Duncan and Tina are both 65. They live a comfortable lifestyle, spending about $1,600,000 a year after taxes and gifting about $2,000,000 a year to their family foundation. With assets worth approximately $62M and annual income of over $7M, they currently pay just over $2M a year in income taxes and have an increasing estate tax and ongoing income tax exposure. The primary planning goals are to: -Make sure that they have sufficient funds to live on for the rest of their lives (approx. $1,600,000/yr. after taxes and gifts). -Assure that Duncan's, Inc. does not have to be liquidated as a result of their death. -Provide a successful transition of the business to their son, Jason, while ensuring an equal inheritance for their son, Jeremy. They would like to leave 50% of their estate to Jason & Jeremy and another 25% to their grandchildren and other family members. -They wish to continue annual giving to their family foundation and ultimately leave 25% of their estate to the foundation at death. -Make sure the company buy/sell agreement accurately reflects the wishes of the family owners in the most tax efficient manner possible. -Eliminate or reduce estate taxes.

1. Case Study Webinar
©2013. InKnowVision LLC. All rights reserved. www.inknowvision.com

2. FAMILY WEALTH GOAL ACHIEVER™ - INITIAL
PREPARED FOR:
DUNCAN AND TINA LEWIS
October 1, 2013
DRAFT FOR DISCUSSION PURPOSES ONLY
PRESENTED BY
Scott Hamilton
InKnowVision, LLC
715 Enterprise Dr.
Oak Brook, IL 60523
Phone: 630-596-5090
Copyright 2013 InKnowVision, LLC

3. YOUR GOALS AND OBJECTIVES
DUNCAN AND TINA LEWIS
Maintain our customary lifestyle. This should take about $1,600,000 annually after taxes and gifts.
Provide for the financial security of the surviving spouse.
Maintain adequate liquidity for emergencies and investment opportunities. We prefer to keep at least
$1,000,000 in cash and readily marketable securities.
Assure that Duncan's, Inc. does not have to be liquidated as a result of our death.
Provide a successful transition of the business to our son, Jason, while ensuring an equal inheritance for our
son, Jeremy. We would like to leave 50% of our estate to Jason & Jeremy and another 25% to our grandchildren
and other family members.
We wish to continue annual giving to our family foundation and ultimately leave 25% of our estate to the
foundation at death.
Make sure the company buy/sell agreement accurately reflects the wishes of the family owners in
the most tax efficient manner possible.
Reduce income taxes if possible.
Eliminate or reduce estate taxes.
Page 2

4. PERIODIC TABLE OF ESTATE PLANNING ELEMENTS - RECOMMENDED
DUNCAN AND TINA LEWIS
The highlighted tools are those we have determined are most suited to achieving your goals and objectives.
Charitable
Remainder UniTrust
412(e)
Family Limited
Partnership
Private Annuity
Grantor Retained
Annuity Trust
Family LLC
TCLAT
Qualified Personal
Residence Trust
Flip CRT
Sale of Duncan's,
Inc. shares for
Installment Note
Charitable Lead
Annuity Trust
SCIN
Series Limited
GDOT Owned Life
Liability Company
Insurance
Premium Finance
Beneficiary
Continued Annual
Defective Inheritor's
Charitable Gifts
Trust (BDIT)
529 Plans
Gifting
ILIT
Corporate
Recapitalization
Walton GRAT
Family Foundation Charitable Life Estate
NIMCRUT
Annuity
Withdrawal
Asset Protection
SPIA/Life Arbitrage
SPIA/Life in a CLAT
Principal Protected
Notes
Revocable Living
Trusts, DPAs and
POAs
Crummey Powers
Dynasty Trust
International
VUL
GDOT
Supporting
Organizations
IRA to Charity
Gift Annuity
Amended Buy/Sell
Agreement
Life Estates
International
Business Risk
Management
LLC/CRTs
Bargain Sales
Business
Succession
Planning
Risk Management
Charitable
Remainder Annuity
Trust
ESOP Planning
Defined Benefit
Plans
Qualified Plan
Limited Partnership
Green equals a
new planning tool
for family
Blue equals a social
capital or
charitable tool
Yellow equals an
existing planning
tool
Page 3

5. DUNCAN AND TINA LEWIS
LIFETIME SPENDING
AND LIQUIDITY
Page 4

6. YOUR LIQUID ASSETS -PROPOSED PLAN
DUNCAN AND TINA LEWIS
$25,000,000
$20,000,000
$15,000,000
-
$10,000,000
$5,000,000
$-
Readily Liquid Assets - Proposed
Most of our clients want to know that they have sufficient liquid assets (in addition to income) to pay their living expenses. This chart shows your liquid
assets assuming full implementation of the proposed plan. For purposes of this chart, liquid assets include cash, stocks, bonds, annuities and qualified
retirement accounts but do not include any other assets you might own such as promissory notes, businesses or real estate.
Page 5

7. PERSONAL LIVING EXPENSES vs. AVAILABLE CASH FLOW
DUNCAN AND TINA LEWIS
$6,000,000
GDOT promissory notes
are paid off
$5,000,000
GDOT ceases to be a
grantor trust and takes
over income tax
$4,000,000
-
$3,000,000
$2,000,000
$1,000,000
$-
Living Expenses
Annual Cash Flow
Illustration compares your living expenses under the proposed plan as against your annual cash flow available.
Page 6

8. DUNCAN AND TINA LEWIS
INCREASE INHERITANCE
AND REDUCE ESTATE TAX
Page 7

9. COMPARISON OF PLAN RESULTS - PLAN YEAR 2013
DUNCAN AND TINA LEWIS
Existing Plan
Proposed Plan
Advantage
Estate Value
$
63,485,283
$
58,096,120
Heirs Receive Immediately
$
41,392,747
$
53,940,093
$
12,547,346
Heirs Receive from Deferred Inheritance
$
$
14,247,714
$
14,247,714
Total Benefits to Family
$
41,392,747
$
68,187,807
$
26,795,060
Family Charity
$
6,019,797
$
57,874,735
$
51,854,938
Estate and Income Tax
$
21,676,498
$
$
21,676,498
-
-
This chart assumes that you both die this year and compares the results of the current plan with the proposed plan.
Deferred Inheritance is a gross approximation based on the long term performance of the TCLAT.
Page 8

10. COMPARISON OF PLAN RESULTS - PLAN YEAR 2036
DUNCAN AND TINA LEWIS
Existing Plan
Proposed Plan
Advantage
Estate Value
$
141,515,391
$
38,784,058
Heirs Receive Immediately
$
88,413,621
$
118,570,414
$
30,156,793
Heirs Receive from Deferred Inheritance
$
$
9,541,951
$
9,541,951
Total Benefits to Family
$
88,413,621
$
128,112,365
$
39,698,744
Family Charity
$
67,182,540
$
103,546,468
$
36,363,928
Estate and Income Tax
$
52,501,723
$
$
52,501,723
Present Value of total to Heirs *
Discount rate for PV calculation
-
$28,784,938
-
$41,709,710
5.00%
This chart assumes that you both die at life expectancy and compares the results of the current plan with the proposed plan.
Deferred Inheritance is a gross approximation based on the long term performance of the TCLAT.
* The present value is lower than the "current" values on the previous page. This is a function of re-invested profits growing at low or no
growth rates.
Page 9

11. ASSETS PASSING TO YOUR FAMILY - CURRENT VS. PROPOSED
DUNCAN AND TINA LEWIS
$130,000,000
$110,000,000
$90,000,000
$70,000,000
$50,000,000
$30,000,000
Current Plan
Proposed Plan
This chart compares the amount of your assets that will pass to heirs after estate taxes and costs of implementation in the current plan as against the
proposed plan.
Page 10

