Compensation Plan Training Guide

Section 1 – Fast Start Leadership Pay

Section 2 – Residual Pay

Section 3 – Achievement Bonus Pay

Section 4 – Promotion Requirements

*July 27, 2007. Enhancements happen periodically, so please stay up-to-date with any new announcements.

Compensation Plan Training Guide

Section 1 – Fast Start Leadership Pay

*July 27, 2007. Enhancements happen periodically, so please stay up-to-date with any new announcements.

Fast Start Leadership PayFast Start Leadership PayLeadership is generated when a new Representatives activates 2 customer points in their 1st 30 days and is paid WEEKLY!

M Code RM Code Sr. VP Code PD CodeSM Code VP Code

$50 $50 $100 $70 $60 $20

ManagerSenior

ManagerRegional Manager

Vice President

Sr. Vice President

Presidential Director

Direct Sponsorship $50 $100 $200 $270 $330 $3501st Generation $50 $150 $220 $280 $3002nd Generation $100 $170 $230 $2503rd Generation $70 $130 $1504th Generation $60 $805th Generation $20

Compensation Plan Training Guide

Section 2 – Residual Pay

*July 27, 2007. Enhancements happen periodically, so please stay up-to-date with any new announcements.

Residual PayResidual PayLightyear Alliance Pays Residuals on Personal Customers and 8 additional compressed levels on Lightyear Billed Products and Alarm Service Customers. Lightyear does not pay residuals on Broadband, Cell Phones or Satellite TV at this time. Residuals are paid monthly after the 20th of each month 60 days after activation. For example, customers activated in January will be paid in March.

Residual Products: VoIP, VoIP Card, Local & Long Distance Service, MyLightyear, LightMail, Dial Up Internet & Alarm Service Customers

10 Active Personal Customer Points Required for 1%

15 Active Personal Customer Points

and $2,500 in Leadership Monthly

Required for 2%

20 Active Personal Customer Points

and $5,000 in Leadership Monthly

Required for 3%

20 Active Personal Customer Points and $10,000 in

Leadership Monthly Required for 4%

Level RepsCustomers

Per RepAverage

Bill Revenue 1% 2% 3% 4%You 1 10 25$ 250$ 2.50$ 5.00$ 7.50$ 10.00$

1 3 30 25$ 750$ 7.50$ 15.00$ 22.50$ 30.00$ 2 9 90 25$ 2,250$ 22.50$ 45.00$ 67.50$ 90.00$ 3 27 270 25$ 6,750$ 67.50$ 135.00$ 202.50$ 270.00$ 4 81 810 25$ 20,250$ 202.50$ 405.00$ 607.50$ 810.00$ 5 243 2430 25$ 60,750$ 607.50$ 1,215.00$ 1,822.50$ 2,430.00$ 6 729 7290 25$ 182,250$ 1,822.50$ 3,645.00$ 5,467.50$ 7,290.00$ 7 2187 21870 25$ 546,750$ 5,467.50$ 10,935.00$ 16,402.50$ 21,870.00$ 8 6561 65610 25$ 1,640,250$ 16,402.50$ 32,805.00$ 49,207.50$ 65,610.00$

Totals 9841 98410 2,460,250.00$ 24,602.50$ 49,205.00$ 73,807.50$ 98,410.00$

*Managers only get paid on Personal Customer Points if they have 10 Active Customer Points. Managers do not qualify for the additional 8 levels.

