THE SIDE FUNDSPLIT-DOLLAR

SOLUTION™

© Copyright 2004 All Rights Reserved.by The Weinberg Group, Inc.

The Weinberg Group

Q. Why the Side Fund Split-Dollar Solution™?

A. Tax Efficient Funding of:

Estate Taxes

Other Liquidity NeedsBusiness Continuity Plans

Buy-Sell Agreements

Charitable Bequests

Defective Grantor Trust Installment Notes

THE SIDE FUNDSPLIT-DOLLAR SOLUTION™

Taxation as Economic Benefit (Endorsement) Split-Dollar

OrTaxation as Split-Dollar Loan

Two Exclusive Tax Regimesunder Final Regs. after Sept. 17, 2003

THE SIDE FUNDSPLIT-DOLLAR SOLUTION™

Measuring Annual Term Cost (“ATC”)

Goal: Preserve Favorable ATC Taxation for as Long as Possible

IRS Table 2001Life Insurance Premium FactorsCarrier Alternative Term Rates –

Open Window of Opportunity?

THE SIDE FUNDSPLIT-DOLLAR SOLUTION™The Side Fund Split-Dollar Solution™

Implement Nonequity Collateral Assignment Split-Dollar Plan between Trust and Grantor (Private) or Employer (Corporate)

Repay Grantor from Trust Side Fund or Switch to a Loan in Year in Which No Policy Equity Exists (“Rollout”)

Repay Loans (If Any) from Side Fund During Life or Insurance Proceeds at Death

Create Funded Defective Grantor Trust Using Gift Tax Lifetime Exemptions and Annual Exclusions

Pay ATC or Interest from Side Fund

Pay Continuing Premiums from Side Fund or Additional Loans

THE SIDE FUNDSPLIT-DOLLAR SOLUTION™

Other Options

Nonequity Split-Dollar for Life

Split-Dollar Loans from the OutsetPremium Gifts/BonusesFinanced Life InsuranceDeath Benefit Only (DBO) Plans

Unfunded Collateral EndorsementSwitch-Dollar™

Lifetime Exemption Gifts

Annual Exclusion Gifts

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AT SURVIVOR’S DEATH

Mort and Mollie Berg

INSURANCE

$10M Guaranteed No Lapse U.L. (Survivorship)

Nonequity Collateral Assignment Split-Dollar Plan

Grantor (Insurance) Trust Is

Applicant, Owner and Beneficiary

Insureds: Mort and Mollie Berg (Ages 65, 60, NS)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Policy Information(1) (2) (3) (4) (5) (6) (7) (8) (9)

Policy Policy Cash Policy Annual TrustAnnual Cash Value Surr. Value Death Benefit ATC/Premium Beginning Ending

H's W's Policy (Net of (Net of (Net of Contribution Loan Annual Loan LoanAge Age Year Premium Policy Loans) Policy Loans) Policy Loans) Received (a.) Balance Loan Repayment Balance

(Col. 6+7+8)

65 60 1 2004 $126,500 $67,599 $0 $15,000,000 ($1,190) $0 $0 $0 $066 61 2 2005 126,500 171,951 0 15,000,000 (1,475) 0 0 0 067 62 3 2006 126,500 281,428 0 15,000,000 (1,755) 0 0 0 068 63 4 2007 126,500 396,148 102,779 15,000,000 (2,175) 0 0 0 069 64 5 2008 126,500 516,335 249,635 10,000,000 (1,781) 0 0 0 0

79 74 15 2018 126,500 2,060,222 2,060,222 10,000,000 (4,764) 0 0 0 080 75 16 2019 0 2,109,072 2,109,072 10,000,000 (5,524) 0 0 0 081 76 17 2020 0 2,145,662 2,145,662 10,000,000 (6,598) 0 0 0 082 77 18 2021 0 2,164,739 2,164,739 10,000,000 (7,914) 0 0 0 083 78 19 2022 0 2,164,577 2,164,577 10,000,000 (68,717) 0 0 0 084 79 20 2023 0 2,133,578 2,133,578 10,000,000 (76,304) 0 0 0 085 80 21 2024 0 2,061,222 2,061,222 10,000,000 (85,104) 0 0 0 086 81 22 2025 0 1,953,558 1,953,558 10,000,000 (97,362) 0 0 0 087 82 23 2026 0 1,794,959 1,794,959 10,000,000 (112,163) 0 0 0 088 83 24 2027 248,033 1,826,051 1,826,051 10,000,000 (126,124) 0 0 0 089 84 25 2028 248,033 1,807,715 1,807,715 10,000,000 (142,710) 0 0 0 090 85 26 2029 248,033 1,730,177 1,730,177 10,000,000 (162,667) 0 0 0 091 86 27 2030 248,033 1,601,263 1,601,263 10,000,000 (184,071) 0 0 0 092 87 28 2031 248,033 1,394,981 1,394,981 10,000,000 (208,478) 0 0 0 093 88 29 2032 248,033 1,142,726 1,142,726 10,000,000 (236,969) 0 0 0 094 89 30 2033 248,033 825,819 825,819 10,000,000 (270,404) 0 0 0 095 90 31 2034 248,033 446,003 446,003 10,000,000 0 0 0 0 096 91 32 2035 248,033 13,514 13,514 10,000,000 0 0 0 0 0

