John and Kim Student Financial Plan

John and Kim Student Financial Plan
John and Kim Student
Prepared by :
John Cochran
Financial Consultant
March 29, 2010

Table Of Contents
IMPORTANT DISCLOSURE INFORMATION 1-8
Presentation
Overview 9
Preferences 10 - 12
The Bottom Line 13 - 17
Loss Cushion 18 - 19
Inside The Numbers 20 - 30
Action Items 31
Portfolio Details
Presentation - Combined Details 32 - 39
Net Worth
Net Worth - Assets Used In Plan 40 - 42
Current Assets, Insurance, Income, and Liabilities 43 - 44
Assumptions
Personal Information and Summary of Financial Goals 45 - 47
Asset Allocation - Risk Questionnaire 48
IMPORTANT DISCLOSURE INFORMATION
IMPORTANT: The projections or other information generated by MoneyGuidePro regarding MoneyGuidePro Assumptions and Limitations
the likelihood of various investment outcomes are hypothetical in nature, do not reflect Information Provided by You
actual investment results, and are not guarantees of future results.
Information that you provided about your assets, financial goals, and personal situation are
The return assumptions in MoneyGuidePro are not reflective of any specific product, and do key assumptions for the calculations and projections in this Report. Please review the
not include any fees or expenses that may be incurred by investing in specific products. The Report sections titled "Personal Information and Summary of Financial Goals", "Current
actual returns of a specific product may be more or less than the returns used in Portfolio Allocation", and "Tax and Inflation Options" to verify the accuracy of these
MoneyGuidePro. It is not possible to directly invest in an index. Financial forecasts, rates of assumptions. If any of the assumptions are incorrect, you should notify your financial
return, risk, inflation, and other assumptions may be used as the basis for illustrations. They advisor. Even small changes in assumptions can have a substantial impact on the results
should not be considered a guarantee of future performance or a guarantee of achieving shown in this Report. The information provided by you should be reviewed periodically and
overall financial objectives. Past performance is not a guarantee or a predictor of future updated when either the information or your circumstances change.
results of either the indices or any particular investment. Assumptions and Limitations
MoneyGuidePro offers several methods of calculating results, each of which provides one
MoneyGuidePro results may vary with each use and over time.
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 - 2008. 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 allocation eliminates risk or guarantees
investment results.
MoneyGuidePro does not provide recommendations for any products or securities.
Prepared for : John and Kim Student Company Name : University of Michigan ENG 345 Presentation Only Prepared by : John Cochran
03/29/2010 Page 1 of 48
Asset Class Historical Return Index
Cash Equivalent Ibbotson U.S. Treasury Bills - Total Return (1926-2008)

