 83 2043 0 0 0 12,227,346
86 / 84 2044 0 0 0 12,810,874

01/29/2016
Page 42 of 42
Event or Ages Year
Funds Used
Pay Down
Principal on
HELOC
Pay Down
Principal on
Mortgage
Trip -
Celebrate
Retirement
Ending
Portfolio
Value
87 / 85 2045 0 0 0 13,354,517
88 / 86 2046 0 0 0 13,958,893
89 / 87 2047 0 0 0 14,573,257
Naresh's Plan
Ends
2048 0 0 0 15,140,888
- / 89 2049 0 0 0 15,809,206
Vanita's Plan
Ends
2050 0 0 0 16,431,449

Plan: Survivorship Universal Life Date: January 28, 2016
Insured 1: New Client
Male, Age 58
Insured 2:
Female, Age 56
Initial Basic Plan Amount: $725,000
Death Benefit: Option 2 - Death Benefit is Increasing
Premium Mode: Annual
This illustration was produced to be used in Wisconsin.
Summary of Illustrated Coverages and Premium
Benefits and Riders: $725,000 Survivorship Universal Life
Premium Class Insured 1: Super Preferred Non-Tobacco
Premium Class Insured 2: Elite Preferred Non-Tobacco
The total first year premium outlay illustrated is $27,275.00. Please review this illustration for additional changes in
illustrated premiums and coverages in years 2 and later.
Description of Coverage
Plan Survivorship Universal Life (Form Number A10032 - 49) is a flexible premium joint and last to
die survivorship adjustable life insurance policy. A Death Benefit is payable when the Survivor
dies. Flexible premiums are payable while an Insured is alive until the Policy Anniversary when
the younger of the Insureds is age 121.
How This Plan Works You start with a planned premium and Death Benefit. You may change either in the future
subject to policy provisions. The Death Benefit is payable at the second death of the two
Insureds. When you pay premiums, we deduct a 5% premium charge. The remaining premium is
added to the Account Value. From this account value we deduct each month the current cost of
insurance including the charges for any riders. During each of the first 60 months following
issue, an issue charge will be deducted from the Account Value. The issue charge is $0.10 per
$1000 of the Initial Basic Plan Amount, subject to a maximum of $500.00 per month. The
Account Value earns interest at the current interest rate, but a different rate may be credited to
any Account Value which you have borrowed. The current interest rate is increased by 0.50% on
the unloaned Account Value that exceeds 10% of the Basic Plan Amount. Surrender charges
apply.
The current monthly cost of insurance rates may be changed by the company at any time, but
will never be more than the maximums given in the policy. The current interest rate can be
changed by the company on a monthly basis, but will never be less than the guaranteed rate of
2.00%. The policy is participating, but no dividends are anticipated.
Important Tax Information This policy complies with the definition of life insurance in Internal Revenue Code Section
7702. This means that the premium illustrated does not exceed the greater of the Guideline
Single Premium or the cumulative Guideline Annual Premium. Payment of the Guideline
Annual Premium will not provide coverage to age 121 under the contract, on the guaranteed
basis. This illustration should not be relied on for tax advice. The tax status of this policy
should be reviewed with the policyowner's legal and tax advisors.
Guideline Single Premium at issue : $141,310
Guideline Annual Premium at issue : $27,275
Life Insurance Illustration
6UL003(10/2010)
State Farm Life and Accident Assurance Company
One State Farm Plaza
Bloomington, IL 61710 Page 1 of
Appendix B - Survivorship Universal Life Insurance Illustration

Description of Coverage
If at any time during the first 7 years, the total premiums paid exceed the MEC Reference
Premium shown below times the number of years the policy has been in force, the policy will be
considered a Modified Endowment Contract. This means distributions, which include cash
withdrawals, policy loans, and assignments may be subject to federal income tax to the extent
there is a gain in the contract. An additional 10% penalty tax may also apply prior to the
policyowner's age 59 1/2.
Reductions in coverages during a 7 year test period will generally result in a lower MEC
Reference Premium retroactive to the beginning of the 7 year test period.
Planned premiums after the 1st year shown on this illustration have not been checked to
determine if the MEC Reference Premium limit has been exceeded.
MEC Reference Premium at issue: $35,343
Definitions
Non-Tobacco Available for those who do not currently use tobacco or other nicotine products and have
not used tobacco or other nicotine products within the 12-month period prior to
application.
Preferred Non-Tobacco Available for those who can meet underwriting requirements more stringent than the
standard Non-Tobacco risk category.
Super Preferred Non-Tobacco Available for those who currently do not use tobacco or other nicotine products and have
application and can meet underwriting requirements more stringent than the Preferred
risk category.
Elite Preferred Non-Tobacco Available for those who currently do not use tobacco or other nicotine products and have
application and can meet underwriting requirements more stringent than the Super
Preferred risk category.
Basic Plan Amount The Initial Basic Plan Amount less any decreases.
Monthly Deductions The sum of the monthly cost of insurance charges, the issue charge, and charges for any
riders.
Guaranteed Values These values are calculated using the illustrated premiums, 5% premium expense charge,
guaranteed interest rate of 2.00% and the maximum monthly deductions.
Insured 1: New Client Initial Basic Plan Amount: $725,000
Male, Age 58 Death Benefit: Option 2
Insured 2: Premium Mode: Annual
Female, Age 56
6UL003(10/2010)
One State Farm Plaza, Bloomington, IL 61710 Page 2 of

