Nowhere in their literature do they say anything about "3.5"%. The 3.5% is simply multiplying 50% times 7% which is 3.5%. The 7% they are talking about is your weekly income. The 50% is half of what you put in it. The 3.5% formula works out right up to a certain point. When you start putting big money in it, there is a breaking point. I max mine out every year. I can put in 30,000$ in a year. That comes out to 29% of my weekly income of 2000$ which is 576$/wk. They won't put more in than 7% of 2000 which is 140$. . 3.5% of 2000$ is 70$