Cook Financial Designs Inc

Item 5: Fees & Compensation

Compensation for Our Advisory Services.

    Financial Plan Preparation

    We charge an agreed-upon flat fee for preparing and presenting a Client’s initial Plan. This
    agreed-upon plan preparation fee ranges from $1,800 to $10,000 and is based on the range of
    areas covered and complexity of the Client’s financial situation.

    Ongoing Financial Planning & Advisory Services
    We charge an agreed-upon, flat annual advisory fee, on a pro-rata quarterly basis in arrears,
    based on the scope and complexity of Client’s financial situation and range of services
    provided. Annual fees typically range between $4,000 and $40,000.

    It should be noted that our Firm will consider any Financial Plan preparation fees already paid by
    Client when we begin to bill for ongoing fees.

    Fees may be invoiced directly or debited from Client’s managed account. If fees are debited
    from a Client’s managed account, Client understands and acknowledges the following:

    a) The client’s independent custodian sends statements at least quarterly showing the market
         values for each security included in the Assets and all account disbursements, including the
         amount of the advisory fees paid to our firm;

    b) Clients will provide authorization permitting our firm to be directly paid by these terms. Our
         firm will send an invoice directly to the custodian; and

    c) If our firm sends a copy of our invoice to the client, a legend urging the comparison of
         information provided in our statement with those from the qualified custodian will be
         included.

    Project-Based Financial Advisory Services
    We may also provide project-based advisory services. The fee for these services is based on the
    complexity, duration and range of services provided. Agreed-upon fees may range from $1,000
    to $10,000.

ADV 2A: Firm Brochure                           Page 7 of 25                     Cook Financial Designs, Inc.

Note: We may reduce, waive or exempt or negotiate fees at our discretion.

Other Types of Fees & Expenses.
Clients may incur transaction charges for trades executed in their accounts. These transaction
fees are separate from advisory fees and will be disclosed by the Firm through which the trades
are executed. Charles Schwab & Co. Inc. (“Schwab”) does not charge transaction fees for U.S.
listed equities and exchange traded funds. Clients may pay the following separately incurred
expenses: charges imposed directly by a mutual fund, index fund, or exchange traded fund
which shall be disclosed in the fund’s prospectus (i.e., fund management fees and other fund
expenses). We do not receive any portion of the transaction fees.

Terminations & Refunds.
Upon the initial presentation of the Plan, if Client is not satisfied with the Plan and if Planner is not
able to rewrite the Plan to Client’s satisfaction, we will agree not to charge for the Plan. Client agrees
to return the original Plan and any copies to us. We do not guarantee the success of the Plan and
Client understands that financial goals and objectives may not be achieved.

For Ongoing Financial Planning & Advisory clients, either party may terminate their Agreement at
any time by providing written notice. Termination of this Agreement shall be effective upon receipt
of notice. Upon receipt of Client’s written notice, any fees due will be prorated to the date of
written notification of termination.

Commissionable Securities Sales.
We do not sell securities for a commission. To sell securities for a commission, our associated
persons would need to be registered with a broker-dealer. We have chosen not to register with a
broker-dealer.

Item 7: Types of Clients & Account Requirements
Our clients typically consist of individuals and high net worth individuals.

ADV 2A: Firm Brochure                           Page 8 of 25                        Cook Financial Designs, Inc.

Cook Financial Designs, Inc. has no minimum account size.