12. INTRODUCTION TO THE PLAN STRATEGIES ROADMAP
DUNCAN AND TINA LEWIS
The following section of the plan contains a step by step roadmap for each of the strategies that we are recommending.
You will notice that the strategies are often interdependent; that is, in order for one strategy to be successful, you must
complete another strategy as well. It is the integration of each of these strategies that allows you to most efficiently
accomplish your goals.
Also keep in mind that there is often more than one way to get from point A to point B. This is true in wealth transfer
planning. If a particular strategy or combination of strategies is not acceptable to you, we may be able to reach the desired
result in a less efficient but perhaps more acceptable way.
The following pages are a conceptual road map only, there are numerous details contained in each strategy that are not
detailed in the overall plan that follows.
Page 11

13. CREATE GRANTOR DEEMED OWNER TRUSTS
DUNCAN AND TINA LEWIS
Duncan and Tina create individual grantor deemed owner trusts (GDOT).
The GDOTs can be drafted to provide asset protection and long term estate tax savings through the use of dynasty trust provisions.
Page 12

14. GIFT TO GRANTOR DEEMED OWNER TRUST
DUNCAN AND TINA LEWIS
Duncan and Tina each make a gift of $1,500,000 to their individual GDOT. These gifts are composed of cash and approximately 7%
of their shares in Duncan's, Inc.
$1,500,000
$1,500,000
Page 13

15. SELL DUNCAN'S, INC. SHARES TO EACH GDOT
DUNCAN AND TINA LEWIS
Duncan and Tina sell approximately 68% of their Duncan's, Inc. shares to their individual GDOTs for an installment note.
Sell 68% of their combined
Duncan's, Inc. shares worth
$21,983,874
Installment note worth
$21,983,874 that provides
annual payments of
$2,013,079
The sale price is based on the assumed value of the assets
sold.
*Note payments are amortized over 14 years at the long term
AFR of 3.50%. Note is paid off in 2026, and the grantor status
is revoked. GDOTs begin paying their own income taxes in
2027.
Note: Appoint special trustee with power to vote shares
of Duncan's, Inc.
Page 14

16. GDOTs MAKE ANNUAL GIFTS TO CHARITY
DUNCAN AND TINA LEWIS
The GDOT Trustees make annual charitable gifts to the Lewis Family Foundation.
$2,000,000
Advantages
Allows continued contribution to important charitable causes
Income tax benefits and deductions of the annual gifts continue
Discussion Points
Trust should provide for minimum of $2,000,000 annual distributions to charity
Trust Protector should be given power to increase or decrease annual distributions
Page 15

17. PERMANENT LIFE INSURANCE TO PURCHASE DUNCAN'S, INC. SHARES
DUNCAN AND TINA LEWIS
The GDOT Trustees purchase permanent second-to-die life insurance with a small portion of the assets of the two GDOTs.
Pay annual premiums of
$171,420
Note: GDOTs purchase a survivorship universal life insurance where death benefit is guaranteed for life assuming
annual premiums continue to be paid. This policy is specifically designed to purchase the Duncan's, Inc. shares
remaining in Duncan & Tina's estate, thereby assuring that they pass to Jason.
The premium is based on certain assumptions. This is for illustration purposes only. Actual insurance numbers can only be
determined by applying for insurance.
Page 16

18. LIFE INSURANCE TO MEET INHERITANCE GOAL
DUNCAN AND TINA LEWIS
The GDOT Trustees purchase second-to-die life insurance with a small portion of the assets of the two GDOTs.
Pay annual premiums of
$155,650 for years 1-10 and
annual premiums of $50,000
for years 11-20
Note: The purpose of this policy is to allow Duncan & Tina to meet their inheritance goal to pass 75% of their
estate to family in all years. The GDOTs purchase a survivorship universal life insurance policy designed with
minimum premiums. We are using this type of policy instead of term for cost savings. This choice also allows for
the possibility of continuing some or all of the policy death benefit beyond 20 years depending on the financial
situation of the family and the GDOTs.
The premium is based on certain assumptions. This is for illustration purposes only. Actual insurance numbers can only be
determined by applying for insurance.
Page 17

19. MEETING YOUR INHERITANCE GOALS
DUNCAN AND TINA LEWIS
$140,000,000
$120,000,000
$100,000,000
$80,000,000
$60,000,000
$40,000,000
$20,000,000
$-
75% of Estate
Proposed Plan to Heirs w/ Insurance
Proposed Plan to Heirs - No Insurance
This chart shows how the recommended strategies coupled with carefully managed amounts of life insurance will allow you to meet your inheritance
goals.
Page 18

20. EXISTING STOCK REDEMPTION AGREEMENT - DUNCAN'S, INC.
DUNCAN AND TINA LEWIS
Under the existing scenario: At death, Duncan's, Inc. redeems shares with life insurance
proceeds. In the event of the death of Tad Joiner, this would unnecessarily increase
Duncan and Tina's estate.
Page 19

21. PROPOSED BUY/SELL AGREEMENT - DUNCAN'S, INC.
DUNCAN AND TINA LEWIS
1
Notes:
2
4/5
4/5
1. At death of Tad Joiner, estate transfers shares to GDOT.
2. At death of Tad Joiner, GDOT pays his estate with insurance proceeds.
Selling to the GDOT keeps Duncan and Tina's estate size smaller, saving tax.
3. At death of Duncan or Tina, shares go to survivor (marital deduction).
4. At second to die (Duncan/Tina) shares go to GDOT.
5. Insurance proceeds pay GDOT, which are used to buy stock from
3
the estate of the survivor of Duncan or Tina.
Further Notes: Consider a corporate recapitalization to keep controlling stock in hands of
senior family members while transferring equity to Jason.
Page 20

22. CREATE AND FUND QUALIFIED PERSONAL RESIDENCE TRUSTS
DUNCAN AND TINA LEWIS
Duncan and Tina each create a qualified personal residence trust (QPRT) with a term of 10 years. Care to be
taken to avoid reciprocal trust doctrine.
Deed
Deed
Duncan gifts an undivided interest in property
456 Main St, Florida
765 Main Street, Philadelphia, PA
Sub Total
Tina gifts an undivided interest in property
1,750,000
1,750,000
456 Main St, Florida
-
765 Main Street, Philadelphia, PA
4,000,000
Sub Total
4,000,000
Note: If one or both of you should die before the QPRT term ends, that property would be back in your estate(s).
Page 21

23. QPRT APPRAISAL - GIFT OF REAL ESTATE
DUNCAN AND TINA LEWIS
Duncan and Tina hire an appraiser to value the real estate.
▪
▪
Lack of liquidity
Limited transferability
Appraisal of Real Estate
The value of Duncan's QPRT gift is
expected to be $1,093,523
Appraisal of Real Estate
The value of Tina's QPRT gift is
expected to be $2,499,480
ASSUMPTIONS USED TO CALCULATE QPRT GIFT VALUES
Term (years)
7520 Rate
10
2.31%
Duncan's age
65
Tina's age
65
Page 22

24. AFTER THE QPRT TERM ENDS (I)
DUNCAN AND TINA LEWIS
Each QPRT will name the other spouse as a beneficiary. As such, the other spouse can continue to use the
residence without rent.
Page 23

25. AFTER THE QPRT TERM ENDS (II)
DUNCAN AND TINA LEWIS
At death, the real estate and any accumulated rental income, passes to your heirs without estate tax. The
trusts can be structured for distributions according to your particular goals and objectives.
Note: This illustration assumes no rent is paid; however, under certain circumstances fair market rent may need to be paid.
For example, if Tina outlives Duncan and wants to continue to use the Pennsylvania property, she will need to pay fair market rent.
The advantage to this is that rent is a very effective way to move additional assets outside of the taxable estate.
Page 24

26. LEAVE IRA TO CHARITY
DUNCAN AND TINA LEWIS
At the 2nd death, leave your IRA and qualified plans to charity.
$1,390,345
Advantages
No estate tax
No income in respect of a decedent tax
Most tax efficient asset to satisfy charitable intent
Helps to satisfy goal of leaving 25% of the estate to the family foundation
Page 25