104 99 40 2043 248,033 0 0 10,000,000 0 0 0 0 0$6,114,061 ($1,830,279) $0 $0

Grantor Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

RE

PA

YM

EN

T

Grantor Outlays and Benefits(10) (11) (12) (13) (14) (15) (16) (17)

Annual Interest Annual Int. I/T on Annual CumulativeH's W's Annual ATC @ AFR @ AFR and ATC Ann. Int. Insurance Insurance Cash Value Death BenefitAge Age Year Received (a.) Received (b.) Received and ATC Rcvd (c.) Outlay Outlay Recovery Recovery

(Col. 5 * -1) (Col. 9 * AFR) (Col. 10+11) (Col.12*0.00) (Col. 1 Until Repaymt+5 - Repayment)

65 60 1 2004 $1,190 $0 $1,190 $0 $125,310 $125,310 $67,599 $125,31066 61 2 2005 1,475 0 1,475 0 125,025 250,335 171,951 250,33567 62 3 2006 1,755 0 1,755 0 124,745 375,080 281,428 375,08068 63 4 2007 2,175 0 2,175 0 124,325 499,405 396,148 499,40569 64 5 2008 1,781 0 1,781 0 124,719 624,124 516,335 624,124

79 74 15 2018 4,764 0 4,764 0 121,736 1,858,329 2,060,222 2,060,22280 75 16 2019 5,524 0 5,524 0 (5,524) 1,852,805 2,109,072 2,109,07281 76 17 2020 6,598 0 6,598 0 (6,598) 1,846,207 2,145,662 2,145,66282 77 18 2021 7,914 0 7,914 0 (7,914) 1,838,294 2,164,739 2,164,73983 78 19 2022 68,717 0 68,717 0 (68,717) 1,769,577 2,164,577 2,164,57784 79 20 2023 76,304 0 76,304 0 (76,304) 1,693,273 2,133,578 2,133,57885 80 21 2024 85,104 0 85,104 0 (85,104) 1,608,169 2,061,222 2,061,22286 81 22 2025 97,362 0 97,362 0 (97,362) 1,510,807 1,953,558 1,953,55887 82 23 2026 112,163 0 112,163 0 (112,163) 1,398,644 1,794,959 1,794,95988 83 24 2027 126,124 0 126,124 0 121,909 1,520,553 1,826,051 1,826,05189 84 25 2028 142,710 0 142,710 0 105,323 1,625,877 1,807,715 1,807,71590 85 26 2029 162,667 0 162,667 0 85,366 1,711,242 1,730,177 1,730,17791 86 27 2030 184,071 0 184,071 0 63,962 1,775,204 1,601,263 1,775,20492 87 28 2031 208,478 0 208,478 0 39,555 1,814,759 1,394,981 1,814,75993 88 29 2032 236,969 0 236,969 0 11,064 1,825,823 1,142,726 1,825,82394 89 30 2033 270,404 0 270,404 0 (22,371) 1,803,452 825,819 1,803,45295 90 31 2034 0 0 0 0 (1,803,452) 0 0 096 91 32 2035 0 0 0 0 0 0 0 0

104 99 40 2043 0 0 0 0 0 0 0 0$1,830,279 $0 $1,830,279 $0 $0

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

(18) (19) (20) (21) (22) (23) (24) (25) (26) (27)Taxable Lifetime Net Cash

Annual Annual ATC/ Policy Exemption/ Total Repayment Net Cash Surrender Net Ins. DeathInterest Gift Premium Gift Equity Gift Annual Excl. Annual Gifts Annual G/T of Grantor Value After Value After Benefit AfterTo Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust Cost (g.) During Life (h.) GR Recovery GR Recovery GR Recovery(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19 ((Col. 22-21) (Col. 8) + (Col. 14 (Col. 2-16) (Col. 3-16) if > 0 (Col. 4-17)

Col. 1 if Gifted) +20+21) *0.45) In Year of Repayment)$0 $0 $0 $110,000 $110,000 $0 $0 $0 $0 $14,874,6900 0 0 110,000 110,000 0 0 0 0 14,749,6650 0 0 110,000 110,000 0 0 0 0 14,624,9200 0 0 110,000 110,000 0 0 0 0 14,500,5950 0 0 110,000 110,000 0 0 0 0 9,375,876

