COMPENSATIONHow to MaximizeYour Income

6 Six Ways toEarn Money with Neways’ Generous Compensation Plan

Unmatched Income Potential

2

With today’s fast-changing economy, people increasingly seek the freedom of being their own boss as well as the security of multiple income sources. Hundreds of thousands of people are now pursuing full-time careers through the Neways business opportunity, and many more are supplementing their family incomes.

Neways’ compensation plan is extremely fair and lucrative for everyone. This plan pays more than 50 percent of commissionable volume back to our members, with a balanced approach of building wide and deep for both long-term success and short-term incentives and rewards. In addition, Neways pays commissions on the full purchase value of most products.

Neways offers you six ways for earning money. This brochure describes these six ways of earning money and demonstrates why Neways provides the fairest and most generous compensation plan in the industry. If you’re unfamiliar with any of the terminology in the following descriptions, please refer to the glossary at the end of the brochure.

Contents 1: Fast Cash Reward (paid weekly) ................................................................................4 2: Multiplex Unilevel Bonus (paid monthly) ..................................................................5 3: Affinity Group Development Bonus (paid monthly) ..................................................7 4: Executive Leadership Bonus (paid monthly) ..............................................................8 5: Car/Home Office Bonus (paid monthly) ...................................................................9 6: Retail (paid instantly) ............................................................................................. 10 Glossary of Terms ....................................................................................................... 11

Get More with 150 PV Direct Ship

3

Far more than just a simple convenience, our Direct Ship (DS) program is key to getting the most out of the Neways compensation plan. With DS, you set up a monthly standing order for your favorite products, which Neways then automatically ships you each month. You can add or delete products from your DS order at any time, and you can receive benefits such as reduced or free shipping.

In terms of the compensation plan, Neways recommends that distributors enroll for Direct

Ship with products that equal or exceed 150 Personal Volume each month. Meeting this monthly benchmark allows you to receive the plan’s maximum payouts, including higher commissions and extra bonuses, as explained in this brochure.

Additional Advantages of 150 PV Direct

Ship—The advantages of 150 PV Direct

Ship are numerous and compelling:

Membership fee waived—When a new member joins Neways with a 150 Personal Volume Direct Ship order, the membership fee is waived.

Free product—When a new member sets up 150 PV Direct Ship in his or her first month with Neways, he or she receives an additional free product from Neways.

Shipping discounts—Save from 50–100 percent on your Direct Ship shipping

costs when you maintain your 150 PV DS for two or more consecutive months. The longer you keep your Direct Ship, the more you save on shipping!

Monthly conference calls—We invite all 150 PV DS participants to join us for an exclusive monthly conference call, during which we discuss product news and success-enhancing techniques.

Special promotions and incentives—To reward our 150 PV DS participants, Neways regularly offers exclusive promotions and incentives, including monthly drawings for prizes.

Maximizing the compensation plan—With 150 PV DS, you can qualify each month for the highest-possible percentag-es of rebates, commissions, and bonuses. For example, you’ll receive $50 produc-tivity bonus for every new member you enroll on 150 PV DS.

Ready to get started? To set up your 150 PV Direct Ship, you can order one of our discounted 150 PV packs or choose your own assortment of products that add up to 150 PV or more. When you’re ready to set up your DS order, call Neways at 1-800-998-7232 or go to www.neways.com/usa.

➜ GetStarted Now

Achieve Maximum Payoutwith 150 PV Direct Ship

1 $50 Fast Cash Reward

4

As the name implies, the Fast Cash Reward is a fast way to start earning commissions! To earn this 50-percent Multiplex commission, you must participate in the 150 Personal Vol-

ume (PV) Direct Ship program. Each time you enroll a new member who places a 150 PV Direct Ship in the same month they join Neways, you can earn a $50.00 Fast Cash Reward!