27. TESTAMENTARY CHARITABLE LEAD ANNUITY TRUST (Part I)
DUNCAN AND TINA LEWIS
Include language in your trust or Will that creates a testamentary charitable lead trust (TCLAT) at the second death.
TCLAT Assumptions
Asset growth rate
TCLAT payout rate
Present value discount rate
Assumed date of death
5.00%
5.09%
5.00%
2013
Note: In this scenario the proceeds from the permanent life insurance policy would be utilized to buy the remaining
Duncan's, Inc. interests from Duncan & Tina's estate. This would allow the business interests to pass to Jason and not end up
in the charitable trust.
Page 26

28. TESTAMENTARY CHARITABLE LEAD ANNUITY TRUST (Part II)
DUNCAN AND TINA LEWIS
At the end of the TCLAT term, your heirs will receive all of the remaining trust assets.
Note: The amount passing to beneficiaries is entirely dependent on the rate of return of the assets in the trust. A
higher rate of return means more passing to heirs and a lower rate of return could mean that nothing passes to
heirs.
Page 27

29. DETAILED FINANCIAL ANALYSIS
DUNCAN AND TINA LEWIS
INTRODUCTION
The following section of the plan contains all of the financial analysis used to show you where you
stand with your current plan and what is possible with the proposed plan.
All of the numbers are based on information provided by you or gleaned from statements and tax
returns. If numbers do not look correct, please let us know so that we can make appropriate
changes.
Assumed growth and yield numbers are all listed on the Net Worth pages contained in these
sections.
Page 28

30. DETAILED FINANCIAL ANALYSIS
DUNCAN AND TINA LEWIS
CURRENT PLAN FINANCIALS
In the Current Plan Section you will find a Net Worth Statement and a detailed cash flow and asset
value projection analysis.
Page 29

31. CURRENT NET WORTH STATEMENT
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
CASH AND EQUIVALENTS
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Total of Cash and Equivalents
1,013,319
3,121,625
12,651
106,208
105,905
104,987
257,591
4,722,286
1,012,847
2,938,695
12,651
106,208
106,168
-
1,013,319
0.4%
0.0%
-
1,012,847
0.4%
0.0%
-
3,121,625
0.4%
0.0%
-
2,938,695
0.4%
0.0%
-
12,651
0.4%
0.0%
-
12,651
0.4%
0.0%
-
106,208
0.4%
0.0%
-
106,208
0.4%
0.0%
-
105,905
0.4%
0.0%
-
106,168
0.4%
0.0%
-
104,987
0.4%
0.0%
-
104,987
0.4%
0.0%
-
257,591
0.4%
0.0%
257,591
-
257,591
0.4%
0.0%
4,539,147
-
9,261,433
0.4%
0.0%
104,987
-
MARKETABLE SECURITIES - EQUITIES
Investment Company
-
118,960
-
118,960
1.2%
5.0%
Investment Company
-
164,509
-
164,509
1.2%
5.0%
Investment Company
-
856,067
-
856,067
1.2%
5.0%
Investment Company
-
12,300
-
12,300
1.2%
5.0%
-
12,012
Investment Company
-
12,012
1.2%
5.0%
Investment Company
127,868
-
-
127,868
1.2%
5.0%
Investment Company
146,218
-
-
146,218
1.2%
5.0%
Investment Company
854,949
-
-
854,949
1.2%
5.0%
-
2,292,883
1.2%
5.0%
Total of Equities
1,129,035
1,163,848
Page 30

32. CURRENT NET WORTH STATEMENT (Page 2)
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
NON-TAXABLE MARKETABLE SECURITIES
Muni Bonds
Muni Bonds
Total of Non-Taxable Marketable Securities
3,226,787
-
-
-
3,226,787
4.1%
0.0%
3,154,378
-
3,154,378
4.1%
0.0%
3,226,787
3,154,378
-
6,381,165
4.1%
0.0%
10,500
10,500
-
21,000
9.7%
3.0%
1,039,500
1,039,500
-
2,079,000
9.7%
3.0%
2,100,000
9.7%
3.0%
OTHER INVESTMENTS
Duncan Leasing Co, LLC Class A (.1750%/.1750%)
Duncan Leasing Co, LLC Class B (17.325%/17.325%)
Total of Other Investments
Duncan's, Inc. (S Corp - 15.82%/15.37%)
Property Company
Corporate Property
Total Closely Held Business
1,050,000
-
32,568,703
CLOSELY HELD BUSINESS
1,050,000
31.18%
16,524,664
16,044,038
-
32,568,702
20.6%
2.0%
47,297
47,297
-
94,594
0.2%
3.0%
33,034
32,568,703
51,750
51,750
-
103,500
5.0%
3.0%
16,623,711
16,143,085
-
32,766,796
20.5%
2.0%
RETIREMENT PLANS/IRAs
Duncan's, Inc.
Total Retirement Plans
1,367,089
-
1,367,089
0.0%
7.0%
1,367,089
-
1,367,089
0.0%
7.0%
Page 31

33. CURRENT NET WORTH STATEMENT (Page 3)
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
RESIDENTIAL REAL ESTATE
123 Main Street
456 Main St, Florida
1,750,000
750,000
-
-
750,000
0.0%
3.0%
-
1,750,000
0.0%
3.0%
678 Main Street, Florida
-
850,000
-
850,000
0.0%
3.0%
765 Main Street, Philadelphia, PA
-
4,000,000
-
4,000,000
0.0%
3.0%
5,600,000
-
7,350,000
0.0%
3.0%
-
300,000
0.0%
0.0%
Total of Personal Residences
1,750,000
160,000
PERSONAL PROPERTY
Paintings
Autos
Total of Personal Property
TOTAL ASSETS
TOTAL LIABILITIES
NET WORTH
-
300,000
80,000
45,000
-
125,000
0.0%
0.0%
80,000
345,000
-
425,000
0.0%
0.0%
29,948,908
31,995,458
-
61,944,366
-
29,948,908
-
31,995,458
-
-
-
61,944,366
Page 32

34. SCHEDULE OF LIFE INSURANCE BENEFITS - CURRENT PLAN
DUNCAN AND TINA LEWIS
COMPANY
INSURED
POLICY #
BENEFICIARY
PREMIUM
CASH VALUE
DEATH BENEFIT
Term
Duncan Lewis
#
Duncan's, Inc.
43,825
-
18,000,000
Term
Tina Lewis
#
Duncan's, Inc.
22,175
-
17,000,000
Term
Tad Joiner
#
Duncan's, Inc.
81,975
-
65,000,000
Term
Jason Lewis
#
Duncan's, Inc.
2,835
-
5,000,000
150,810
-
105,000,000
Policies owned by Duncan's, Inc.
Totals
Insurance Notes: All insurance is currently owned by Duncan's, Inc. and is designed to fund redemption of stock in the event
of the death of a share holder. As shown earlier, insurance ownership should be rearranged (or in the case of Duncan and
Tina, surrendered) after new insurance is put in place.
Page 33

35. FINANCIAL ANALYSIS - EXISTING PLAN
YEAR
ASSET VALUE PROJECTIONS - EXISTING PLAN
Current
2013
2014
2015
2016
2017
2026
2027
2036
Asset Values
Cash and cash equivalents
9,261,433
10,518,475
11,766,312
13,064,136
14,413,075
15,814,280
30,903,080
32,894,365
54,227,900
Marketable securities - Equities
2,292,883
2,320,944
2,436,991
2,558,841
2,686,783
2,821,122
4,376,487
4,595,311
7,128,835
Municipal bonds
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
Other investments
2,100,000
2,115,533
2,178,999
2,244,369
2,311,700
2,381,051
3,106,732
3,199,934
4,175,187
32,766,796
32,929,455
33,590,035
34,263,867
34,951,215
35,652,353
42,630,596
43,485,785
51,997,267
Closely held business
Retirement plans/IRAs
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Personal residences
7,350,000
7,404,366
7,626,497
7,855,291
8,090,950
8,333,679
10,873,560
11,199,767
14,613,156
Personal property
Total assets in estate
Combined net worth
425,000
425,000
425,000
425,000
425,000
425,000
425,000
425,000
425,000
61,944,366
63,485,283
65,892,669
68,384,476
70,963,121
73,631,109
101,107,747
104,637,586
141,515,391
$ 61,944,366
$ 63,485,283
$ 65,892,669
$ 68,384,476
$ 70,963,121
$ 73,631,109
$ 101,107,747
$ 104,637,586
$ 141,515,391
In the event that there is a cash flow surplus, the surplus is added to the cash row by default.
If there is a cash flow shortage (because of spending or gifting capital) then the shortage is treated as a reduction in cash.
Page 34