0 0 0 110,000 110,000 0 0 0 0 7,939,7780 0 0 110,000 110,000 0 0 0 0 7,890,9280 0 0 110,000 110,000 0 0 0 0 7,854,3380 0 0 110,000 110,000 0 0 0 0 7,835,2610 0 0 55,000 55,000 0 0 0 0 7,835,4230 0 0 55,000 55,000 0 0 0 0 7,866,4220 0 0 55,000 55,000 0 0 0 0 7,938,7780 0 0 55,000 55,000 0 0 0 0 8,046,4420 0 0 55,000 55,000 0 0 0 0 8,205,0410 0 0 55,000 55,000 0 0 0 0 8,173,9490 0 0 55,000 55,000 0 0 0 0 8,192,2850 0 0 55,000 55,000 0 0 0 0 8,269,8230 0 0 55,000 55,000 0 0 0 0 8,224,7960 0 0 55,000 55,000 0 0 0 0 8,185,2410 0 0 55,000 55,000 0 0 0 0 8,174,1770 0 0 55,000 55,000 0 0 0 0 8,196,5480 0 0 55,000 55,000 0 (1,803,452) 446,003 446,003 10,000,0000 0 0 55,000 55,000 0 0 13,514 13,514 10,000,000

0 0 0 55,000 55,000 0 0 0 0 10,000,000$0 $0 $0 $3,190,000 $3,190,000 $0 ($1,803,452)

Trust Outlays and Benefits

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

(18) (19) (20) (21) (22) (23) (24) (25) (26) (27)Taxable Lifetime Net Cash

Annual Annual ATC/ Policy Exemption/ Total Repayment Net Cash Surrender Net Ins. DeathInterest Gift Premium Gift Equity Gift Annual Excl. Annual Gifts Annual G/T of Grantor Value After Value After Benefit AfterTo Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust Cost (g.) During Life (h.) GR Recovery GR Recovery GR Recovery(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19 ((Col. 22-21) (Col. 8) + (Col. 14 (Col. 2-16) (Col. 3-16) if > 0 (Col. 4-17)

Col. 1 if Gifted) +20+21) *0.45) In Year of Repayment)$0 $0 $0 $110,000 $110,000 $0 $0 $0 $0 $14,874,6900 0 0 110,000 110,000 0 0 0 0 14,749,6650 0 0 110,000 110,000 0 0 0 0 14,624,9200 0 0 110,000 110,000 0 0 0 0 14,500,5950 0 0 110,000 110,000 0 0 0 0 9,375,876

0 0 0 110,000 110,000 0 0 0 0 7,939,7780 0 0 110,000 110,000 0 0 0 0 7,890,9280 0 0 110,000 110,000 0 0 0 0 7,854,3380 0 0 110,000 110,000 0 0 0 0 7,835,2610 0 0 55,000 55,000 0 0 0 0 7,835,4230 0 0 55,000 55,000 0 0 0 0 7,866,4220 0 0 55,000 55,000 0 0 0 0 7,938,7780 0 0 55,000 55,000 0 0 0 0 8,046,4420 0 0 55,000 55,000 0 0 0 0 8,205,0410 0 0 55,000 55,000 0 0 0 0 8,173,9490 0 0 55,000 55,000 0 0 0 0 8,192,2850 0 0 55,000 55,000 0 0 0 0 8,269,8230 0 0 55,000 55,000 0 0 0 0 8,224,7960 0 0 55,000 55,000 0 0 0 0 8,185,2410 0 0 55,000 55,000 0 0 0 0 8,174,1770 0 0 55,000 55,000 0 0 0 0 8,196,5480 0 0 55,000 55,000 0 (1,803,452) 446,003 446,003 10,000,0000 0 0 55,000 55,000 0 0 13,514 13,514 10,000,000

0 0 0 55,000 55,000 0 0 0 0 10,000,000$0 $0 $0 $3,190,000 $3,190,000 $0 ($1,803,452)

Trust Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

(18) (19) (20) (21) (22) (23) (24) (25) (26) (27)Taxable Lifetime Net Cash

Annual Annual ATC/ Policy Exemption/ Total Repayment Net Cash Surrender Net Ins. DeathInterest Gift Premium Gift Equity Gift Annual Excl. Annual Gifts Annual G/T of Grantor Value After Value After Benefit AfterTo Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust Cost (g.) During Life (h.) GR Recovery GR Recovery GR Recovery(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19 ((Col. 22-21) (Col. 8) + (Col. 14 (Col. 2-16) (Col. 3-16) if > 0 (Col. 4-17)