Weekly Payout: This generous commission is paid weekly when you apply to have your commissions directly deposited into your checking or savings account. If you’re not enrolled in the direct deposit program, the Fast Cash Reward will be paid on the 10th of each month as part of your Multiplex commission check.

Enroller vs. Sponsor: Another wonderful benefit is that the Fast Cash Reward is paid to the enroller, not the sponsor. This allows the enroller the flexibility to place the new member under an existing group member, who then becomes the new member’s sponsor. Doing this allows you, as the enroller, to build depth within your business, and yet you are still the one who receives the $50 Fast Cash Reward for the new members you enroll.

➜ QuickCompensation

2 Multiplex Profit Center

5

Multiplex allows you to immediately begin earning commissions on the first 100 PV of the purchases of your downline members, up to seven levels deep and beyond. Multiplex allows all distributors to start earning commissions no matter how long they’ve been with Neways. The greater your Personal Volume, the greater your commission!

Multiplex checks are paid on the 10th of every month. There are three types of payments: level bonuses, unlimited bonuses, and profit-sharing bonuses. To qualify for a Multiplex check for a particular month, a member must

purchase a minimum of 50 PV during that month. The first 100 PV purchased by every distributor is paid through the Multiplex Profit Center (PV over 100 goes into the Affinity Profit Center, detailed in the next section).

When you personally sponsor someone into your Neways team, this creates a leg to your business. People you personally sponsor are referred to as your first level. When a person on your first level sponsors someone onto his or her team,

the new person becomes part of the same leg but creates a new second level. These people all become part of what is called your downline team or organization.

➜ Your Neways incomegives you time and freedom to enjoy life’s simplest and grandest things.

2 Multiplex Profit Center (Continued)

6

Level Bonus: Your Personal Volume (PV) determines the percent of commis-sion you earn and on how many levels of your downline team. As shown on the accompanying chart, if you purchase a 50 PV order, you will receive five percent of the Multiplex volume down five levels of your downline team. If you purchase a 100 PV order, you will receive eight per-cent down five levels of your downline team. Setting up a 150 PV Direct Ship order increases your payout even more.

Dynamic Compression: The compression feature of the Neways compensation plan allows members to earn the highest commissions possible. If a person in your downline purchases less than 50 PV in a month, their volume will be added to the volume of the next person below them who purchases 50 PV. This group of downline members is considered as only one pay level.

Unlimited Bonus: Neways offers an unlimited bonus of 2–5 percent for those who are on 150 PV Direct Ship and have at least four legs that each include at least one member who is on a minimum of at least 100 PV Direct Ship. The term unlimited means no limit on levels; you receive this bonus on all your downline distributors, as deep as your organization goes. As other members in your downline qualify for the unlimited bonus on their own downline, you share that portion of the unlimited bonus with them through full sharing or partial sharing.

Profit-Sharing Bonus: When you grow your business to include twelve Direct Ship legs, you start receiving a Multiplex profit-sharing bonus of 0.25 percent through four generations of downline members who also have 12 Direct Ship legs.

Dynamic Compression

YOU

A

B

C

D

YOU100 PV

BNO PV

Level 1

Actual Level Paid Level

Level 2Level 4

Level 3

Level 2

Level 1

D50 PV

C50 PV

A25 PV

MinimumMonthly PV

Qualified Legs

Com

miss

ions P

er Le

vel

Level 1

Level 2

Level 3

Level 4

Level 5

Level 6

Level 7

5%

5%

5%

5%

5%

8%

8%

8%

8%

8%

10%

10%

10%

10%

10%

10%

10%

10%

10%

5%

5%

10% +

10% +

10% +

10% +

5% +

5% +

5% +

10% +

10% +

10% +

10% +

5% +

5% +

5% +

10% +

10% +

10% +

5% +

5% +

2%*

2%*

2%*

2%*

2%*

2%*

2%*

4%*

4%*

4%*

4%*

4%*

4%*

4%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

.25%*

50 100 100Direct Ship

150Direct Ship

150Direct Ship

150Direct Ship

150Direct Ship

With 4-6 legs$100+ (DS)

