JJournaLournaLTHE MAGAZINE OF NAIFA – PALM BEACHES AND THE SOCIETY OF FINANCIAL

SERVICE PROFESSIONALS, PALM BEACH COUNTY CHAPTER SEPTEMBER 2008

THE PALM BEACH

SEPTEMBER 2008

Joint Kickoff MeetingTwo-Hour C.E. Event

Thursday, September 18, 2008Crowne Plaza – Pallazzo Rm, 1601 Belvedere Rd., West Palm Beach ~ 7:15 a.m.

ESTATE PLANNING WITH LIFE INSURANCE:

Like a “Whole” in OneSpecial C.E. Presentation by Robert E. Burton, CLU, ChFC, AEP, LLB

Director of Advanced Planning, Provada Insurance Services

2 HRS. C.E. / INTERMEDIATE LEVEL / INSURANCE, CFP®, CPE

COMPLETE DETAILS INSIDEVISIT OUR WEBSITES FOR THE LATEST NEWS AND MEETING INFORMATION: WWW.PBAIFA.ORG / WWW.PBSFSP.ORG

Three easy ways to register:

Online: TheAmericanCollege.edu/Resultsor

naifa.org/benefits/education/professional.cfm

Phone: 888-263-7265

Results you can spendA recent company study found agents boosting their incomes by an average of 31 to 54% while taking LUTCF courses—and up to 80% after earning a designation.

LUTCF and FSS courses are:

• Practical. Supplement knowledge with experience. • Essential. Get the basics of prospecting, meeting client needs, business insurance, estate planning, and more.

For new financial planning and insurance professionals and support staff:• Helps get your career off to a fast and productive start.

• Fine-tunes your marketing and prospecting skills.

• Improves the quality of service from sales support professionals.

For experienced professionals:• Sharpens your sales skills.

• Enhances your technical product knowledge.

• Increases your understanding of planning and insurance applications.

“The LUTCF is a great tool, especially for people starting out in this business. The best

experience for new advisors is to get out there and be exposed to different types of situations.

The practical experience assignments do just that. And sales techniques are learned that will

be used throughout your career.”Susan D. Wier, CFP®, LUTCF, ChFC®

Executive Vice President First American Trust

Take advantage of the strategic partnership between The American College and the National Association of Insurance and Financial Advisors (NAIFA) to earn these valuable credentials.

LUTCF Track (Insurance Fundamentals)

Your LUTCF and FSS programs of studyFSS Track (Financial Planning Fundamentals)

Choose from the following convenient class options:• Live local classes. Designed for students who like

face-to-face interaction with moderators and peers. A wide selection of classes are available in hundreds of U.S. cities.

• Live online classes. Attend live, instructor-ledclasses from your home or office PC. Webinars offer a convenient, time-saving way to participate in traditional classes without needing to travel.

• Online Training Center. Perfect for students who need flexibility to learn whenever they have the opportunity. You decide where and when to study, post your assignments online, and participate in online discussions.assignments online, and participate in online discussions.

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Learn it, Live it Why LUTCF and FSS courses? Because you’ll get:

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What industry leaders are saying . . .

The mark ChFC® is the property of The American College and may be used by individuals who have successfully completed the initial and ongoing certification requirements for this designation.

Certified Financial Planner Board of Standards Inc. owns the marks CFP®, CERTIFIED FINANCIAL PLANNER™, and CFP (with flame logo)® in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements.

Register Online: TheAmericanCollege.edu/Results or naifa.org/benefi ts/education/professional.cfmor Phone: 888-263-7265

www.NAIFA.org

NAIFA-Palm Beaches Message From the President ................................NAIFA-Palm Beaches Message From the President ................................NAIFA-Palm Beaches Message From the President 2Calendars of Upcoming Events ................................................................. 3Joint Kickoff Meeting: September 18, 2008 ............................................. 4Life Insurance Awareness Month Fact Sheet ............................................Life Insurance Awareness Month Fact Sheet ............................................Life Insurance Awareness Month Fact Sheet 5From the Desk of Ken DeAngeles, CLU, ChFC ...................................... 6Welcome New NAIFA-Palm Beaches Members! .................................... 6Question 5 Threatens to Tax Agent Commissions .................................... 7NAIFA-Palm Beaches Membership Meeting: October 17, 2009 ............ 8NAIFA-Florida C.E. Opportunties: November 20, 2008 Agent Ethics for 2008-2009 ................................................................. 9 E&O: Protecting Yourself From Disaster! .......................................... 10Society of FSPTM – Palm Beach County Chapter President’s Message .....................................................................11Study Concludes Irrationality is Norm for Investors .............................. 12Society of FSPTM – Palm Beach County Chapter Membership Luncheon Meeting: October 23, 2008 ................. 13Preparation: The Cornerstone of Financial Security ...............................Preparation: The Cornerstone of Financial Security ...............................Preparation: The Cornerstone of Financial Security 14Society of FSPTM – Palm Beach County Chapter CE Meeting: November 19, 2008 .............................................. 152008 FSP Forum .......................................................................................2008 FSP Forum .......................................................................................2008 FSP Forum 16

Contents

© 2008 cbm & Associates, Inc.

1

FOR ADVERTISING RATES:Phone: (800) 289-1226 • (412) 243-6010

Fax: (412) 243-6104E-mail: info@cbmassoc.comWebsite: www.cbmassoc.com

A PUBLICATION OF NAIFA – Palm Beaches and the Societyof FSPTM – Palm Beach County Chapter

published by

cbm & Associates, Inc.cbm & Associates, Inc.1601 Penn Ave., Ste. 613, Pittsburgh, PA 15221

JournalA monthly publication of the Palm Beaches, Florida Chapter of the Na-tional Association of Insurance and Financial Advisors and the Society of FSPTM – Palm Beach County Chapter. Opinions expressed are those of the authors and advertisers and do not necessarily represent those of NAI-FA – Palm Beaches or the Society of FSPTM – Palm Beach County Chapter.

THE PALM BEACH

Contact Claire Gamelin for moreinformation and editorial submissions

Phone 561-588-5444 or E-mailinfo@pbaifa.org or info@pbsfsp.org

NAIFA-PALM BEACHES 2008-2009OFFICERS & BOARDS OF DIRECTORSOFFICERS & BOARDS OF DIRECTORS

PRESIDENTRobert Lentz, CLU, ChFC, CFP®, CASL

561-498-5200 • rlls1@aol.comSECRETARY-TREASURER

Matthew Sanes 954-465-5809 • Leveragedsolutions@gmail.com

IMMEDIATE PAST PRESIDENTCharles F. Edris

561-997-7800 x.348 • charles.edris@axa-advisors.comSENIOR COUNCIL

Darlene M. Hanes, CLU, ChFC 561-252-1061 • dmhcluchfc@comcast.net

Russell J. Perlman, CLTC, LUTCF561-994-5009 • rperlman@jhnetwork.com

NATIONAL COMMITTEEPERSON / AHIAKen Gamelin, CLU, ChFC, CSA, LUTCF561-588-5080 • kenngamelin@comcast.net

DIRECTORS Patrick Chin (IFAPAC)

561-961-9330 • patrick.chin@axa-advisors.comFrank Cummings, MBA, CFP® (Govt. Relations)561-452-5111 • frank.cummings@axa-advisors.com

Ken DeAngeles, CLU, ChFC (Membership)561-630-6300 • kdbiz@comcast.net

John A. Petrucco (Programs / Prof. Dev.) 800-564-4406 x.8224 • jpetrucco@gmail.com

Brad Mitchell, CLU 561-962-2917 • brad.mitchell@nmfn.com

Andrew L. Brown 561-687-2164 • albrown55@gmail.com

Frank D. Toth 561-392-7400 • ftoth@bwlegal.net

HONORARY DIRECTORIra Martin

561-241-8005 • imak41@aol.comEXECUTIVE DIRECTOR / LUTC CHAIRPERSON

Claire Gamelin561-588-5444 • clairegamelin@comcast.net

SOCIETY OF FSPTM – PALM BEACH COUNTY CHAPTER2008-2009 OFFICERS & BOARD OF DIRECTORS2008-2009 OFFICERS & BOARD OF DIRECTORS