Cash Equivalent (Tax-Free) U.S. 30-Day Treasury Bill adjusted by Donoghue TF discount (1970-1981)
Tax-Free Money Market Average (1982-2008)
Short Term Bonds 50% Ibbotson U.S. Treasury Bills and 50% Ibbotson Intermediate-Term Government
Bonds (1970-1978)
Merrill Lynch 1-3 Year Govt Bonds (1979-2008)
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 (1991-2008)
Intermediate Term Bonds Ibbotson Intermediate-Term Government Bonds - Total Return (1926-2008)
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 (1980-2008)
Long Term Bonds Ibbotson Long-Term Corporate Bonds - Total Return (1926-2008)
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 (1981-2008)
Large Cap Value Stocks S&P 500 Composite Total Return (1970-1994)
S&P 500 / Citigroup Value (1995-2008)
Large Cap Growth Stocks S&P 500 Composite Total Return (1970-1994)
S&P 500 / Citigroup Growth (1995-2008)
Mid Cap Stocks S&P 500 Composite Total Return (1970-1979)
Russell Midcap (1980-2008)
Small Cap Stocks Ibbotson Small Company Stocks - Total Return (1926-2008)
International Developed Stocks MSCI EAFE Equity (1970-2008)
International Emerging Stocks MSCI EAFE Equity (1970-1975)
MSCI Emerging Markets (1976-2008)
03/29/2010 Page 2 of 48
Risks Inherent in Investing Results Using Average Returns
Investing in fixed income securities involves interest rate risk, credit risk, and inflation risk. The Results Using Average Returns are calculated using one average return for your
Interest rate risk is the possibility that bond prices will decrease because of an interest rate pre-retirement period and one average return for your post-retirement period. Average
increase. When interest rates rise, bond prices and the values of fixed income securities fall. Returns are a simplifying assumption. In the real world, investment returns can (and often
When interest rates fall, bond prices and the values of fixed income securities rise. Credit do) vary widely from year to year and vary widely from a long-term average return.
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 Results Using Historical Back Test
be lower than the inflation rate, decreasing purchasing power. The Results Using Historical Back 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
Investing in stock securities involves volatility risk, market risk, business risk, and industry would receive those returns and inflation rates, in sequence, from this year through the end
risk. The prices of most stocks fluctuate. Volatility risk is the chance that the value of a stock of your Plan. If the historical sequence is shorter than your Plan, the average return for the
will fall. Market risk is chance that the prices of all stocks will fall due to conditions in the historical period is used for the balance of the Plan.
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 Results Using Historical Rolling Periods
industry group will adversely affect stock prices within the industry.
The Results Using Historical Rolling Periods is a series of Historical Back Tests, each of which
International investing involves additional risks including, but not limited to, changes in uses the actual historical returns and inflations rates, in sequence, from a starting year to an
currency exchange rates, differences in accounting and taxation policies, and political or ending year, and assumes that you would receive those returns and inflation rates, in
economic instabilities that can increase or decrease returns. 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
Report Is a Snapshot and Does Not Provide Legal, Tax, or Accounting Advice Plan.
This Report provides a snapshot of your current financial position and can help you to focus Indices in Results Using Historical Rolling Periods may be different from indices used in other
on your financial resources and goals, and to create a plan of action. Because the results MoneyGuidePro calculations. Rolling Period Results are calculated using only three asset
are calculated over many years, small changes can create large differences in future results. classes -- Cash, Bonds, and Stocks. The indices used as proxies for these asset classes when
You should use this Report to help you focus on the factors that are most important to you. calculating Results Using Historical Rolling Periods are:
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 • Cash - Ibbotson U.S. 30-day Treasury Bills (1926-2008)
advice that is specific to your situation.
• Bonds - Ibbotson Intermediate-Term Government Bonds - Total Return (1926-2008)
• Stocks - Ibbotson Large Company Stocks - Total Return (1926-2008)
MoneyGuidePro Methodology
MoneyGuidePro offers several methods of calculating results, each of which provides one Results with Bad Timing
outcome from a wide range of possible outcomes. The methods used are: “Average Results with Bad Timing are calculated by using low returns in one or two years, and
Returns,” “Historical Back Test,” “Historical Rolling Periods,” “Bad Timing,” “Class average returns for all remaining years of the Plan. For most Plans, the worst time for low
Sensitivity,” and “Monte Carlo Simulations.” When using historical returns, the returns is when you begin taking substantial withdrawals from your portfolio. The Results
methodologies available are Average Returns, Historical Back Test, Historical Rolling Periods, with Bad Timing assume that you earn a low return in the year(s) you select and then an
Bad Timing, and Monte Carlo Simulations. When using projected returns, the Adjusted Average Return in all other years. This Adjusted Average Return is calculated so
methodologies available are Average Returns, Bad Timing, Class Sensitivity, and Monte that the average return of the Results with Bad Timing is equal to the return(s) used in
Carlo Simulations. 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.
03/29/2010 Page 3 of 48
When using historical returns, the default for one year of low returns is the lowest annual Estimated % of Goal Funded
return in the historical period you are using, and the default for two years of low returns is For each Goal, the “Estimated % of Goal Funded” is the sum of the assets used to fund the
the lowest two-year sequence of returns in the historical period. When using projected Goal divided by the sum of the Goal’s expenses. All values are in current dollars. A result of
returns, the default for the first year of low returns is two standard deviations less than the 100% or more does not guarantee that you will reach a Goal, nor does a result under
average return, and the default for the second year is one standard deviation less than the 100% guarantee that you will not. Rather, this information is meant to identify possible
average return. 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
Results Using Class Sensitivity funded based upon all the assumptions that are included in this Plan, and assumes that you
The Results Using Class Sensitivity are calculated by using different return assumptions for execute all aspects of the Plan as you have indicated.
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 Safety Margin
the average returns for a specified period in your Plan. 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
Results Using Monte Carlo Simulations sufficient for your needs.
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 Bear Market Test
it many times, each time using a different sequence of returns. Some sequences of returns The Presentation section of MoneyGuidePro includes the Bear Market Test, which shows
will give you better results, and some will give you worse results. These multiple trials how much a portfolio (similar to your Target Portfolio) would have lost in the recession of
provide a range of possible results, some successful (you would have met all your goals) and November 2007 through February 2009.
some unsuccessful (you would not have met all your goals). The percentage of trials that
were successful is shown as the probability that your Plan, with all its underlying Regardless of whether you are using historical or projected returns for all other
assumptions, could be successful. In MoneyGuidePro, this is the Probability of Success. MoneyGuidePro results, the Bear Market Test uses returns calculated from historical indices.
Analogously, the percentage of trials that were unsuccessful is shown as the Probability of If you are using historical returns, the indices in the Bear Market Test may be different from
Failure. The Results Using Monte Carlo Simulations indicate the likelihood that an event indices used in other calculations. The Bear Market Test is calculated using only three asset
may occur as well as the likelihood that it may not occur. In analyzing this information, classes – Cash, Bonds, and Stocks. The indices and the resulting returns used for the Bear
please note that the analysis does not take into account actual market conditions, which Market Test are:
may severely affect the outcome of your goals over the long-term.
• Cash = 1.97% = Ibbotson U.S. 30-day Treasury Bills (Nov. 2007 – Feb. 2009)
MoneyGuidePro uses a specialized methodology called Beyond Monte Carlo™, a statistical • Bonds = 3.51% = Ibbotson Intermediate-Term Government Bonds – Total Return (Nov.
analysis technique that provides results that are as accurate as traditional Monte Carlo 2007 – Feb. 2009)
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 • Stocks = -48.81% = Ibbotson Large Company Stocks – Total Return (Nov. 2007 – Feb.
times using small changes in the return. This allows a sensitivity of the results to be 2009)
calculated, which, when analyzed with the mean return and standard deviation of the Glossary
portfolio, allows the Probability of Success for your Plan to be directly calculated.
Acceptable Goal Amount
For each financial goal, you enter an Ideal Amount and an Acceptable Amount. The
MoneyGuidePro Presentation of Results
Acceptable Amount is the minimum amount that would be acceptable to you for funding
The Results Using Average Returns, Historical Back Test, Historical Rolling Periods, Bad this goal. The Ideal Amount is the most that you would expect to spend on this goal, or the
Timing, and Class Sensitivity display the results using an “Estimated % of Goal Funded” amount that you would like to have.
and a “Safety Margin.”
03/29/2010 Page 4 of 48
Acceptable Goal Result Domestic government bonds are backed by the full faith and credit of the U.S.
The Acceptable Goal Result shows your Monte Carlo Probability of Success when each Government and have superior liquidity and, when held to maturity, safety of principal.
financial goal is funded at its Acceptable Goal Amount. The Acceptable Goal Result is often Domestic corporate bonds carry the credit risk of their issuers and thus usually offer
used in combination with the Loss Cushion. 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
Acceptable Retirement Age 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.
You can enter both an Ideal and an Acceptable Retirement Age. The Acceptable Age is the
latest you are willing to retire. The Ideal Age is the age at which you would like to retire. Stocks
Stocks are equity securities of domestic and foreign corporations.
Acceptable Savings Amount
In the Resources section of MoneyGuidePro, you enter additions for your investment assets. Domestic stocks are equity securities of U.S. corporations. Domestic stocks are often
We assume that the total of these additions is your Ideal Savings Amount. You can also sub-divided based upon the market capitalization of the company (the market value of
enter an Acceptable Extra Savings amount, which, when added to the Ideal Savings the company's stock). "Large cap" stocks are from larger companies, "mid cap" from the
Amount, is used as your Acceptable Savings Amount. middle range of companies, and "small cap" from smaller, perhaps newer, companies.
Generally, small cap stocks experience greater market volatility than stocks of companies
Asset Allocation with larger capitalization. Small cap stocks are generally those from companies whose
Asset Allocation is the process of determining what portions of your portfolio holdings are capitalization is less than $500 million, mid cap stocks those between $500 million and
to be invested in the various asset classes. $5 billion, and large cap over $5 billion.
Asset Class Large cap, mid cap and small cap may be further sub-divided into "growth" and "value"
Asset Class is a standard term that broadly defines a category of investments. The three categories. Growth companies are those with an orientation towards growth, often
basic asset classes are Cash, Bonds, and Stocks. Bonds and Stocks are often further characterized by commonly used metrics such as higher price-to-book and
subdivided into more narrowly defined classes. Some of the most common asset classes are price-to-earnings ratios. Analogously, value companies are those with an orientation
defined below. towards value, often characterized by commonly used metrics such as lower
price-to-book and price-to-earnings ratios.
Cash
International stocks are equity securities from foreign corporations. International stocks
Cash and Cash Equivalents are investments of high liquidity and safety with a known
are often sub-divided into those from "developed" countries and those from "emerging
market value and a very short-term maturity. Examples are treasury bills and money
markets." The emerging markets are in less developed countries with emerging
market funds. (An investment in a money market fund is not insured nor guaranteed by
economies that may be characterized by lower income per capita, less developed
the Federal Deposit Insurance Corporation or any other government agency. Although
infrastructure and nascent capital markets. These "emerging markets" usually are less
the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible
economically and politically stable than the "developed markets." Investing in
to lose money by investing in a money market fund.)
international stocks involves special risks, among which include foreign exchange
Bonds volatility and risks of investing under different tax, regulatory and accounting standards.
Bonds are either domestic (U.S.) or global debt securities issued by either private Asset Mix
corporations or governments. Asset Mix is the combination of asset classes within a portfolio, and is usually expressed as a
percentage for each asset class.
03/29/2010 Page 5 of 48
Bear Market Test Future Dollars
The Bear Market Test shows how much a portfolio (similar to your Target Portfolio) would Future Dollars are inflated dollars. The Results of MoneyGuidePro calculations are in Future
have lost in the recession of November 2007 through February 2009. 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
Concentrated Position equivalent Current Dollars.
A Concentrated Position is when your portfolio contains a significant amount (as a
Ideal Goal Amount
percentage of the total portfolio value) in individual stock or bonds. Concentrated Positions
have the potential to increase the risk of your portfolio. For each financial goal, you can enter both an Ideal Amount and an Acceptable Amount.
The Ideal Amount is the most that you would expect to spend on this goal, or the amount
Confidence Zone that you would like to have. The Acceptable Amount is the minimum amount that would
be acceptable to you for funding this goal.
See Monte Carlo Confidence Zone.
Ideal Retirement Age
Current Dollars
You can enter both an Ideal and an Acceptable Retirement Age. The Ideal Age is the age at
The Results of MoneyGuidePro calculations are in Future Dollars. To help you compare
which you would like to retire. The Acceptable Age is the latest you are willing to retire.
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.
Ideal Savings Amount
Current Portfolio In the Resources section of MoneyGuidePro, you enter additions for your investment assets.
Your Current Portfolio is comprised of all the investment assets you currently own (or a We assume that the total of these additions is your Ideal Savings Amount. You can also
subset of your assets, based on the information you provided for this Plan), categorized by enter an Acceptable Extra Savings amount, which, when added to the Ideal Savings
Asset Class and Asset Mix. Amount, is used as your Acceptable Savings Amount.
Inflation Rate
Expense Adjustments
The Inflation Rate is the percentage increase in the cost of goods and services for a
When using historical returns, some users of MoneyGuidePro include Expense Adjustments.
specified time period. A historical measure of inflation is the Consumer Price Index (CPI).
These adjustments (which are specified by the user) reduce the return for each Asset Class
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 Liquidity
beside the historical indices at the beginning of this Report. Liquidity is the ease with which an investment can be converted into cash.
Loss Cushion
Fund All Goals
The Loss Cushion shows how much of your portfolio you could lose today while still
Fund All Goals is one of two ways for your assets and retirement income to be used to fund
funding each financial goal at its Acceptable Goal Amount and having a Monte Carlo
your goals. The other is Earmark, which means that an asset or retirement income is
Probability of Success within the Confidence Zone.
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
Monte Carlo Confidence Zone
any goal, as needed in the calculations. The MoneyGuidePro default is Fund All Goals,
except for 529 Plans and Coverdell IRAs, which are generally used only for college goals. The Monte Carlo Confidence Zone is the range of probabilities that you (and/or your
Fund All Goals is implemented as either Importance Order or Time Order funding. advisor) have selected as your target range for the Monte Carlo Probability of Success in
Importance Order means that all assets are used first for the most important goal, then the your Plan. The Confidence Zone reflects the Monte Carlo Probabilities of Success with
next most important goal, and so on. Time Order means that all assets are used first for the which you would be comfortable, based upon your Plan, your specific time horizon, risk
goal that occurs earliest, then the next chronological goal, and so on. profile, and other factors unique to you.
03/29/2010 Page 6 of 48
Monte Carlo Probability of Success / Probability of Failure Risk
The Monte Carlo Probability of Success is the percentage of trials of your Plan that were Risk is the chance that the actual return of an investment, asset class, or portfolio will be
successful. If a Monte Carlo simulation runs your Plan 10,000 times, and if 6,000 of those different from its expected or average return.
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, Standard Deviation
would be 60%, and the Probability of Failure would be 40%. Standard Deviation is a statistical measure of the volatility of an investment, an asset class,
Monte Carlo Simulations 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
Monte Carlo simulations are used to show how variations in rates of return each year can potential risk of the investment, asset class, or portfolio.
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 Star Track
will give you better results, and some will give you worse results. These multiple trials
Star Track provides a summary of your Plan results over time, using a bar graph. Each bar
provide a range of possible results, some successful (you would have met all your goals) and
shows your results on the date specified, along with your results using all Ideal values, your
some unsuccessful (you would not have met all your goals).
results using all Acceptable values, and your Monte Carlo Confidence Zone.
Needs / Wants / Wishes Target Portfolio
In MoneyGuidePro, you choose an importance level from 10 to 1 (where 10 is the highest) Your Target Portfolio is the portfolio you have selected based upon your financial goals and
for each of your financial goals. Then, the importance levels are divided into three groups: your risk tolerance.
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
Time Horizon
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, Time Horizon is the period from now until the time the assets in this portfolio will begin to
Needs are your most important goals, then Wants, then Wishes. Since you can specify Ideal be used.
and Acceptable amounts for all your financial goals, there can be many possible
combinations of funding levels among your Needs, Wants, and Wishes. Total Return
Total Return is the assumed growth rate of your portfolio for a specified time period. The
Portfolio Set Total Return is either (1) determined by weighting the return assumption for each Asset
A Portfolio Set is a group of portfolios that provides a range of risk and return strategies for Class according to the Asset Mix or (2) is entered by you or your advisor (on the What If
different investors. Worksheet). Also see “Real Return.”
Wants
Portfolio Return
See "Needs / Wants / Wishes".
A Portfolio Return is determined by weighting the return assumption for each Asset Class
according to the Asset Mix. If you choose, you or your advisor can override this return on Willingness
the What If Worksheet, by entering your own return.
In MoneyGuidePro, in addition to specifying Ideal and Acceptable Goal Amounts, Ideal and
Probability of Success / Probability of Failure Acceptable Savings Amounts, and Ideal and Acceptable Retirement Ages, you specify a
Willingness to adjust from an Ideal Amount (or Age) to an Acceptable Amount (or Age).
See Monte Carlo Probability of Success / Probability of Failure. The Willingness choices are Slightly Willing, Somewhat Willing, and Very Willing. If you are
Real Return unwilling to adjust from your specified Ideal Amount or Age, enter the same value for Ideal
and Acceptable.
The Real Return is the Total Return of your portfolio minus the Inflation Rate.
03/29/2010 Page 7 of 48
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.
03/29/2010 Page 8 of 48
Presentation
Overview
Presentation of Results for John and Kim Student
Presentation Steps
1. Review Your Preferences - These are the key items you control. Do they reflect what you really want?
2. Jump to the Bottom Line - Can you reach your Goals?
3. Look Inside the Numbers - What do your results really mean?
4. Discuss your Action Items - What steps should you take to get started?
See Important Disclosures section in this Report for explanations of assumptions, limitations, methodologies, and a glossary.
03/29/2010 Page 9 of 48
Preferences
Preferences for John and Kim Student
This page summarizes your preferences for Retirement Age (if applicable), Goals and Savings.
Review your Ideal and Acceptable values below and consider whether you would be satisfied with a Plan that is within the Acceptable
Range for each of these items.
Retirement Ages
Client Ideal Acceptable

