three types of fees associated with retirement accounts

		Variable Annuity	Fee-Based Advisory Program	Scarborough Plan
	Upfront Sales Charges	NONE	NONE	NONE
	Withdrawal Charges	Up to 8% declining over 9 years	NONE	NONE
	Annual expenses	3.41% 1	2.32% 2	1.21% 3

Example of Variable Annuity fees

			Variable Annuity		Scarborough Plan
	8% Withdrawal Charge:		If you transfer a $400,000 account balance with a 8% withdrawal charge during the first year, it would cost you $28,800.4		No Withdrawal Charges
	3.41% Annual Expenses:		A $400,000 account with 3.41% in annual expenses would cost you $13,640 annually in addition to any sales or withdrawal charges.		$4,840 in annual expenses and no sales or withdrawal charges.

Example of fee-based advisory program fees

			Broker IRA		Scarborough Plan
	2.32% Annual Expenses:		A $400,000 account with 2.32% in annual expenses would cost you $9,280 annually.		$4,840 in annual expenses.

¹ This number represents a variable annuity offer through a major insurance company and includes optional riders. Expenses are from prospectus dated May 1, 2010. The variable annuity offered to you may have higher or lower expenses. Consult the product prospectus for specific information.

² Average advisory fee on a $400,000 account plus average investment management expense of all institutional class mutual funds listed in Morningstar. Program expenses can be higher or lower. 

³ Plan expenses for Conservative Growth Portfolio, as of 12/31/10, includes Scarborough fee of 0.70%. 
⁴ Based on $400,000 account value and reflects a 10% free withdrawal revision. Withdrawl charge schedule of a product offered by a major insurance company, as of prospectus dated May 1, 2010. Withdrawal charge can vary – check the product prospectus for details (surrender charges). 

Pay high annual expenses . . . or not
High expenses can erode your retirement savings! This example shows an initial $400,000 lump sum pension amount, monthly withdrawals of $2,000 and assumes 8% annual earnings (before investment expenses are deducted).⁵

	Investment Option	Expenses	Value in 10 yrs	Value in 20 yrs	Value in 30 yrs
	Variable Annuity	3.41%	$348,745	$258,184	$110,615
	Fee-Based Advisory Program	2.32%	$366,073	$308,006	$208,623
	Scarborough Plan	1.21%	$426,361	$476,784	$573,230