The Brilliance of Nature Enhanced by Science

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1 Compensation Plan

2 The Brilliance of Nature Enhanced by Science LegacyForLife.com

3 Take Action There are several components to the Legacy for Life Compensation plan that reward Distributors for taking action. The plan rewards Distributors for selling product, recruiting new members and Distributors, and for helping team members advance within the system. Practice the S.T.I.R. Share. Tell. Invite. Repeat. And earn compensation in 6 ways. 1. Retail Sales 2. Quick Start Enrollment Bonus 3. Dynamic Residual Income 4. Team Development Bonus 5. Revenue Sharing Pools 6. Dream Car Reward it up system for success: Glossary of Terms Automatic Delivery Program (ADP) - The convenient autoship option that allows customers and team members to receive product monthly. Product is shipped on a pre-determined day each month without having to place an order each time and charged to a credit card held securely in our system. Autoship dates can be changed or adjusted by contacting our Distributor Support Department. Commisionable Volume (CV) - The point value associated with each Legacy for Life product and used to calculate commissions. The Pricing, Point and Commission Chart for Legacy products can be found in ioffice. CV is generally 80% of Distributor price. Enroller - The member who has signed up a new customer, member, or Distributor and, if qualified, receives the Quick Start Enrollment Bonus for that new enrollment. Enroller s Sponsor - The distributor who brought the Enroller into the business. The Enroller s Sponsor receives compensation in the Quick Start Enrollment Bonus portion of the compensation plan. Group Volume (GV) - The point volume of all distributors and customers in the distributor s organization. GV is used to calculate rank advancement. Leg - Any first level downline Distributor and any Distributor in that downline. If there is a Distributor in that Leg that is paid as a Silver Star, the Leg would be considered a Silver Leg. Levels - Levels include the Guide Level (Member, Associate, Guide, Guide Leader), Star Level (Silver Star, Gold Star, Platinum Star), and Elite Level (Ruby Elite, Emerald Elite, Sapphire Elite). A chart explaining rank and level advancement can be found at legacyforlife.com in the compensation section. Member - An individual who has paid the $29.95 annual membership fee entitling them to purchase the Legacy for Life products at a wholesale price. A member can also enroll new members and is eligible for product commissions on level 1 if they are on a minimum 85 point ADP. Points - Each product in the Legacy for Life portfolio is assigned a point value. The point value for each product is the same anywhere in the world. The Pricing, Point and Commission Chart for Legacy products can be found in ioffice. Revenue Sharing Pools - 3% of the company s Commissionable Volume is divided equally into 3 separate pools: 1% in the Ruby Elite Pool, 1% in the Emerald Elite Pool, and 1% in the Sapphire Elite Pool. Distributors in each rank earn shares of their pool based on the number of Silver Star or higher legs in their organization. Personally Enrolled - Those team members that have joined your organization on your first level and signed up with you directly. Personal Volume (PV) - The point value associated with your personally purchased products. Every Distributor is required to meet a minimum PV in order to receive commissions. Qualified/Active Distributor - A Legacy for Life member who has purchased either the $149 Kit or the $499 Business Builder Kit. A Member may also become a Distributor by enrolling 2 members, plus 500 points gross voulme. Rank - Position attained by reaching the requirements for each rank level. There are greater rewards with each rank level advancement. Star Level - Middle Management at Legacy for Life. It includes the ranks of Silver Star, Gold Star and Platinum Star. Team Development Bonus - Bonuses of 10% - 25% that are paid to Star and Elite Level Distributors which are earned by helping team members reach the Star ranks. The Team Development Bonus is paid on all Silver Star groups that are developed in the Distributor s downline 6 generations deep. There is no limit to the number of Silver Star Legs that can be developed and bonus payments can be earned by a Distributor to the bottom of their downline. This bonus is calculated as a percentage of the cumulative product sales commissions of all members of each Silver Star group. See details in ioffice. 3