Definitions
Non-Guaranteed Intermediate
Values
These values are calculated using the illustrated premiums, 5% premium expense charge,
average of the illustrated and guaranteed interest rates, and the average of the current and
maximum monthly deductions. The intermediate values are not guaranteed. They
demonstrate the impact of changes in company experience.
Non-Guaranteed Illustrated
Values
These values are calculated using the illustrated premiums, 5% premium expense charge,
illustrated interest rates, and current monthly deductions. The illustrated interest rate has
been increased by 0.50% on the unloaned Account Value that exceeds 10% of the Basic
Plan Amount. These values are not guaranteed.
Annualized Premium Outlay The actual cash outlay each year.
Total Annualized Premium Outlay The sum of each year's annualized premium outlay.
Account Value This is the accumulation of premiums shown less a 5% expense charge and monthly
deductions.
Cash Surrender Value This value is the Account Value less the applicable surrender charge. Surrender charges
apply for 20 policy years following issue.
Death Benefit This is the amount payable at the death of the survivor. Any decrease must be approved
by the Company, subject to policy provisions.
Option 2 Under Option 2, the Death Benefit is the Basic Plan Amount of insurance plus the
Account Value. The death benefit may be increased due to Internal Revenue Code
provisions. Changes in the Death Benefit Option can result in the Basic Plan Amount
being lowered below the Policy's Minimum Basic Plan Amount. In these cases, the
Minimum Basic Plan Amount stated in the policy will be amended to reflect a reduced
Minimum Basic Plan Amount.
This illustration assumes that the currently illustrated non-guaranteed elements will continue unchanged for all years shown.
This is not likely to occur, and actual results may be more or less favorable than those shown. The assumptions on which they
are based are subject to change by the Company. Cash values and death benefits shown are end of year values. Premiums are
assumed to be paid when due. This illustration contains a general description of coverage. A complete statement of coverage is
found in the policy.
Not FDIC
Insured
- No Bank Guarantee
- May Lose Value
Female, Age 56
6UL003(10/2010)

Guaranteed and Non-Guaranteed Values Non-Guaranteed
Guaranteed Values Intermediate Values Illustrated Values
Guaranteed Interest Rate: 2.00% Interest Rate: 2.825% Interest Rate: 3.65%
End
of
Year
Insured
#1 #2
Age Age
Annualized
Premium
Outlay
Cash
Surrender
Value
Death
Benefit
Cash
Surrender
Value
Death
Benefit
Cash
Surrender
Value
Death
Benefit
5 63 61 27,275 116,116 856,824 120,065 860,773 124,126 864,834
9 67 65 0 182,151 918,986 195,880 932,715 210,419 947,254
10 68 66 0 185,263 921,022 202,147 937,906 220,181 955,940
14 72 70 0 192,280 924,166 225,475 957,360 262,134 994,020
20 78 76 0 170,647 896,723 246,857 972,933 334,640 1,060,716
28 86 84 0 0** 0** 159,804 884,804 393,984 1,118,984
29 87 85 0 0 0 128,100 853,100 388,956 1,113,956
32 90 88 0 0 0 0** 0** 344,212 1,069,212
39 97 95 0 0 0 0 0 0** 0**
** Beginning in this year, illustrated premiums are insufficient to provide requested benefits on this basis.
I have received a copy of this illustration and understand that any non-guaranteed elements illustrated are subject to change and
could be either higher or lower. The agent has told me they are not guaranteed.
#$S01 #$D01
Applicant Date
I certify that this illustration has been presented to the applicant and that I have explained that any non-guaranteed elements
illustrated are subject to change. I have made no statements that are inconsistent with the illustration.
#$Sagent #$Dagent
Agent Date
Female, Age 56
6UL003(10/2010)