36. TAXABLE INCOME PROJECTIONS - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Sources of taxable income
Cash and cash equivalents
38,998
44,291
49,546
55,010
60,691
122,034
130,127
216,995
Marketable securities - Equities
27,062
27,393
28,763
30,201
31,711
49,194
51,654
80,132
Other investments
202,975
Retirement plans/IRAs
Client earned income
Gross income
204,476
210,611
216,929
223,437
291,534
300,280
391,798
6,722,291
Closely held business
6,755,661
6,891,183
7,029,423
7,170,437
8,573,908
8,745,905
10,457,742
116,362
123,648
203,899
127,068
-
127,068
$
7,118,394
-
127,068
$
7,158,890
-
127,068
$
7,307,170
-
127,068
$
7,458,632
127,068
$
7,613,343
$
9,153,032
$
9,351,613
$ 11,350,566
Page 35

37. INCOME TAX PROJECTIONS - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Income tax Estimation
Adjusted gross income:
Dividend income (marketable sec.)
27,062
Earned and other income
27,393
28,763
30,201
31,711
49,194
51,654
80,132
7,091,332
7,131,497
7,278,407
7,428,431
7,581,632
9,103,838
9,299,959
11,270,433
7,118,394
Adjusted gross income
7,158,890
7,307,170
7,458,632
7,613,343
9,153,032
9,351,613
11,350,566
Deductions
Real estate tax
41,548
41,548
Charitable gifts
2,000,000
42,379
43,227
44,091
44,973
53,747
54,822
65,517
459,136
State income taxes
461,748
471,312
481,082
491,061
590,371
603,179
732,111
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
Charitable Deduction available
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
Charitable Deduction allowed
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
Total deductions
2,500,684
2,504,127
2,514,539
2,525,173
2,536,034
2,644,117
2,658,001
2,797,628
Reductions
(204,552)
Deductions allowed
4,822,261
$
2,311,094
(210,215)
2,298,361
2,296,133
Taxable income
Federal and State income tax
(205,767)
2,304,324
4,860,529
$
2,328,795
(214,759)
2,310,414
5,002,846
$
2,394,448
(219,400)
2,316,633
5,148,218
$
2,461,503
(265,591)
2,378,526
5,296,710
$
2,529,988
(271,548)
2,386,452
6,774,506
$
3,211,079
(331,517)
2,466,112
6,965,161
$
3,298,904
8,884,454
$
4,182,295
Page 36

38. CASH FLOW PROJECTIONS - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Sources of income for Lifestyle
Consumable income (taxable)
7,118,394
7,158,890
7,307,170
7,458,632
7,613,343
9,153,032
9,351,613
11,350,566
Consumable income (tax exempt)
262,742
262,742
262,742
262,742
262,742
262,742
262,742
262,742
Total income available for lifestyle
7,381,136
7,421,632
7,569,912
7,721,374
7,876,085
9,415,774
9,614,355
11,613,308
Living expenses
1,600,000
1,632,000
1,664,640
1,697,933
1,731,891
2,069,771
2,111,166
2,523,039
Income tax
2,311,094
2,328,795
2,394,448
2,461,503
2,529,988
3,211,079
3,298,904
4,182,295
213,000
213,000
213,000
213,000
213,000
213,000
213,000
213,000
Cash gifts to charity
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
Total uses of cash
6,124,094
6,173,795
6,272,088
6,372,435
6,474,880
7,493,849
7,623,071
8,918,334
Uses of Cash
Cash gifts to family
Surplus
$
1,257,042
$
1,247,837
$
1,297,824
$
1,348,938
$
1,401,205
$
1,921,925
$
1,991,285
$
2,694,973
In the event that there is a cash flow surplus, the surplus is added to the cash row on the "Asset Value Projections" 3 pages earlier.
If there is a cash flow shortage (spending or gifting capital) then the shortage is treated as a reduction in cash on
the "Asset Value Projections" 3 pages earlier.
Page 37

39. FIRST ESTATE TAX ESTIMATION AND DISTRIBUTION - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Tax calculation on Duncan's death
Combined net worth
61,944,366
63,485,283
65,892,669
68,384,476
70,963,121
73,631,109
101,107,747
104,637,586
141,515,391
Duncan's estimated estate
29,948,908
30,693,912
31,857,836
33,062,577
34,309,302
35,599,223
48,883,649
50,590,257
68,419,966
Total gross estate
29,948,908
30,693,912
31,857,836
33,062,577
34,309,302
35,599,223
48,883,649
50,590,257
68,419,966
Settlement expenses
Joint, personal and IRA to Tina
Outright or in trust to Tina
(174,745)
(178,470)
(184,289)
(190,313)
(196,547)
(202,996)
(269,418)
(277,951)
(367,100)
(1,447,089)
(1,470,345)
(1,567,669)
(1,671,806)
(1,783,233)
(1,902,459)
(2,491,128)
(2,536,259)
(2,646,880)
(24,077,074)
(24,795,097)
(25,855,878)
(26,950,458)
(28,079,523)
(29,243,768)
(41,873,102)
(43,526,047)
(61,155,986)
Taxable estate
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
Plus Duncan's lifetime taxable gifts
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
Tax base
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
Federal Estate Tax
-
-
-
-
-
-
-
-
-
Distribution of Duncan's estate
Settlement expenses
174,745
178,470
184,289
190,313
196,547
202,996
269,418
277,951
367,100
To family trust
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
Joint, personal and IRA to Tina
1,447,089
1,470,345
1,567,669
1,671,806
1,783,233
1,902,459
2,491,128
2,536,259
2,646,880
Outright or in trust to Tina
Total
24,077,074
24,795,097
25,855,878
26,950,458
28,079,523
29,243,768
41,873,102
43,526,047
61,155,986
$ 29,948,908
$ 30,693,912
$ 31,857,836
$ 33,062,577
$ 34,309,302
$ 35,599,223
$ 48,883,649
$ 50,590,257
$ 68,419,966
Assumptions
We assume that Duncan dies first, followed immediately by Tina.
Taxes under "Distribution of First Estate" include estate and income taxes.
Page 38

40. SECOND ESTATE TAX ESTIMATION AND DISTRIBUTION - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Tax Calculation on Tina's death
Tina's assets
31,995,458
32,791,372
34,034,832
35,321,899
36,653,819
38,031,886
52,224,099
54,047,328
73,095,425
Plus assets from Duncan's estate
25,524,163
26,265,442
27,423,547
28,622,264
29,862,756
31,146,227
44,364,230
46,062,306
63,802,867
Tina's estimated estate
57,519,621
59,056,814
61,458,380
63,944,163
66,516,574
69,178,112
96,588,329
100,109,634
136,898,292
Settlement expenses
Tina's taxable estate
(600,196)
(615,568)
(639,584)
(664,442)
(690,166)
(716,781)
(990,883)
(1,026,096)
(1,393,983)
56,919,425
58,441,246
60,818,796
63,279,721
65,826,409
68,461,331
95,597,446
99,083,538
135,504,309
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
1,000,000
Tax base
57,919,425
59,441,246
61,818,796
64,279,721
66,826,409
69,461,331
96,597,446
100,083,538
136,504,309
Federal Estate Tax
21,067,770
21,676,498
22,627,518
23,611,888
24,630,563
25,684,533
36,538,978
37,933,415
52,501,723
Total Estate Tax Due
21,067,770
21,676,498
22,627,518
23,611,888
24,630,563
25,684,533
36,538,978
37,933,415
52,501,723
600,196
615,568
639,584
664,442
690,166
716,781
990,883
1,026,096
1,393,983
52,501,723
Plus Tina's lifetime taxable gifts
Distribution of Tina's estate
Settlement expenses
21,067,770
21,676,498
22,627,518
23,611,888
24,630,563
25,684,533
36,538,978
37,933,415
Qualified plan to heirs
Taxes
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Residual estate to heirs
34,484,566
35,374,402
36,703,608
38,076,027
39,492,613
40,954,340
56,647,339
58,693,863
80,435,705
$ 57,519,621
$ 59,056,814
$ 61,458,380
$ 63,944,163
$ 66,516,574
$ 69,178,112
$ 96,588,329
$ 100,109,634
$ 136,898,292
Total
Assumptions
We assume that Duncan dies first, followed immediately by Tina.
Taxes under "Distribution of Second Estate" include estate and income taxes.
Page 39