4 1. Retail Sales Product Sales Compensation The first way to earn is simple. As a Legacy for Life member you have the right to buy product at the wholesale price and sell at retail. You keep the difference. As an example, one can of i26 is $39.99 wholesale and $49.99 retail. Each can you sell directly results in a $10 profit. 2. Quick Start Enrollment Bonus You can earn as much as $130 when a new member invests in one of our business systems. Each time one of your personally enrolled team members shares the business you will earn as much as $20 as that enroller s sponsor (see chart below). Others within your organization also earn when the team expands. A Qualified Distributor* is eligible for these bonus payments from day one! This is one of the components that helps us have a balanced system. By earning every time your team expands, it gives you time to build the strong foundation needed for a successful long term business. Everyone in the organization is eligible for this bonus income from brand new team members all the way up to Elite level distributors. $149 Basic Kit $499 Premium Business Builder Kit $10 to Silver Star Enroller Enroller s Sponsor $42 $4 $130 $20 $20 to Guide Leader Guide $4 $20 Guide Leader $4 $20 Silver Star $2 $10 $20 to Guide Total Payout $56 $200 * The Quick Start Enrollment Bonus (QSEB) is paid to Qualified Distributors. A Qualified Distributor means a Distributor that has (i) met the Active qualification; (ii) purchased either the Basic or Premium Business Builder Kit, or attained the rank of Guide. The QSEB is paid to the first qualified distributor in the upline at each of the ranks or higher. A Qualified Distributor may receive the payment for multiple levels if that Distributor is the first Qualified Distributor of that rank or higher in the upline. For example, if a Gold Star distributor enrolls a new distributor who purchases a Premium Business Builder Kit, that Gold Star Distributor would receive the bonuses for the Enroller, Guide, Guide Leader, and Silver Star. $20 $130 to Enroller to Enroller s Sponsor LegacyForLife.com

5 3. Dynamic Residual Income Two types of Residual Income are developed with this plan. Personal Residual Income A 10% commission is paid on all product orders placed by any personally enrolled team member, including both Automatic Delivery and additional orders placed throughout the month. This first level of our residual compensation is the richest ensuring that your own personal action is given the greatest reward. All personally enrolled Retail Customers, Members, and Distributors are placed on your first level. Team Residual Income Each time one of your personally enrolled team members sells product, you earn a commission of 6% on those transactions. These team members are your second level. The chart below shows the percentage of commission you earn with each level as you advance. Rank Member Associate Guide Guide Leader Silver Star Gold Star Platinum Star Ruby Elite Emerald Elite Sapphire Elite Level 1 10% 10% 10% 10% 10% 10% 10% 10% 10% 10% Level 2 6% 6% 6% 6% 6% 6% 6% 6% 6% Level 3 5% 5% 5% 5% 5% 5% 5% 5% Level 4 5% 5% 5% 5% 5% 5% 5% 5% Level 5 4% 4% 4% 4% 4% 4% 4% Level 6 4% 4% 4% 4% 4% 4% Level 7 4% 4% 4% 4% Example of 2 Levels YOU Level 1 10% 10% 10% 10% (Your Personally Enrolled Team Members) Level 2 6% 6% 6% 6% 6% 6% 6% 6% 5

6 4. Team Development Bonus Qualified Star and Elite Distributors are eligible to earn a Team Development Bonus based on the Dynamic Residual Income earned by all the members of their Silver Star Groups. The Team Development Bonus pays you for helping your team members develop their business and advance within the system. You are paid on the Silver Star groups that are developed in your downline down to 6 generations based on the number of the Silver Star legs you develop. (See illustration below.) As an example: If you have developed 1 Silver Star and the cumulative commissions paid to everyone on that team is equal to $10,000 in Dynamic Residual Income from product sales, you would receive a 10% match which equals a $1,000 bonus. Generations 1 Silver Star Leg 2 Silver Star Legs 3 Silver Star Legs 4 Silver Star Legs 5 Silver Star Legs 6 Silver Star Legs 7 Silver Star Legs 1 10% 10% 25% 25% 25% 25% 25% 2 10% 10% 10% 10% 10% 10% 3 10% 10% 10% 10% 4 10% 10% 10% 5 10% 10% 6 10% Bonus is based on product sales compensation paid through the 7 level Dynamic Residual Income plan. Compensation earned from the enrollment bonus or retail commissions outside of the Dynamic Residual Income plan are not used in the calculation of this bonus. All Distributors and Silver Star teams must be active and qualified in the previous month to qualify. This illustration represents one (1) Silver Star Leg with one generation. YOU Develop 3 Silver Star Legs and your bonus jumps from 10% to 25% on your first generation. (Unlimited) (Your Personally Enrolled Team Members) SS Example: If Dynamic Residual Income paid to all Distributors in this group equals $13,200, you receive a $1,320 Team development Bonus. You are paid a bonus on the Dynamic Residual Income of each and every Distributor in the Silver Star group outlined LegacyForLife.com