John 67 70
Kim 67 70
03/29/2010 Page 10 of 48
Preferences
Goals
Importance Description Ideal Acceptable

Needs
10 College - Suzy Student $8,293 $8,000
4 years starting in 2018
10 Retirement - Living Expense
Both retired $120,000 $96,000
John retired $79,200 $63,360
Kim alone - retired $96,000 $76,800
10 Kim Therapy Clinic $50,000 in 2015 $30,000
10 College - Sam Student $8,293 $8,000
4 years starting in 2017
8 Charlevoix Lake Home $350,000 in 2037 $320,000
8 Suzy Wedding Fund $20,000 in 2020 $15,000
8 Chain of Lakes - Primary Res $350,000 in 2015 $320,000
8 Sam Wedding $5,000 in 2019 $2,500
Wants
7 Santorini Greece $15,000 in 2020 $10,000
6 Mercedes Convertible $40,000 in 2038 $35,000
5 Boca Raton $3,000 in 2015 $2,000
Every Year - 46 Times
Wishes
3 Ranger Bass Boat - John $35,000 in 2015 $25,000
3 Harley Davidson - John $18,000 in 2011 $16,000
Total Spending for Life of Plan $3,782,544 $2,711,260

Percent Change from Ideal -28%
03/29/2010 Page 11 of 48
Preferences
Savings
Tax Category Current Acceptable

Qualified (Employer Plans & Traditional IRA) $30,350
529 Plan $500
Total $30,850 $41,150
The Ideal Savings is equal to your total Current Savings amount. The Acceptable Savings equals your Current Savings plus Maximum Extra
Savings of $10,300.
Investments
Investment Portfolio Current

Portfolio Value $650,000
Portfolio Allocation Before Retirement Current
Percentage Stock 71%
Total Return 8.50%
Risk - Standard Deviation 12.42%
Worst 1 Year Loss Since 1970 -27.64%
Portfolio Allocation During Retirement Current
Percentage Stock 71%
Total Return 8.50%
Risk - Standard Deviation 12.42%
Worst 1 Year Loss Since 1970 -27.64%
Inflation 4.50%
03/29/2010 Page 12 of 48
The Bottom Line
You have a simple question. Can I reach my Goals?
Unfortunately, because FUTURE RETURNS ARE UNPREDICTABLE, there is not one simple answer.
Let's look at 3 possibilities
1. Average Return Your Answer - 3 Ways 2. Bad Timing
What happens if you get Average Estimated % of Goal Funded What happens if you experience Bad
Returns? Average Return Bad Timing Timing?
• Assume Average Return each and every ?% ?% • Assume Average Return overall, but with
year 2 bad years at retirement
• % equals portion of Goals funded - not Likelihood of Funding All Goals • % equals portion of Goals funded - not
probability probability
Probability of Success: ?%
? Confidence Zone
3. Probability of Success
What is the likelihood you can Fund All Your Goals?

• Monte Carlo analysis simulates thousands of possible return sequences
• % equals Probability of Success
Are you in your Confidence Zone?

• Your Probability of Success should be high enough to make you feel
confident about the future without sacrificing too much today.
03/29/2010 Page 13 of 48
The Bottom Line
Improve the Likelihood of Reaching Your Goals
Current Scenario Estimated % of Goals Funded
Average Return Bad Timing
100% 100%
Likelihood of Funding All Goals
Ideal Age Ideal Amount Current Savings Current : $650,000

John 67 Total Spending for Life of $30,850 this Year 71% Stock
Kim 67 Plan Total Return 8.50% Probability of Success: 94%
$3,782,544 Risk 12.42%
Above Confidence Zone
(70% - 90%)
What If Scenario 1- All Values are between Ideal and Acceptable. Estimated % of Goals Funded
Suggested Changes Average Return Bad Timing
None None None 11% more stock 100% 100%
Likelihood of Funding All Goals
Results
John 67 Total Spending for Life of Savings Capital Growth I : $650,000
Kim 67 Plan $30,850 this Year 82% Stock
$3,782,544 Total Return 9.28%
Risk 14.48%
Probability of Success: 87%
In Confidence Zone
(70% - 90%)
03/29/2010 Page 14 of 48
The Bottom Line
Preferences with Suggested Changes for John and Kim Student
Changes: Better than Ideal Changed, Between Ideal And Acceptable Worse than Acceptable
Retirement Ages
Client Ideal What If Scenario 1 Acceptable

John 67 67 70
Kim 67 67 70
03/29/2010 Page 15 of 48
The Bottom Line
Goals
Importance Description Ideal What If Scenario 1 Acceptable

Needs
10 College - Suzy Student $8,293 $8,293 $8,000
4 years starting in 2018 4 years starting in 2018
Both retired $120,000 $120,000 $96,000
John retired $79,200 $79,200 $63,360
Kim alone - retired $96,000 $96,000 $76,800
10 Kim Therapy Clinic $50,000 in 2015 $50,000 in 2015 $30,000
10 College - Sam Student $8,293 $8,293 $8,000
4 years starting in 2017 4 years starting in 2017
8 Charlevoix Lake Home $350,000 in 2037 $350,000 in 2037 $320,000
8 Suzy Wedding Fund $20,000 in 2020 $20,000 in 2020 $15,000
8 Chain of Lakes - Primary Res $350,000 in 2015 $350,000 in 2015 $320,000
8 Sam Wedding $5,000 in 2019 $5,000 in 2019 $2,500
Wants
7 Santorini Greece $15,000 in 2020 $15,000 in 2020 $10,000
6 Mercedes Convertible $40,000 in 2038 $40,000 in 2038 $35,000
5 Boca Raton $3,000 in 2015 $3,000 in 2015 $2,000
Every Year - 46 Times Every Year - 46 Times
Wishes
3 Ranger Bass Boat - John $35,000 in 2015 $35,000 in 2015 $25,000
3 Harley Davidson - John $18,000 in 2011 $18,000 in 2011 $16,000
Total Spending for Life of Plan $3,782,544 $3,782,544 $2,711,260