PRESIDENTWilliam “Bill” Stansbury, CLU, ChFC

561-688-8984 • diana@lifeinsuranceconcepts.comPRESIDENT-ELECT

Nancy Hite, CLU, ChFC, CFP®, RFC561-997-8800 • fi nadvv@comcast.net

SECRETARY-TREASURERHarvey Stein, CLU, ChFC

561-392-7400 • harveystein@bellsouth.netIMMEDIATE PAST PRESIDENTDarlene M. Hanes, CLU, ChFC

561-252-1061 • dmhcluchfc@comcast.netDIRECTORS

Teresa Di Lorenzo, ChFC, CEP, ATP561-279-7630 • dfs1@bellsouth.net

Laz Mur, Esq.561-691-5427 • lmur@nixonpeabody.com

Jeff Ritter, DBA, MBA, BBA561-272-7800 • jritter1961@bellsouth.net

Andrew Shamp, JD, LL.M561-988-8984 • ashamp@lifeinsuranceconcepts.com

Adi Toth, CLU, ChFC, MBA561-962-2923 • adi.toth@nmfn.com

SOCIETY OF FSP™ PRESIDENT ELECTRoderick P. Hansen, CFP®, CLU, ChFC, AEP

800-800-2599 • Roderick.Hansen@Pacifi cLife.com

NATIONAL ASSOCIATION OF INSURANCE AND FINANCIAL ADVISORS – PALM BEACHES, FLAND THE SOCIETY OF FSPAND THE SOCIETY OF FSPAND THE SOCIETY OF FSPTMTMTM – PALM BEACH COUNTY CHAPTER – PALM BEACH COUNTY CHAPTER – PALM BEACH COUNTY CHAPTER

c/o Claire Gamelin, Executive DirectorP.O. Box 151, Lake Worth, FL 33460-0151Phone: 561-588-5444 • Fax: 561-588-1444

E-mail: info@pbaifa.org • info@pbsfsp.orgWebsites: www.pbaifa.org • www.pbsfsp.org

Bud Cook .....................................Bud Cook .....................................Bud Cook Vice PresidentDeb Driggers ......Director of Sales & MarketingMaria R. Ferraro .......................... Sales ManagerChristopher Hill ....................... Managing EditorBrad A. Basinski ...............................Art DirectorJames H. Farbarik ..................James H. Farbarik ..................James H. Farbarik Print Coordinator

www.NAIFA.org2

National Association of Insurance and Financial Advisors – Palm Beaches, FL

Message From the PresidentRobert Lentz, CLU, ChFC, CFP®, CASL, 2008-2009 NAIFA-Palm Beaches President

On Sunday, July 13, 2008 several of our members traveled to Orlando to participate in NAIFA-Flori-da’s 76th Career Advancement Conference & Expo. It was a well planned event at the Hyatt Regency Grand Cypress Re-sort. It was stated that a new record was set for the event’s attendance which speaks volumes for our membership and our organization’s purpose.

Over 32 exhibitors were in attendance to provide us an idea of the newest and best products, services and technical enhance-ments that will enable us to be better at what we do.

CE was the order of the fi rst full day, Monday, July 14th, ap-proximately ten different topics to choose or all ten, attendee’s elective. The evening provided us an opportunity to attend the President’s Reception and the President’s Banquet. A most en-joyable evening with a delicious meal followed by the intro-duction of offi cers and directors

The following day, Tuesday, more CE and general sessions which occupied the morning hours, lunch and then elections of directors and offi cers for the ensuing year. As well as, a vote to offi cially change our name from FAIFA to NAIFA-Florida; local NAIFA-Palm Beach-es, the vote was unanimous. Don Brown is our outgoing President and Tommy Cothron our incoming. In addition, Alberto M. Espi-nosa, Sr., CLU, LUTCF (right) was elected as our new South Florida Director.

Tim Meenan, NAIFA-Florida lobbyist, provided the attendees a very detail summary of the current environment in Tallahas-see. Please note that Tim will be our luncheon speaker at our October meeting – a meeting you do not want to miss. Tim’s comments reaffi rmed our reasons for joining NAIFA; so did the address provided by Jeffrey J. Taggart, NAIFA President. We need the strength in numbers, fi nancial stability and a com-mon voice to continue to protect our method of doing busi-ness and providing for our clients, as well as, ourselves and families.

In closing, I ask each of you to solicit a new member and share the benefi ts of membership. A pressing issue, once again, is the possible taxing of commissions. Think about it; the only way to voice our opposition to this possible state regulation is

to permit our collective voice to be heard in Tallahassee.

I look forward to visiting with you at the meeting on Septem-ber 18, 7:15 a.m., Crowne Plaza, 1601 Belvedere Rd., WPB.

The 2008 Membership Directory should be in your hands; please review the informa-tion that pertains to you and make us aware of any necessary change. In addition, I re-quest that you review the entire directory to recognize others that are members. Just as important; I hope you will note the absence of those individual names that you know should be members and are not listed.

May I request of you to ask those you know who are not mem-bers of NAIFA to become members. As our national president, Jeffrey J. Taggart, CLU, ChFC, LUTCF, states: “We need to make it so that it will be economically impractical NOT to belong to NAIFA.” That scenario exists; however, many have not received the message.

I am sure most of us agree with President Taggart, consequent-ly, we need to emphasize the importance of belonging to our trade organization. In my career I have not known the intensity of scrutiny that we receive from our elected representative and the appointed offi ces of review and management. In numbers there is strength and fi nancial resources that will enable our local, our state and our national organization to continue to represent us in protecting our ability to provide quality prod-ucts, serve our clients and allow us to provide for our families and ourselves..

Additional benefi t of using this directory is the obvious knowl-edge and professional know how that is represented by those listed. We are a strong organization committed to service of our clients and in serving our clients we strive to do the best we can in an ethical way so as to maintain the public trust in us and the profession we represent.

Join me in NAIFA-Palm Beaches with a Join me in NAIFA-Palm Beaches with a commitment to keep this 118-year-old commitment to keep this 118-year-old organization a viable and effective representation of us, its members.

www.NAIFA.org 3

CALENDARS OF UPCOMING EVENTSNAIFA-PALM BEACHES

Thursday, September 18, 2008 – Joint Kickoff Meeting, 7:50 to 10:05 a.m. – Life Insurance Awareness Month – 2 hrs C.E. “Estate Planning with Life Insurance: Like a Whole in One” #65173 – intermediate level/2-16 Life. Guest Speaker: Bob Burton LLB CLU ChFC AEP, Provada Insurance Services. Location: Crowne Plaza - WPB. Cost: $25 members.

Wednesday, September 24, 2008 – Peter Montoya – 2 locations. Visit www.pbaifa.org for details.

Friday, October 17, 2008 – 11:30 a.m. to 1:30 p.m. – FAIFA Lobbyist Tim Meenan – “FAIFA Your Partner for Success – Legislative and Regulatory Update”. Speaker: Michael Caterbone, American Heritage/Lincoln Financial Group. 2 hrs C.E.-Insurance & CFP® credits. 12:40 P.M. – Annuities: Dynamic or Dangerous; 1:40 P.M. – When I’m 65. Location: Holiday Inn/Belvedere Rd. Cost TBA

Thursday, November 20, 2008 – FAIFA C.E. – Paul Brawner, AIP (3 hrs. – Ethics C.E. / A.M. Session and 3 hrs. – Loss Control Seminar (E&O) / P.M. Session + Earn 10% discount on the next 3 yrs NAIFA E&O premium by taking this class, plus earn 3 hrs of insurance CE credit! Holiday Inn/Belvedere Rd – visit: www.faifa.org for costs & detail

December – No Meetings

January 22, 2009 – FAIFA C.E. EVENT/ Tentative C.E. Topics• “Premium Discounts for Hurricane Mitigation Options” Licensees with compliance periods ending January 31, 2009 this C.E. is mandatory.• If OIR has set requirements for CE, NASD Suitability in Annuity & Life Insurance Transactions” – 3 hrs. *which may also be used to satisfy the current ethics CE requirements. FYI: Any person who is registered with a member of the Financial Industry Regulatory Authority (FINRA) who is required to make a suitability determination is deemed to have satisfi ed the requirements to the sale of annuities.All others who sell annuities must complete this course.Location & Costs – to be determined.

