Callahan Wealth Advisory LLC

Item 5: Fees & Compensation

Compensation for Our Advisory Services

Wrap Comprehensive Portfolio Management:

For information about the advisory fees charged for this service, please refer to Item 4 of our Wrap
Fee Program Brochure.

Retirement Plan Consulting:

Our Retirement Plan Consulting services are billed fee based on the percentage of Plan assets under
management. The total estimated fee, as well as the ultimate fee charged, is based on the scope and
complexity of our engagement with the client. Fees based on a percentage of managed Plan assets

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will not exceed 1.00%. The fee-paying arrangements will be determined on a case-by-case basis and
will be detailed in the signed consulting agreement.

Clients may also pay holdings charges imposed by the chosen custodian for certain investments,
charges imposed directly by a mutual fund, index fund, or exchange traded fund, which shall be
disclosed in the fund’s prospectus (e.g., fund management fees and other fund expenses),
distribution fees, surrender charges, variable annuity fees, IRA and qualified retirement plan fees,
mark-ups and mark-downs, spreads paid to market makers, fees for trades executed away from
custodian, wire transfer fees and other fees and taxes on brokerage accounts and securities
transactions. Our firm does not receive a portion of these fees.

Wrap clients will not incur transaction costs for trades by their chosen custodian. More information
about this can be found in our separate Wrap Fee Program Brochure.

Termination & Refunds

Either party may terminate the advisory agreement signed with our firm for Wrap Comprehensive
Portfolio Management services in writing at any time. Upon notice of termination our firm will
process a pro-rata refund of the unearned portion of the advisory fees charged in advance.

Either party to a Retirement Plan Consulting Agreement may terminate at any time by providing
written notice to the other party. Full refunds will only be made in cases where cancellation occurs
within 5 business days of signing an agreement. After 5 business days from initial signing, either
party must provide the other party 30 days written notice to terminate billing. Billing will
terminate 30 days after receipt of termination notice. Clients will be charged on a pro-rata basis,
which takes into account work completed by our firm on behalf of the client. Clients will incur
charges for bona fide advisory services rendered up to the point of termination (determined as 30
days from receipt of said written notice) and such fees will be due and payable.

Commissionable Securities Sales

Our firm and representatives do not sell securities for a commission in advisory accounts.

Item 7: Types of Clients & Account Requirements

Our firm has the following types of clients:
   • Individuals and High Net Worth Individuals;
   • Trusts, Estates or Charitable Organizations;
   • Pension and Profit Sharing Plans;
   • Corporations, Limited Liability Companies and/or Other Business Types

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Our firm does not impose requirements for opening and maintaining accounts or otherwise
engaging us.