Col. 1 if Gifted) +20+21) *0.45) In Year of Repayment)$0 $0 $0 $110,000 $110,000 $0 $0 $0 $0 $14,874,6900 0 0 110,000 110,000 0 0 0 0 14,749,6650 0 0 110,000 110,000 0 0 0 0 14,624,9200 0 0 110,000 110,000 0 0 0 0 14,500,5950 0 0 110,000 110,000 0 0 0 0 9,375,876

0 0 0 110,000 110,000 0 0 0 0 7,939,7780 0 0 110,000 110,000 0 0 0 0 7,890,9280 0 0 110,000 110,000 0 0 0 0 7,854,3380 0 0 110,000 110,000 0 0 0 0 7,835,2610 0 0 55,000 55,000 0 0 0 0 7,835,4230 0 0 55,000 55,000 0 0 0 0 7,866,4220 0 0 55,000 55,000 0 0 0 0 7,938,7780 0 0 55,000 55,000 0 0 0 0 8,046,4420 0 0 55,000 55,000 0 0 0 0 8,205,0410 0 0 55,000 55,000 0 0 0 0 8,173,9490 0 0 55,000 55,000 0 0 0 0 8,192,2850 0 0 55,000 55,000 0 0 0 0 8,269,8230 0 0 55,000 55,000 0 0 0 0 8,224,7960 0 0 55,000 55,000 0 0 0 0 8,185,2410 0 0 55,000 55,000 0 0 0 0 8,174,1770 0 0 55,000 55,000 0 0 0 0 8,196,5480 0 0 55,000 55,000 0 (1,803,452) 446,003 446,003 10,000,0000 0 0 55,000 55,000 0 0 13,514 13,514 10,000,000

0 0 0 55,000 55,000 0 0 0 0 10,000,000$0 $0 $0 $3,190,000 $3,190,000 $0 ($1,803,452)

Trust Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

(18) (19) (20) (21) (22) (23) (24) (25) (26) (27)Taxable Lifetime Net Cash

Annual Annual ATC/ Policy Exemption/ Total Repayment Net Cash Surrender Net Ins. DeathInterest Gift Premium Gift Equity Gift Annual Excl. Annual Gifts Annual G/T of Grantor Value After Value After Benefit AfterTo Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust Cost (g.) During Life (h.) GR Recovery GR Recovery GR Recovery(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19 ((Col. 22-21) (Col. 8) + (Col. 14 (Col. 2-16) (Col. 3-16) if > 0 (Col. 4-17)

Col. 1 if Gifted) +20+21) *0.45) In Year of Repayment)$0 $0 $0 $110,000 $110,000 $0 $0 $0 $0 $14,874,6900 0 0 110,000 110,000 0 0 0 0 14,749,6650 0 0 110,000 110,000 0 0 0 0 14,624,9200 0 0 110,000 110,000 0 0 0 0 14,500,5950 0 0 110,000 110,000 0 0 0 0 9,375,876

0 0 0 110,000 110,000 0 0 0 0 7,939,7780 0 0 110,000 110,000 0 0 0 0 7,890,9280 0 0 110,000 110,000 0 0 0 0 7,854,3380 0 0 110,000 110,000 0 0 0 0 7,835,2610 0 0 55,000 55,000 0 0 0 0 7,835,4230 0 0 55,000 55,000 0 0 0 0 7,866,4220 0 0 55,000 55,000 0 0 0 0 7,938,7780 0 0 55,000 55,000 0 0 0 0 8,046,4420 0 0 55,000 55,000 0 0 0 0 8,205,0410 0 0 55,000 55,000 0 0 0 0 8,173,9490 0 0 55,000 55,000 0 0 0 0 8,192,2850 0 0 55,000 55,000 0 0 0 0 8,269,8230 0 0 55,000 55,000 0 0 0 0 8,224,7960 0 0 55,000 55,000 0 0 0 0 8,185,2410 0 0 55,000 55,000 0 0 0 0 8,174,1770 0 0 55,000 55,000 0 0 0 0 8,196,5480 0 0 55,000 55,000 0 (1,803,452) 446,003 446,003 10,000,0000 0 0 55,000 55,000 0 0 13,514 13,514 10,000,000

0 0 0 55,000 55,000 0 0 0 0 10,000,000$0 $0 $0 $3,190,000 $3,190,000 $0 ($1,803,452)

Trust Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

(18) (19) (20) (21) (22) (23) (24) (25) (26) (27)Taxable Lifetime Net Cash

Annual Annual ATC/ Policy Exemption/ Total Repayment Net Cash Surrender Net Ins. DeathInterest Gift Premium Gift Equity Gift Annual Excl. Annual Gifts Annual G/T of Grantor Value After Value After Benefit AfterTo Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust Cost (g.) During Life (h.) GR Recovery GR Recovery GR Recovery(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19 ((Col. 22-21) (Col. 8) + (Col. 14 (Col. 2-16) (Col. 3-16) if > 0 (Col. 4-17)