February 19 or 20, 2009 – Membership Meeting – Details TBA

March 19 or 20, 2009 – Membership Meeting – Details TBA

April, 2009 – Golf Tournament

Thursday, May 21, 2009 – Joint Annual Meeting & C.E.

SOCIETY OF FSPTM – PALM BEACHCOUNTY CHAPTER

Thursday, September 18, 2008 – Joint Kickoff Meeting, 7:50 to 10:05 a.m. – Life Insurance Awareness Month – 2 hrs C.E. “Estate Planning with Life Insurance: Like a Whole in One” #65173 – intermediate level/2-16 Life. Guest Speaker: Bob Burton LLB CLU ChFC AEP, Provada Insurance Services. Location: Crowne Plaza - WPB. Cost: $25 members.

Wednesday, September 24, 2008 – Peter Montoya – 2 locations. Visit www.pbsfsp.org for details.

Thursday, October 23, 2008 – Lunch Meeting. Topic: “Life Insurance Premium Financing.” C.E will be applied for Insurance, CFP®, CPE & CLE credits. Maggianos Little Italy, 21090 St Andrews Blvd, Boca Raton, FL, Cost TBA

Wednesday, November 19, 2008 – VTC on DVD, “Deferred Compensation for the Small Business Market.” 1:00 P.M. to 3:15 P.M. 2 hrs. CE (Insurance, CFP®, CPE, CLE, Banking), Capital Conclusions Corp, Boca Raton.

December – No Meeting

January, 2009 – Topic, Time, Location TBA

Wednesday, February 18, 2009 – VTC on DVD, “Investment Management Decision Making.” Time: 1:00 P.M. to 3:15 P.M. 2 hrs. CE (Insurance, CFP®, CPE, CLE, Banking), Boca & Northern Palm Beach County

March, 2009 – Topic, Time, Location TBA

April, 2009 – Topic, Time, Location TBA

Wednesday, May 20, 2009 – VTC on DVD, “True Stories of Succession Planning & Exit Strategies.” Time: 1:00 P.M. to 3:15 P.M. 2 hrs. CE (Insurance, CFP®, CPE, CLE, Banking), Boca & Northern Palm Beach County

Thursday, May 21, 2009 – Joint Annual Meeting & C.E.

NAIFA – PALM BEACHES AND THE SOCIETY OF FSPTM – PALM BEACH COUNTY CHAPTER

Watch future issues of The Palm Beach Journal for more informa-tion on upcoming events. You can also check our websites at www.pbaifa.org or pbaifa.org or pbaifa.org www.pbsfsp.org for the updates on programs, C.E., and all of the latest news. You can also easily register online for any Membership Luncheon Meetings, C.E. classes, and events.

Mark Your Calendar! Society of FSP and NAIFA members are cordially invited to attend at no cost …

Wednesday, September 24, 2008 • 12:30 – 3:00 p.m. • Lunch Served • Marriott Hotel at Boca CenterGuest Speaker: Peter Montoya, President/Owner Peter Montoya, Inc., “How to Brand Your Business,” plus other topics and speakers on the agenda. Details and registration information on this meeting can be found www.pbsfsp.org or www.pbaifa.org.

www.NAIFA.org4

Palm Beach County Chapter

If you do not wish to receive NAIFA Palm Beaches or Society of FSP-Palm Beach County Chapter faxes or emails, please let us know immediately.

Ph: 561-588-5444 Fax: 561-588-1444 Email: info@pbaifa.org info@pbsfsp.org

Joint Kickoff Meeting / 2 hrs C.E. Event / Life Insurance Month Thursday, September 18, 2008

“ESTATE PLANNING WITH LIFEINSURANCE: LIKE A ”WHOLE” IN ONE”

2 hrs of CE/Intermediate Level Insurance, CFP®, CPE)CIE provider # 781 – approval # 65173 (intermediate 2-16 Life)

Offering #852428 / Provider #781Accepted by CFP Board of Standards 2 hrs – PB08-04

Filed for CPE and CLE credits

ROBERT E. BURTON LLB CLU ChFC AEP Director of Advanced Planning

Provada Insurance Services

Bob practiced law in New York City for nine years, specializing in estate, trust, and corporate work. He joined New York Life in 1964 and transferred to San Francisco in 1966. As Senior Advanced Underwriting Consultant for New York Life, he was a leader in all phases of the Company's Advanced Underwriting program and authored numerous Bulletins. He retired early from New York Life and, from 1986 through 1989, was Vice President of Management Compensation Group/SF, specializing in the design and funding of supplemental executive benefit programs for major corporations. He re-affiliated with New York Life in 1990 and later became a principal of The Silver Group.

Faculty member at CLU Symposium and nine CLU Institutes; repeat speaker at meetings of both the Association for Advanced Life Underwriting and the Million Dollar Round Table; speaker at Nevada Estate Planning Conferences and Federal Tax Institute; faculty member at seminars sponsored by the Community Property Journal, Farnsworth Publishing Company, and California CPA Foundation for Education and Research; lectured on Deferred Compensation at the Twelfth Annual Federal Estate Planning Symposium in Kansas City, co-sponsored by UMKC Law School; faculty member at the Practising Law Institute’s 37th Annual Estate Planning Institute in San Francisco; frequent speaker at meetings of Estate Planning and Planned Giving Councils, Chapters of the Society of Financial Service Professionals and the National Association of Insurance and Financial Advisors, and other industry groups, mainly on Estate Planning, Planned Philanthropy, Deferred Compensation, and Life and Long-Term Care Insurance.

Article on using Philanthropy in Estate Planning was published in the July 1996 issue of the Daily Journal; article in the July 1997 issue of Trusts & Estates magazine co-authored with Alan Silver won their EPIC Award as “Best Article” of the year; article on Life Settlements was published in the August 2004 issue of California Broker.

Time: 7:15 a.m. / Registration & Breakfast 7:40 a.m. – Welcome & Announcements 8:15 a.m. – 10:05 a.m. / C.E.

Location: Crowne Plaza – Pallazzo Rm 1601 Belvedere Rd – WPB, FL

I-95/Belvedere Rd /corner of Australian & Belvedere Rd. (561) 689-6405.

www.ichotels.com (map)

Cost of CE + Breakfast:$25 / member or guest of member

� $30 – Allied Org Member (FPA, HUA) $40 / non-member

______________________________

RSVP no later than September 15, 2008

561-588-5444 Ph/ Fax: 561-588-1444 admin@pbsfsp.org

www.pbsfsp.org or www.pbaifa.org

or, complete & fax

Name _________________________

Email _________________________

�NAIFA-PB

�Chapter-SFSP

�Guest of ___________________________

�Non-Member

Make check payable to SFSP-PBCC P.O. Box 151, Lake Worth, FL 33460-0151

ORRegister on line: www.pbsfsp.org

or www.pbaifa.org

33460-0151

‘WHOLE’

www.NAIFA.org 5

What: An educational campaign designed to get consumers to take stock of their life insurance needs and protect their loved ones through proper life insurance planning

Why: Because 3 in 10 adult Americans have no life insurance at all and most with coverage need more than they have

When: September 2008

Who: LIAM is an industry-wide effort coordinated by the LIFE Foundation, a nonprofi t organization dedi-cated to helping consumers make smart insurance decisions. Hundreds of industry groups, including most of the nation’s leading insurance companies, participate in the campaign each year.

How: LIFE and other major industry groups will spend millions of dollars in September to get Americans thinking about their need for life insurance. Take advantage of this once-a-year opportunity to ap-proach people in your community at a time when life insurance will be on their minds.

How Individual Producers Can Seize the LIAM Marketing Opportunity

Here are 6 tips to help you make September your best LIAM campaign ever!

– Mark LIAM on the Calendar Today: Circle September on your calendar, and start laying the groundwork today for a successful campaign come September.

– Use LIAM to Get Appointments Scheduled: Insurance professionals have reported that one of the best things about LIAM is that it helps them get appointments scheduled. Pointing out that September is LIAM gives clients and prospects one more reason to say “yes” to a meeting.