*1% below 8 levels to infinity is also available to those who have 20 Active Personal Customer Points and $10,000 in Leadership Monthly

Residual Compression ExampleResidual Compression Example

Level Rep Level

Rep Customer

Points

Rep Leadership

Earnings Qualify? Residual

PayCommission on $100 Bill Pay Levels

0 PD 50 100,000$ Yes 4% 4.00$ 81 M 7 100$ No Compress2 M 9 150$ No Compress3 Sr.VP 35 4,000$ Yes 2% 2.00$ 74 M 25 250$ No Compress5 M 15 200$ No Compress6 VP 30 40,000$ Yes 4% 4.00$ 67 VP 20 5,000$ Yes 3% 3.00$ 58 M 4 250$ No Compress9 RM 15 4,000$ Yes 2% 2.00$ 410 M 3 100$ No Compress11 M 4 150$ No Compress12 SM 5 2,000$ No Compress13 M 2 50$ No Compress14 M 5 200$ No Compress15 PD 20 20,000$ Yes 4% 4.00$ 316 M 2 50$ No Compress17 M 6 200$ No Compress18 Sr.VP 20 10,000$ Yes 4% 4.00$ 219 M 4 50$ No Compress20 M 3 100$ No Compress21 VP 20 1,000$ Yes 1% 1.00$ 122 M 2 3,000$ No Compress23 M 5 200$ No Compress24 M 10 100$ No Compress25 M 10 200$ Yes 1% 1.00$ You

25.00$

Lightyear Alliance Compression Residual Example

Compensation Plan Training Guide

Section 3 – Achievement Bonus Pay

*July 27, 2007. Enhancements happen periodically, so please stay up-to-date with any new announcements.

MyLightyear Bonus ProgramMyLightyear Bonus Program

Active Customers One Time Bonus Active Customers One Time Bonus250 2,500$ 10000 100,000$ 500 2,500$ 20000 100,000$ 1000 5,000$ 30000 100,000$ 2000 10,000$ 40000 100,000$ 3000 10,000$ 50000 100,000$ 4000 10,000$ 60000 100,000$ 5000 10,000$ 70000 100,000$ 6000 10,000$ 80000 100,000$ 7000 10,000$ 90000 100,000$ 8000 10,000$ 100000 100,000$

9000 10,000$ 1,000,000$ 10000 10,000$

100,000$

Leg 1 Leg 2 Leg 3 Leg 4 TotalTotal 100 75 75 25 275

Qualified 83 75 75 25 258

250 MyLightyear Website Bonus Example

*Existing Representatives who have more than 50% active MyLightyear Customers on August 1, 2007, must achieve the next level to receive their bonus. For example, if a Representative has 1600 active MyLightyar Customers on August 1, 2007, they must get to

MyLightyear Bonus Program Just Look at What is Possible!

*No more than 1/3 can come from a Leg in your organizations. Rules

Fast Start $500 Senior Manager PromotionFast Start $500 Senior Manager PromotionAccomplish in your first 30 days …

Personally Sponsor 3 Representatives, have a total

of 6 and activate 5 Personally Gathered Customer

Points in 30 days and receive a $500 BONUS!

+Home Phone

MyLightyear Website + LightMail

Messaging + Cell Phone

Internet Service+ = 5 PCP

*Lightyear Alliance Customer Points – Home VoIP, VoIP Card, Local Service, Long Distance, MyLightyear, LightMail, Home Alarm, Cell Phones & Internet Access. Any combination qualifies you. For example, you could have 5 Home VoIP Customers, 5 Local Phone Customers, etc. Simply activate 5 Lightyear Alliance Customer Points in 30 days to help qualify.

10 Preferred Customer Point $200/$20010 Preferred Customer Point $200/$200Activate 10 Preferred Customer Points your first 30 Days and earn a Bonus…

Preferred Customer Points

• VoIP

• Local

• No Boundaries Long Distance

• MyLightyear

• LightMail

• Lightyear Billed Services with at least an average of over $19.99

Example:

• You – VoIP, MyLightyear & LightMail = 3 PCP

• Find 7 Friends who have a Phone (VoIP/Local/LD)

$200

$200

$200

$200

$200

$200

= $200

$50

$50

$50

$50

$50

$50

Potential Earnings in your First 30 DaysPotential Earnings in your First 30 DaysStandard Commissions Plus Achievement Bonuses…