Percent Change from Ideal 0% -28%
03/29/2010 Page 16 of 48
The Bottom Line
Savings
Tax Category Current What If Scenario 1 Acceptable

Qualified (Employer Plans & Traditional IRA) $30,350 $30,350
529 Plan $500 $500
Total $30,850 $30,850 $41,150
The Ideal Savings is equal to your total Current Savings amount. The Acceptable Savings equals your Current Savings plus Maximum Extra
Savings of $10,300.
Investments
Investment Portfolio Current What If Scenario 1

Portfolio Value $650,000 $650,000
Portfolio Allocation Before Retirement Current Capital Growth I
Percentage Stock 71% 82%
Total Return 8.50% 9.28%
Risk - Standard Deviation 12.42% 14.48%
Worst 1 Year Loss Since 1970 -27.64% -29.67%
Portfolio Allocation During Retirement Current Capital Growth I
Percentage Stock 71% 82%
Total Return 8.50% 9.28%
Risk - Standard Deviation 12.42% 14.48%
Worst 1 Year Loss Since 1970 -27.64% -29.67%
Inflation 4.50% 4.50%
03/29/2010 Page 17 of 48
Loss Cushion
Acceptable Goal Result
Next, let's see how confident you can be that you can attain your Acceptable Goals.
Start with your What If Scenario 1... Change all Goal Values to Acceptable This new result shows the probability you
while keeping everything else the same. can attain your Acceptable Goals. The
higher it is, the better.
Result with Goals as shown in

Result with Goals set to Acceptable
What If Scenario 1
Likelihood of Funding All Goals Likelihood of Funding All Goals
All Goals set to Acceptable
Probability of Success: 87% Probability of Success: 92%

In Confidence Zone Above Confidence Zone
(70% - 90%) (70% - 90%)
Portfolio $650,000 Portfolio $650,000
You have a 87% likelihood of having You have a 92% likelihood of having
$3,782,544 or more to spend on your Goals. $2,711,260 or more to spend on your Goals.
03/29/2010 Page 18 of 48
Loss Cushion
Loss Cushion
Now, we'll calculate how much of your Investment Portfolio you could lose today and still be in your Confidence Zone for your Acceptable Goals.
Start with the results Then calculate the maximum loss ...and still be in the Confidence Zone
for your Acceptable Goals. your portfolio could sustain today... for your Acceptable Goals.
Acceptable Goals - Result Before Loss Loss Cushion Acceptable Goals - Result After Loss
Likelihood of Funding All Goals Likelihood of Funding All Goals

88%

Above Confidence Zone In Confidence Zone
(70% - 90%) (70% - 90%)
Portfolio $650,000 Loss $573,828 Portfolio $76,172
If your Portfolio lost $573,828 today (that's 88%) the Probability of Success for your Acceptable Goals would be 72%, which is still in your Confidence Zone.
The Bear Market Test - Is your Loss Cushion enough to withstand another Bear Market?
The worst Bear Market since the Great Depression occurred from November 2007 to February 2009. For this test, we calculated the loss suffered by a portfolio with the same percentages
of stock, bonds, and cash as your Recommended Portfolio. Your Loss Cushion is greater than this Bear Market Loss of 39%.
See the Bear Market Test section of IMPORTANT DISCLOSURE INFORMATION for details of the returns used in this calculation.
03/29/2010 Page 19 of 48
Inside The Numbers
Start with Average Return - What If Scenario 1
• Average Return assumes you receive 9.28% every year before Retirement and 9.28% every year during Retirement.
• This is a good starting point, since it's the calculation method that people find most familiar.
• It provides a good base result for comparison to Bad Timing - a high Safety Margin will help protect against bad returns at retirement.
Return Assumptions
Annual Return
Average Return for 9.28%
6% Entire Plan:
0%
2010 2020 2030 2040 2050 2060
Safety
Margin
% of All Goals Funded
$50,000,000 $47,888,105
100%
$40,000,000
Portfolio Va lue
$30,000,000
$20,000,000
$10,000,000
$0
Ran Out of Money
2010 2020 2030 2040 2050 2060
Average Return John Retires Kim Retires John's Plan Ends Kim's Plan Ends
03/29/2010 Page 20 of 48
Inside The Numbers
See What Happens if you Experience Bad Timing - What If Scenario 1
• Bad Timing assumes you get the same Average Return over the entire Plan but with two years of bad returns at retirement.
• This illustrates that it's not only the Average Return that matters - the sequence of returns can make a big difference in your results.
• Usually, the worst time to get bad returns is just before or after you retire. That's just bad timing.
Return Assumptions
Annual Return
Average Return for 8.93%
0% Entire Plan:
Years of Bad Returns
-20%
2037 : -13.46%
2010 2020 2030 2040 2050 2060
2038 : -18.56%
Safety
Margin
% of All Goals Funded
$50,000,000 $47,888,105
100%
$40,000,000 $41,947,991
Portfolio Va lue
$30,000,000
$20,000,000
$10,000,000
$0
Ran Out of Money
2010 2020 2030 2040 2050 2060
Average Return Bad Timing John Retires Kim Retires John's Plan Ends Kim's Plan Ends
03/29/2010 Page 21 of 48
Inside The Numbers
Calculate the Probability of Success - What If Scenario 1
• The graph below shows the results for a Sample of 100 Monte Carlo Trials, but that is not enough Trials to determine your Probability of Success.
• Your Probability of Success, as shown by the meter, uses a mathematical simulation, equivalent to 10,000 Trials, to calculate your Final Result.
• Your Probability of Success represents the percentage of 10,000 Trials in which you could expect to attain all your Goals.
Sample of 100 Trials

Safety
$180,000,000 Margin Final Result
$160,229,956
$160,000,000 Simulation Equivalent to
10,000 Trials
$140,000,000
Portfolio Va lue
$120,000,000
$100,000,000
$80,000,000
$60,000,000
$47,888,105
$40,000,000 $41,947,991 Probability of Success: 87%
$20,000,000 $10,526,001 In Confidence Zone
$0
Ran Out of Money (70% - 90%)
2010 2020 2030 2040 2050 2060
All Trials Average Return Bad Timing John Retires Kim Retires John's Plan Ends Kim's Plan Ends
The table below is a numerical representation of the above Sample of 100 trials. It is In the Sample of 100 Trials table, the trials are ranked from best to worst (from 1 to 100)
provided for informational purposes to illustrate the general range of results you might based on the End of Plan value. For each trial listed (1st, 25th, 50th, 75th and 100th), the
expect. However, neither the graph nor the table reflects the Final Result, which is your corresponding portfolio values for that trial will be illustrated in the years of the trial that
Probability of Success as shown by the meter to the right. are indicated.
Trials Year 5 Year 10 Year 15 Year 20 Year 25 End of Plan

Best $1,270,857 $1,104,984 $1,092,646 $1,779,313 $4,236,274 $160,229,956
25th $1,471,140 $1,921,778 $3,295,280 $3,573,554 $5,944,999 $46,646,780
50th $1,163,502 $1,199,904 $2,385,513 $4,079,411 $5,661,274 $29,034,560
75th $890,954 $1,024,885 $890,688 $1,754,092 $3,640,700 $19,255,912
Worst $1,972,156 $2,185,727 $2,478,890 $3,307,875 $6,391,945 $10,526,001
03/29/2010 Page 22 of 48
Inside The Numbers
Results Summary
Estimated % of Goal Funded
Goals Current Scenario What If Scenario 1

Average Bad Average Bad
Return Timing Return Timing
Needs
10 College - Suzy Student 148% 148% 152% 152%
10 Retirement - Living Expense 100% 100% 100% 100%
10 Kim Therapy Clinic 100% 100% 100% 100%
10 College - Sam Student 136% 136% 139% 139%
8 Charlevoix Lake Home 100% 100% 100% 100%
8 Suzy Wedding Fund 100% 100% 100% 100%
8 Chain of Lakes - Primary Res 100% 100% 100% 100%
8 Sam Wedding 100% 100% 100% 100%
Wants
7 Santorini Greece 100% 100% 100% 100%
6 Mercedes Convertible 100% 100% 100% 100%
5 Boca Raton 100% 100% 100% 100%
Wishes
3 Ranger Bass Boat - John 100% 100% 100% 100%
3 Harley Davidson - John 100% 100% 100% 100%
Safety Margin (Value at End of Plan)

Current dollars (in thousands) : $3,168 $2,885 $4,446 $3,894
Future dollars (in thousands) : $34,130 $31,079 $47,888 $41,948
03/29/2010 Page 23 of 48
Inside The Numbers
Results Summary
Monte Carlo Results Likelihood of Funding All Goals
Your Confidence Zone: 70% - 90%

Above Confidence Zone In Confidence Zone
Summary of Changes
Retirement Age John retires at ideal age of 67 in 2037
Kim retires at ideal age of 67 in 2038
Goals No Changes to the ideal goal amount of $3,782,544
Savings No Change to ideal savings amount of $30,850
Investments Re-allocate to Capital Growth I
Increase stock from 71% to 82%
Increase risk(standard deviation) from 12.42% to 14.48%
Key Assumptions Current Scenario What If Scenario 1