41. SUMMARY OF BENEFITS TO FAMILY - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Benefits to Family
Family trust
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
4,250,000
36,703,608
38,076,027
39,492,613
40,954,340
56,647,339
58,693,863
80,435,705
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
360,000
378,000
396,900
416,745
437,582
459,461
712,775
748,414
1,161,036
$ 40,461,655
Total assets to heirs
1
4,250,000
35,374,402
1,367,089
Qualified plan assets
529 Plans (Grandchildren) 1
4,250,000
34,484,566
Residual estate
$ 41,392,747
$ 42,838,177
$ 44,334,578
$ 45,883,427
$ 47,486,260
$ 64,021,243
$ 66,148,537
$ 88,413,621
Assumed growth rate of 5% annually.
LEWIS FAMILY FOUNDATION DETAILS - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Lewis Family Foundation, Inc.
4,019,797
6,140,193
8,302,997
10,509,057
12,759,238
35,147,913
37,890,871
Annual Cash Contributions
BOY Foundation Value
4,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
65,182,540
2,000,000
EOY Foundation Value to Charity
6,019,797
8,140,193
10,302,997
12,509,057
14,759,238
37,147,913
39,890,871
67,182,540
Page 40

42. DETAILS OF DUNCAN'S QUALIFIED PLAN - EXISTING PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Duncan's Qualified Plans
Duncan's Age
65
66
67
68
69
78
79
88
Tina's Age
65
66
67
68
69
78
79
88
32.0
31.1
30.2
29.2
28.3
20.3
19.5
12.7
-
-
-
-
-
-
-
Minimum distribution factor
Plan contributions
Plan balance
1,367,089
1,390,345
1,487,669
-
1,591,806
-
1,703,233
-
1,822,459
Minimum distribution
-
-
Preferred distribution
-
-
-
-
-
Actual distribution
-
-
-
-
-
-
2,411,128
2,456,259
2,566,880
116,362
123,648
203,899
116,362
123,648
203,899
Page 41

43. DETAILED FINANCIAL ANALYSIS
DUNCAN AND TINA LEWIS
PROPOSED PLAN FINANCIALS
In the Proposed Plan Section you will find a balance sheet which reflects the repositioning of assets
as set out in the step by step roadmap in the proceeding section. You will also find detailed cash
flow and asset projection information on each of the proposed planning strategies.
Page 42

44. NET WORTH STATEMENT AFTER PLAN IMPLEMENTATION
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
CASH AND EQUIVALENTS
Bank
Bank
Bank
1,013,319
3,121,625
1,012,847
-
1,013,319
0.4%
0.0%
-
1,012,847
0.4%
0.0%
-
3,121,625
0.4%
0.0%
Bank
-
-
2,938,695
0.4%
0.0%
Bank
12,651
-
-
12,651
0.4%
0.0%
Bank
-
12,651
-
12,651
0.4%
0.0%
-
-
106,208
0.4%
0.0%
-
106,208
0.4%
0.0%
-
105,905
0.4%
0.0%
-
106,168
0.4%
0.0%
-
104,987
0.4%
0.0%
-
104,987
0.4%
0.0%
-
257,591
0.4%
0.0%
257,591
-
257,591
0.4%
0.0%
4,539,147
-
9,261,433
0.4%
0.0%
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Bank
Total of Cash and Equivalents
106,208
105,905
104,987
257,591
4,722,286
2,938,695
-
106,208
106,168
104,987
-
MARKETABLE SECURITIES - EQUITIES
Investment Company
-
118,960
-
118,960
1.2%
5.0%
Investment Company
-
164,509
-
164,509
1.2%
5.0%
Investment Company
-
856,067
-
856,067
1.2%
5.0%
Investment Company
-
12,300
-
12,300
1.2%
5.0%
Investment Company
-
12,012
-
12,012
1.2%
5.0%
Investment Company
127,868
-
-
127,868
1.2%
5.0%
Investment Company
146,218
-
-
146,218
1.2%
5.0%
Investment Company
854,949
-
-
854,949
1.2%
5.0%
-
2,292,883
1.2%
5.0%
Total of Equities
1,129,035
1,163,848
Page 43

45. REVISED NET WORTH STATEMENT (Page 2)
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
NON-TAXABLE MARKETABLE SECURITIES
Muni Bonds
Muni Bonds
3,226,787
-
3,226,787
4.1%
0.0%
3,154,378
-
3,154,378
4.1%
0.0%
3,226,787
3,154,378
-
6,381,165
4.1%
0.0%
10,500
10,500
-
21,000
9.7%
3.0%
1,039,500
1,039,500
-
2,079,000
9.7%
3.0%
1,050,000
1,050,000
-
2,100,000
9.7%
3.0%
4,131,166
4,011,010
-
8,142,176
20.6%
2.0%
Property Company
47,297
47,297
-
94,594
0.2%
3.0%
Corporate Property
Total Closely Held Business
51,750
51,750
-
103,500
5.0%
3.0%
4,230,213
4,110,057
-
8,340,270
20.2%
2.0%
Total of Non-Taxable Marketable Securities
-
-
OTHER INVESTMENTS
Duncan Leasing Co, LLC Class A (.1750%/.1750%)
Duncan Leasing Co, LLC Class B (17.325%/17.325%)
Total of Other Investments
CLOSELY HELD BUSINESS
Duncan's, Inc. (S Corp - 15.82%/15.37%)
RETIREMENT PLANS/IRAs
Duncan's, Inc.
Total Retirement Plans
1,367,089
-
1,367,089
0.0%
7.0%
1,367,089
-
1,367,089
0.0%
7.0%
Page 44

46. REVISED NET WORTH STATEMENT (Page 3)
DUNCAN AND TINA LEWIS
DUNCAN
TINA
JOINT
TOTAL
YIELD
GROWTH
RESIDENTIAL REAL ESTATE
123 Main Street
-
750,000
-
750,000
0.0%
3.0%
678 Main Street, Florida
-
850,000
-
850,000
0.0%
3.0%
-
1,600,000
-
1,600,000
0.0%
3.0%
-
300,000
-
300,000
0.0%
0.0%
80,000
45,000
-
125,000
0.0%
0.0%
80,000
345,000
-
425,000
0.0%
0.0%
10,991,937
10,991,937
-
21,983,874
3.50%
Total of Personal Residences
PERSONAL PROPERTY
Paintings
Autos
Total of Personal Property
OTHER STRATEGY ASSETS
GDOT Note
QPRT Property
Total of Other Strategy Assets
TOTAL ASSETS
TOTAL LIABILITIES
NET WORTH
1,750,000
4,000,000
-
5,750,000
12,741,937
14,991,937
-
27,733,874
28,547,347
30,954,366
-
59,501,713
-
28,547,347
-
30,954,366
-
-
3.50%
-
59,501,713
Page 45

