Lighthouse Financial Advisors Inc

Item 5          Fees and Compensation

A. WEALTH MANAGEMENT SERVICES
    Clients can engage Lighthouse to provide Wealth Management Services subject to the terms and conditions of
    a written agreement that describes the services to be provided and the applicable fee for those services.
    Lighthouse’s negotiable annual fee for Wealth Management Services is dependent on various objective and
    subjective factors, including but not limited to the scope and complexity of the service being offered, the amount
    of assets under management or advisement, anticipated future earning capacity, anticipated future additional
    assets, related / family accounts, account composition, prior relationships with Lighthouse or its representatives,

    negotiations with the client and the qualifications of the professional providing services. Lighthouse generally
    requires a minimum annual fee of $6,000 for Wealth Management Services. Unless otherwise agreed, the fee
    compensates for cash and cash equivalent positions under advisement. This fee will not, at any time, exceed an
    amount that is equal to more than 2% of the client’s investment assets under Lighthouse’s advisement. Based
    on the above, similarly situated clients could pay diverse fees, and the services to be provided by Lighthouse to
    any particular client could be available from other advisers at lower fees. Certain clients may have accepted
    different service offerings from Lighthouse and may therefore receive different services under different fee
    schedules than as set forth in this section. Subject to the above, the Wealth Management Services fee schedule
    is generally as follows:

    First year: The annual fee for the first year of Wealth Management Services generally ranges between $6,000
    and $60,000, which is payable quarterly, in advance, at the beginning of each quarter.

    Future Years: Lighthouse’s annual fee for ongoing Wealth Management Services may be reduced in future
    years, at Lighthouse’s sole discretion, with a minimum fee of $6,000. These fees are billed in quarterly
    installments at the beginning of each quarter.

    Add-ons, Credits, and Miscellaneous Adjustments: Upon review and a separate written agreement with the
    client, additional charges may be assessed for the preparation of an amended tax return prepared or for
    additional tax returns prepared for dependents of the client.

    FINANCIAL REVIEW SERVICES
    Lighthouse charges $900 for a three-hour financial review consultation, or $720 if an existing client refers the
    financial review client. The fee is payable in two equal installments, one-half at the signing of the agreement
    and the other half at the time of the consultation. Clients may cancel the financial review services at any time
    by providing written notice. Upon cancellation, Lighthouse will present the client with an invoice for time spent,
    which is payable upon receipt.

    RETIREMENT PLAN CONSULTING
    The terms and conditions of Lighthouse’s retirement plan consulting engagement are set forth in a Retirement
    Plan Consulting Agreement between Lighthouse and the plan sponsor. Lighthouse’s negotiable annual fee for
    retirement plan consulting services is based upon a percentage of the market value of assets held by the plan.
    This fee generally ranges between $5,000 and $50,000 per year on a flat fee basis, depending on the size of the
    plan, anticipated future additional assets, related accounts, complexity and scope of the engagement, and
    negotiations with the plan. The fee is generally payable quarterly, in advance.

    TAX PREPARATION SERVICES
    Lighthouse may agree to provide tax preparation services on a stand-alone, separate flat-fee basis ranging
    between $200 and $10,000 depending upon the complexity of the engagement. Lighthouse and the client will
    agree upon the specific fee before Lighthouse begins tax preparation services. Lighthouse reserves the right to
    reduce or waive tax preparation fees.

B. Clients may elect to have Lighthouse’s advisory fees deducted from their custodial account. The applicable
   form of agreement including addenda, as well as the custodial/clearing agreement, may authorize the custodian
   to debit the account for the amount of Lighthouse’s advisory fee and to directly remit that fee to Lighthouse in
   compliance with regulatory procedures. If Lighthouse bills the client directly, payment is due upon receipt of
   Lighthouse’s invoice. Unless otherwise agreed, Lighthouse will deduct fees and/or bill clients quarterly in
   advance, based upon the agreed annual retainer amount stated in the applicable agreement.

C. Unless the client directs otherwise or an individual client’s circumstances require, Lighthouse generally
   recommends that Fidelity Brokerage Services LLC and its affiliates (“Fidelity”), serve as the broker-
   dealer/custodian for client investment advisory assets. Broker-dealers such as Fidelity charge transaction fees
   for executing certain securities transactions according to their fee schedule. Clients may also be required to pay
   certain charges and administrative fees related to their investment advisory accounts, including, but not limited
   to, custodial fees, transaction charges (including mark-ups and mark-downs) resulting from trades effected
   through or with a broker-dealer other than Fidelity, transfer taxes, transfer or wiring fees, odd lot differentials,
   exchange fees, interest charges, American Depository Receipt agency processing fees, and any charges, taxes
   or other fees mandated by any federal, state or other applicable law or otherwise agreed to with regard to client
   accounts. When Lighthouse deems it beneficial to the client, it may execute individual transactions (typically,
   for fixed income products) through other broker‐dealers besides Fidelity. In those instances, clients may incur
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Item 7           Types of Clients

    Lighthouse’s clients generally include individuals, high net worth individuals (along with affiliated trusts and
    estates), and charitable organizations. Lighthouse generally requires a minimum annual fee of $6,000 for
    Wealth Management Services. This fee will not, at any time, exceed an amount that is equal to more than 2%
    of the client’s investment assets under Lighthouse’s advisement.