Stress Tests
Method(s) : Bad Timing Bad Timing
Program Estimate Program Estimate
Years of bad returns : Years of bad returns :
2037: -8.40% 2037: -13.46%
2038: -15.44% 2038: -18.56%
Funding Order
Assets - Ignore Earmarks No
(except for College Savings Plans) :
Retirement Income - Ignore Earmarks : No
03/29/2010 Page 24 of 48
Inside The Numbers
Results Summary
Hypothetical Average Rate of Return
Before Retirement : Current Cap Growth I
Total Return : 8.50% 9.28%
Standard Deviation : 12.42% 14.48%
Total Return Adjustment : 0.00% 0.00%
Adjusted Real Return : 4.00% 4.78%
During Retirement : Current Cap Growth I
Total Return : 8.50% 9.28%
Standard Deviation : 12.42% 14.48%
Total Return Adjustment : 0.00% 0.00%
Adjusted Real Return : 4.00% 4.78%
Base inflation rate : 4.50% 4.50%
03/29/2010 Page 25 of 48
Inside The Numbers
Results Summary
Goals
College - Suzy Student
Year : 2018 2018
Years of Education : 4 4
Annual Cost : $8,293 $8,293
Retirement - Living Expense
Retirement Age
John : 67 67
Kim : 67 67
Planning Age
John : 90 90
Kim : 92 92
One Retired
John retired and Kim working : $79,200 $79,200
Kim retired and John working : $55,200 $55,200
Both Retired
John and Kim retired : $120,000 $120,000
One Alone - Retired
Kim alone : $96,000 $96,000
John alone : $96,000 $96,000
One Alone - Employed
John employed alone : $0 $0
Kim employed alone : $0 $0
Kim Therapy Clinic
Year : 2015 2015
Cost : $50,000 $50,000
College - Sam Student
Year : 2017 2017
Years of Education : 4 4
Annual Cost : $8,293 $8,293
Charlevoix Lake Home
Year : John's retirement John's retirement
03/29/2010 Page 26 of 48
Inside The Numbers
Results Summary
Goals
Cost : $350,000 $350,000
Suzy Wedding Fund
Year : 2020 2020
Cost : $20,000 $20,000
Chain of Lakes - Primary Res
Year : 2015 2015
Cost : $350,000 $350,000
Sam Wedding
Year : 2019 2019
Cost : $5,000 $5,000
Santorini Greece
Year : 2020 2020
Cost : $15,000 $15,000
Mercedes Convertible
Year : Kim's retirement Kim's retirement
Cost : $40,000 $40,000
Boca Raton
Year : 2015 2015
Cost : $3,000 $3,000
Is recurring? Yes Yes
Years between occurrences : 1 1
Ranger Bass Boat - John
Year : 2015 2015
Cost : $35,000 $35,000
Harley Davidson - John
Year : 2011 2011
Cost : $18,000 $18,000
03/29/2010 Page 27 of 48
Inside The Numbers
Results Summary
Retirement Income
John Company Pension
Annual Income : $72,000 $72,000
Start Year : John's Retirement John's Retirement
Select when income will end : End of John's Plan End of John's Plan
Benefit After Death 50 50
Kim Company Pension
Annual Income : $60,000 $60,000
Start Year : Kim's Retirement Kim's Retirement
Select when income will end : End of Kim's Plan End of Kim's Plan
Benefit After Death 50 50
Teaching Income
Annual Income : $36,000 $36,000
Start Year : Kim's Retirement Kim's Retirement
Years Of Employment : 10 10
Business Consulting Business
Annual Income : $48,000 $48,000
Start Year : John's Retirement John's Retirement
Select when income will end : End of John's Plan End of John's Plan
Social Security
John
Select when benefits will begin : At age of full eligibility At age of full eligibility
Annual benefit - Program Estimate : $29,883 $29,883
Widow(er) benefit : $0 $0
Percentage of benefit to use : 100% 100%
Kim
Select when benefits will begin : At age of full eligibility At age of full eligibility
Annual benefit - Program Estimate : $25,966 $25,966
Widow(er) benefit : $0 $0
Percentage of benefit to use : 100% 100%
03/29/2010 Page 28 of 48
Inside The Numbers
Results Summary
Asset Additions
John company 401k 10.00% 10.00%
Plan addition amount : $15,600 $15,600
Year additions begin : 2010 2010
John - Fund All Goals
Kim Company 401k 10.00% 10.00%
Plan addition amount : $12,750 $12,750
Kim - Fund All Goals
John BofA CDs $2,000 $2,000
John - Fund All Goals
Suzy 529 $500 $500
John - College - Suzy Student
Extra Savings by Tax Category
John's Qualified (Employer Plans & Traditional IRA) $0
Kim's Qualified (Employer Plans & Traditional IRA) $0
John's Roth IRA $0
Kim's Roth IRA $0
John's Tax-Deferred $0
Kim's Tax-Deferred $0
Taxable $0
03/29/2010 Page 29 of 48
Inside The Numbers
Results Summary
Other Assets
John and Kim Primary Residence
Net amount received : $264,000 $264,000
Year when available : 2015 2015
Gun Collection
Year when available : John's retirement John's retirement
2001 Ranger Bass Boat
John VUL Life Insurance Policy
Tax Options
Include Tax Penalties : Yes Yes
Change Tax Rate? No No
03/29/2010 Page 30 of 48
Action Items
Action Items
It's time to take Action! These are the Action Items that need to be considered.
Action Items generated from What If Scenario 1
Investments Your Portfolio should be reallocated.

Investment Portfolio Asset Allocation Changes Required to match Capital Growth I
Current Capital Growth I Asset Class Increase By Decrease By
Cash Equivalent -$122,000
6%
4% 2%
Short Term Bonds -$16,000
8%
21% 10% Intermediate Term Bonds $65,000
20%
16%
Long Term Bonds
8%
Large Cap Value Stocks -$15,500
14% 15% 23% Large Cap Growth Stocks $85,000
7% 25%
Mid Cap Stocks -$90,000
20%
Small Cap Stocks $97,500
International Developed Stocks $25,000
International Emerging Stocks -$29,000
Unclassified
Total : $272,500 -$272,500
03/29/2010 Page 31 of 48
Portfolio Details
Presentation - Combined Details
Scenario : What If Scenario 1 using Average Returns
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.
Total Portfolio Value Graph
$60,000,000
$50,000,000
$40,000,000
$30,000,000
$20,000,000
$10,000,000
$0
2010 2020 2030 2040 2050 2060
Tax Categories and Ending Values
Qualified Assets - $15,295,347 Roth IRA - $0 Tax-Deferred Assets - $0