7 5. Revenue Sharing Pools Elite Distributors are eligible for a share of all Commissionable Volume of the company. Three percent (3%) of the company s Commissionable Volume is divided into three separate pools: Ruby Elite Pool, Emerald Elite Pool and Sapphire Elite Pool. Each pool is exclusive to that rank. 1 % RUBY ELITE Ruby Elite Distributors share the pool based upon the number of Silver Star Legs they have developed. 1 % EMERALD ELITE Emerald Elite Distributors share the pool based upon the number of Gold Star Legs they have developed. 1 % SAPPHIRE ELITE Sapphire Elite Distributors share the pool based upon the number of Platinum Star Legs they have developed. 7

8 6. Dream Car Reward Your drive to the top gives you the ability to drive off in a new Mercedes Benz. Elite Level Distributors earn a car allowance based on the number of separate Gold Star (or higher) Distributors in their organization. As you help team members succeed, you earn a car allowance of up to $2,000 a month. Gold Star Legs Allowance $500 $750 $1,000 $1,500 $2,000 8 Distributors must qualify each month for the Dream Car Bonus. The allowance begins after Distributor has qualified for 3 months (bonus begins in 3rd month). The Distributor must qualify in the current month and have qualified 3 of the last 4 months (including the current month) in order to receive the Dream Car Bonus.

9 Rank Qualifications Guide Level Ranks Build a solid foundation through sales and recruiting Member Associate Guide Guide Leader Star Level Ranks Silver Star Gold Star Platinum Star Elite Level Ranks Ruby Elite Emerald Elite Sapphire Elite A member has the right to buy product at the wholesale price. To become eligible to receive commissions (an active member) they must participate in our Automatic Delivery Program (ADP) with a minimum monthly order of 85 points. ADP of 85 points, personally enroll 1 Active Member and have Group Sales Volume (GSV) of 500 points. ADP of 85 points, personally enroll 2 Active Members and have GSV of 2,000 points. ADP of 85 points, personally enroll 2 Active Associates, and have GSV of 8,000 points. Build, manage and lead ADP of 200 points, personally enroll 6 Active Associates, 2 Guide Leader Legs and have GSV of 20,000 points. ADP of 200 points, personally enroll 6 Active Associates, 1 Guide Leader Leg and 1 Silver Star Leg and have GSV of 40,000 points. ADP of 200 points, personally enroll 6 Active Associates, 2 Silver Star Legs and have GSV of 60,000 points. Lead, train and mentor ADP of 200 points, personally enroll 6 Active Associates, 2 Gold Star Legs and have GSV of 150,000 points. ADP of 200 points, personally enroll 6 Active Associates, 2 Platinum Star Legs and have GSV of 300,000. ADP of 200 points, personally enroll 6 Active Associates, 2 Ruby Elite Legs and have GSV of 500,000. ADP - Automatic Delivery Program GSV- Group Sales Volume Active - Must meet minimum auto ship requirements each month No more than 50% of GSV can come from any one Leg for all Guide or higher ranks. All Distributors must be qualified. 9

