TruConnect Direct’s Compensation Plan

By enrolling as a TruConnect Direct Independent Agent (hereinafter “TCDIA”) and/or continuing to signup Lifeline subscribers as a TCDIA, the following compensation plan represents all potential compensation opportunities as of August 1, 2016. No other compensation obligation exists between TruConnect Direct and its TCDIAs. TruConnect Direct reserves the right to amend the Compensation Plan at any time upon prior written notice.

Compensation for Lifeline Products and Services

TCDIA will receive compensation for marketing and selling TruConnect Lifeline in California and Texas to eligible customers as approved in accordance with the state and federal government standards.

A TCDIA is entitled to receive the following types of commission: One-time Enrollment Commission, Monthly Residual Commission, and Additional Top-Up Commission.

One-time Enrollment Commission

A TCDIA is eligible to receive this commission for TCDIA’s own enrollments regardless of her/his network or up/downline.

In California, if a TCDIA successfully enrolls a subscriber and provides a TruConnect subsidized handset, the TCDIA will receive $8 (whether the TCDIA personally provides the handset on-site or TruConnect directly mails one to the subscriber (“Dropships”)). If the TCDIA provides only a SIM card (or the subscriber brings her/his own handset) for an enrollment, the TCDIA will receive $12.

In Texas, if a TCDIA successfully enrolls a subscriber and provides a TruConnect subsidized handset, the TCDIA will receive $2 (whether the TCDIA personally provides the handset on-site or TruConnect Dropships). If the TCDIA provides only a SIM card (or the subscriber brings her/his own handset) for an enrollment, the TCDIA will receive $6.

Product	California	Texas
Phone (on-site or dropship)	$8.00	$2.00
SIM Only/BYOD	$12.00	$6.00

The One-time Enrollment Commission is earned only upon the confirmation that the enrollment application is approved by the applicable federal/state administrator and by the company’s internal compliance review team. This commission is payable on the Friday following the close of each weekly activity period, which occurs on Sunday at 11:59 PM.

Monthly Residual Commission

When a Lifeline subscriber is active on the TruConnect network through the end of the month (excluding the initial enrollment month), the TCDIA who enrolled this subscriber is qualified to receive residuals monthly. TCDIA can also receive this type of compensation for customers enrolled by her/his network or downline. A TCDIA can be eligible for a Monthly Residual Commission payment in accordance with the following schedule:

			Monthly
	Eligibility Based		Residual
	on TCDIA’s		Commission	Additional
	Own	Active	Per Active	Top Up
	Customers		Customers	Commission
My Own Active Customers		5	$0.50	5%
Level 1 Downline Customers		10	$0.25	N/A
Level 2 Downline Customers		20	$0.30	N/A
Level 3 Downline Customers		30	$0.40	N/A
Level 4 Downline Customers		40	$0.50	N/A
Level 5 Downline Customers		50	$0.60	N/A
Level 6 Downline Customers		60	$0.75	N/A
Level 7 Downline Customers		100	$1.00	N/A

For example, in August 2016, TCDIA Tommi has 20 of his own active customers, and has four (4) levels of TCDIAs below him. For August 2016, Tommi will receive $.50 for each of his own active customers, $.25 for each active customer enrolled by Tommi’s downline at Level 1, and $.30 for each active customer enrolled by Tommi’s downline at Level 2. Tommi will not receive Monthly Residual Commissions for active customers enrolled by his downline at Levels 3 and 4 as he does not have a sufficient number of his own active customers for such residual. If and when Tommi has 40 of his own active customers, Tommi will be eligible to be paid $.40 and $.50 for each active customer enrolled by his downline at Level 3 and Level 4, respectively.

The Monthly Residual Commission is payable on the 2nd Friday following the close of each monthly activity period, which occurs on the last calendar day of each month, at 11:59 PM.

Additional Top-Up Commission

When a TCDIA’s own customer/subscriber adds additional talk, text, data, or international service beyond the Lifeline service (i.e. top-up), the TCDIA will receive 5% of the retail top-up price paid by the consumer for that month as indicated in the above table.

The Additional Top-Up Commission is payable on the Friday following the close of each weekly activity period, which occurs on Sunday at 11:59 PM.


Note: These literature is copied from the resource section of the Truconnectdirect website. It changes from time to time. So for latest updates, you can visit the resource section.