47. FINANCIAL ANALYSIS - PROPOSED PLAN
YEAR
ASSET VALUE PROJECTIONS - PROPOSED PLAN
Current
2013
2014
2015
2016
2017
2026
2027
2036
Asset Values
Cash and cash equivalents**
9,261,433
8,936,502
9,129,770
9,268,544
9,351,572
9,377,579
6,745,112
6,265,380
1,637,299
Marketable securities - Equities
2,292,883
2,320,944
2,436,991
2,558,841
2,686,783
2,821,122
4,376,487
4,595,311
7,128,835
Municipal bonds
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
6,381,165
Other investments
2,100,000
2,115,533
2,178,999
2,244,369
2,311,700
2,381,051
3,106,732
3,199,934
4,175,187
13,288,596
Closely held business
8,340,270
8,382,035
8,551,666
8,724,731
8,901,297
9,081,438
10,875,925
11,096,027
Retirement plans/IRAs
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Personal residences
1,600,000
1,611,835
1,660,190
1,709,995
1,761,295
1,814,134
2,367,034
2,438,045
3,181,095
Residences in QPRTs 1
5,750,000
5,792,531
5,966,307
6,145,296
6,329,655
6,519,545
Personal property
-
425,000
425,000
425,000
425,000
425,000
425,000
Note from GDOT 2
21,983,874
20,740,230
19,453,059
18,120,837
16,741,987
15,314,877
Total assets in estate
59,501,713
58,096,120
57,670,817
57,170,584
56,593,687
55,938,370
36,688,582
$ 59,501,713
$ 58,096,120
$ 57,670,817
$ 57,170,584
$ 56,593,687
$ 55,938,370
$ 36,688,582
$ 36,857,120
-
36,857,120
Combined net worth
1
-
425,000
425,000
-
38,784,058
$
38,784,058
QPRT term ends in 2022, beginning in 2023 the residences are outside of the estate.
2
425,000
-
Note paid off in 2026.
** Reduced by additional seed gift money to the GDOTs in year 1.
In the event that there is a cash flow surplus, the surplus is added to the cash row by default.
If there is a cash flow shortage (because of spending or gifting capital) then the shortage is treated as a reduction in cash.
Page 46

48. TAXABLE INCOME PROJECTIONS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Sources of Taxable Income
Cash and cash equivalents
38,998
37,630
38,444
39,028
39,378
30,739
28,402
9,175
Marketable securities - Equities
27,062
27,393
28,763
30,201
31,711
49,194
51,654
80,132
Cash - GDOT 1
-
Retirement plans/IRAs
Gross income
1
11,852
15,806
74,782
210,611
216,929
223,437
291,534
300,280
391,798
1,693,023
1,727,285
1,762,241
1,797,904
2,153,169
2,196,744
2,630,820
116,362
123,648
203,899
-
Other taxable earnings - GDOT 1
Client earned income
8,349
204,476
1,684,587
Closely held business
5,284
202,975
Other investments
-
-
-
-
5,037,704
$
5,163,890
5,267,168
5,372,511
127,068
127,068
5,062,637
127,068
127,068
127,068
127,068
7,118,394
$
7,157,511
$
7,304,409
$
7,454,487
$
7,607,815
-
6,420,648
-
9,136,429
$
-
-
$
-
-
2,700,728
$
3,315,823
Note is paid off in 2026 and the grantor status of the trust is revoked. Beginning in 2027, the trust will pay it's own income taxes.
Page 47

49. INCOME TAX PROJECTIONS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Income Tax Estimation
Adjusted gross income:
Dividend income (Marketable Sec.)
27,062
32,677
37,111
42,053
47,517
123,976
51,654
80,132
Earned and other income
7,091,332
7,124,834
7,267,297
7,412,434
7,560,298
9,012,453
2,649,075
3,235,691
Adjusted gross income
7,118,394
7,157,511
7,304,409
7,454,487
7,607,815
9,136,429
2,700,728
3,315,823
Deductions
Real Estate Tax
41,548
42,379
43,227
44,091
44,973
53,747
54,822
65,517
459,136
State income taxes
461,659
471,134
480,814
490,704
589,300
174,197
213,871
Cash charitable gifts
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
-
-
Charitable Deduction available
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
-
-
Charitable Deduction allowed
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
-
-
Total deductions
2,500,684
2,504,038
2,514,361
2,524,905
2,535,677
2,643,046
Reductions
(204,552)
Deductions allowed
2,296,133
Taxable income
Federal and State income tax
(205,725)
2,298,313
4,822,261
$
2,311,094
(210,132)
2,304,229
4,859,198
$
2,327,143
(214,635)
2,310,271
5,000,180
$
2,391,578
(219,234)
2,316,443
5,144,216
$
2,457,328
2,524,420
3,189,003
(90,475)
156,997
6,758,475
$
279,388
(72,022)
2,377,954
5,291,372
$
229,019
(265,093)
188,913
2,543,732
$
1,119,037
3,126,910
$
1,384,067
Page 48

50. CASH FLOW PROJECTIONS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Sources of Income for Lifestyle
Consumable income (taxable)
2,080,690
Distribution from Cash
2,089,590
2,132,170
2,175,467
2,219,498
2,640,999
2,700,728
262,742
Consumable income (tax exempt)
262,742
262,742
262,742
262,742
262,742
262,742
262,742
554,953
479,732
541,541
-
-
-
-
-
3,315,823
Note Payment from GDOT 1
2,013,079
2,013,079
2,013,079
2,013,079
2,013,079
2,013,079
Total income available for lifestyle
4,356,511
4,365,411
4,407,992
4,451,288
4,495,319
5,471,773
3,443,203
4,120,106
Living expenses
1,600,000
1,632,000
1,664,640
1,697,933
1,731,891
2,069,771
2,111,166
2,523,039
Income tax
2,311,094
2,327,143
2,391,578
2,457,328
2,524,420
3,189,003
1,119,037
1,384,067
213,000
213,000
213,000
213,000
213,000
213,000
213,000
213,000
4,124,094
4,172,143
4,269,218
4,368,260
4,469,312
5,471,773
3,443,203
4,120,106
-
-
Uses of Cash
Cash gifts to family
Total uses of cash
Surplus
1
$
232,417
$
193,268
$
138,774
$
83,028
$
26,008
$
-
$
-
$
-
Note is paid off in 2026 and the grantor status of the trust is revoked. Beginning in 2027, the trust will pay it's own income taxes.
In the event that there is a cash flow surplus, the surplus is added to the cash row on the "Asset Value Projections" 3 pages earlier.
If there is a cash flow shortage (spending or gifting capital) then the shortage is treated as a reduction in cash on
the "Asset Value Projections" 3 pages earlier.
Page 49

51. FIRST ESTATE TAX ESTIMATION AND DISTRIBUTION - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Tax calculation on Duncan's death
Combined Net Worth
59,501,713
58,096,120
57,670,817
57,170,584
56,593,687
55,938,370
36,688,582
36,857,120
38,784,058
Duncan's estimated estate
28,547,347
27,872,980
27,668,931
27,428,933
27,152,153
26,837,749
17,602,210
17,683,070
18,607,564
Total gross estate
28,547,347
27,872,980
27,668,931
27,428,933
27,152,153
26,837,749
17,602,210
17,683,070
18,607,564
Settlement expenses
Joint, personal and IRA to Tina
Outright or in trust to Tina
(167,737)
(164,365)
(163,345)
(162,145)
(160,761)
(159,189)
(113,011)
(113,415)
(118,038)
(1,447,089)
(1,470,345)
(1,567,669)
(1,671,806)
(1,783,233)
(1,902,459)
(2,491,128)
(2,536,259)
(2,646,880)
(24,182,522)
(23,488,271)
(23,187,918)
(22,844,982)
(22,458,160)
(22,026,102)
(13,341,594)
(13,376,919)
(14,186,169)
Taxable estate
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
1,656,477
1,656,477
1,656,477
Plus Duncan's lifetime taxable gifts
2,500,000
2,500,000
2,500,000
2,500,000
2,500,000
2,500,000
3,593,523
3,593,523
3,593,523
Tax base
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
Tentative Federal Estate Tax
-
-
-
-
-
-
-
-
-
Distribution of First Estate
Settlement expenses
167,737
164,365
163,345
162,145
160,761
159,189
113,011
113,415
118,038
To family trust
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
1,656,477
1,656,477
1,656,477
Joint, personal and IRA to Tina
1,447,089
1,470,345
1,567,669
1,671,806
1,783,233
1,902,459
2,491,128
2,536,259
2,646,880
Outright or in trust to Tina
Total
24,182,522
23,488,271
23,187,918
22,844,982
22,458,160
22,026,102
13,341,594
13,376,919
$ 28,547,347
$ 27,872,980
$ 27,668,931
$ 27,428,933
$ 27,152,153
$ 26,837,749
$ 17,602,210
$ 17,683,070
14,186,169
$
18,607,564
Assumptions
We assume that Duncan dies first, followed immediately by Tina.
Taxes under "Distribution of First Estate" include estate and income taxes, if any.
Page 50

