Bedel Financial Consulting Inc

Item 5: Fees and Compensation

Managing Investment Advisory Accounts

Investment advisory fees charged are based on assets under management, paid quarterly in
advance. Payment of fees can be paid directly by the client or deducted directly from the
client’s account(s). Fees are based on the market value of the portfolio on the last business day
of the previous calendar quarter or in the case of new accounts, the inception value. Fees are
pro-rated for partial periods.

This service can be terminated upon written notice by either party. In the event of
termination, BFC shall refund any fees for the remainder of the calendar quarter following the
termination date. Upon termination of this Agreement, BFC shall immediately terminate any
relationship between BFC and any custodians holding the Client’s assets and, upon such
termination, all obligations of BFC with respect to the Client will end. Upon termination of
this Agreement, Client shall be free to choose to terminate or maintain any custodial
relationships or to transfer assets from Client’s account to newly established accounts. The
following fee table is a declining schedule, meaning our overall fee decreases as the amount
of assets under management increases. For example: the blended annual rate for a portfolio
valued at $2,000,000 is 0.875%. The fee is typically taken from investment accounts on a
quarterly basis. In this example, the quarterly fee would be 0.2188%.

              Market Value                          Annual Fee           Quarterly
                                                                         Fee
              Up to $1,000,000                      1.00%                0.25%
              Next $2,000,000 (up to                0.75%                0.1875%
              $3,000,000)
              Next $2,000,000 (up to                0.55%                0.1375%
              $5,000,000)
              Next $5,000,000 (up to                0.35%                0.0875%
              $10,000,000)
              Over $10,000,000                      0.25%                0.0625%

In certain cases, there is a minimum annual fee of $5,000 depending on the nature of services to
be provided, types of investments, portfolio makeup and/or the complexity of the client’s
situation. This could be higher than 1.00% for client accounts under $500,000. The Adviser
reserves the discretion to waive or adjust fees/minimums as they deem appropriate. Refer to
your Wealth Management Agreement for your specific fee schedule.

Financial Planning

Financial planning services are almost always part of the Adviser’s Investment Account
Management service. However, clients can engage the Adviser to construct a financial plan
where such a plan represents a depth and breadth beyond normal financial planning services.
Such fee is negotiable and will be assessed as a fixed fee. The fee is a one-time project fee that
typically ranges between $1,000 and $2,500. The fee is negotiable at the Adviser’s discretion.
The fee is determined and agreed upon by the client prior to commencement of any work.

The client can cancel this service at any time with a written notice, however, the client will
remain obligated to pay the full financial planning fee, or an agreed upon portion of the fee,
which will be found in the client agreement/engagement letter. Ongoing planning services
(including plan updates, new analyses, and/or projections) can be provided and charged via an
annual retainer fee, billed quarterly.

General Fees and Compensation Information

For all services offered by Adviser, the same or different services could be offered by other
firms at the same, higher, or lower fees.

In addition, Adviser could recommend Separately Managed Accounts or 529 accounts. In
these cases, Adviser will charge a management fee for any of these types of assets under our
management. The third-party managers of these accounts will also charge a fee. Accordingly,
the client should review both the fees charged by the third-party managers and the fees
charged by Adviser to fully understand the total amount of fees to be paid by the client and to
thereby evaluate the advisory services being provided.

If Adviser is trading over-the-counter securities (OTC) on the client’s behalf, it is possible that a
transaction will incur additional fees.

Clients may incur custodian fees, brokerage, and other transaction costs (see Item 12,
Brokerage Practices, Page 11). Advice offered could involve investments in mutual funds. All
fees paid for asset management services are separate and distinct from the fees and expenses
charged by mutual funds (described in each mutual fund's prospectus) to their shareholders.
Clients whose assets are invested in the shares of mutual funds pay with a direct
management fee to the investment adviser and an indirect management fee through the
mutual fund. Clients have the option to purchase investment products that the Adviser
recommends through other custodians or agents that are not affiliated with the Adviser.
Adviser reserves the discretion to waive or adjust fees as appropriate for particular client
situations.

Item 7: Types of Clients

The Adviser is an independent, fee-only registered investment advisory firm providing
customized portfolio management to private individuals, families, trusts, estates, charitable
organizations, and institutions. Adviser also provides financial planning services to its clients.
Any account minimums are discussed in Item 5, Fees and Compensation.