Tax-Free Assets - $2,618,263 Taxable Assets - $29,974,495 John Retires
Kim Retires John's Plan Ends Kim's Plan Ends
x - denotes shortfall
03/29/2010 Page 32 of 48
Beginning Portfolio Value Funds Used
Post Ending
Fund All Additions Other Investment Tax
Event or Ages Year Earmarked Retirement Taxes All Goals Portfolio Value
Goals To Assets Additions Earnings Penalty
Income
40/39 2010 20,000 630,000 30,850 0 0 63,183 0 0 0 744,033
41/40 2011 22,402 721,630 32,126 0 0 69,062 9,948 3,195 18,810 813,268
42/41 2012 25,028 788,240 33,459 0 0 78,576 0 0 0 925,303
43/42 2013 27,897 897,407 34,852 0 0 89,102 0 0 0 1,049,258
44/43 2014 31,032 1,018,226 36,308 0 0 100,740 0 0 0 1,186,306
45/44 2015 34,458 1,151,848 37,829 264,000 0 69,172 149,043 47,875 545,828 814,562
46/45 2016 38,202 776,360 39,419 0 0 78,634 2,066 664 3,907 925,978
47/46 2017 42,294 883,684 40,580 0 0 89,053 2,159 694 4,083 1,048,676
48/47 2018 46,219 1,002,458 42,316 0 0 100,572 2,256 725 4,266 1,184,317
49/48 2019 50,508 1,133,809 44,131 0 0 112,126 6,287 2,020 11,889 1,320,378
50/49 2020 55,195 1,265,183 46,027 0 0 117,380 31,209 10,025 60,304 1,382,247
51/50 2021 58,906 1,323,341 48,008 0 0 131,843 2,575 827 6,129 1,552,567
52/51 2022 62,995 1,489,572 50,078 0 0 147,923 2,691 864 5,088 1,741,926
53/52 2023 68,841 1,673,085 52,242 0 0 165,661 2,812 903 5,317 1,950,797
54/53 2024 75,229 1,875,568 54,503 0 0 185,216 2,938 944 5,556 2,181,078
55/54 2025 82,210 2,098,867 56,865 0 0 206,766 3,070 986 5,806 2,434,846
56/55 2026 89,839 2,345,007 59,334 0 0 230,504 3,209 1,031 6,067 2,714,377
57/56 2027 98,177 2,616,201 61,914 0 0 256,640 3,353 1,077 6,340 3,022,162
58/57 2028 107,287 2,914,875 64,610 0 0 285,408 3,504 1,125 6,625 3,360,925
59/58 2029 117,244 3,243,682 67,428 0 0 317,218 3,130 0 6,924 3,735,518
60/59 2030 128,124 3,607,394 70,372 0 0 352,212 3,271 0 7,235 4,147,596
61/60 2031 140,014 4,007,582 73,449 0 0 390,694 3,418 0 7,561 4,600,760
62/61 2032 153,007 4,447,753 76,664 0 0 433,000 3,572 0 7,901 5,098,952
63/62 2033 167,206 4,931,746 80,024 0 0 479,496 3,732 0 8,256 5,646,483
64/63 2034 182,723 5,463,760 83,535 0 0 530,583 3,900 0 8,628 6,248,072
65/64 2035 199,679 6,048,393 87,204 0 0 586,699 4,076 0 9,016 6,908,883
66/65 2036 218,210 6,690,673 91,038 0 0 648,323 4,259 0 9,422 7,634,563
John Retires 2037 238,460 7,396,103 41,846 194,002 327,612 577,635 555,511 0 1,418,485 6,801,661
Kim Retires 2038 279,766 6,521,896 0 0 614,879 622,288 151,807 0 559,041 7,327,981
69/68 2039 305,728 7,022,253 0 0 642,548 686,929 129,477 0 440,836 8,087,144
70/69 2040 334,099 7,753,045 0 0 671,463 762,774 152,707 0 393,258 8,975,416
03/29/2010 Page 33 of 48
Beginning Portfolio Value Funds Used
Post Ending
Fund All Additions Other Investment Tax
Event or Ages Year Earmarked Retirement Taxes All Goals Portfolio Value
Goals To Assets Additions Earnings Penalty
Income
71/70 2041 365,104 8,610,312 0 0 701,679 837,972 255,706 0 410,955 9,848,406
72/71 2042 398,986 9,449,421 0 0 733,254 918,765 284,279 0 429,448 10,786,698
73/72 2043 436,011 10,350,687 0 0 766,251 1,005,569 315,592 0 448,773 11,794,153
74/73 2044 476,473 11,317,680 0 0 800,732 1,098,738 349,890 0 468,968 12,874,766
75/74 2045 520,690 12,354,076 0 0 836,765 1,198,638 387,437 0 490,072 14,032,660
76/75 2046 569,010 13,463,650 0 0 874,420 1,305,644 428,522 0 512,125 15,272,077
77/76 2047 621,814 14,650,263 0 0 913,769 1,420,155 473,324 0 535,170 16,597,507
78/77 2048 679,519 15,917,988 0 0 763,144 1,531,205 448,907 0 559,253 17,883,696
79/78 2049 742,578 17,141,118 0 0 797,486 1,649,414 494,974 0 584,419 19,251,202
80/79 2050 811,489 18,439,713 0 0 833,373 1,775,126 544,256 0 610,718 20,704,726
81/80 2051 886,795 19,817,931 0 0 870,874 1,908,717 597,930 0 638,201 22,248,187
82/81 2052 969,090 21,279,097 0 0 910,064 2,050,544 656,343 0 666,920 23,885,532
83/82 2053 1,059,021 22,826,510 0 0 951,017 2,200,968 719,866 0 696,931 25,620,719
84/83 2054 1,157,299 24,463,420 0 0 993,812 2,360,349 788,889 0 728,293 27,457,698
85/84 2055 1,264,696 26,193,002 0 0 1,038,534 2,529,079 863,476 0 761,066 29,400,769
86/85 2056 1,382,060 28,018,709 0 0 1,085,268 2,707,723 942,074 0 795,314 31,456,372
87/86 2057 1,510,315 29,946,057 0 0 1,134,105 2,896,716 1,027, 0 831,103 33,628,333
757
88/87 2058 1,650,472 31,977,861 0 0 1,185,140 3,096,412 1,121, 0 868,503 35,920,225
157
89/88 2059 1,803,636 34,116,589 0 0 1,238,471 3,307,150 1,221, 0 907,585 38,336,670
590
John's Plan Ends 2060 1,971,013 36,365,657 0 0 1,294,202 3,529,418 1,328, 0 948,427 40,883,102
761
91/90 2061 2,153,923 38,729,179 0 0 447,196 3,723,508 1,200, 0 736,250 43,116,590
966
92/91 2062 2,353,807 40,762,783 0 0 467,320 3,927,272 1,291, 0 769,381 45,450,436
364
Kim's Plan Ends 2063 2,572,241 42,878,195 0 0 488,349 4,140,264 1,386, 0 804,004 47,888,105
940
03/29/2010 Page 34 of 48
Funds Used
College - Kim College - Suzy Chain of Ranger
Charlevoix Sam Santorini Mercedes Ending
Event or Ages Year Suzy Retirement Therapy Sam Wedding Lakes - Boca Raton Bass Boat -
Lake Home Wedding Greece Convertible Portfolio Value
Student Clinic Student Fund Primary Res John
40/39 2010 0 0 0 0 0 0 0 0 0 0 0 0 744,033
41/40 2011 0 0 0 0 0 0 0 0 0 0 0 0 813,268
42/41 2012 0 0 0 0 0 0 0 0 0 0 0 0 925,303
43/42 2013 0 0 0 0 0 0 0 0 0 0 0 0 1,049,258
44/43 2014 0 0 0 0 0 0 0 0 0 0 0 0 1,186,306
45/44 2015 0 0 62,309 0 0 0 436,164 0 0 0 3,739 43,616 814,562
46/45 2016 0 0 0 0 0 0 0 0 0 0 3,907 0 925,978
47/46 2017 0 0 0 0 0 0 0 0 0 0 4,083 0 1,048,676
48/47 2018 0 0 0 0 0 0 0 0 0 0 4,266 0 1,184,317
49/48 2019 0 0 0 0 0 0 0 7,430 0 0 4,458 0 1,320,378
50/49 2020 0 0 0 1,291 0 31,059 0 0 23,295 0 4,659 0 1,382,247
51/50 2021 1,261 0 0 0 0 0 0 0 0 0 4,869 0 1,552,567
52/51 2022 0 0 0 0 0 0 0 0 0 0 5,088 0 1,741,926
53/52 2023 0 0 0 0 0 0 0 0 0 0 5,317 0 1,950,797
54/53 2024 0 0 0 0 0 0 0 0 0 0 5,556 0 2,181,078
55/54 2025 0 0 0 0 0 0 0 0 0 0 5,806 0 2,434,846
56/55 2026 0 0 0 0 0 0 0 0 0 0 6,067 0 2,714,377
57/56 2027 0 0 0 0 0 0 0 0 0 0 6,340 0 3,022,162
58/57 2028 0 0 0 0 0 0 0 0 0 0 6,625 0 3,360,925
59/58 2029 0 0 0 0 0 0 0 0 0 0 6,924 0 3,735,518
60/59 2030 0 0 0 0 0 0 0 0 0 0 7,235 0 4,147,596
61/60 2031 0 0 0 0 0 0 0 0 0 0 7,561 0 4,600,760
62/61 2032 0 0 0 0 0 0 0 0 0 0 7,901 0 5,098,952
63/62 2033 0 0 0 0 0 0 0 0 0 0 8,256 0 5,646,483
64/63 2034 0 0 0 0 0 0 0 0 0 0 8,628 0 6,248,072
65/64 2035 0 0 0 0 0 0 0 0 0 0 9,016 0 6,908,883
66/65 2036 0 0 0 0 0 0 0 0 0 0 9,422 0 7,634,563
John Retires 2037 0 259,935 0 0 1,148,703 0 0 0 0 0 9,846 0 6,801,661
Kim Retires 2038 0 411,564 0 0 0 0 0 0 0 137,188 10,289 0 7,327,981
69/68 2039 0 430,084 0 0 0 0 0 0 0 0 10,752 0 8,087,144
70/69 2040 0 382,022 0 0 0 0 0 0 0 0 11,236 0 8,975,416
03/29/2010 Page 35 of 48
Funds Used
College - Kim College - Suzy Chain of Ranger
Charlevoix Sam Santorini Mercedes Ending
Event or Ages Year Suzy Retirement Therapy Sam Wedding Lakes - Boca Raton Bass Boat -
Lake Home Wedding Greece Convertible Portfolio Value
Student Clinic Student Fund Primary Res John
71/70 2041 0 399,213 0 0 0 0 0 0 0 0 11,742 0 9,848,406
72/71 2042 0 417,178 0 0 0 0 0 0 0 0 12,270 0 10,786,698
73/72 2043 0 435,951 0 0 0 0 0 0 0 0 12,822 0 11,794,153
74/73 2044 0 455,569 0 0 0 0 0 0 0 0 13,399 0 12,874,766
75/74 2045 0 476,069 0 0 0 0 0 0 0 0 14,002 0 14,032,660
76/75 2046 0 497,493 0 0 0 0 0 0 0 0 14,632 0 15,272,077
77/76 2047 0 519,880 0 0 0 0 0 0 0 0 15,291 0 16,597,507
78/77 2048 0 543,274 0 0 0 0 0 0 0 0 15,979 0 17,883,696
79/78 2049 0 567,722 0 0 0 0 0 0 0 0 16,698 0 19,251,202
80/79 2050 0 593,269 0 0 0 0 0 0 0 0 17,449 0 20,704,726
81/80 2051 0 619,966 0 0 0 0 0 0 0 0 18,234 0 22,248,187
82/81 2052 0 647,865 0 0 0 0 0 0 0 0 19,055 0 23,885,532
83/82 2053 0 677,019 0 0 0 0 0 0 0 0 19,912 0 25,620,719
84/83 2054 0 707,485 0 0 0 0 0 0 0 0 20,808 0 27,457,698
85/84 2055 0 739,321 0 0 0 0 0 0 0 0 21,745 0 29,400,769
86/85 2056 0 772,591 0 0 0 0 0 0 0 0 22,723 0 31,456,372
87/86 2057 0 807,357 0 0 0 0 0 0 0 0 23,746 0 33,628,333
88/87 2058 0 843,688 0 0 0 0 0 0 0 0 24,814 0 35,920,225
89/88 2059 0 881,654 0 0 0 0 0 0 0 0 25,931 0 38,336,670
John's Plan Ends 2060 0 921,329 0 0 0 0 0 0 0 0 27,098 0 40,883,102
91/90 2061 0 736,250 0 0 0 0 0 0 0 0 0 0 43,116,590
92/91 2062 0 769,381 0 0 0 0 0 0 0 0 0 0 45,450,436
Kim's Plan Ends 2063 0 804,004 0 0 0 0 0 0 0 0 0 0 47,888,105
03/29/2010 Page 36 of 48
Funds Used
Harley
Ending
Event or Ages Year Davidson -
Portfolio Value
John
40/39 2010 0 744,033
41/40 2011 18,810 813,268
42/41 2012 0 925,303
43/42 2013 0 1,049,258
44/43 2014 0 1,186,306
45/44 2015 0 814,562
46/45 2016 0 925,978
47/46 2017 0 1,048,676
48/47 2018 0 1,184,317
49/48 2019 0 1,320,378
50/49 2020 0 1,382,247
51/50 2021 0 1,552,567
52/51 2022 0 1,741,926
53/52 2023 0 1,950,797
54/53 2024 0 2,181,078
55/54 2025 0 2,434,846
56/55 2026 0 2,714,377
57/56 2027 0 3,022,162
58/57 2028 0 3,360,925
59/58 2029 0 3,735,518
60/59 2030 0 4,147,596
61/60 2031 0 4,600,760
62/61 2032 0 5,098,952
63/62 2033 0 5,646,483
64/63 2034 0 6,248,072
65/64 2035 0 6,908,883
66/65 2036 0 7,634,563
John Retires 2037 0 6,801,661
Kim Retires 2038 0 7,327,981
69/68 2039 0 8,087,144
70/69 2040 0 8,975,416
03/29/2010 Page 37 of 48
Funds Used
Harley
Ending
Event or Ages Year Davidson -
Portfolio Value
John
71/70 2041 0 9,848,406
72/71 2042 0 10,786,698
73/72 2043 0 11,794,153
74/73 2044 0 12,874,766
75/74 2045 0 14,032,660
76/75 2046 0 15,272,077
77/76 2047 0 16,597,507
78/77 2048 0 17,883,696
79/78 2049 0 19,251,202
80/79 2050 0 20,704,726
81/80 2051 0 22,248,187
82/81 2052 0 23,885,532
83/82 2053 0 25,620,719
84/83 2054 0 27,457,698
85/84 2055 0 29,400,769
86/85 2056 0 31,456,372
87/86 2057 0 33,628,333
88/87 2058 0 35,920,225
89/88 2059 0 38,336,670
John's Plan Ends 2060 0 40,883,102
91/90 2061 0 43,116,590
92/91 2062 0 45,450,436
Kim's Plan Ends 2063 0 47,888,105
03/29/2010 Page 38 of 48
Notes
Calculations are based on a “Rolling Year” rather than a Calendar Year. The current date The taxes column is a sum of (1) taxes on retirement income, (2) taxes on strategy income, (3)
begins the 365-day “Rolling Year”. taxes on withdrawals from qualified assets for Required Minimum Distributions, (4) taxes on
Additions and withdrawals occur at the beginning of the year. withdrawals from taxable assets' untaxed gain used to fund Goals in that year, (5) taxes on
withdrawals from tax-deferred or qualified assets used to fund goals in that year, and (6) taxes
Other Additions come from items entered in the Other Assets section and any applicable on the investment earnings of taxable assets. Tax rates used are detailed in the Tax and
proceeds from insurance policies. Inflation Options page. (Please note, the Taxes column does not include any taxes owed from
Stock Options and Restricted Stock values are after-tax and based on the Exercise Scenario the exercise of Stock Options or the vesting of Restricted Stock.)
selected. Tax Penalties can occur when Qualified and Tax-Deferred Assets are used prior to age 59½. If
Strategy Income is based on the particulars of the Goal Strategies selected. Strategy Income there is a value in this column, it illustrates that you are using your assets in this Plan in a
from immediate annuities, 72(t) distributions, and variable annuities with a guaranteed manner that may incur tax penalties. Generally, it is better to avoid tax penalties whenever
minimum withdrawal benefit (GMWB) is pre-tax. Strategy Income from Net Unrealized possible.
Appreciation (NUA) is after-tax. These calculations do not incorporate penalties associated with use of 529 Plan withdrawals
Post Retirement Income includes the following: Social Security, pension, annuity, rental for non-qualified expenses.
property, royalty, alimony, part-time employment, trust, and any other retirement income as Funds for each Goal Expense are first used from Earmarked Assets. If sufficient funds are not
entered in the Plan. available from Earmarked Assets, Fund All Goals Assets will be used to fund the remaining
If either Social Security Program Estimate or Use This Amount and Evaluate Annually is selected portion of the Goal Expense, if available in that year.
for a participant, the program will default to the greater of the selected benefit or the age All funds needed for a Goal must be available in the year the Goal occurs. Funds from
adjusted spousal benefit based on the other participant's benefit. Earmarked Assets that become available after the goal year(s) have passed are not included in
Investment Earnings are calculated on all assets after any withdrawals for 'Goal Expense', the funding of that Goal, and accumulate until the end of the Plan.
'Taxes on Withdrawals' and 'Tax Penalties' are subtracted. Ownership of Qualified Assets is assumed to roll over to the surviving spouse at the death of
the original owner. It is also assumed the surviving spouse inherits all assets of the original
owner.
03/29/2010 Page 39 of 48
Net Worth
Net Worth - Assets Used In Plan
Your Net Worth is the difference between what you own (your assets) and what you owe (your liabilities). This statement includes only
those Investment Assets that you have assigned to Goals in this Plan and all Other Assets and all Liabilities indicated by you. To ensure an
accurate Net Worth statement, make certain all of your Assets and Liabilities have been entered and the values are current.
$1,200,000
Total Assets $1,248,000

