New Day Wealth Management LLC

5. FEES AND COMPENSATION

As a Registered Investment Advisor, New Day endeavors to provide services on a fee basis to the greatest degree
possible. Most fees are based on a percentage of assets under management, but clients may choose an hourly rate or a
combination to determine fees. Most of our investment recommendations focus on low-cost, no-load products on
which New Day receives no commissions. All mutual funds, including no-load funds, charge ongoing fees to cover
their operating expenses including management expenses. Owners of mutual fund shares pay their proportionate share
of these expenses. These are not paid separately by clients, but they are fees nevertheless and are in addition to fees
charged by New Day. The levels of fees charged by different funds are considered strongly in choosing investments.
While there is a distinct preference for the lower cost funds, New Day may invest in funds that are not among the
cheapest in its category if it believes there are valid reasons doing so. Not all worthwhile investments are available on
a fee-only basis. New Day follows the definition of the Certified Financial Planner Board of Standards for fee only,
which is as follows: "Fee-Only" denotes a method of compensation in which compensation is received solely from a

client with neither the personal financial planning practitioner nor any related party receiving compensation which is
contingent upon the purchase or sale of any financial product. A "related party" for this purpose shall mean an
individual or entity from whom any direct or indirect economic benefit is derived by the personal financial planning
practitioner as a result of implementing a recommendation made by the personal financial planning practitioner. We
follow this definition of fee-only compensation with one very specific exception. The only exception is when it is in
the clear best interest of our clients to utilize a fee-based compensation arrangement. In a fee-based arrangement, a
portion of our fee (which is charged as a percent of assets under management) may be in the form of payments directly
from the investment companies from whom we may obtain variable products. The percentage of asset compensation
in a fee-based arrangement shall be no more than, and is usually less than, our stated fee-only investment advisory
fee. If this type of compensation appears to be in the best interest of the client, a written disclosure document will be
provided detailing the options of fee-based compensation vs. fee-only compensation. Two examples of this type of
arrangement are:

(1) A tax-free exchange from one annuity to another annuity. In this situation, adverse tax consequences would apply
to the client if the fee were to be withdrawn from the annuity.

(2) A tax-sheltered annuity (403)b where an annuity needs to be used to fulfill the implementation of the retirement
plan. The reason this type of arrangement seems prudent for the client is that if the fee is pulled from certain
investments (as in fee-only), it triggers taxable income in the amount of the fee. If the fee is paid by the company
(usually in the form of trailer fees), under the current tax laws, it does not trigger such a tax. While we want to be fee-
only, we do not want to do so to the detriment of our clients. Using the fee-based approach due to a cut taken by the
broker dealer handling the transaction may decrease our compensation. These situations are rare, but it is our goal to
be fee-based only to the extent that it helps, instead of harms, our client's financial wellbeing. If New Day receives
commissions as a result of the purchase of an investment asset, that asset will be excluded from any computation of
asset based management fees. New Day may also use mutual funds that normally charge a sales commission if these
are available for purchase for the client on a net asset cost basis, i.e. without paying a sales commission. Initial
consultations to assess client needs and objectives are always at no charge.

For continuing advisory agreements, fees are based on the amount of assets under management and will correspond
to the following table from which discounts may be negotiated. Fees are assessed on a quarterly basis and are payable
quarterly in advance. These fees are deducted from the client’s account.

A Flat Fee To Be Negotiated

or

Account Size                         Annual Fee
First                        $50,000 2.00% of assets
$50,001           to        $100,000 1.75% of assets
$100,001          to        $250,000 1.50% of assets
$250,001          to        $500,000 1.25% of assets
$501,000          to        $10 million 1.00% of assets
$10 million or more                      Negotiable

Some clients prefer to be charged on a pure time basis. In those cases, fees or future consultations are billed at a rate
of $400 per hour, payable at the time of services. For special situations, discounts may be negotiated. For consultations
involving detailed analysis requiring extensive computer support and outside research, you will be billed for the
additional costs. You will be contacted for approval prior to incurring additional expenses. A contract between New
Day and you may be terminated at any time upon your or New Day 's written notice of 30 days. If you terminate the
contract all unearned fees will be returned to you. In the event New Day terminates the contract, all unearned fees will
be returned to you. New Day will return all prepaid fees and void the contract if you request it within five business
days of the contract date.

Financial planning fees are charged at the current hourly rate. A typical plan usually involves eight to ten hours of
work.

New Day Wealth Management, LLC., and their Investment Adviser Representatives may choose to absorb all or a
portion of the applicable transaction fees imposed by SEI to initiate securities transactions within your account(s).

7. TYPES OF CLIENTS

New Day generally provides investment management services to individuals, families, trust and estates. Advice may
extend to entities related to the client such as small businesses and charitable organizations, including foundations and
endowments. Client relationships vary in scope and length of service. There is no minimum account size to open an
account.