– Tell Your Clients that “Life Happens”: During LIAM, give Life Happens® gel bracelets to clients and pros-® gel bracelets to clients and pros-®

pects. They’re great conversations starters. People will inevitably ask, “What does Life Happens mean?” That’s your opening to talk to them about LIAM and the importance of planning ahead for life’s uncertainties.

– Set Aside Money & Time: The 3 keys to selling more life insurance this September than you did last Sep-tember are time, money and focus. If you make life insurance your primary focus and set aside enough time and money to conduct the proper outreach, you WILL be successful.

– Tap Into All Available Assets: Most major industry groups support LIAM in some fashion. So reach out to companies and associations you’re involved with to fi nd out what kinds of LIAM marketing resources and sales incentives they may be offering. If you’re looking for new marketing tools, the LIFE Foundation offers lots of great objective, third-party print and video materials. You can preview materials and order online at www.lifehappens.org/catalog.

– Just Do It: If you’re a talented advisor, you can sell more life insurance if you set your mind to it. It’s that simple. So don’t let the LIAM marketing opportunity pass you by. Start planning now, so you’ll be ready when September 1, 2008 arrives!

SEPTEMBER 2008 Fact Sheet

www.NAIFA.org6

WELCOME NEW NAIFA-PALM BEACHES MEMBERS!Michele Linca, AllstateSponsor: Darlene M. Hanes, CLU, ChFC

Rajesh Shah, MetLifeSponsors: Phillip Doherty, CLU, LUTCF & Darlene M. Hanes, CLU, ChFC

Todd Carreras, Carreras Financial GroupSponsor: Tom Carreras, CLU, ChFC, CFP, LUTCF

James Larschan, Jr., Northwestern Mutual Financial Network / Dorman AgencySponsors: James Larschan, CFP® & Edmond Dorman, CLU, ChFC® & Edmond Dorman, CLU, ChFC®

Patrick Taylor, Northwestern Mutual Financial Network / Dorman AgencySponsor: Edmond Dorman, CLU, ChFC

Hilda M. Marcello, Union Central Life Insurance CompanyJoined online at naifa.org!

Richard Lott, AllstateSponsor: Darlene M. Hanes, CLU, ChFC

Donald Kolb, CFP®, MBA, LUTCF, Kolb Financial GroupSponsor: Darlene M. Hanes, CLU, ChFC

From the Desk of Ken DeAngeles, CLU, ChFCNAIFA-Palm Beaches Membership Chairperson

Dear NAIFA-Palm Beaches Member,

New members have never been more vital. The battles we are fi ghting now could save us thousands of dollars.

Now more than ever we must assure our voice is heard on Capitol Hill and in Tallahassee as politicians consider TAXING LIFE INSURANCE PROCEEDS and TAXING OUR COMMISSIONS!

A proposal which will likely lead to a SALES TAX ON SERVICES (your commissions) will be on the November ballot and could be in the hands of the legislature in the 2009 session — we must have a large membership to defeat this. Also, recently, a Congressional Analysis referred to the tax-free buildup in life insurance policies as LOST REVENUE! NAIFA lobbyists in Washington are as vigilant as ever to assure politicians keep their hands off lifeinsurance proceeds.

Tom CothronNAIFA-Florida President 2008-2009NAIFA-Florida President 2008-2009NAIFA-Florida President 2008-2009

The Mission of the Palm Beaches chapter of the National Association of Insurance and Financial Advisors is to advocate for a positive legislative and regulatory environment, enhance business and professional skills, and promote the ethical conduct of our members.

CONNECTIONS THAT COUNT

CONGRATULATIONS! NAIFA-Palm Beaches is proud to announce

Northwestern Mutual Financial Network Edmond Dorman, CLU, ChFC Agency has won NAIFA’s 2008 Management

Membership Award 28 years in a row!

www.NAIFA.org 7

QUESTION 5 THREATENS TO TAX AGENT COMMISSIONS• The Taxation and Budget Review Commission (TBRC) gave

fi nal approval for a measure for the November ballot that swaps the education portion of Florida property taxes (average 25% of total property tax) for other revenue sources/cuts.

• This will be Question 5Question 5 on the ballot• Ballot measure would replace an estimated $9 billion in schools

taxes with a one percent sales tax that would raise an estimated $3.3 to $3.9 billion

o The problem - this leaves an over $9 billion dollaran over $9 billion dollar hole that would have to be fi lled by the Legislature.• Many Capitol veterans believe the only way the politicians will

be able to do this is to impose a sales tax on servicesimpose a sales tax on services.• Lawyers, accountants and others can pass this along –

WE CAN’T. T. T o The insurance code does not allow us to pass it along. • It will require a 60 percent of the vote to be approved.• The Tallahassee Democrat has already come out against Ques-

tion 5, calling is a great threat to the long-term fi scal stability of our counties, schools and state.

• A Palm Beach Post analysis showed the tax will fall heaviest on lower income people, while the rich will gain the most.

• House Minority Leader Dan Gelber has said passage of Question 5 “will pit a lot of ideologies against each other.”

o Question: How has the insurance ideology doneideology doneideology lately at the Capitol?• Susan Story, the CEO of Gulf Power and a TBRC member, said

legislators will have few options but to levy taxes on services that are exempt and predicted this will cost jobs.

• Randy Miller, Vice Pres. of the Florida Retail Federation and a TBRC member, said Question 5 would force the Legislature to pass a service tax.

• Sen. Mike Haridopolos has formed a group Protect Florida’s Future to oppose Question 5.

• FAIFA beat this tax back before – but this time it will be tougher. o We have powerful allies including the Florida Chamber of Commerce, Florida Retail Federation, Associated Industries of Florida and Florida Broadcasting Assoc. o Now more than ever we must boost membership and PAC donations to maximize our clout.

NOVEMBER 2008 FLORIDA BALLOT...

Share the information above with all yourassociates. If they are not NAIFA members, strongly recommend that they be part of the solution! Join online at www.naifa.org – click on JOIN at the top of the page.

The Palm Beaches Chapter of the National Association of Insurance and Financial Advisors proudly announces its

new relationship with OnLine Training Institute, Inc.

ONLINE TRAINING INSTITUTE OFFERSPRE-LICENSING COURSES

(certifi cate and non-certifi cate)

2-15 Life and Health (Including Variable Annuities) Pre-Licensing (40 hrs. – classroom fi nal)

2-20 Property and Casualty / General Lines Pre-Licensing (200 hrs. – classroom fi nal)

4-40 Registered Customer Service Representative Designation (40 hrs. – classroom fi nal)

OTHER COURSES AVAILABLE INCLUDING CONTINUING EDUCATIONVisit www.oltraining.com/fl _pbaifa/ for more details.

New Housing Law Includes Limitations for Use of Reverse Mortgage Proceeds to Purchase Financial ProductsOn July 30, President Bush signed into law the high profi le Housing and Economic Recovery Act of 2008 (H.R.3221) that will provide mortgage relief to 400,000 homeowners facing foreclosure. The new law will allow them to ob-tain more affordable mortgages backed by the Federal Housing Administration (FHA). The bill also includes provi-sions to prevent the collapse of the nation’s two largest mortgage fi nance giants Fannie Mae and Freddie Mac.

Included in the mammoth bill is a lesser known provision that impacts insurance agents and fi nancial advisors. The provision, which is now law, places a new limitation on any person or entity associated with a Home Equity Conversion Mortgage (HECM) originator from selling the reverse mortgage recipient any fi nancial product.

The intent of the provision is to crack down on reported marketplace abuses of the sale of reverse mortgages to seniors. Congressional hearings have found that some un-scrupulous individuals have encouraged seniors to take out a reverse mortgage and then use the proceeds of the loan to purchase a deferred annuity or long term care policy unsuitable for their needs. The new law pre-vents the “tying” of a reverse mortgage to the sale of a fi nancial product.

Any NAIFA member associated with a company that of-fers reverse mortgages should seek guidance from that company on this new sales limitation.

NAIFA Staff Contact: Jill Edwards, Director of Federal Relations at 703-770-8158 or jilledwards@naifa.org.

