1. GDOTsGrantor Deemed Owned Trusts SCOTT HAMILTON, CEOINKNOWVISION, LLCWWW.INKNOWVISION.COM 630-596-5090 X80Copyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11

2. Agenda Putting GDOTs to work Working with InKnowVisionCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 3. Putting The Tools To WorkGST PlanningFamily BankIncome Tax Neutral Divorce ProtectionIncentive ProvisionsSpecial Needs Planning Charitable Flexibility Funding Other Trusts Business TransferAsset Protection Supercharge Life InsuranceCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 4. Basic GDOT Structure Sale Grantor$20M Assets Loan GDOT BeneficiariesCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 5. Dynasty GDOT Planning $5M Limit to GST Exemption and appreciation Use it if possible with gifts to Dynasty GDOTs GDOT allows unlimited appreciation Sell $20m assets growing at net 5% (after loan interest) Remove $1m per year, compounded, out of estate and GST tax Over 10 years $12.5m out of estate tax and gst tax forever(assumes 5% return) GDOT allows tax free growth-no tax burnCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 6. Dynasty GDOT-No Gifting Sale $20M Assets Grantor Loan Net Growth-5%Over 10 years $12.5m out of estateDynasty GDOTtax and GST tax forever ChildrenGrandchildrenFuture GenerationsCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 7. Family BankCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 8. Family Bank No need to dump large inheritance on kids Encourage responsible behavior Can be used very creatively Keep family capital together and growing foreverCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 9. Family Bank BeneficiaryFamily Bank LoanBusinessHouses Beneficiary buys Education assets CharitableCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 10. Family Bank Asset protection for assets collateralized by loansCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 11. Family Bank-Asset Protection Beneficiary Family BankLoan Assets pledged as Beneficiary buyscollateral for loan assetsBeneficiarysNet Worth?$0Copyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 12. Family Bank Good source of credit friendly loan officer Good terms Fixed rates No demand provisions No excessive collateral (unless beneficial) No feeling like a proctology examCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 13. Supercharge Life Insurance Purchase LI in GDOT Purchase LI in ILIT-funded by GDOT Pay premiums from cash flow Pay premiums from principal Tie in with premium financeCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 14. Life Insurance in GDOT Grantor LLC /CORPS Election GDOTDistributions from LLCOwns Life Insurancecan fund life insuranceChildren GrandchildrenOther Loved OnesCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 15. Life Insurance in ILIT GrantorLLC /CORP S ElectionDistributions from GDOT GDOTcan fund ILITOwns Life Insurance Other BeneficiariesILITCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 16. GDOT Provisions in QPRT Post QPRT term-keep assets in QPRT/GDOT Rent is income tax freeCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 17. Post QPRT Term Grantor QPRT/GDOTRentRent payments are income tax free Other BeneficiariesILITCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 18. Business Transfer/Succession Use separate shares to direct business to one or more specific beneficiaries Equalize in trust with other assets or life insuranceCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 19. Business Succession/Equalization Grantor GDOT Business and Other AssetsUse business income to fund life insurance Other assets and/or Business to kids in life insurance used the businessto equalizeCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 20. Asset Protection To extent permitted by state law Asset protection for beneficiaries Divorce Property division protection But maybe not alimony protectionCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 21. Working With InKnowVisionCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 22. Back Office Model Fee only planning service - $18k Data review Cash flow Balance sheet Document review Tax return review Plan preparation and deliveryCopyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 23. High Touch - Concierge Model Qualified Client $20M or more in net worth Open and interested in comprehensive planning Service Fit meeting 4-6 meetings Plan Development and Delivery Compensation Planning Fee - $50k-100k Fee splits Insurance commissions shared (if allowed)Copyright 2011, InKnowVision, LLC and Scott Hamilton 8/23/11 24. Concierge Service-Advantages Takes the load off you and your firm Allows you to concentrate on core business You stay in the key relationship role The client is yours Puts you on the same side of the table as the client Much higher success rate on implementationCopyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11 25. Our Goal Support you Help your clients succeed InKnowVision.com 630-596-5090Copyright 2011, InKnowVision, LLC and Scott Hamilton8/23/11