Aufman Associates Inc

Item 5: Fees and Compensation

We charge the following annual fees:

           Productive Assets          % of Productive Assets

        First       $1,000,000                1.125%
        Next         1,000,000                0.850%
        Next         3,000,000                0.580%
        Next         3,000,000                0.280%
        Over         8,000,000                0.270%

Minimum annual fee for all services is $6,000.

Family Member Accounts/Courtesy Accounts qualify for a waiver of the Minimum Annual Fee
with a fee based on productive assets of 1.25%.

We invoice fees on a quarterly basis in mid-quarter based on prior quarter-ending valuation.
Services may be terminated at any time. If services are terminated, we will invoice fees to the
agreed-upon date of termination or will refund any prepaid amount.

We generally deduct fees from clients’ assets, but clients may request to have fees billed to them
instead.

Productive Assets exclude residences, personal assets, bank accounts, insurance values, or
business values. To the extent that an account may have a margin loan balance, fees will be
calculated based on the net value of the account, unless there is an arrangement with the client to
charge on gross value of the account.

Financial Management services include personal financial counseling, asset management, and
investment supervisory services. Annual fees pertain to all combined services.

Fees paid directly to us do not include any transaction fees or underlying fund operating
expenses that may be paid directly to a custodian or mutual fund or exchange-traded fund. For
further information, please see Item 12: Brokerage Practices.

Item 7: Types of Clients

We provide services to individuals, trusts, estates, pension and profit-sharing plans, small
businesses, and charitable organizations.