52. SECOND ESTATE TAX ESTIMATION AND DISTRIBUTION - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Tax Calculation on Tina's death
Tina's assets
30,954,366
30,223,139
30,001,885
29,741,651
29,441,534
29,100,621
19,086,371
19,174,050
20,176,494
Plus assets from Duncan's estate
25,629,611
24,958,616
24,755,587
24,516,788
24,241,392
23,928,561
15,832,722
15,913,178
16,833,049
Tina's estimated estate
56,583,977
55,181,755
54,757,472
54,258,440
53,682,927
53,029,181
34,919,093
35,087,227
37,009,543
Settlement expenses
Charitable gift of IRA assets
Charitable deduction from TCLAT
(590,840)
(576,818)
(572,575)
(567,584)
(561,829)
(555,292)
(374,191)
(375,872)
(395,095)
(1,367,089)
(1,390,345)
(1,487,669)
(1,591,806)
(1,703,233)
(1,822,459)
(2,411,128)
(2,456,259)
(2,566,880)
(51,876,048)
(50,464,593)
(49,947,229)
(49,349,050)
(48,667,865)
(47,901,431)
(31,883,255)
(32,004,576)
(33,797,048)
Taxable estate
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
250,520
250,520
250,520
Plus Tina's lifetime taxable gifts
2,500,000
2,500,000
2,500,000
2,500,000
2,500,000
2,500,000
4,999,480
4,999,480
4,999,480
Tax base
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
5,250,000
Federal Estate Tax
-
-
-
-
-
-
-
-
-
Distribution of Second Estate
Settlement expenses
Taxes
Other gifts to charity
590,840
576,818
-
572,575
-
1,367,089
-
1,390,345
1,487,669
567,584
1,591,806
561,829
1,703,233
555,292
1,822,459
374,191
2,411,128
375,872
395,095
-
-
2,456,259
2,566,880
Residual estate to heirs
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
250,520
250,520
250,520
Contribution to TCLAT
51,876,048
50,464,593
49,947,229
49,349,050
48,667,865
47,901,431
31,883,255
32,004,576
33,797,048
$ 56,583,977
$ 55,181,755
$ 54,757,472
$ 54,258,440
$ 53,682,927
$ 53,029,181
$ 34,919,093
$ 35,087,227
Total
$
37,009,543
Assumptions
We assume that Duncan dies first, followed immediately by Tina.
Taxes under "Distribution of Second Estate" include estate and income taxes, if any.
Page 51

53. SUMMARY OF BENEFITS TO FAMILY - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Benefits to Family
Residual estate
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
250,520
250,520
250,520
Family trust
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
2,750,000
1,656,477
1,656,477
1,656,477
Value of GDOT
Life insurance proceeds GDOT
Existing 529 Plans
Value of QPRTs 1
NPV of TCLAT benefits to heirs
Total assets to heirs
1
2,442,653
5,062,094
7,567,985
10,233,064
13,061,567
16,057,844
51,775,193
55,005,584
89,070,321
43,000,000
43,000,000
43,000,000
43,000,000
43,000,000
43,000,000
28,000,000
28,000,000
15,000,000
360,000
378,000
396,900
416,745
437,582
459,461
-
-
-
-
-
-
712,775
748,414
1,161,036
8,506,527
8,761,723
11,432,061
14,646,212
14,247,714
14,101,646
13,932,762
13,740,442
13,524,054
9,001,628
9,035,881
9,541,951
$ 65,948,864
$ 68,187,807
$ 70,566,531
$ 73,082,570
$ 75,739,591
$ 78,541,359
$ 99,903,120
$ 103,458,599
$ 128,112,365
QPRT term ends in 2022, beginning in 2023 the residences are outside of the estate.
Page 52

54. GRANTOR DEEMED OWNER TRUST DETAILS - PROPOSED PLAN
Charitable Deduction available
-
Charitable Deduction allowed
-
-
-
-
-
2,000,000
2,000,000
-
YEAR
-
-
-
-
-
2013
Current
2014
2015
2016
2017
2026
2027
2036
GDOT Balance Sheet
Additional Year One Seed Gifts - Cash
-
557,348
557,348
557,348
557,348
557,348
557,348
557,348
557,348
Reinvested excess cash flow
-
697,555
1,425,327
2,257,416
3,196,287
4,244,455
19,463,139
22,058,436
49,804,163
31,754,706
32,389,800
38,708,810
Duncan's, Inc. Shares
24,426,527
Net equity
$
24,547,421
25,038,369
25,539,137
26,049,919
26,570,918
(21,983,874)
Note payable to Duncan and Tina
(20,740,230)
(19,453,059)
(18,120,837)
(16,741,987)
(15,314,877)
2,442,653
$
5,062,094
$
-
-
-
7,567,985
$ 10,233,064
$ 13,061,567
$ 16,057,844
$ 51,775,193
$ 55,005,584
$
89,070,321
5,062,637
5,163,890
5,267,168
5,372,511
6,420,648
6,549,061
5,284
8,349
11,852
15,806
74,782
84,302
197,293
5,037,704
5,067,922
5,172,239
5,279,020
5,388,317
6,495,430
6,633,363
8,024,028
Annual Charitable Gifts
(2,000,000)
(2,000,000)
(2,000,000)
(2,000,000)
(2,000,000)
(2,000,000)
(2,000,000)
(2,000,000)
Duncan's, Inc. Income
5,037,704
5,062,637
5,163,890
5,267,168
5,372,511
6,420,648
6,549,061
7,826,734
74,782
84,302
197,293
GDOT Income Tax Estimation
Duncan's, Inc. Income
5,037,704
Earnings from reinvestment acct./Seed Gift
-
Total earnings
7,826,734
GDOT Cash Flow
Cash flow from reinvestment acct./Seed Gift
-
Installment Note payments to Duncan and Tina 1
(2,013,079)
Trust Income Taxes 1
-
Insurance Premium
8,349
(2,013,079)
-
-
11,852
(2,013,079)
15,806
(2,013,079)
-
(327,070)
(327,070)
(327,070)
727,772
832,089
-
(327,070)
697,555
Cash flow to reinvest
1
5,284
(2,013,079)
(327,070)
938,871
(2,013,079)
(221,420)
-
-
(1,816,646)
(2,345,203)
(221,420)
(171,420)
1,048,168
2,260,931
2,595,297
3,507,404
Note is paid off in 2026 and the grantor status of the trust is revoked. Beginning in 2027, the trust begins paying it's own income taxes.
GDOT Insurance - Permanent SUL
Net death benefit
15,000,000
15,000,000
15,000,000
15,000,000
15,000,000
15,000,000
15,000,000
15,000,000
15,000,000
171,420
Premium
171,420
171,420
171,420
171,420
171,420
171,420
171,420
28,000,000
28,000,000
28,000,000
28,000,000
28,000,000
13,000,000
13,000,000
-
155,650
155,650
155,650
155,650
155,650
50,000
50,000
-
GDOT Insurance - 20 yr**
Net death benefit
Premium
28,000,000
** Beginning in year 11, the death benefit is dropped to $13M and the annual premiums drop to $50,000.
Page 53