30-days PCP

Bonus

$200$300

30-days PSR PCP Bonus

$1,200

$200

$200

$200

$200

$200

$200

30-days SM Promo

Bonus

$500+ + + =

YOUR Pay in ONE

month:

$2,200

Now promote yourself to SM …Now promote yourself to SM …

SENIOR MANAGER CODED BONUSSENIOR MANAGER CODED BONUSAccomplish within one month … (May 1st – May 31st etc)

$50 $50 $100 $70

M Code SM Code RM Code VP Code

X 20 = $500

X 10 = $250

Understanding this Bonus1. Anyone is eligible if they

have a SM Code (SMs, RMs, VPs, SVPs, PDs)

2. With 10 New Reps in your SM Code, meaning you were paid the $50 SM Code Bonus for each, you qualify for $250 and 20 New Reps equals $500

3. $250 or $500 in 30 Days, NOT $750

When a new Rep joins and gathers 2 Customer Points in 30 days, Lightyear Alliance pays $50 to the Manager Code, $50 to the Senior Manager Code, $100 to the Regional Manager Code, $70 to the Vice President Code, $60 to Sr. Vice President Code and $20 to the Presidential Director Code.

REGIONAL MANAGER CODED BONUSREGIONAL MANAGER CODED BONUSAccomplish within one month … (May 1st – May 31st etc)

$50 $50 $100 $70

M Code SM Code RM Code VP Code

X 50 = $500

X 25 = $250

Understanding this Bonus

1. Anyone is eligible if they have a RM Code (RMs, VPs, SVPs, PDs)

2. With 25 New Reps in your RM Code, meaning you were paid the $100 RM Code Bonus for each, you qualify for $250 and 50 New Reps equals $500

3. $250 or $500 in 30 Days, NOT $750

Leadership Extra’sLeadership Extra’sAvailable to VP’s & Above who Qualify …

Leadership Pool

• 1% of Lightyear Alliance Commissionable Revenue

• $7,500 in Monthly Leadership = 1 share

• $10,000 in Monthly Leadership = 2 shares

• $12,500 in Monthly Leadership = 3 shares

$10 Leadership Override

• $6,000 in Monthly Leadership

Non-Lightyear Billed Product CompensationNon-Lightyear Billed Product CompensationEarn Up Front Customer Acquisition Bonuses (CABs) …

One Time Customer Acquisition Bonus

• Paid 60 Days after Activation

• Paid Monthly

• Paid following the 20th of each month

ManagersSenior

ManagersRegional

ManagersVice

PresidentsSr. Vice

PresidentsPresidential

DirectorsSatelitte TV $10 $20 $30 $40 $50 $60Cell Phones $10 $15 $20 $25 $30 $35Broadband $5 $8 $11 $14 $17 $20

Compensation Plan Training Guide

Section 4 – Promotion Requirements

*July 27, 2007. Enhancements happen periodically, so please stay up-to-date with any new announcements.

Promotion Requirements By LevelPromotion Requirements By Level Manager to Senior Manager

• Personally Sponsor 3 Representatives, have a total of 6 Representatives and Personally Activate 5 Customer Points (3-6-5)

Senior Manager to Regional Manager

• Develop 5 Senior Managers in YOUR Senior Manager Code and have 10 Active Personal Customer Points

Regional Manager to Vice President

• Develop 4 Regional Managers in YOUR Regional Manager Code and have 15 Active Personal Customer Points

Vice President to Sr. Vice President

• Develop 3 Vice Presidents in YOUR Vice President Code and have 20 Active Personal Customer Points

Presidential Director

• Develop 2 Sr. Vice Presidents in YOUR Sr. Vice President Code, have $150,000 in Lightyear Billed Revenue in your organization, earn $10,000 in Leadership Bonuses for two consecutive months and have 20 Active Personal Customer Points

*Presidential Directors must also be approved by the President of Lightyear Alliance