Col. 1 if Gifted) +20+21) *0.45) In Year of Repayment)$0 $0 $0 $110,000 $110,000 $0 $0 $0 $0 $14,874,6900 0 0 110,000 110,000 0 0 0 0 14,749,6650 0 0 110,000 110,000 0 0 0 0 14,624,9200 0 0 110,000 110,000 0 0 0 0 14,500,5950 0 0 110,000 110,000 0 0 0 0 9,375,876

0 0 0 110,000 110,000 0 0 0 0 7,939,7780 0 0 110,000 110,000 0 0 0 0 7,890,9280 0 0 110,000 110,000 0 0 0 0 7,854,3380 0 0 110,000 110,000 0 0 0 0 7,835,2610 0 0 55,000 55,000 0 0 0 0 7,835,4230 0 0 55,000 55,000 0 0 0 0 7,866,4220 0 0 55,000 55,000 0 0 0 0 7,938,7780 0 0 55,000 55,000 0 0 0 0 8,046,4420 0 0 55,000 55,000 0 0 0 0 8,205,0410 0 0 55,000 55,000 0 0 0 0 8,173,9490 0 0 55,000 55,000 0 0 0 0 8,192,2850 0 0 55,000 55,000 0 0 0 0 8,269,8230 0 0 55,000 55,000 0 0 0 0 8,224,7960 0 0 55,000 55,000 0 0 0 0 8,185,2410 0 0 55,000 55,000 0 0 0 0 8,174,1770 0 0 55,000 55,000 0 0 0 0 8,196,5480 0 0 55,000 55,000 0 (1,803,452) 446,003 446,003 10,000,0000 0 0 55,000 55,000 0 0 13,514 13,514 10,000,000

0 0 0 55,000 55,000 0 0 0 0 10,000,000$0 $0 $0 $3,190,000 $3,190,000 $0 ($1,803,452)

Trust Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Trust Assets Including Side Fund

H's W'sAge Age Year

65 60 1 200466 61 2 200567 62 3 200668 63 4 200769 64 5 2008

79 74 15 201880 75 16 201981 76 17 202082 77 18 202183 78 19 202284 79 20 202385 80 21 202486 81 22 202587 82 23 202688 83 24 202789 84 25 202890 85 26 202991 86 27 203092 87 28 203193 88 29 203294 89 30 203395 90 31 203496 91 32 2035

104 99 40 2043

Trust Assets Including Side Fund(28) (29) (30) (31) (32) (33) (34) (35) (36) (37) (38)

Net A/T Value of Net A/T Value ofSide Fund After Net Annual ATC/ Side Fund After

Total Annual Gifts, Annual Annual Annual Net Value of Repayment Interest/ Total Annual Gifts,Net Ins. Death NetTotal Annual GR Repaymt. & Income I/T on Income Side Fund of Grantor Premium GR Repayment & Benefit After TrustGifts to TrustTrust Pmts. (BOY) on Side Fund Income (c.) After I/T After I/T During Life (h.) Payments Trust Pmts. (EOY)Grantor Recovery Assets(Pg. 3, Col. 22) (Col. 36 in Prior Year (Col. 29 * 0.06) -(Col. 30* (0.00)) (Col. 30+31) (Col. 29+32) (Col. 24) (Col. 12 (Col. 33+34+35) (Pg. 3, Col. 27) (Col. 36+37)

+ Col. 28) + Trust Prem. Pmts.)

$110,000 $110,000 $6,600 $0 $6,600 $116,600 $0 ($1,190) $115,410 $14,874,690 $14,990,100110,000 225,410 13,525 0 13,525 238,935 0 (1,475) 237,460 14,749,665 14,987,125110,000 347,460 20,848 0 20,848 368,307 0 (1,755) 366,552 14,624,920 14,991,472110,000 476,552 28,593 0 28,593 505,145 0 (2,175) 502,970 14,500,595 15,003,565110,000 612,970 36,778 0 36,778 649,749 0 (1,781) 647,967 9,375,876 10,023,844