55. QUALIFIED PERSONAL RESIDENCE TRUST DETAILS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
QPRT Values
Gross value of residence
5,750,000
5,792,531
5,966,307
6,145,296
6,329,655
6,519,545
8,506,527
8,761,723
11,432,061
Discounted value of residence
5,750,000
5,792,531
5,966,307
6,145,296
6,329,655
6,519,545
8,506,527
8,761,723
11,432,061
Diff. between gross and discount
-
Reversionary value in estate
5,750,000
Rent paid to heirs post-QPRT
-
-
-
-
-
-
-
-
-
-
$
-
-
-
$
-
6,519,545
-
$
-
6,329,655
-
$
-
6,145,296
-
$
-
5,966,307
-
$
-
5,792,531
-
Value of home to heirs
Total Value to Heirs
-
-
-
8,506,527
$
8,506,527
8,761,723
$
8,761,723
11,432,061
$
11,432,061
* QPRT term ends in 2022, beginning in 2023 the residences are outside of the estate.
** Residence values are aggregated for purposes of this summary.
Page 54

56. EXISTING CHARITABLE FOUNDATION DETAILS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Lewis Family Foundation, Inc.
4,019,797
6,140,193
8,302,997
10,509,057
12,759,238
35,147,913
37,890,871
Annual Cash Contributions
BOY Foundation Value
4,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
2,000,000
65,182,540
2,000,000
EOY Foundation Value to Charity
6,019,797
8,140,193
10,302,997
12,509,057
14,759,238
37,147,913
39,890,871
67,182,540
Page 55

57. TESTAMENTARY CHARITABLE LEAD TRUST DETAILS - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Charitable Lead Annuity Trust
Balance Sheet
Tot. value of TCLAT assets
51,876,048
50,464,593
49,947,229
49,349,050
48,667,865
47,901,431
31,883,255
32,004,576
33,797,048
2,641,548
2,569,677
2,543,332
2,512,873
2,478,186
2,439,159
1,623,508
1,629,685
1,720,959
NPV of TCLAT income distributions**
51,876,048
50,464,593
49,947,229
49,349,050
48,667,865
47,901,431
31,883,255
32,004,576
33,797,048
Total of TCLAT distributions**
66,038,710
64,241,914
63,583,304
62,821,816
61,954,662
60,978,984
40,587,691
40,742,134
43,023,968
Annual payment to foundation if death
occurs in the column year
Benefits to Charity
Benefits to Heirs
Future benefits to heirs from TCLAT**
49,597,271
48,247,817
47,753,179
47,181,276
46,530,015
45,797,248
30,482,708
30,598,700
32,312,433
NPV of benefits to heirs**
14,646,212
14,247,714
14,101,646
13,932,762
13,740,442
13,524,054
9,001,628
9,035,881
9,541,951
**The values shown passing to charity and to heirs vary from year to year based on the projected size of your estate, and the applicable tax law.
Note: NPV of benefits to heirs assumes a 5% linear growth of TCLAT assets. A higher actual rate of growth would mean more money to the heirs
while a lower actual rate of growth would mean less money to the heirs.
Page 56

58. BENEFITS TO LEWIS FAMILY FOUNDATION - PROPOSED PLAN
YEAR
Lewis Family Foundation - Annual Gifts
Charitable gift of IRA assets
NPV of TCLAT income distributions
Total benefits to foundation
Current
4,000,000
2013
6,019,797
2014
8,140,193
2015
10,302,997
2016
12,509,057
2017
14,759,238
2026
37,147,913
2027
39,890,871
2036
67,182,540
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
51,876,048
50,464,593
49,947,229
49,349,050
48,667,865
47,901,431
31,883,255
32,004,576
33,797,048
$ 57,243,137
$ 57,874,735
$ 59,575,091
$ 61,243,853
$ 62,880,155
$ 64,483,128
$ 71,442,296
$ 74,351,706
$ 103,546,468
Page 57

59. DETAILS OF DUNCAN'S QUALIFIED PLAN - PROPOSED PLAN
YEAR
Current
2013
2014
2015
2016
2017
2026
2027
2036
Duncan's Qualified Plans
Duncan's age
65
66
67
68
69
78
79
88
Tina's age
65
66
67
68
69
78
79
88
32.0
31.1
30.2
29.2
28.3
20.3
19.5
12.7
Securities in plans
Minimum distribution factor
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Plan balance during life
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Plan balance at death of survivor
1,367,089
1,390,345
1,487,669
1,591,806
1,703,233
1,822,459
2,411,128
2,456,259
2,566,880
Minimum distribution
-
-
-
-
-
116,362
123,648
203,899
Actual distribution
-
-
-
-
-
116,362
123,648
203,899
Page 58

60. PLAN ASSUMPTIONS
DUNCAN AND TINA LEWIS
The plan is based on numerous assumptions. Important among these are the yield and growth assumptions
contained on the balance sheet in the Financial Analysis section. Other important assumptions are contained on
this Plan Assumptions page.
Tax Rate Assumptions
State Income Tax Rate
State Inheritance - Estate Tax
6%
No state estate tax
Tax on IRD
Unless a qualified plan is given to charity, we assume the beneficiary designations are changed to provide for a
stretch out distribution.
7520 Rates
Highest rate
Current rate
Lowest rate
2.3%
2.3%
2.0%
October, 2013
October, 2013
August, 2013
Long Term AFR Rate
3.5%
October, 2013
0%
7
Annual increase in Duncan's earned income
Number of years Duncan's income is expected to continue
Lifestyle Need Assumptions
Net annual outlay for Duncan and Tina's lifestyle needs, not including gifts or income taxes
Annual cost of living increase used in the plan
Settlement and Administrative Expenses
Fixed estate settlement costs
Variable estate settlement costs, 1st death
Variable estate settlement costs, 2nd death
$1,600,000
2%
$25,000
0.50% (of assets)
1.00% (of assets)
Page 59

61. FAMILY INFORMATION
DUNCAN AND TINA LEWIS
CLIENTS
Duncan Lewis
Tina Lewis
123 Main Street
Date of Birth
Date of Birth
May 20, 1948
October 27, 1948
CHILDREN
CHILD'S NAME
DATE OF BIRTH
Jason Lewis
Jeremy Lewis
May 2, 1967
September 15, 1971
SPOUSE'S NAME
Cathy
Jackie
GRANDCHILDREN
NAME
#1
#2
#3
#4
#5
#6
AGE
12
10
7
5
2
3
Page 60

62. DISCLAIMER AND DISCLOSURE
DUNCAN AND TINA LEWIS
InKnowVision, LLC does not give accounting or investment advice to its clients. The effectiveness of any of the strategies described will
depend on your individual situation and on a number of complex factors.
You should consult with your other advisors on the accounting and investment implications of the proposed strategies before any strategy
is implemented.
Any discussion in this presentation relating to tax, accounting, investments, regulatory, or legal matters is based on our understanding as
of the date of this presentation. Rules in these areas are constantly changing and are open to varying interpretations.
Assumption Issues The plan involves numerous assumptions. While we believe that these assumptions are reasonable, it is important to
understand that it is a virtual certainty that the actual results will differ from those illustrated. Returns on investment and performance of
financial products can cause the results to vary. Changes in tax, trust or property laws can cause plan results to vary. Plan implementation
that differs from that described in the plan will cause the results to vary. Provision of state law may cause the plan results to vary.
Tax Opinions The IRS has recently issued new rules for tax practitioners regarding covered opinions, reliance opinions and marketed
opinions. While this is an arcane area, suffice it to say that these opinions are often obtained by taxpayers for purposes of avoiding
penalties. These opinions are obtained at substantial cost and after substantial legal analysis. If you believe that such an opinion would be
helpful to you prior to entering into any of the transactions outlined in this plan, you should feel free do so.
Be advised that nothing in this analysis should be construed by you, your advisors or any one else as a covered opinion, reliance opinion,
marketed opinion or any other type of opinion regarding any of the transactions or outcomes outlined in this plan.
Page 61