8

N NEW�FORMAT!��� �NEW�TIME!��������������������������������������������11:30�a.m.�–�registration/lunch��������������������������������������������12�Noon�–�FAIFA�Lobbyist�–�Tim�Meenan��������������������������������������������12:40�p.m.�1:30�p.m.����1�hr�Ins�&�CFP®�CE��������������������������������������������1:40�p.m.�–�2:30�p.m.�–�1�hr�Ins�&�CFP®�CE�

If you do not wish to receive NAIFA Palm Beaches (PBAIFA) faxes or emails, please let us know immediately.

Ph: 561-588-5444 Fax: 561-588-1444 Email: info@pbaifa.org

�

FRIDAY,�October�17,�2008�����LUNCH�MEETING�–�11:30�A.M.�/�CE�(Ins�&�CFP®)�starts�at�12:40�P.M.

���������������������������������������������FAIFA�Your�Partner�for�Success���“Legislative�and�Regulatory����������������������������������������������������������������������������Update”��������Tim�Meenan,�Esq� ������������������������������������������������FAIFA�Lobbyist�

Tim�joined�FAIFA�in�December�2003�as�FAIFA�Lobbyist.��Tim�is�the�Senior�Insurance�Regulatory�Partner�with�the�firm�of�Blank�&�Meenan�representing�life�and�health,�property�casualty,�HMOs,�specialty�insurers�and�other�regulated�entities�before�the�Florida�Department�of�Financial�Services�(and�the�former�Department�of�

Insurance).�He�has�over�20�years�of�insurance�industry�related�experience�and�was�a�former�deputy�in�the�

Florida�Department�of�Insurance�and�Treasurer’s�office.��As�FAIFA�Lobbyist,�Tim�and�his�team�are�responsible�for�FAIFA’s�strong�advocacy�program�to�protect�and�improve�

the�legislative�and�regulatory�environment�for�members.

Agenda Time Frame 11:30 a.m. - Registration/Lunch 12 Noon - Tim Meenan 12:30 p.m. - Break 12:40 p.m. - 1st Hr C.E. (Annuities) 1:30 p.m. - Break 1:40 p.m. – 2nd hr CE (When I’m 65)

LocationHoliday Inn-Belvedere Road / 561-659-3880

I-95/Belvedere Rd WEST Hotel on immediate right

Turn right just before railroad tracks. 2nd floor

2 hrs C.E. – Ins & CFP credits

Michael Caterbone American Legacy

Lincoln Financial Group C.E. presentations: Attend one or both

C.E. credits for insurance & CFP® for each hour

1st hr: 12:40 P.M. – 1:30 P.M.“Annuities: Dynamic or Dangerous” The current retirement landscape is in a state of change.

Traditional sources of retirement in come are disappearing while complicated annuity features are trying to take their place. Complication breeds the potential for abuse, which is one reason annuities face greater regulatory scrutiny. So

- are annuities dynamic or dangerous?

2nd hr: 1:40 P.M. – 2:30 P.M.“When I’m 65”

This seminar was designed to assist in getting the clients to begin thinking about their answers to questions li ke:

"When I'm 65—the traditional retirement age—what is it that I want to be doing? What opportunities and challenges does the new retirement present? How can I implement an

income stream that will last as long as I do? And most importantly, what do I need to do to make sure I'm

prepared?"

Cost – Lunch AND C.E. (1 or 2 hrs) $25 – Member or Guest of Member $30 – Allied Member (FSP or HUA) $40 - Non-Member

RSVP: www.pbaifa.org

www.NAIFA.org

9

“Agent Ethics For 2008-2009”

3-Hour Florida DFS-Approved Continuing Education Class*

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

“Agent Ethics For 2008/2009” (Prefer to register online? Visit www.faifa.org)

REGISTRATIONIn Advance (7 days*): Member $35 (Non-member $55) At the Door*: Member $45 (Non-member $65)

(*Registrations must be postmarked or FAX’ed (credit cards only) no later than 7 days prior to class. After deadline, space availability on a first-come, first-serve basis only. No cancellation refunds after 7 days prior to class. Please plan to arrive 30 minutes before class starts. Those arriving after class starts will not receive credit. Registration Fees do not include charges for local association meals – please contact local association for reservations and payment information, if applicable.)

Name: ________________________________________________________________ Lic. #: __ __ __ __ __ __ __ Address: ___________________________________________City:_______________ State:_____ Zip:_________ Bus. Phone: _____________________ FAX: _____________________ E-mail:____________________________ Member of FAIFA? �YES �NO If member, name of Local: _______________________________________ Site/City of Class You Wish to Attend:_______________________________________________________

(If registering by check, must be mailed. Please make checks payable to “FAIFA.” Must be postmarked no later than 7 days prior to class. Mail registration and check to: FAIFA, 1836 Hermitage Blvd., Ste. 200, Tallahassee, FL 32308)

CREDIT CARD REGISTRATIONS — FAX or Mail – FAX # (850) 422-2762

�MC �VISA Account # ����-����-����-���� 3-digit CVV Code���Expiration Date ___________ Print Name As it Appears on card __________________________________________

Billing Address (for the credit card) _________________________________________________________________

Signature _______________________________ OFFICE USE ONLY: Date Paid __________ Check # ________

� All agents must have 3 hours on “Ethics” every two years � This 3-hour class fulfills the requirement �Business ethics and proper ethical behavior � Ethical use of policy illustrations �Ethical views on policy replacement � Review of Long Term Care Partnership legislation �Review of recent viatical legislation

Review of the penalties associated with representing unauthorized entities

[Intermediate level 3-hour Continuing Education (#63574) for all licensees (authority line 9908) including life, health, variableannuity, and property/casualty. This course meets the new CE requirement for agents, pursuant to F.S. 626-2815.]

Provider # 654.

The Florida Association of Insurance and Financial Advisors

presents:

Palm BeachThursday, Nov 20, 2008 (8:30 – 11:30 am)

Holiday Inn - Palm Beach Airport & Conference Center 1301 Belvedere Road, West Palm Beach, FL 33405

(561) 659 – 3880

www.NAIFA.org

www.NAIFA.org10

“E & O: Protecting Yourself From Disaster!”

3-Hour Florida DFS-Approved Continuing Education Class*

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

“Preventing Agent Errors and Omissions” (Prefer to register online? Visit www.faifa.org)

REGISTRATIONIn Advance (7 days*): Member $35 (Non-member $55) At the Door*: Member $45 (Non-member $65)

(*Registrations must be postmarked or FAX’ed (credit cards only) no later than 7 days prior to class. After deadline, space availability on a first-come, first-serve basis only. No cancellation refunds after 7 days prior to class. Please plan to arrive 30 minutes before class starts. Those arriving after class starts will not receive credit. Registration Fees do not include charges for local association meals – please contact local association for reservations and payment information, if applicable.)

Name: ________________________________________________________________ Lic. #: __ __ __ __ __ __ __ Address: ___________________________________________City:_______________ State:_____ Zip:_________ Bus. Phone: _____________________ FAX: _____________________ E-mail:____________________________ Member of FAIFA? �YES �NO If member, name of Local: _______________________________________ Site/City of Class You Wish to Attend:_______________________________________________________

(If registering by check, must be mailed. Please make checks payable to “FAIFA.” Must be postmarked no later than 7 days prior to class. Mail registration and check to: FAIFA, 1836 Hermitage Blvd., Ste. 200, Tallahassee, FL 32308)

CREDIT CARD REGISTRATIONS — FAX or Mail – FAX # (850) 422-2762

�MC �VISA Account # ����-����-����-���� 3-digit CVV Code���Expiration Date ___________Print Name As it Appears on card _____________________________________________

Billing Address (for the credit card)_________________________________________________________________

Signature _______________________________ OFFICE USE ONLY: Date Paid __________ Check # ________

� When things go wrong, clients may sue!! � Class is open to all agents, including general lines � No agent wants a lawsuit � Course booklet – a great resource! � New and seasoned agents alike are at risk � Register NOW and SAVE! � Understand the legal pitfalls of insurance sales � Use form OR register online (www.faifa.org)

NAIFA E&O Policyholders Receive a 10% DISCOUNT on their annual premiums by Taking This Class !One of the most frightening experiences an advisor can have is an errors and omissions lawsuit. Agents are exposed

to the likelihood of a lawsuit in today’s litigious atmosphere. This class focuses on facts and case studies, not opinion or theory. This enlightening class will help agents and managers understand the everyday legal pitfalls.

