Hobbs Wealth Management LLC

Item 5: Fees and Compensation
Please note, unless a client has received the firm’s disclosure brochure at least 48 hours prior to signing the
investment advisory contract, the investment advisory contract may be terminated by the client within five (5)
business days of signing the contract without incurring any advisory fees and without penalty. How we are paid
depends on the type of advisory service we are performing. Please review the fee and compensation
information below.

Portfolio Management Fees
Our standard advisory fee is based on the market value of the assets under management and is calculated as
follows:
                       Account Value                              Annual Advisory Fee
                        $0 - $250,000                                    1.45%
                   $250,001 - $1,000,000                                 1.00%
                   $1,000,001 - $3,000,000                               0.70%
                   $3,000,001 and Above                                  0.35%

The annual fees are negotiable and are pro-rated and paid in advance on a quarterly basis. The advisory fee is
calculated using the value of the assets in the Account on the last business day of the prior billing period. The
above listed fee schedule is a tiered fee approach. Example would be for a client with $500,000 invested
with Hobbs Wealth Management, the first $250,000 would be billed at an annual rate of 1.45% and the
next $250,000 would be billed at an annual rate of 1.00%. Upon termination, for any unearned asset-based
fees paid in advance, the fee refunded will be equal to the balance of the fees collected in advance minus
the daily rate* times the number of days elapsed in the billing period up to and including the day of
termination. (*The daily rate is calculated by dividing the annual asset-based fee rate by 365.). Additionally,
if using any third-party managers, they may have their own fee schedule and their fee is in addition to our
fee.

Advisory fees are directly debited from client accounts, or the client may choose to pay by check. Clients may
terminate the agreement without penalty for a full refund of HWM's fees within five business days of
signing the Investment Advisory Contract. Thereafter, clients may terminate the Investment Advisory
Contract generally with 10 days' written notice. Upon termination of the account, any unearned fee will be
refunded to the client on a prorated basis.

Pension Consulting Services Fee
                       Account Value                              Annual Advisory Fee
                        $0 - $250,000                                    1.45%
                   $250,001 - $1,000,000                                 1.00%
                   $1,000,001 - $3,000,000                               0.70%
                   $3,000,001 and Above                                  0.35%

The annual fees are negotiable and are pro-rated and paid in advance on a quarterly basis. The advisory fee is
calculated using the value of the assets in the account on the last business day of the prior billing period.
The advisory fee is calculated using the value of the assets in the account on the last business day of the
prior billing period. The above listed fee schedule is a tiered fee approach. Example would be for a client

with $500,000 invested with HWM, the first $250,000 would be billed at an annual rate of 1.45% and the
next $250,000 would be billed at an annual rate of 1.00%.

Upon termination, for any unearned asset-based fees paid in advance, the fee refunded will be equal to
the balance of the fees collected in advance minus the daily rate* times the number of days elapsed in the
billing period up to and including the day of termination. (*The daily rate is calculated by dividing the
annual asset-based fee rate by 365.). Additionally, if using any third-party managers, they may have their
own fee schedule.

Advisory fees are directly debited from client accounts, or the client may choose to pay by check. Clients may
terminate the agreement without penalty for a full refund of HWM's fees within five business days of
signing the Investment Advisory Contract. Thereafter, clients may terminate the Investment Advisory
Contract generally with 10 days' written notice. Upon termination of the account, any unearned fee will be
refunded to the client on a prorated basis.

Financial Planning Fixed Fee
Financial Planning will generally be offered on a fixed fee basis. The fixed fee will be agreed upon before the
start of any work. The fixed fee can range between $2,500.00 and $10,000.00. The fee is negotiable. If a fixed
fee program is chosen, half of the fee is due at the beginning of process and the remainder is due at completion
of work, however, Hobbs Wealth will not bill an amount above $1,200.00 more than 6 months in advance. In
the event of early termination, the client will be billed for the hours worked at a rate of $450.00 per hour. If the
initial deposit is greater than the amount billed, then the client will be refunded the difference. If the initial
deposit is less, then the client will be billed the difference. Clients may pay via check.

Financial Planning Hourly Fee
Financial Planning fee is an hourly rate between $450.00 and $650.00 per hour, depending on complexity. The
fee is negotiable. When hourly financial planning is chosen, the client will be given an estimate of the total cost
in their client contract. Half of the fee is due at the beginning of process and the remainder is due at completion
of work, however, Hobbs Wealth will not bill an amount above $1,200.00 more than 6 months in advance. If the
initial deposit is greater than the amount billed, then the client will be refunded the difference. If the initial
deposit is less, then the client will be billed the difference, at the client’s hourly rate. Clients may pay via check.

Other Types of Fees and Expenses
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Item 7: Types of Clients
We provide financial planning and portfolio management services to individuals, high net-worth individuals,
pension and profiting sharing plans and corporations or other businesses entities.
We do not have a minimum account size requirement.