With 7-11 legs$100+ (DS)

With 12+ legs$100+ (DS)

Prof

it -S

harin

g Bon

us

Multiplex Profit Center

3 Group Development & Personal Rebates

7

As you advance in rank, you become eligible for additional lucrative sources of income through the Affinity Profit Center, including personal rebates and group development bonuses. Affinity bonuses are paid on all monthly volume over 100 PV for each individual, with checks going out on the 25th of each month. Affinity is where the real money is!

A personal rebate is a commission you earn back on your own Affinity volume, with the percentage you earn based upon your rank. Group development bonuses are commissions you earn on your Personal

Group Volume (PGV) and depend on your rank. To qualify for an Affinity check, you need to be on 150 PV Direct Ship or purchase 200 PV during the month.

In addition, volume generated by your Preferred Customers counts as Affinity

volume. The percent you earn on your Preferred Customer’s volume is based upon your personal rebate percent.

Advancing through the Neways Ranks: As you progress through the Neways rank advancement program, you qualify for larger commission percentages. For exam-ple, as an Executive you would earn a 25% Personal Rebate, 10% on your Manager groups, 15% on your Supervisor groups, and 25% on your Consultant groups.

Qualifying and Effective Months: Once you meet the qualifications for rank advancement, your payout becomes effective the following month. For example, if you achieve the rank of Supervisor in June (the qualifying

month), your personal rebates and group development bonuses would become effective for volume purchased in July (the effective month).

80/20 Rule: No more than 80 percent of the volume for rank advancement can come

from one leg unless 100 percent of the vol-ume required for advancement is personally purchased. This rule helps ensure that ad-vancing distributors have adequate volume in their teams to support their continued qualification in future months.

Faster Rank Advancement: Neways offers accelerated rank-advancement programs for those who want to jumpstart their business. For more information, ask your upline sponsor about Neways Solid Start programs.

Affinity Profit Center

➜ Open new doors for your family with

additional income from Neways

10% ManagerGroups

15% SupervisorGroups

25% ConsultantGroups

Become Manager by accumulating 3000 PGV.*(Must have 100 PV in qualifying month)

All members start off as Consultant 0% Personal

Manager

Consultant

15%Personal

5% SupervisorGroups

15% ConsultantGroups

10% ConsultantGroups

Executive Become Executive by accumulating 6000 PGV or 4000 PGV in two consecutive months.* (Must have 1000 PGV and 100 PV in qualifying month)

*See 80/20 rule.

25%Personal

Become Supervisor by accumulating 1000 PGV.*(Must have 100 PV in qualifying month)Supervisor 10%

Personal

8

Executive Leadership Bonuses are the second part of the Affinity Profit Center. As members of your downline team rank-advance to Executive, they create their own Executive groups and are no longer part of your personal group. Instead of earning commissions on your Executive groups through the group development section of the plan, you receive Executive Leadership Bonuses on your Executives and their downline teams. To be eligible for Affinity Leadership Bonuses, you must be qualified as an Executive in one of the following ways:

• 150PV Direct Ship, 1,000 PGV, and 500 Affinity PGV volume • 200PV, 1,000 PGV, and 1,000 Affinity PGV volume

As a qualified Executive, you can earn 5 percent down three levels of your downline qualified Executive groups.