*(This course is approved for three (3) hours of Florida DFS-approved continuing education for life, health, variable annuity, and general lines licensees (not health-only licensees)—intermediate level. Authority line 9901,Course #64841, Provider #654.)

The Florida Association of Insurance and Financial Advisors

presents:

PALM BEACHThursday Nov. 20, 2008 (1:00 pm to 4:00 pm)

1301 Belvedere Rd, W. Palm Beach, FL 33405 (561) 659 - 3880

www.NAIFA.org 11

President’s MessageWilliam Stansbury, CLU, ChFCSociety of FSPTM - Palm Beach County ChapterTM - Palm Beach County ChapterTM

This summer I had an opportunity to visit the United Kingdom. As my wife and I toured England and Scot-land we viewed many historical sites. It was interesting to see fi rsthand the things that we learned about in school – a few years ago! It caused us to pause and refl ect about our history and the roots of our great country. Taking time to refl ect about who we are and where we came from helps provide a perspective on where we are today. I thought it would be good to review the history of our professional organization to gain some perspec-tive on who we are – and I must admit we’re a pretty impressive group.

The Society of Financial Service Professionals is over 80 years old with almost 18,000 members in nearly 180 Chapters in all 50 states, Puerto Rico, Canada and Singapore. Founded in 1928 by the fi rst graduates of The American College, its mission is to promote professionalism among its members through the high-est quality continuing education and the maintenance of high ethical standards and conduct. While many of its members have earned a designation or degree from The American College, the Society is a separate and independent organization.

Society members are credentialed fi nancial service profession-als who provide fi nancial planning, estate planning, retirement counseling, asset management and other services and products to their clients. Members refl ect a great diversity of fi nancial practitioners from fee-only fi nancial planners, estate planning attorneys and accountants, to asset managers, employee benefi ts specialists and life insurance agents.

The Society is the only professional organization in the industry that requires its members to be credentialed or actively pursuing one of these widely-recognized fi nancial service designations or degrees: CASL®,CEBS®, CFA®, CFP®, ChFC®, CLF®, CLU®, CPA, CPC, CTFA, Enrolled Actuary, JD (licensed), Graduate Degree in Financial Services (MBA, MS, MSFS, MSM, PhD), REBC® and RHU®.

Over the years the Society has developed an enviable niche in the fi nancial services industry as the premier provider of quality education to both its members and client companies. Continuing education services offer credit for fi nancial planners, attorneys, accountants and insurance agents. The Society is an approved provider of continuing education in all states for CFPs® and by the American Bar Association and the state accountancy boards.

I can’t speak for everyone, but I can tell you that I am very proud to be a part of this association. If anyone would like mem-bership information please contact one of the members of the board.

c/o Claire GamelinPhone (561) 588-5444 • Fax (561) 588-1444E-mail info@pbaifa.org or info@pbsfsp.org

MEMBER FEEDBACK WELCOME!

For information on advertising support, contact Deb Driggers at(800) 289-1226 or (800) 289-1226 or (800) 289-1226 debdriggers@cbmassoc.com

Society of FSPTM Membership is open to all fi nancial service professionals who are committed to furthering their professional development and conducting busi-ness in an ethical manner.

As the only credentialed, multidisciplinary professional association, the Society offers its members an oppor-tunity to benefi t from the highest quality of professional education programs and to network with a diversity of fi nancial service professionals that share our core values.

For more information on membership, please check our website at www.pbsfsp.org, or call

Executive Director Claire Gamelin at561-588-5444 or info@pbsfsp.org.

Do you know someone who might benefi t membership in the So-ciety of Financial Service Professionals? Help them and the Soci-ety grow – give them a 60-day free trial membership in the So-ety grow – give them a 60-day free trial membership in the So-ety grow –ciety of FSP. Ask non-members to visit www.fi nancialpro.organd click on the “Free Trial Membership.”and click on the “Free Trial Membership.”and click on the “ They Free Trial Membership.” They Free Trial Membership.”will receive access to a wealth of Web-based re-sources developed specifi cally for fi nancial ser-vice professionals like you!

www.NAIFA.org12

Study Concludes Irrationality is Norm for Investors An article published in the July 2008 issue of the Journal of Fi-nancial Service Professionals, entitled “A Comprehensive Study of Behavioral Finance,” addresses the signifi cant gaps between how investors are generally expected to behave and how they actually do behave. The article asks the important question: “If most of us make fi nancial decisions in an irrational way and the models and algorithms we use to make those decisions are based on the assumption of rational investors and their deci-sion-making systems, are we not essentially setting ourselves up for not achieving our expected outcomes?”

In the article, authors Somnath Basu, PhD, et al, make four major points: fi rst, that empirical evidence strongly supports the emerging literature on widespread irrationalities in market participant behavior; second, that loss aversion is at least as im-portant as risk aversion in trading decisions; third, that investors seem to be far more infl uenced by trends and herding behavior than by their plans for the future; and fourth, that the decade between 1993 and 2003, with its full market cycle of growth, boom, bust, and rapid increases in information accessibility, offers an edifying snapshot of all of the above.

In a section entitled “Background and Methodology,” Basu revisits issues at the core of the debate about rational inves-tor behavior. Rational expectations based on decision-making models implicit in Modern Portfolio Theory (MPH) and the Effi cient Market Hypothesis (EMH) are contrasted with actual investor behavior in various market environments. In addition, emerging schools of thought such as Prospect Theory are dis-cussed. The impact and implications of behavioral biases such as cognitive dissonance—what we tend to do when a belief or assumption is proven wrong—and confi rmation bias—seek-ing out only that information which helps to confi rm existing views—are presented.

Data gathered and analyzed includes S&P 500 and NASDAQ index monthly trading volumes and index values from January 1993 through May 2003; data on net cash fl ows (NCF) supplied by Lipper Analytics where NCF is defi ned as total cash infl ows (subscriptions) net of total cash outfl ows (redemptions) for all mutual funds in various categories. For the same time period (1993-2003) NCF data for the following fund types were ana-lyzed: large cap mutual funds, U.S. Treasury mutual funds, small cap mutual funds, intermediate bond mutual funds, balanced and income mutual funds, and real estate mutual funds. The data were divided into three periods and the average net monthly cash infl ows and outfl ows across different mutual fund categories for

each period were analyzed and the results interpreted.

For each fund type, a table with two panels—one for volume of NCF and monthly returns and another containing the statistical results—is presented. A graphical representation of the volume of NCF also is included.

These analyses clearly support the assertion that deeply in-grained investor psychology and behavior have a strong impact on the market. Numerous examples are given to show that not only do investors behave irrationally, but that their irrational behavior can negatively impact markets, in some cases extend-ing what might otherwise have been comparatively short “bust” periods.

The article concludes with a discussion of the implications of its fi ndings for fi nancial planners, suggesting that “fi nancial planners should not be concerned about exploiting behavioral biases but should instead concentrate on how they may help their clients by preventing them from making decisions based on emotions.”

Somnath Basu, PhD, lead author of the study, is a professor of fi nance at California Lutheran University and the director of its California Institute of Finance. Dr. Basu is extensively published in the fi eld of fi nancial planning and investments and is an award-winning teacher. He has signifi cant consulting experience with U.S. Fortune 100 companies, advising institutional money managers, and in developing proprietary fi nancial planning software. He is a founding member of the Foresight Group and a member of the College Advisory Board at the National En-dowment for Financial Education (NEFE). He may be reached at basu@clunet.edu.

