Livelsberger Lynn Louis

Item 5 – Fees and Compensation
The specific way fees are charged by Livelsberger Financial Advisory is established in a client’s
written agreement with Livelsberger Financial Advisory. Livelsberger Financial Advisory will
generally bill its fees on an annual basis. For example, a client’s first year advisory fee is
charged for that full year of advisory services provided.

Please note: Due to certain circumstances, some clients are billed in arrears, in which case the
fee is billed as one amount to allow the billing to be caught up. Clients may elect to be billed
directly for fees or to authorize Livelsberger Financial Advisory to directly debit fees from their
client accounts. Management fees shall not be pro-rated for each capital contribution and
withdrawal made during the applicable calendar quarter. Accounts terminated during a fiscal
quarter will be charged a pro-rated fee. In regards to a client who wishes to terminate, said client
must notify Livelsberger Financial Advisory in writing by delivering a signed client termination
form. At this time, any unearned fees paid to Livelsberger Financial Advisory will be promptly
refunded to said client(s). Upon termination of any account, any prepaid, unearned fees will be
promptly refunded, and any earned, unpaid fees will be due and payable.

Our fee structure is based on up to 2% of assets under our management during the first year of
engagement, depending on administrative needs of the Client within the first year of
engagement. These fees will be lowered to 1% of assets under management after the first year.
Fees are paid annually in advance based on the value of your account on the date of your annual
review. If such fee would result in the Client paying more than $1,200, 6 months or more in
advance, we will spread payments out equally to be paid every 4 months, throughout the services
rendered. Fees are paid either by our direct fee deduction from your account, or via invoice as

designated by the client. Livelsberger Financial Advisory charges a flat $75.00 per hour for
financial planning and consulting matters beyond that of assets under our direct management.
These fees are paid in arrears.

Fees are negotiable, at times, depending upon special circumstances. In regards to risk
management, we will recommend the need for certain insurance-type products. We conduct the
analysis and if an insurance product is purchased through our firm, then we will receive a
commission from that insurance company. The specific company product recommended is
always based on what is best for the client; it is not based on a commission percentage.

In addition, Livelsberger Financial Advisory may, at times, recommend additional services of
other professionals for implementation purposes. The client is under no obligation to engage in
or use the services of any such recommended professional. The client retains absolute discretion
over all such implementation decisions and is free to accept or reject any such recommendation
from Livelsberger Financial Advisory.
Please note: If the client engages any such recommended professional, and a dispute arises
thereafter relative to such engagement, the client agrees to seek recourse exclusively from and
against the engaged professional.
Please note: It remains the client’s responsibility to promptly notify Livelsberger Financial
Advisory if there is ever any change in their financial situation or investment objectives for the
purpose of reviewing, evaluating, or revising Livelsberger Financial Advisory’s previous
recommendations and/or services.

Livelsberger Financial Advisory’s fees are exclusive of custodial fees, transaction fees, and other
related costs, and expenses which shall be incurred by the client. Clients may incur certain
charges imposed by custodians, brokers, third party investment and other third parties such as
fees charged by managers, custodial fees, deferred sales charges, odd-lot differentials, transfer
taxes, wire transfer and electronic fund fees, and other fees and taxes on brokerage accounts and
securities transactions. Mutual funds and exchange traded funds also charge internal
management fees, which are disclosed in a fund’s prospectus. Such charges, fees, and
commissions are exclusive of and in addition to Livelsberger Financial Advisory’s fee.
Livelsberger Financial Advisory shall not receive any portion of these commissions, fees, and
costs.

Livelsberger Financial Advisory is an asset-based fee investment management firm. The firm
does not receive commissions for purchasing or selling stocks, bonds, mutual funds, real estate
investment trusts, or other commissioned securities products for clients.

Certain investment adviser representatives of Livelsberger Financial Advisory are also licensed
as insurance agents. These representatives will earn commission-based compensation for selling
insurance products, including insurance products they sell to you. Insurance commissions earned
by these representatives are separate and in addition to our advisory fees. This practice presents a
conflict of interest because persons providing investment advice on behalf of the firm who are
insurance agents will have an incentive to recommend insurance products to you for the purpose
of generating commissions rather than solely based on your needs. Clients are under no

obligation, contractually or otherwise, to purchase insurance products through any person
affiliated with our firm.

Item 7 – Types of Clients

Livelsberger Financial Advisory provides investment advice to individuals, corporate pension
plans, corporations, and non-profit organizations.
We do not impose account minimums.