$900,000
Total Liabilities $127,500
$600,000
Net Worth $1,120,500
$300,000
$0
Assets Liabilities Net Worth
03/29/2010 Page 40 of 48
Net Worth Statement
Description John Kim Joint Total

Investment Assets
Retirement Plans :
John company 401k $300,000 $300,000
Kim Company 401k $250,000 $250,000
Traditional IRA :
John BofA CDs $80,000 $80,000
529 Savings Plan :
Sam 529 $10,000 $10,000
Suzy 529 $10,000 $10,000
Total Investment Assets : $400,000 $250,000 $650,000
Other Assets
Personal Assets :
John and Kim Primary Residence $300,000 $300,000
Gun Collection $60,000 $60,000
Personal Assets $120,000 $120,000
2004 Jaguar $20,000 $20,000
2004 Expedition $25,000 $25,000
2001 Ranger Bass Boat $18,000 $18,000
Cash Value Life :
John VUL Life Insurance Policy $55,000 $55,000
Total Other Assets : $115,000 $483,000 $598,000
Total Assets : $515,000 $250,000 $483,000 $1,248,000
03/29/2010 Page 41 of 48
Description John Kim Joint Total
Liabilities
Home and Land Loans :
John and Kim Primary Residence $100,000 $100,000
Vehicle Loans :
2004 Jaguar $10,000 $10,000
2004 Expedition $12,000 $12,000
Other Personal Debt :
John Chase Credit Card $2,000 $2,000
Kim Capital One Credit Card $3,500 $3,500
Total Liabilities : $2,000 $3,500 $122,000 $127,500
Total Liabilities : $2,000 $3,500 $122,000 $127,500
03/29/2010 Page 42 of 48
Current Assets, Insurance, Income, and Liabilities
Investment Assets
Description Owner Current Value Additions Assign to Goal