110,000 2,512,531 150,752 0 150,752 2,663,283 0 (4,764) 2,658,519 7,939,778 10,598,297110,000 2,768,519 166,111 0 166,111 2,934,630 0 (5,524) 2,929,106 7,890,928 10,820,034110,000 3,039,106 182,346 0 182,346 3,221,453 0 (6,598) 3,214,855 7,854,338 11,069,193110,000 3,324,855 199,491 0 199,491 3,524,346 0 (7,914) 3,516,433 7,835,261 11,351,69455,000 3,571,433 214,286 0 214,286 3,785,719 0 (68,717) 3,717,002 7,835,423 11,552,42555,000 3,772,002 226,320 0 226,320 3,998,322 0 (76,304) 3,922,018 7,866,422 11,788,44055,000 3,977,018 238,621 0 238,621 4,215,639 0 (85,104) 4,130,535 7,938,778 12,069,31355,000 4,185,535 251,132 0 251,132 4,436,667 0 (97,362) 4,339,305 8,046,442 12,385,74755,000 4,394,305 263,658 0 263,658 4,657,964 0 (112,163) 4,545,801 8,205,041 12,750,84255,000 4,600,801 276,048 0 276,048 4,876,849 0 (126,124) 4,750,725 8,173,949 12,924,67455,000 4,805,725 288,343 0 288,343 5,094,068 0 (142,710) 4,951,359 8,192,285 13,143,64455,000 5,006,359 300,382 0 300,382 5,306,740 0 (162,667) 5,144,073 8,269,823 13,413,89655,000 5,199,073 311,944 0 311,944 5,511,017 0 (184,071) 5,326,946 8,224,796 13,551,74255,000 5,381,946 322,917 0 322,917 5,704,863 0 (208,478) 5,496,385 8,185,241 13,681,62555,000 5,551,385 333,083 0 333,083 5,884,468 0 (236,969) 5,647,498 8,174,177 13,821,67655,000 5,702,498 342,150 0 342,150 6,044,648 0 (270,404) 5,774,244 8,196,548 13,970,79255,000 5,829,244 349,755 0 349,755 6,178,999 (1,803,452) (248,033) 4,127,514 10,000,000 14,127,51455,000 4,182,514 250,951 0 250,951 4,433,465 0 (248,033) 4,185,432 10,000,000 14,185,432

55,000 4,755,754 285,345 0 285,345 5,041,099 0 (248,033) 4,793,066 10,000,000 14,793,066$3,190,000 $7,717,127 $0 $7,717,127 ($1,803,452) ($4,310,609)

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

LE/AE GIFT PREMIUM GIFT

Policy Information(1) (2) (3) (4)

Policy Policy Cash PolicyAnnual Cash Value Surr. Value Death BenefitPolicy (Net of (Net of (Net of

Premium Policy Loans) Policy Loans) Policy Loans)

$126,500 $67,599 $0 $15,000,000126,500 171,951 0 15,000,000126,500 281,428 0 15,000,000126,500 396,148 102,779 15,000,000126,500 516,335 249,635 10,000,000

126,500 2,060,222 2,060,222 10,000,0000 2,109,072 2,109,072 10,000,0000 2,145,662 2,145,662 10,000,0000 2,164,739 2,164,739 10,000,0000 2,164,577 2,164,577 10,000,0000 2,133,578 2,133,578 10,000,0000 2,061,222 2,061,222 10,000,0000 1,953,558 1,953,558 10,000,0000 1,794,959 1,794,959 10,000,000

248,033 1,826,051 1,826,051 10,000,000248,033 1,807,715 1,807,715 10,000,000248,033 1,730,177 1,730,177 10,000,000248,033 1,601,263 1,601,263 10,000,000248,033 1,394,981 1,394,981 10,000,000248,033 1,142,726 1,142,726 10,000,000248,033 825,819 825,819 10,000,000248,033 446,003 446,003 10,000,000248,033 13,514 13,514 10,000,000

248,033 0 0 10,000,000$6,114,061

(18) (19) (20) (21) (22)Taxable Lifetime

Annual Annual ATC/ Policy Exemption/ TotalH's W's Interest Gift Premium Gift Equity Gift Annual Excl. Annual GiftsAge Age Year To Trust (d.) To Trust (a.) (e.) To Trust (f.) Gift to Trust To Trust

(Col. 12 if Int.)(Annual ATC + Pg. 1, (Col. 18+19Col. 1 if Gifted) +20+21)

65 60 1 2004 $0 $0 $0 $110,000 $110,00066 61 2 2005 0 0 0 110,000 110,00067 62 3 2006 0 0 0 110,000 110,00068 63 4 2007 0 0 0 110,000 110,00069 64 5 2008 0 0 0 110,000 110,000

