If you missed it, you can watch the replay in our Zoom Call Recordings section. In today’s live session, Steve reminded us that—just like flying—building wealth requires staying informed, planning ahead, and knowing your instruments. Smart investing, tax strategy, and solid due diligence are essential for pilots who want long-term financial stability. Here’s a clear, concise summary of what was covered: 1️⃣ Pilot 401Ks & Retirement Basics - Airline pilots are required to contribute directly to their 401Ks. - Employers may access funds in certain situations (such as missed flying for medical reasons). - Know your 401K servicer and understand your investment options. 2️⃣ Cash Flow Solutions for Pilots Many pilots are strong on 401Ks but tight on cash flow.Steve shared strategies and examples from direct oil & gas funds that can help supplement income beyond airline pay. 3️⃣ Direct Funds, Lower Fees & Tax Advantages - Direct investments mean fewer layers, lower fees, and better visibility. - Oil & gas investments can provide significant tax deductions. - The fund team has $4M of their own capital invested, showing strong alignment with investors. 4️⃣ Micro-Fund Structures & Tax Strategy - Fee structures should reward performance, not just management fees. - Accredited pilots may benefit from large deductions (example: an 87% write-off). - Always review numbers with a CPA—especially in Q4. 5️⃣ Oil & Gas Strategy & Due Diligence - Research the fund, talk directly with the team, and understand their hedging strategies. - These are higher-risk investments—make sure your core financial plan is solid first. 6️⃣ Fund Performance & Timelines - Fund 1: $7.5M raised, 17 acquisitions, 27% cash distributions, 84% year-one tax deduction. - Fund 2: Targeting a $30M raise. - Typical timelines: 12–18 months for fund closing. 7️⃣ Fund Structure & Avoiding Pitfalls - Standard model: ~2% fee + 90/10 to 80/20 investor splits. - Avoid heavily leveraged funds; start small and build relationships with managers. - These strategies can support pre-retirement income, but they’re not quick fixes.

✈️ KEY METRICS: BONUS DEPRECIATION IMPACT 💰 HEADLINE NUMBERS Property Investment: $419,000 Your Down Payment: $74,093 Bonus Depreciation Deduction: $146,650 Immediate Tax Savings: $51,328 ⚡ RECOVERY METRICS Down Payment Recovery: 69% Cash Back in Year 1: $51,328 Effective Down Payment: $22,765 Time Acceleration: 13.7 years of depreciation upfront 🧮 THE BONUS DEPRECIATION ADVANTAGE Without Cost Segregation → $3,756/year for 39 years With 100% Bonus Depreciation → $51,328 immediately Additional Value vs Standard → $47,572 Present Value Advantage → $6,660 🚀 BOTTOM LINE Instead of waiting 13+ years to realize the same tax benefit, you get $51,328 in Year 1 —that’s 69% of your down payment back immediately. Core Value:Cost segregation + 100% bonus depreciation turns a $74K investment into a $22K net investment by giving you nearly 70% back through tax savings. ⚙️ KEY ASSUMPTIONS ✅ Material participation met (500 + hours annually or more than anyone else) ✅ Average guest stay 7 days or less (qualifies as active business) ✅ 100 % bonus depreciation available for properties placed in service after Jan 19 2025 ✅ Cost-seg study identifies 35 % of property for accelerated depreciation ✅ 35 % combined federal + state tax rate ✅ Operated as legitimate short-term rental business with documentation