Guaranteed and Non-Guaranteed Values
Non-Guaranteed
Guaranteed Values Illustrated Values
Guaranteed Interest 2.00% Illustrated Interest 3.65%
End
of
Year
Insured
#1 #2
Age Age
Annualized
Premium
Outlay
Total
Annualized
Premium
Outlay
Account
Value
Cash
Surrender
Value
Death
Benefit
Account
Value
Cash
Surrender
Value
Death
Benefit
1 59 57 27,275 27,275 25,519 4,001 750,519 25,939 4,421 750,939
2 60 58 27,275 54,550 51,475 31,464 776,475 52,779 32,768 777,779
3 61 59 27,275 81,825 77,858 59,352 802,858 80,631 62,126 805,631
4 62 60 27,275 109,100 104,648 87,649 829,648 109,634 92,635 834,634
5 63 61 27,275 136,375 131,824 116,116 856,824 139,834 124,126 864,834
6 64 62 27,275 163,650 160,236 145,604 885,236 172,167 157,535 897,167
7 65 63 27,275 190,925 188,991 175,220 913,991 205,829 192,057 930,829
8 66 64 0 190,925 191,622 178,926 916,622 213,885 201,190 938,885
9 67 65 0 190,925 193,986 182,151 918,986 222,254 210,419 947,254
10 68 66 0 190,925 196,022 185,263 921,022 230,940 220,181 955,940
11 69 67 0 190,925 197,659 187,761 922,659 239,955 230,057 964,955
12 70 68 0 190,925 198,809 189,986 923,809 249,305 240,482 974,305
13 71 69 0 190,925 199,358 191,396 924,358 258,992 251,031 983,992
14 72 70 0 190,925 199,166 192,280 924,166 269,020 262,134 994,020
15 73 71 0 190,925 198,062 192,252 923,062 279,385 273,575 1,004,385
16 74 72 0 190,925 195,868 190,919 920,868 290,077 285,127 1,015,077
17 75 73 0 190,925 192,389 188,516 917,389 301,077 297,204 1,026,077
18 76 74 0 190,925 187,401 184,388 912,401 312,365 309,353 1,037,365
19 77 75 0 190,925 180,624 178,687 905,624 323,917 321,981 1,048,917
20 78 76 0 190,925 171,723 170,647 896,723 335,716 334,640 1,060,716
21 79 77 0 190,925 160,306 160,306 885,306 347,458 347,458 1,072,458
22 80 78 0 190,925 145,946 145,946 870,946 358,944 358,944 1,083,944
23 81 79 0 190,925 128,178 128,178 853,178 369,904 369,904 1,094,904
24 82 80 0 190,925 106,515 106,515 831,515 379,891 379,891 1,104,891
25 83 81 0 190,925 80,281 80,281 805,281 388,036 388,036 1,113,036
26 84 82 0 190,925 48,623 48,623 773,623 392,930 392,930 1,117,930
27 85 83 0 190,925 10,839 10,839 735,839 395,106 395,106 1,120,106
28 86 84 0 190,925 0** 0** 0** 393,984 393,984 1,118,984
29 87 85 0 190,925 0 0 0 388,956 388,956 1,113,956
30 88 86 0 190,925 0 0 0 379,409 379,409 1,104,409
Female, Age 56
6
These figures do not recognize that, because of interest, a dollar in the future has less value than a dollar today.
UL003(10/2010)

Guaranteed and Non-Guaranteed Values
Non-Guaranteed
Guaranteed Values Illustrated Values
Guaranteed Interest 2.00% Illustrated Interest 3.65%
End
of
Year
Insured
#1 #2
Age Age
Annualized
Premium
Outlay
Total
Annualized
Premium
Outlay
Account
Value
Cash
Surrender
Value
Death
Benefit
Account
Value
Cash
Surrender
Value
Death
Benefit
31 89 87 0 190,925 0 0 0 364,722 364,722 1,089,722
32 90 88 0 190,925 0 0 0 344,212 344,212 1,069,212
33 91 89 0 190,925 0 0 0 317,156 317,156 1,042,156
34 92 90 0 190,925 0 0 0 282,548 282,548 1,007,548
35 93 91 0 190,925 0 0 0 239,507 239,507 964,507
36 94 92 0 190,925 0 0 0 186,737 186,737 911,737
37 95 93 0 190,925 0 0 0 123,115 123,115 848,115
38 96 94 0 190,925 0 0 0 47,530 47,530 772,530
39 97 95 0 190,925 0 0 0 0** 0** 0**
Female, Age 56
6
These figures do not recognize that, because of interest, a dollar in the future has less value than a dollar today.
UL003(10/2010)

Date:____________Notes
Appendix C

Final Capstone Project_Gene_M_Gorrell_01_29_2016

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