10 Compensation Plan FAQs 1. What type of compensation plan does Legacy for Life use? The Legacy for Life compensation plan is a combination of components designed to pay commissions and bonus payments for selling product, recruiting new team members and helping team members advance. Personal and Team Residual Income is earned through a 7-tier unilevel plan. 2. How is compensation earned in the plan? The Legacy for Life compensation plan allows you to earn in 6 ways: Retail Sales, Quick Start Enrollment Bonus, Dynamic Residual Sales Commissions, Leadership Development Bonuses, Revenue Sharing Pools and Dream Car Rewards. 3. What is the difference between Legs, Levels, and Generations? A Leg is any 1st level enrollment; you can have an unlimited number of Legs. Level refers to what level in your group a Distributor is. ie: you enroll Bob (your 1st level) who enrolls Sue (your 2nd level) who enrolls Betty (your 3rd level) and so on. Generation: If you develop your 1st Silver Star on your 5th level the Silver would be your 1st generation Silver, if that Silver develops Silver on their 4th level below them, this would be your 2nd generation, and so on. The Legacy for Life compensation plan pays you to work wide and deep. 4. How often do I get paid? The Quick Start Enrollment Bonus (new enrollments) is paid weekly on all enrollments processed that week (Monday through Sunday). Retail commissions are also paid weekly. Dynamic Residual Income, Team Development Bonus, Ruby, Emerald, and Sapphire Pool Bonus, and the Mercedes Car Bonus are all paid monthly. 5. How do I receive my commissions? The fastest and easiest way to receive commissions and bonus is to enroll in the direct deposit option. This allows LFL to put your money directly into your checking account. You can also receive a paper check delivered by mail. There is a $2.00 fee deducted from each paper check. 6. How much can I earn as a Legacy for Life distributor? One of the most rewarding aspects of being involved with Legacy for Life is that there is no limit to your income or your success. Based on your time and desire to build and coach your team, you decide your income. Freedom and flexibility with Legacy for Life put you in control of your success. 7. Can I have the cost of my products deducted from my commissions? Not at this time. 8. How many dollars do I need to spend to qualify to receive commissions? The recommended standard Automatic Delivery Program (ADP) pack has a Point Value (PV) of 85PV, the dollar cost to you is $108 plus shipping and handling. 9. Do I have to purchase one of the kits to begin earning commissions? No, a member can earn 1st level commissions if they participate in the Automatic Delivery Program. However, the only way to immediately qualify for the Quick Start Enrollment Bonus is to purchase a kit. 10. Do I have to be on the Automatic Delivery Program (ADP) to earn commissions? No, as a Guide Leader or lower rank not on an 85 PV ADP, you can qualify by making a 200PV purchase, or if you are a Silver Star or above and do not have an active 200PV ADP, you can purchase 350PV monthly to meet the qualification to receive commissions. 11. When will my 1st auto ship arrive? Your Basic or Premium kit will ship within 1 business day after LFL receives your application. This shipment includes your 1st 30 day supply of LFL products, your 1st monthly ADP will ship approximately 30 days later. 12. If I enroll someone before my 1st ADP is shipped in 30 days will I still receive my Quick Start Bonus? Yes, the kit you purchased when you enrolled qualifies you for the 1st month to receive commissions and bonus. 13. What happens to my commission / points for a Leg on my team if a Distributor in that Leg becomes inactive? The Quick Start Bonus and the Dynamic Residual Income bonus that would have been paid to the inactive position rolls up to the next qualified active Distributor. 14. Can I enroll people anywhere in the country? Yes you can, LFL also has operations in Canada, China, Taiwan, and Hong Kong. You can enroll distributors in any country that LFL is authorized to conduct business. 15. Do I need to be a distributor to purchase Legacy for Life products? No, you can purchase as a retail customer or as a member. 16. Is there a website that explains the compensation plan in more detail? Yes, LegacyForLife.com

11 Legacy for Life Payment The Quick Start Enrollment Bonus is paid weekly, one week from the Monday following the cutoff. The cutoff is Sunday at midnight Eastern Time. Example: Order cutoff is midnight (11:59 p.m.) on Sunday, June 3rd. The Quick Start Bonus payments will mail/deposit on Monday, June 11th. Retail Commissions are paid weekly on the same schedule as the Bonus payments. Dynamic Residual Income commissions, Team Development Bonus, Leadership Pools and Auto Allowance are paid monthly on the 15th of the following month. Minimum check amount $30. If commissions do not total $30, commissions are accrued until they do for payment the following month. Check charge is $2 if direct deposit option is not chosen. There is a 20% distributor commission surcharge on retail orders placed directly with the customer service department. Other Points from the Kits count for rank advancement and the Pools but are not included in the Dynamic Residual Income commissions. The $149 Kit has 50 points. The $499 Kit has 200 points. Basic Kit and Premium Business Builder Kit will each contain one Standard Autoship Pack (2 cans i26 and 1 bottle Flex). $499 Premium Business Builder Kit contains 1 Standard Autoship Pack, 40 Share Packs, and sales materials. $149 Basic Kit contains - 1 Standard Autoship Pack, 5 Share Packs, and sales materials. Basic Kit does not include a personalized website. New distributor must pay $29.95 membership fee. Annual renewal fee is $ Renewal fee is automatically deducted from the commission check on the anniversary date. Share Pack Refills Qualified Distributors are eligible to purchase Share Pack Refills. Each refill will contain 20 packs for $200. Distributors who purchased a Premium Business Builder Kit are eligible to purchase packs at a 50% discount, $100 per refill. 11

12 This is about your success. You ve taken the right step to join the right company at the right time. There s no better time for the wellness industry than now and no better product than i26. Welcome to your new business. Welcome to Legacy for Life LegacyForLife.com

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