Published by the Society of Financial Service Professionals, the Journal of Financial Service Professionals is one of the oldest and most prestigious journals in the fi nancial planning fi eld. From its roots in insurance, pensions and estate planning, the Journal has evolved into a vehicle for groundbreaking applied research in all areas of fi nancial planning, including retirement planning, in-vestments, tax, health care, economics, ethics and other topics of concern to insurance and fi nancial advisors. Opinions expressed in the Journal are not necessarily those of the editorial staff or the Society of Financial Service Professionals.

www.NAIFA.org 13

Palm Beach County Chapter

If you no longer wish to receive faxes or email promoting meetings, etc. Contact: info@pbsfsp.org or ph: 561-588-5444 or fax: 561-588-1444

Thursday – October 23, 2008Luncheon Meeting @ Maggiano’s Little Italy / Boca

Panel Discussion - “Life Insurance Premium Financing”

Time: 11:00 A.M. - Registration 11:30 A.M. – Welcome/Announcements

and Lunch 12 Noon – 1:30 p.m. – Panel Discussion

NEW Location: Maggiano’s Little Italy 21090 St Andrews Blvd – Boca Raton

561-361-2322 Directions:

http://www.maggianos.com/locations/map_request.asp?template=map&transactio

n=locMap&recordId=0010250180

Cost of CE + Lunch: $25 / member � $25 Guest of FSP member $30 / Allied org member – NAIFA-PB, HUA

$35 / non-member

RSVP no later than October 17, 2008 Register on line: www.pbsfsp.org

Name _________________________

Email _________________________

� Chapter-SFSP Member

� Guest of FSP Member _________________

� Non-Member

� Allied Organization Member

Make check payable to SFSP-PBCC P.O. Box 151, Lake Worth, FL 33460-0151

ORRegister on line: www.pbsfsp.org

“Prospective Legal Issues”

Jonathan M. Forster, Esq Greenberg Traurig LLP

Managing Shareholder Tysons Corner Office; National Chair, Wealth

Management Practice; National Chair, Life Insurance Practice

Jon listed in Washington as one of the top lawyers in the field of tax planning for

privately held companies, business succession, executive compensation and estate planning. Jon provides innovative, practical tax strategies to assist business owners in building and preserving the value of their companies and personal net worth. Jon also counsels life insurance companies on a wide array of tax and regulatory strategies often serving as their outside general counsel. His representation includes numerous government contracting firms, national financial service firms; and several large offices.

“The How & Positioning”James Joyce, CFP®

Executive Director of Sales Distribution & Strategic Alliances

Life Insurance Concepts James has been one of the brightest young leaders in the life insurance industry for the past decade with a focus on

building innovative & exclusive relationships in the premium finance marketplace for various life insurance carriers & life distribution channels. His background includes raising capital, developing structured finance products, launching strategic partnerships and leading carrier execution strategies with global investment banks such as Goldman Sachs & Credit Suisse. Prior to joining LIC, he was the Head of Premium Finance for National Financial Partners where he brought solutions for paying life premiums to their acquired and member firms. Prior to NFP, James operated JJ Ventures, a personal financial planning practice focused on wealth transfer, business, & retirement planning for affluent clients. He has also taught Life Insurance & Risk Management and Estate Planning courses at the University of Texas at Austin. James received his B.B.A. from Baylor University, is a CFP® Certificant and holds his Series 7, 66, and Life & Health Insurance licenses.

www.NAIFA.org14

Preparation: The Cornerstone of Financial SecuritySubmitted by Adi Toth, CFP, CLU ChFC, MBA, Palm Beach County Chapter Director

In some ways building fi nancial security is a lot like reaching and maintaining a healthy weight and lifestyle. While most people value health and fi nancial security, each requires discipline, a self-analysis of one’s hopes and dreams, and preparation.

But where do you start? When it comes to preparing for your fi nancial future, a qualifi ed professional can be a valued asset. However, a critical fi rst step is monitoring your spending and savings habits in order to get an honest look at your current fi nancial “behavior.”

By completing the Personal Financial Statement below, you will have a good basis to begin analyzing your investment and life insurance needs. Be sure to include your spouse as you carefully consider the portrait you are creating of yourself, your family’s future needs and how you can best meet them.

Getting a better idea of your current income, assets, expenses and liabilities will allow you to begin planning for your future. For example, it can help you identify potential gaps the fi nancial resources available to your family and the amount of income that would be needed in the event of your death. You should adjust these fi gures periodically to take into account changes in family circumstances, major life/fi -nancial events, infl ation and other variables.

Many fi nancial professionals have access to software programs specifi cally designed to handle the “number crunching” aspect of looking ahead. However, there is more to it than simply looking at the numbers. For most people, looking towards the future should include a variety of considerations, including income replacement, estate protection, retirement income, education funding and asset accumulation. A qualifi ed fi nancial professional can help you identify your individual needs and outline effective solutions to help you achieve your fi nancial goals. Here’s one way you can get started down that path.

PERSONAL FINANCIAL STATEMENTCURRENT NET WORTH

ASSETS

Real Estate � Home(s) (full-market value) $_________________ � Business _________________ � Other _________________Life Insurance � Cash value of your life insurance _________________ � Cash value of family member’s life insurance _________________Cash or Equivalent Funds � Savings account(s) _________________ � Checking account(s) _________________ � Certifi cates of deposit _________________ � Retirement plan assets _________________• 401(k) and IRA(s) _________________• Other _________________Investments � Individual Bonds _________________ � Individual Stocks _________________ � Mutual funds _________________• OtherPersonal Property � Home furnishings $_________________ � Car(s) _________________ � Jewelry, clothes, silver, china, art, etc. _________________ � Miscellaneous _________________

TOTAL ASSETS $_________________

LIABILITIES

� Mortgage(s)/home equity loan(s) _________________ � Auto/personal loans _________________ � Education loans _________________ � Credit card balances _________________ � Other debts _________________

TOTAL LIABILITIES $_________________

TOTAL ASSETS less TOTAL LIABILITES equals NET WORTH $_________________

ESTIMATE OF ANNUAL FAMILY RESOURCES AND EXPENSES AFTER DEATH

ANNUAL INCOME First Spouse Second Spouse

Survivor’s salary $_________________ $_________________ Interest _________________ _________________ Dividends _________________ _________________ Investment income _________________ _________________ Benefi ts: Social Security _________________ _________________ Veterans’ _________________ _________________ Income from Life insurance _________________ _________________ Pension _________________ _________________ Other income _________________ _________________

TOTAL INCOME $_________________ $_________________

ESTIMATED ANNUAL EXPENSES Housing: Mortgage/Rent $_________________ Utilities _________________ Other _________________ Food: _________________ Clothing/upkeep _________________ Transportation _________________ Education/education savings _________________ Entertainment and recreation _________________ Medical and dental expenses _________________ Child care expenses _________________ Insurance premiums: Life _________________ Health _________________ Disability _________________ Auto _________________ Other _________________ Loan payments and other installments: _________________ Taxes: Social Security _________________ Federal _________________ State/Local _________________ Property _________________ Other _________________

TOTAL EXPENSES $_________________

First Spouse Second SpouseTOTAL INCOME $_________________ $_________________less TOTAL EXPENSES $_________________ $_________________equals NET INCOME $_________________ $_________________

www.NAIFA.org 15

If you do not wish to receive FSP-Palm Beach County Chapter faxes or emails, please let us know immediately. Ph: 561-588-5444 Fax: 561-588-1444 Email: info@pbsfsp.org

Palm Beach County Chapter P.O. Box 151

Lake Worth Florida 33460-0151 (561) 588-5444 � fax: (561) 588-1444

info@pbsfsp.org / www.pbsfsp.org

Society of FSP™ proudly presents Mom & Pop Are Ready to Retire, But is Their Money Ready Too?

Securing a Comfortable Retirement for the Small Business Owner

WEDNESDAY, November 19, 2008 1:00 P.M. to 3:15 P.M.

RESERVE NOW! 2 Hours of Continuing Education!! Intermediate Level - This program has been submitted for Insurance, CLE, CPE, CFP®, ICB, and PACE credits.

For years, Mom and Pop poured their time, sweat, and money into their business. Like most business owners, they funneled the lion’s share of their income back into the business to meet everyday expenses and to help it grow. Now they want to retire, only to discover that the business itself is their retirement plan. Do they sell it and live off the proceeds? If so, to whom? Keep it and begin taking money out? If so, how? And let’s not forget the IRS, which has a keen interest in whatever choice is made.

