Financial Elements Inc

Item 5 – Fees and Compensation
Financial Planning
Financial Elements may provide such services through a one time or annual
engagement. Financial Elements will charge a fixed fee and/or hourly fee for these
services. Financial Elements’ financial planning and consulting fees are negotiable,
require a minimum engagement of $500, but generally range from $3,500 to $10,000 on
a fixed fee basis and/or $400 - $500 on an hourly rate basis, depending upon the level
and scope of the services. If the client engages Financial Elements for additional
investment advisory services, Financial Elements may offset all or a portion of its fees
for those services based upon the amount paid for the financial planning and/or
consulting services.
Generally, Financial Elements requires one-half of the financial planning/consulting
fee (estimated hourly or fixed) payable upon entering the written agreement. The
balance is generally due upon delivery of the financial plan or completion of the
agreed upon services. Either party may terminate the agreement by written notice to
the other. In the event the client terminates Financial Elements’ financial planning
and/or consulting services, the balance of Financial Elements unearned fees (if any)
shall be refunded to the client. If termination occurs within five business days of
entering into an agreement for such services, the client shall be entitled to a full
refund.
Clients may act on Financial Elements’ recommendations by placing securities
transactions with any brokerage firm the client chooses. The client is under no
obligation to act on Financial Elements’ financial planning recommendations. Moreover,
if the client elects to act on any of the recommendations, the client is under no
obligation to implement the financial plan through Financial Elements.
Investment Management
In the event the client determines to engage Financial Elements to provide investment
management services, Financial Elements shall do so on a fee-only basis. If engaged,
Financial Elements shall charge an annual fee based upon a percentage of the market
value of the assets being managed by Financial Elements. However, for those clients
who have not utilized Financial Elements’ financial planning services, Financial
Elements may charge a portfolio set up and design for new clients. This fee may
range between $500 and $2,500 depending on the scope and complexity of the
portfolio set up. Financial Elements’ annual fee shall be prorated and charged
quarterly, in advance, based upon the market value of the assets on the last day of the
previous quarter.

                   Financial Elements, Inc. | Item 5 – Fees and Compensation 6

                         FORM ADV PART 2A (“FIRM BROCHURE”)
         January 1, 2026 FOR FINANCIAL ELEMENTS, INC.

The annual fee shall vary depending upon the market value of the assets under
management:

       Portfolio Size                   Annualized Fee*
       First $500,000                          1.00%
       Next $500,000                           0.75%
       Next $2,000,000                         0.50%
       Next $2,000,000                         0.40%
       Amounts over $5,000,001                 0.30%
   *Client accounts may be aggregated for fee calculations.
For the initial quarter of investment management services, the first quarter’s fees shall
be calculated on a pro rata basis.
The annual fee for investment management services provided are based upon a
percentage (%) of the market value of the Assets under management in accordance
with the fee schedule in the Agreement signed by the client. Financial Elements
considers cash to be an asset class and part of Assets under management and subject
to the same fee calculation as the client’s non-cash investments.
Payment for management fees will be made by the qualified custodian holding the
client’s funds and securities provided the client provides written authorization permitting
the fees to be paid directly from the client’s account. Financial Elements will not have
access to client funds for payment of fees without client consent in writing. Further, the
qualified custodian agrees to deliver a quarterly account statement directly to the client
showing all disbursements from the account. The client is encouraged to review their
account statements for accuracy. Financial Elements will receive a duplicate copy of the
statement that was delivered to the client. Alternatively, Financial Elements may invoice
clients directly for portfolio management fees. When clients are billed directly, payment
is due upon receipt of Financial Elements’ invoice.
As further discussed in Item 7, Financial Elements generally imposes a minimum
portfolio value for its investment management services. Financial Elements, in its sole
discretion, may negotiate to waive its stated account minimum or charge a lesser
management fee based upon certain criteria (i.e., anticipated future earning capacity,
anticipated future additional assets, dollar amount of assets to be managed, related
accounts, account composition, pre-existing client, account retention, pro bono
activities, etc.).
General Information Regarding Advisory Services and Fees
Financial Elements does not represent, warrant, or imply that the services or methods of
analysis used by Financial Elements can or will predict future results, successfully

                    Financial Elements, Inc. | Item 5 – Fees and Compensation 7

                         FORM ADV PART 2A (“FIRM BROCHURE”)
         January 1, 2026 FOR FINANCIAL ELEMENTS, INC.

identify market tops or bottoms, or insulate clients from losses due to market
corrections.
Advice offered by Financial Elements may involve investments in mutual funds. Clients
are hereby advised that all fees paid to Financial Elements for investment supervisory
services are separate and distinct from the fees and expenses charged by mutual funds
...

Item 7 – Types of Clients
Financial Elements offers personalized investment supervisory services to individuals,
pensions and profit sharing plans, trusts, estates, charitable organizations, corporations
and business entities. Client relationships vary in scope and length of service.
Required Minimum Client Accounts
Financial Elements may require a minimum account size of $500,000 for investment
management services. Financial Elements, in its sole discretion, may charge a lesser
management fee, or choose to reduce or waive the quarterly minimum fee, based upon
certain criteria (i.e. pre-existing financial planning client, anticipated future earning
capacity, anticipated future additional assets, dollar amount of assets to be managed,
related accounts, account composition, negotiations with client, and pro bono
activities.). Financial Elements shall only accept clients with less than the minimum
portfolio size if, in the sole opinion of Financial Elements, the smaller portfolio size will
not cause a substantial increase of investment risk beyond the client’s identified risk
tolerance. Financial Elements many aggregate the portfolios of family members to meet
the minimum portfolio size.
Financial Elements, as a condition for starting and maintaining a financial planning
relationship shall generally impose a project size of $500. Financial Elements, at its sole
discretion, may waive the financial planning project size, based upon certain criteria (i.e.
pre-existing financial planning client, anticipated future earning capacity, anticipated
future additional assets, dollar amount of assets to be managed, related accounts,
account composition, negotiations with client, and pro bono activities.).

                              Financial Elements, Inc. | Item 7 – Types of Clients 11

                         FORM ADV PART 2A (“FIRM BROCHURE”)
         January 1, 2026 FOR FINANCIAL ELEMENTS, INC.