Exec

utiv

e Le

ader

ship

Bon

us Level 1

Level 2

Level 3

Level 4

Level 5

5%

5%

5%

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

1000

Affinity PGV

Rank

Legs

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

5%+

3%*

3%*

3%*

3%*

4%*

4%*

4%*

4%*

4%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

5%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

7%*

.5%*

Affin

ity P

rofit

-Sha

ring B

onusAffinity Unlimited Bonus

PV 150 Direct Ship

1000 1000 1000 500 250 250

500 500 500 500 250 0 0

ExecutiveSenior

ExecutiveMaster

ExecutivePresidential

Executive AmbassadorDiamond

AmbassadorSr. DiamondAmbassador

3 qualified executive legs

4 qualified executive legs

5 qualified executive legs

7 qualified executive legs

9+ qualified executive legs

9+ qual. Executive3+ qual. Diamond

Qual

ific

atio

ns

Personal Group Volume

4 Executive Leadership BonusesAffinity Profit Center

Executive Groups: For Executive Leader-ship Bonuses, each level is occupied by a qualifying Executive group. Each Execu-tive group has one Executive who heads the group, which can include one or many Managers, Supervisors and Consultants.

Dynamic Compression: Executive Leader-ship Bonuses feature dynamic compres-

sion to maximize your payouts. If an Executive is not qualified, he or she will not count as a pay level, and his or her Executive group volume will be added or compressed with the next qualified Execu-tive group to create a level. This provides maximum payout to you.

Executive Legs and Rank Advancement: As your team develops Executive legs, you are eligible to rank-advance beyond Execu-tive and receive higher Affinity bonuses, up through the Senior Diamond Ambassador rank. An Executive leg is a leg contain-

ing an Executive who has met the monthly Executive leadership bonus requirements. For example, as a Diamond Ambassador you would have nine Executive legs.

Affinity Unlimited Bonus: As you progress in rank from Senior Executive and beyond you can begin earning an Affinity Unlim-ited Bonus of three to seven percent. As your Executive legs advance and qualify for Affinity Unlimited Bonuses you begin to

share the unlimited bonuses with them.

Affinity Profit Sharing Bonus: Members who qualify as Senior Diamond Ambassador are eligible to receive the Affinity Profit-Sharing Bonus, which is a .5% profit-sharing bonus on all downline Affinity volume down to and including the Affinity PGV of the fourth downline Senior Diamond Ambassador.

➜ With residual income, Neways can play a

significant role in your retirement

5 Car & Home Office Bonus

9

You can earn up to an additional $1,000 a month with Neways’ Car and Home Office Bonus, which pays for your new car or your home office furnishings and equipment. To qualify for this bonus, become a Senior Executive or higher in rank, with your monthly commission checks at $2,000 or more for three consecutive months. When you qualify for this bonus, you will earn an additional 15 percent of your monthly Neways earnings, up to the amount of your car payment, home-office expense, or $1,000, whichever is less. Each month you meet these qualifications, this additional bonus will be added to your Affinity commission check, which is issued on the 25th of each month.

➜ Earn up to an additional$1,000 a month

A fast way to make money with Neways is to buy products at the member price, sell them for more (Neways suggests a retail price for each product), and make a retail profit. If you sell at Neways’ suggested retail price, this profit is 30 percent. In addition to providing an excellent source of income, the volume from retail sales counts toward your Personal Volume.

Home Presentations: Retailing works very well in home settings, and Neways offers multiple incentives for conducting home presentations. For more details, log in at neways.com/usa.

Web Retailing: In addition, retail works well when selling products via a website. As a Neways member, you can create your own free personalized iNeways website with retail pricing. It’s simple to direct people to your site, where they

can place orders online. They will receive their product directly from Neways, and you get a retail commission plus the volume, which counts toward your Personal Group Volume.

Every time someone places a retail order on your account through iNeways or by calling Neways, we will issue you a retail commission check for the difference between the member and retail prices. Retail checks are processed and mailed the first of each week.

6 Retailing

10

Terms You Need to Know

11

80/20 Rule: No more than 80 percent of the volume for rank advancement can come from one leg unless 100 percent of the volume required for advancement is personally purchased. This rule helps ensure that advancing distributors have adequate volume in their teams to support their continued qualification in future months.

Affinity Profit Center: This part of the compensation plan pays on all volume over the first 100 PV of each downline member.

