Welcome to the Professional

1
Welcome to the Professionals Approach to
Rollover Concepts

• Presented by
• LFM Fixed Strategies Insurance Services
• Florian Spinello
• Lauren Carrasco Sarah Niss

This material is intended to provide general
education and is not intended to provide legal or
tax advice. It is recommended that decisions be
made only after consultation with qualified
financial, tax and legal professionals about your
specific financial situation.
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Who Is LFM Fixed Strategies?

• LFM is a National Marketing Organization for
  Fixed Indexed Annuities and Life Insurance
  Products
• Created by Experienced Producing Registered
  Representatives / Agents
• Committed to Helping Financial Professionals
  Address the Growing Demand for Retirement
  Planning and Income Strategies

FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.
3
Why LFM Fixed Strategies?

• Experience We have a team of experienced
  consultants and seasoned producers to give you
  the guidance and expertise in your business
• Innovation We offer innovative sales strategies
  and unique business opportunities to take you to
  the next level with your practice
• Dedication Our support staff is ready to help
  you submit, track and get you paid on your
  business, in addition to providing a sales team
  who is familiar with your company philosophy

FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.
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What Carriers does LFM Represent?
FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.
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OppenheimerFunds
Rollover IRA
How to Shape Your Financial Future
When You Retire or Change Jobs
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The Decision Takes a Minute, the Results Last a
Lifetime

• Retirement what to expect
• Knowing your plan options
• Special considerations
• Take action to control your future

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Retirement What to Expect

• Retirement lasts a long time
• How much youll need
• Inflation
• Where will the money come from?

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Retirement Lasts a Long Time
Life Expectancy
People spend more years in retirement today
Source of chart data National Center for Health
Statistics, National Vital Statistics Report,
1999.
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How Much Youll Need
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Inflation
A 40,000 per year standard of living at an
annual inflation rate of 3
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Where Will You Get the Money?

• Pension?
• Social Security?
• Part-time Work?
• Retirement Savings?

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Defined Contribution Plans
Page 5-3

• There are many types of defined contribution
  plans. Examples include 401(k), 403(b), SEP-IRA,
  SIMPLE and others. These plans share the
  following characteristics
• Employer-sponsored, qualified retirement plans
• Tax-deferred retirement savings vehicles
• Provide an individual account for each
  participant
• The employee or the employer (or both) may
  contribute to the employees account
• Participants are often responsible for investment
  selections
• Benefits based upon contributions plus or minus
  income, expenses, gains or losses
• Participants have choices when taking money out
  of plans

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Defined Contribution Plans
Page 5-3

• CHANGING JOBS? DO THE RIGHT THING.
• Nearly half of the people changing jobs take
  their retirement account in cash, pay tax
  penalties and lose potential tax-deferred growth.

Retirement distributions to job changers
Taken in cash Kept savings in currentemployers
401(k) plan Rolled over into qualified IRA or
other retirement plan
45
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Source Hewitt Associates, Hewitt Data Shows
U.S. Employees Cash Out of 401k Plans When
Changing Jobs, July 25, 2005. Data from 2004.
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1. Take the Cash

• Advantages
• You get the money right away
• Disadvantages
• Youll pay a very high price

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1. Take the Cash

• Youll pay a very high price

10,000 initial distribution 2,800 federal
income tax 500 state income tax
1,000 penalty tax
5,700 could be all you see of your original
10,000.1
1. Hypothetical example assumes a 28 federal tax
rate, a 5 state tax rate and a 10 early
withdrawal penalty if under age 59 ½. Your tax
rates may be higher or lower.
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1. Take the Cash

• Youll pay a very high price

1. Hypothetical example assumes a 28 federal tax
rate, a 5 state tax rate, a 10 early withdrawal
penalty if under age 59 ½ and a 9 fixed rate of
return. Example is not intended to reflect the
performance of any Oppenheimer fund. Your tax
rates and rate of return may be higher or lower.
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Additional Tools to Assist in Closing Business

• Detailed financial profile
• Prospective client illustrations
• Agent product packet

FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.
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LICENSING!

• 52 Hour Class Paperwork
• Sal Magturo sal.magturo_at_gmail.com
• Regional Sales Manager
• Lauren Carrasco lcarrasco_at_lfmemail.com

FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.
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Lets do some Business!

                                                                                             

• Thank You!
• 866-432-1536

FOR PRODUCER USE ONLY. NOT FOR USE WITH THE
PUBLIC.