John BofA CDs John $80,000 $2,000 to John's Fund All Goals
Retirement
John company 401k John $300,000 $15,600 to John's Fund All Goals
Retirement
Kim Company 401k Kim $250,000 $12,750 to Kim's Fund All Goals
Retirement
Sam 529 John $10,000 College - Sam Student
Suzy 529 John $10,000 $500 After Tax to 2016 College - Suzy Student
Total Investment Assets : $650,000
Other Assets
Description Owner Current Value Future Value Assign to Goal

John and Kim Primary Residence Joint $300,000 $264,000 in 2015 Fund All Goals
Gun Collection John $60,000 $173,002 at John's Fund All Goals
retirement
Personal Assets Joint $120,000 Not Funding Goals
2004 Jaguar Joint $20,000 Not Funding Goals
2004 Expedition Joint $25,000 Not Funding Goals
2001 Ranger Bass Boat Joint $18,000 $18,000 at John's Ranger Bass Boat - John
retirement
John VUL Life Insurance Policy John $55,000 $3,000 at John's Fund All Goals
retirement
Total of Other Assets : $598,000
Insurance Policies
Description Owner Insured Beneficiary Annual Premium Cash Value Death Benefit Premium Paid
Cash Value Life Insurance Policies (included in Assets)
John VUL Life Insurance Policy John John Spouse of Insured - $3,600 $55,000 $1,000,000 Until insured dies
Other Asset 100%
Total Death Benefit of All Policies : $1,000,000

If the assets include a Variable Life Investment Asset, the value shown for this policy in the Premium column reflects only the assumed annual increase in the cash value of the insurance
policy and not the total premium.
03/29/2010 Page 43 of 48
Current Assets, Insurance, Income, and Liabilities
Retirement Income
Description Owner Value Increase Rate Assign to Goal

Social Security John $29,883 from Age 67 to Yes, at 4.50% Fund All Goals
Program Estimate End of John's Plan
Social Security Kim $25,966 from Age 67 to Yes, at 4.50% Fund All Goals
Program Estimate End of Kim's Plan
John Company Pension John $72,000 from John's Yes, at 4.50% Fund All Goals
Retirement to End of John's
Plan (50% to Survivor)
Kim Company Pension Kim $60,000 from Kim's Yes, at 4.50% Fund All Goals
Retirement to End of Kim's
Plan (50% to Survivor)
Teaching Income Kim $36,000 from Kim's Yes, at 4.50% Fund All Goals
Retirement to 2047
Business Consulting Business John $48,000 from John's Yes, at 4.50% Fund All Goals
Retirement to End of John's
Plan
Liabilities
Type Description Owner Outstanding Balance Interest Rate Monthly Payment

Home - Total Amount John and Kim Primary Residence Joint $100,000 $700
Vehicle - Total Amount 2004 Jaguar Joint $10,000 $380
Vehicle - Total Amount 2004 Expedition Joint $12,000 $400
Other - Total Amount John Chase Credit Card John $2,000 $87
Other - Total Amount Kim Capital One Credit Card Kim $3,500 $120
Total Outstanding Balance : $127,500
03/29/2010 Page 44 of 48
Assumptions
Personal Information and Summary of Financial Goals
Needs
10 College - Suzy Student

$8,293 in 2018 University of Michigan–Flint for 4 years
Outside Asset(s) Base Inflation Rate plus 1.50% (6.00%)
Suzy 529 - $10,000, Additions - $500, Rate - 6.00% Other Funding (per year of school, adjusted for inflation)
Student Loans - $5,500

$79,200 from 2037 thru 2037 (John retired) John retires in 2037 at age 67
$120,000 from 2038 thru 2060 (Both retired) Planning age is 90 in 2060
Reduction - $18,000 in 2040 (Charlevoix Lake Home) Kim retires in 2038 at age 67
Planning age is 92 in 2063
$96,000 from 2061 thru 2063 (Kim alone - retired) Retirement period is 26 years
Base Inflation Rate (4.50%)
10 Kim Therapy Clinic
$50,000 in 2015 One time only
10 College - Sam Student

$8,293 in 2017 University of Michigan–Flint for 4 years
Outside Asset(s) Base Inflation Rate plus 1.50% (6.00%)
Sam 529 - $10,000, Additions - $500, Rate - 6.00% Other Funding (per year of school, adjusted for inflation)
Student Loans - $5,500
8 Charlevoix Lake Home

$350,000 at John's retirement One time only
8 Suzy Wedding Fund

03/29/2010 Page 45 of 48
8 Chain of Lakes - Primary Res

8 Sam Wedding
Wants
7 Santorini Greece
6 Mercedes Convertible
$40,000 at Kim's retirement One time only
5 Boca Raton
$3,000 in 2015 Recurring every year until end of John's plan
Wishes
3 Ranger Bass Boat - John

03/29/2010 Page 46 of 48
3 Harley Davidson - John

Personal Information Participant Name Date of Birth Age Relationship

John Sam Student 04/01/1999 10 Child
Male - born 04/01/1970, age 39 Suzy Student 03/01/2000 10 Child
Employed - $120,000
Kim
Female - born 03/01/1971, age 39
Employed - $85,000
Married, US Citizens living in MI
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.
03/29/2010 Page 47 of 48
Asset Allocation - Risk Questionnaire
Updated : 03/29/2010
This is your Risk Tolerance Questionnaire. Your answers were used to help select your Target Portfolio.
Risk You Can Accept

1. How important is capital preservation? Not at all Moderately important Very important
1 2 3 4 5 6 7 8 9
2. How important is growth? Not at all Moderately important Very important

1 2 3 4 5 6 7 8 9
3. How important is low volatility? Not at all Moderately important Very important
1 2 3 4 5 6 7 8 9
4. How important is inflation protection? Not at all Moderately important Very important
1 2 3 4 5 6 7 8 9
5. How important is current cash flow? Not at all Moderately important Very important
1 2 3 4 5 6 7 8 9
6. How much risk are you willing to take to achieve a higher return? None at all A moderate amount A lot
1 2 3 4 5 6 7 8 9
03/29/2010 Page 48 of 48

John and Kim Student Financial Plan

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John and Kim Student Financial Plan

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John and Kim Student Financial Plan

John and Kim Student

March 29, 2010

Asset Class Historical Return Index

Cash Equivalent Ibbotson U.S. Treasury Bills - Total Return (1926-2008)

Worst One-Year Loss

2. Jump to the Bottom Line - Can you reach your Goals?

3. Look Inside the Numbers - What do your results really mean?

Client Ideal Acceptable

Importance Description Ideal Acceptable

Total Spending for Life of Plan $3,782,544 $2,711,260

Tax Category Current Acceptable

Investment Portfolio Current

1. Average Return Your Answer - 3 Ways 2. Bad Timing

What is the likelihood you can Fund All Your Goals?

Are you in your Confidence Zone?

Likelihood of Funding All Goals

Ideal Age Ideal Amount Current Savings Current : $650,000

Likelihood of Funding All Goals

Client Ideal What If Scenario 1 Acceptable

Importance Description Ideal What If Scenario 1 Acceptable

Total Spending for Life of Plan $3,782,544 $3,782,544 $2,711,260

Tax Category Current What If Scenario 1 Acceptable

Investment Portfolio Current What If Scenario 1

Result with Goals as shown in

Likelihood of Funding All Goals Likelihood of Funding All Goals

All Goals set to Acceptable

Probability of Success: 87% Probability of Success: 92%

Portfolio $650,000 Portfolio $650,000

Likelihood of Funding All Goals Likelihood of Funding All Goals

Probability of Success: 92% Probability of Success: 72%

Portfolio $650,000 Loss $573,828 Portfolio $76,172

Sample of 100 Trials

2010 2020 2030 2040 2050 2060

Trials Year 5 Year 10 Year 15 Year 20 Year 25 End of Plan

Goals Current Scenario What If Scenario 1

10 Retirement - Living Expense 100% 100% 100% 100%

10 Kim Therapy Clinic 100% 100% 100% 100%

10 College - Sam Student 136% 136% 139% 139%

8 Charlevoix Lake Home 100% 100% 100% 100%

8 Suzy Wedding Fund 100% 100% 100% 100%

8 Chain of Lakes - Primary Res 100% 100% 100% 100%

8 Sam Wedding 100% 100% 100% 100%

6 Mercedes Convertible 100% 100% 100% 100%

5 Boca Raton 100% 100% 100% 100%

3 Harley Davidson - John 100% 100% 100% 100%

Safety Margin (Value at End of Plan)

Your Confidence Zone: 70% - 90%

Probability of Success: 94% Probability of Success: 87%

Key Assumptions Current Scenario What If Scenario 1

Action Items generated from What If Scenario 1

Investments Your Portfolio should be reallocated.

Total : $272,500 -$272,500

Total Portfolio Value Graph

Qualified Assets - $15,295,347 Roth IRA - $0 Tax-Deferred Assets - $0

Total Assets $1,248,000

Assets Liabilities Net Worth

Description John Kim Joint Total

Total Assets : $515,000 $250,000 $483,000 $1,248,000

Total Liabilities : $2,000 $3,500 $122,000 $127,500

Description Owner Current Value Additions Assign to Goal

Total Investment Assets : $650,000

Description Owner Current Value Future Value Assign to Goal