Breakaway: When a member of your team rank-advances to Executive, this distributor and his or her personal group move from your personal group to create their own Executive group. When this happens, they are still part of your organization, just not your personal group.

Compression: If a member in your downline or a group does not meet certain qualifications, their volume will be added or compressed down to the next member or group who does meet the qualifications. When this happens, the compressed levels become one pay level, maximizing your payouts.

Diamond Ambassador Leg: The name for a leg when a member in the leg qualifies as a Diamond Ambassador.

Direct Ship Leg: The name for a leg when a member in the leg is on at least a 100 PV Direct Ship.

Direct Ship: Members can set up a standing order for convenient monthly shipment of products, processed and shipped at the same time each month. Members are free to select the products of their choice. Participation in the Direct Ship program maximizes payouts. Members who participate on 150 PV Direct Ship receive numerous benefits, such as discounted and even free shipping.

Effective Month: Following the qualifying

month, this is the month in which a new rank advancement takes effect and is recognized when calculating commissions.

Enroller: The term for the person who brought you into Neways. The enroller may or may not be the same person who sponsors you into Neways.

Executive Leg: The name for a leg when a member in the leg meets the qualification to be considered a qualified Executive.

Full Sharing: This occurs when you qualify for an unlimited bonus and a team member below you qualifies for an unlimited bonus percent equal to or greater than your percent. For example, if you qualify for a four-percent unlimited bonus and your downline member qualifies for a four-percent unlimited bonus, you will now fully share your four-percent unlimited bonus on the other distributor’s downline members. This means you will no longer receive a four-percent unlimited bonus on the other distributor’s downline members, and the other distributor will receive a four-percent unlimited bonus on his or her own downline members.

Leg: Each time you personally sponsor a team member, you create a leg to your downline. The terms wide or width are often used when referring to legs.

Terms You Need to Know (Continued)

12

Level (Actual): Members you personally sponsor are considered your first level. When a member on your first level sponsors someone onto his or her own first level, the new person becomes part of the same leg but becomes your second level, and so on. The terms deep or depth are often used when referring to levels.

Multiplex Profit Center: This part of the compensation plan pays on the first 100 PV of downline members.

Organizational Volume: This is the combined personal volume of your voume and the volume of all your downline members.

Paid Level: These levels are created when the volume from actual levels are added together or compressed. (See entry for compression.)

Partial Sharing: This occurs when you qualify for an unlimited bonus and a team member below you qualifies for a smaller unlimited bonus percent. For example, if you qualify for a five-percent unlimited bonus and your downline member qualifies for a two-percent unlimited bonus, you would then receive a three-percent unlimited bonus on members in the other distributor’s downline and the other distributor would receive a two-percent unlimited bonus on his or her own downline members.

Personal Group Volume (PGV): This is the volume of the products you personally order combined with the volume purchased by Consultants, Supervisors, and Managers in your downline. Executives and their groups are exluded from your PGV.

Personal Group: Your personal group includes Consultants, Supervisors, and Managers in your downline and excludes any Executives and their downline members.

Personal Volume (PV): This is the commissionable volume of the products you personally order.

Preferred Customer: Preferred

Customers may purchase product for personal use only and may not sponsor, resale product, or earn commissions. Preferred Customers pay member pricing and the volume from their purchases are paid as part of their sponsor’s volume.

Qualifying Month: The month in which a member accumulates the required volume to rank-advance. When rank-advancing to Supervisor or Manager, the member must have at least 100 PV in the qualifying

month. When rank-advancing to Executive, the member must have 100 PV and 1,000 PGV in the qualifying month.

Sharing: If you qualify for an unlimited bonus and a member in your downline qualifies for an unlimited bonus, you will fully share or partially share that bonus. (See entries for full sharing and partial

sharing.)

Sponsor: A sponsor is the person you are signed up under and who is directly above or upline to you in your organization. You are part of your sponsor’s first level.