79 74 15 2018 0 0 0 110,000 110,00080 75 16 2019 0 0 0 110,000 110,00081 76 17 2020 0 0 0 110,000 110,00082 77 18 2021 0 0 0 110,000 110,00083 78 19 2022 0 0 0 55,000 55,00084 79 20 2023 0 0 0 55,000 55,00085 80 21 2024 0 0 0 55,000 55,00086 81 22 2025 0 0 0 55,000 55,00087 82 23 2026 0 0 0 55,000 55,00088 83 24 2027 0 0 0 55,000 55,00089 84 25 2028 0 0 0 55,000 55,00090 85 26 2029 0 0 0 55,000 55,00091 86 27 2030 0 0 0 55,000 55,00092 87 28 2031 0 0 0 55,000 55,00093 88 29 2032 0 0 0 55,000 55,00094 89 30 2033 0 0 0 55,000 55,00095 90 31 2034 0 0 0 55,000 55,00096 91 32 2035 0 0 0 55,000 55,000

104 99 40 2043 0 0 0 55,000 55,000$0 $0 $0 $3,190,000 $3,190,000

Trust Outlays and Benefits

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TOTAL RETURN ON INSURANCE DEATH BENEFIT(1) (2) (3) (4) (5) (6)

Cumulative Outlay Annual Annual Policy A/T ROR onH's W's Prior to Current Policy Repayment Insurance Death Policy DeathAge Age Year Plan Year Premium of Grantor (h.) Outlay Benefit Benefit

(Pg. 1, Col. 1) (Pg. 4, Col. 34)*-1 (Col. 1 + 2 - 3) (Pg. 1, Col. 4)

- 1035 Amount (if any) If Paid From Policy Values

65 60 1 2004 $0 $126,500 $0 $126,500 $15,000,000 11757.71%66 61 2 2005 0 126,500 0 126,500 15,000,000 940.08%67 62 3 2006 0 126,500 0 126,500 15,000,000 353.79%68 63 4 2007 0 126,500 0 126,500 15,000,000 198.99%69 64 5 2008 0 126,500 0 126,500 10,000,000 111.93%

79 74 15 2018 0 126,500 0 126,500 10,000,000 19.03%80 75 16 2019 0 0 0 0 10,000,000 17.29%81 76 17 2020 0 0 0 0 10,000,000 15.82%82 77 18 2021 0 0 0 0 10,000,000 14.56%83 78 19 2022 0 0 0 0 10,000,000 13.48%84 79 20 2023 0 0 0 0 10,000,000 12.53%85 80 21 2024 0 0 0 0 10,000,000 11.71%86 81 22 2025 0 0 0 0 10,000,000 10.98%87 82 23 2026 0 0 0 0 10,000,000 10.33%88 83 24 2027 0 248,033 0 248,033 10,000,000 9.59%89 84 25 2028 0 248,033 0 248,033 10,000,000 8.91%90 85 26 2029 0 248,033 0 248,033 10,000,000 8.28%91 86 27 2030 0 248,033 0 248,033 10,000,000 7.70%92 87 28 2031 0 248,033 0 248,033 10,000,000 7.16%93 88 29 2032 0 248,033 0 248,033 10,000,000 6.65%94 89 30 2033 0 248,033 0 248,033 10,000,000 6.17%95 90 31 2034 0 248,033 0 248,033 10,000,000 5.73%96 91 32 2035 0 248,033 0 248,033 10,000,000 5.31%

104 99 40 2043 0 248,033 0 248,033 10,000,000 2.70%$0 $6,114,061 $0 $6,114,061

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TOTAL ROR

TOTAL RETURN ON INSURANCE DEATH BENEFIT(1) (2) (3) (4) (5) (6)

Cumulative Outlay Annual Annual Policy A/T ROR onH's W's Prior to Current Policy Repayment Insurance Death Policy DeathAge Age Year Plan Year Premium of Grantor (h.) Outlay Benefit Benefit

(Pg. 1, Col. 1) (Pg. 4, Col. 31)*-1 (Col. 1 + 2 - 3) (Pg. 1, Col. 4)

- 1035 Amount (if any) If Paid From Policy Values

65 60 1 2004 $0 $126,500 $0 $126,500 $15,000,000 11757.71%66 61 2 2005 0 126,500 0 126,500 15,000,000 940.08%67 62 3 2006 0 126,500 0 126,500 15,000,000 353.79%68 63 4 2007 0 126,500 0 126,500 15,000,000 198.99%69 64 5 2008 0 126,500 0 126,500 10,000,000 111.93%