The first part of this program discusses the retirement options available to the small business owner. Tax implications of C corps, S corps, and other business entities are also considered. The second part uses a case study to illustrate various planning options in practice.By the end of the program you will understand:

� The scope, characteristics, and financial advice needs of the small business market � The full range of retirement options available to the small business owner � The roles of qualified, nonqualified, and executive bonus plans and tax-deferred annuities in small business owner retirement planning � What opportunities this extremely lucrative market presents to the financial service professional

Moderator:Steve Parrish, JD, CLU, ChFC, is National Advanced Solutions Consultant for the Principal Financial Group.

Panel of Experts:Thomas M. Brinker, Jr., CPA/PFS, ChFC, CFE, AEP; Christine G. Forakis, JD; Donald O. Jansen, Esq.

RSVP no later than Nov 14, 2008

Name____________________________

Email ____________________________

� Member of Society FSP –PBCC $35.00

� Non-Member $50.00

Make check payable to SFSP-PBCC

P.O. Box 151

Lake Worth, FL 33460-0151.

Or, register on line (credit card payment):

www.pbsfsp.org

Ph- 561-588-5444 � fax: 561-588-1444

1:00 P.M. to 3:15 P.M. Wednesday Only!

Location #1 Capital Conclusions Corp (561) 392-7400 7000 West Palmetto Park Rd, Ste 300 Boca Raton, FL 33433 Host: Harvey Stein, CLU, ChFC Take Exit 44 West on Palmetto Park Rd. Keep right at the fork to go onto W Palmetto Park Rd. SW Corner of Powerline & Palmetto Park Rd. Location #2 TBA Please circle the location you plan on attending!

www.NAIFA.org16

Save $200!Register by the

Early Bird Deadline of July 1, 2008.

� Advanced technical education� Practice-oriented sessions� CE credit available for all designations*

� Networking events� State-of-the-art Exhibit Hall

…much more!*Insurance, CFP®, CLE, CPE, CTFA, CRSP, CPC, PACE, Enrolled Agentand Enrolled Actuary. Refer to www.FSPforum.com for specific creditapprovals for your designation.

World-Class SpeakersBen Baldwin, Jr., Robert Alexander, Hugh Johnson, John Olsen, Stan Miller, Richard Weber, Thomas Brinker,Jonathan Mintz, Dennis Axman…and others.

Keynote Speaker Mike SchlappiPresident, Schlappi Communications

Mike is a four-time Paralympic Medalistand two-time World Champion inWheelchair Basketball. With humor andcredibility, he challenges individuals ofall ages to succeed despite difficult cir-cumstances. Don’t miss Mike’s inspira-tional keynote address:

If You Can't Stand Up, Stand Out!

20

08 October 31-November 2

JW Marriott Las VegasResort & Spa

www.FSPforum.com

The Experience That Gives You the

EDGE

For more information and to register:

www.FSPforum.com 1-800-392-6900

NAIFA is your connection to shaping NAIFA is your connection to shaping the policies and issues that affect your the policies and issues that affect your company’s and agency’s bottom linecompany’s and agency’s bottom line

What is the NAIFA Partners for Advocacy Program?The NAIFA Partners for Advocacy Program is a new NAIFA initiative that enables companies and agencies to further support and protect the industry by giving eligible employees a voice against harmful legislation and regulation that directly impacts the insurance and financial regulation that directly impacts the insurance and financial services industry.

Who is eligible to participate in the NAIFA Partners NAIFA Partners for Advocacy Program?

• Corporate non-managerial employees of home offices and Corporate non-managerial employees of home offices and Corporate non-managerial employees of home offices and Corporate non-managerial employees of home offices and broker-dealers

• Non-producing agency employees and support staffNon-producing agency employees and support staffNon-producing agency employees and support staffNon-producing agency employees and support staffNon-producing agency employees and support staff

What will the participants in the What will the participants in the NAIFA Partners for NAIFA Partners for Advocacy Program receive? receive?

• NAIFA GovTalk—Online newsletter keeping —Online newsletter keeping GovTalk—Online newsletter keeping GovTalk PartnersPartners up up to date on NAIFA’s latest legislative and regulatory effortsto date on NAIFA’s latest legislative and regulatory efforts

• NAIFA GovAlerts—Timely email messages that let NAIFA GovAlerts—Timely email messages that let NAIFA GovAlerts—Timely email messages that let NAIFA GovAlerts—Timely email messages that let NAIFA GovAlerts—Timely email messages that let NAIFA GovAlerts—Timely email messages that let Partners know when and exactly how to make their know when and exactly how to make their know when and exactly how to make their know when and exactly how to make their know when and exactly how to make their voice heard quickly on the issues that could impact our voice heard quickly on the issues that could impact our voice heard quickly on the issues that could impact our voice heard quickly on the issues that could impact our voice heard quickly on the issues that could impact our industry

• Email updates on new articles posted on the mail updates on new articles posted on the mail updates on new articles posted on the Advisor Today web site Today web site Today www.advisortoday.cowww.advisortoday.com

• Additional email communications related to federal Additional email communications related to federal issues

How can the How can the How can the How can the How can the NAIFA Partners for Advocacy NAIFA Partners for Advocacy make a difference?make a difference?make a difference?make a difference?make a difference? By responding to GovAlerts, the By responding to GovAlerts, the By responding to GovAlerts, the By responding to GovAlerts, the By responding to GovAlerts, the By responding to GovAlerts, the NAIFA Partners for AdvocacyAdvocacy can play a crucial role in influencing the issues can play a crucial role in influencing the issues Advocacy can play a crucial role in influencing the issues Advocacythat are critical to our industry. that are critical to our industry. Partners’ support for NAIFA strengthens our industry’s voice on Capitol Hill! strengthens our industry’s voice on Capitol Hill!

Why is the Why is the NAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy Programimportant to your company?important to your company?important to your company?important to your company?important to your company?Our industry is facing increased legislative and regulatory Our industry is facing increased legislative and regulatory Our industry is facing increased legislative and regulatory Our industry is facing increased legislative and regulatory Our industry is facing increased legislative and regulatory threats that challenge our very way of doing business. The threats that challenge our very way of doing business. The threats that challenge our very way of doing business. The threats that challenge our very way of doing business. The threats that challenge our very way of doing business. The tax advantages on our products are being threatened and tax advantages on our products are being threatened and tax advantages on our products are being threatened and tax advantages on our products are being threatened and tax advantages on our products are being threatened and tax advantages on our products are being threatened and therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened therefore our clients’ financial security is being threatened as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice as well. Now is the time to grow NAIFA’s collective voice and expand our opportunities to address the issues that are and expand our opportunities to address the issues that are and expand our opportunities to address the issues that are and expand our opportunities to address the issues that are and expand our opportunities to address the issues that are and expand our opportunities to address the issues that are critical to our clients and our industry. critical to our clients and our industry. critical to our clients and our industry.

How can your company enroll in the How can your company enroll in the NAIFA Partners NAIFA Partners for Advocacy Programfor Advocacy Program??Companies that choose to take part in the program can Companies that choose to take part in the program can Companies that choose to take part in the program can enroll their participants using our online enrollment form enroll their participants using our online enrollment form enroll their participants using our online enrollment form enroll their participants using our online enrollment form enroll their participants using our online enrollment form located at located at www.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnershipwww.naifa.org/corporatepartnerships. Upon . Upon receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will receipt of a company’s online enrollment form, NAIFA will prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be prepare an invoice for the full cost of all participants to be paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:paid by the company or agency. The pricing is as follows:

# of Partners Enrolled Price1-5 1-5 $40 per participant$40 per participant

6-10 6-10 $30 per participant$30 per participant11+ 11+ $20 per participant$20 per participant

To learn more about theTo learn more about the NAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy ProgramNAIFA Partners for Advocacy Program and to enroll your and to enroll your and to enroll your and to enroll your eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at eligible participants online, please visit our webpage at

www.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnershipswww.naifa.org/corporatepartnerships or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the or email npa@naifa.org. To contact the Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).Member Service Center, please call 1-877-TO-NAIFA (866-2432).

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