79 74 15 2018 0 126,500 0 126,500 10,000,000 19.03%80 75 16 2019 0 0 0 0 10,000,000 17.29%81 76 17 2020 0 0 0 0 10,000,000 15.82%82 77 18 2021 0 0 0 0 10,000,000 14.56%83 78 19 2022 0 0 0 0 10,000,000 13.48%84 79 20 2023 0 0 0 0 10,000,000 12.53%85 80 21 2024 0 0 0 0 10,000,000 11.71%86 81 22 2025 0 0 0 0 10,000,000 10.98%87 82 23 2026 0 0 0 0 10,000,000 10.33%88 83 24 2027 0 248,033 0 248,033 10,000,000 9.59%89 84 25 2028 0 248,033 0 248,033 10,000,000 8.91%90 85 26 2029 0 248,033 0 248,033 10,000,000 8.28%91 86 27 2030 0 248,033 0 248,033 10,000,000 7.70%92 87 28 2031 0 248,033 0 248,033 10,000,000 7.16%93 88 29 2032 0 248,033 0 248,033 10,000,000 6.65%94 89 30 2033 0 248,033 0 248,033 10,000,000 6.17%95 90 31 2034 0 248,033 0 248,033 10,000,000 5.73%96 91 32 2035 0 248,033 0 248,033 10,000,000 5.31%

104 99 40 2043 0 248,033 0 248,033 10,000,000 2.70%$0 $6,114,061 $0 $6,114,061

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

TR

UST

A/T

RO

R

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

TR

UST

B/T

RO

R

Projected Jt. L.E.

TRUST-ONLY RETURN ON NET TRUST ASSETS AT DEATH(1) (2) (3) (4) (5) (6) (7) (8)

Cumulative Cumulative EquivalentGifts to Trust Gift Tax Cost Net A/T ROR on B/T ROR on

H's W's Prior to Total Annual Prior to Annual Total Trust Net Trust Net TrustAge Age Year Current Plan Year Gifts to Trust Current Plan Year G/T Cost Outlay Assets Assets Assets (a.)

(Pg. 3, Col. 22) (Pg. 3, Col. 23) (Col. 1+2+3+4) (Page 4, Col. 38)

65 60 1 2004 $0 $110,000 $0 $0 $110,000 $14,990,100 13527.36% 40992.01%66 61 2 2005 0 110,000 0 0 110,000 14,987,125 1018.32% 3085.81%67 62 3 2006 0 110,000 0 0 110,000 14,991,472 377.29% 1143.32%68 63 4 2007 0 110,000 0 0 110,000 15,003,565 210.99% 639.36%69 64 5 2008 0 110,000 0 0 110,000 10,023,844 119.15% 361.05%

79 74 15 2018 0 110,000 0 0 110,000 10,598,297 21.18% 64.18%80 75 16 2019 0 110,000 0 0 110,000 10,820,034 19.35% 58.63%81 76 17 2020 0 110,000 0 0 110,000 11,069,193 17.80% 53.95%82 77 18 2021 0 110,000 0 0 110,000 11,351,694 16.49% 49.98%83 78 19 2022 0 55,000 0 0 55,000 11,552,425 15.33% 46.47%84 79 20 2023 0 55,000 0 0 55,000 11,788,440 14.34% 43.47%85 80 21 2024 0 55,000 0 0 55,000 12,069,313 13.50% 40.90%86 81 22 2025 0 55,000 0 0 55,000 12,385,747 12.76% 38.68%87 82 23 2026 0 55,000 0 0 55,000 12,750,842 12.13% 36.77%88 83 24 2027 0 55,000 0 0 55,000 12,924,674 11.47% 34.76%89 84 25 2028 0 55,000 0 0 55,000 13,143,644 10.90% 33.02%90 85 26 2029 0 55,000 0 0 55,000 13,413,896 10.40% 31.50%91 86 27 2030 0 55,000 0 0 55,000 13,551,742 9.89% 29.96%92 87 28 2031 0 55,000 0 0 55,000 13,681,625 9.42% 28.55%93 88 29 2032 0 55,000 0 0 55,000 13,821,676 9.00% 27.26%94 89 30 2033 0 55,000 0 0 55,000 13,970,792 8.61% 26.09%95 90 31 2034 0 55,000 0 0 55,000 14,127,514 8.26% 25.02%96 91 32 2035 0 55,000 0 0 55,000 14,185,432 7.90% 23.94%

104 99 40 2043 0 55,000 0 0 55,000 14,793,066 5.83% 17.67%$0 $3,190,000 $0 $0 $3,190,000

NPV @5.00% a/t: $1,666,011 $0 $1,666,011

PRIVATE SIDE FUND SPLIT-DOLLAR SOLUTION™ MODEL USING SURVIVORSHIP LIFE INSURANCE

Insureds: Mort & Mollie Berg, XYZ Insurance Company Policy #0123456- THIS IS A SAMPLE CASE TO BE USED FOR EDUCATIONAL PURPOSES ONLY -

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

70.00%

Year 15 Year 26 (Proj. J t.L.E.)

Year 40

Trust A/TRO R

Trust Equiv.B/T RO R

21.18%

64.18%

10.40%

31.50%

5.83%

17.67%

THE END