Redwood Wealth Management Group LLC

Item 5: Fees and Compensation

A. Fees Charged

All clients will be required to execute a written agreement that will describe the type of services to be provided
and the fees, among other items.

Financial Planning
Financial planning fees can be on a fixed fee basis or included with asset management services. Fixed fees will be
between $2,000 and $10,000. The fee range stated is a guide. Fees are higher or lower than this range, based on
the nature of the engagement. Fees are negotiable and will depend on the anticipated complexity of your plan.

Asset Management
Generally, we use a flat fee schedule up to a maximum of 1.5% per annum of the net value of a client’s accounts
managed by RWMG. However, fees are negotiable, and can be higher or lower, based on the nature of the
account. Factors affecting fee percentages include the size of the account, whether it participates in the Wrap
program, complexity of asset structures, and other factors.

Will & Trust Will-Based Estate Plan and Estate Distribution
Fees for assistance with a will-based estate plan will be fixed and vary depending on whether the plan is for an
individual or a couple. Additionally, fixed or hourly fees may be applied for estate or account distribution
services, with costs varying based on the time required and other relevant factors.

B. Fee Payment

Fees for financial planning and/or consulting will be billed to each client. If the client terminates the agreement
prior to completion of the services, any unearned fees will be returned to the client.

Investment advisory fees will be debited directly from each client’s account. The advisory fee is paid quarterly,
generally in advance, and the value used for the fee calculation is the net value as of the last market day of the
previous quarter. This means that if your annual fee is 1.00%, then each quarter we will multiply the value of your
account by 1.00% then divide by 4 to calculate our fee. Once the calculation is made, we will instruct your account
custodian to deduct the fee from your account and remit it to RWMG.

Clients whose fees are directly debited will provide written authorization to debit advisory fees from their
accounts held by a qualified custodian chosen by the client. The client will also receive a statement from their
account custodian showing all transactions in their account, including the fee.

C. Other Fees

There are a number of other fees that can be associated with holding and investing in securities. RWMG will be
responsible for fees including transaction fees for the purchase or sale of a mutual fund or Exchange Traded Fund,
or commissions for the purchase or sale of a stock. Expenses of a fund will not be included in management fees,
as they are deducted from the value of the shares by the mutual fund manager. For a complete discussion of
expenses related to each mutual fund, you should read a copy of the prospectus issued.
From time to time, clients can direct RWMG to purchase certain securities. To the extent that RWMG can
accommodate such requests, clients may be subject to additional fees and expenses associated with such
transactions.
Please make sure to read Item 12 of this informational brochure, where we discuss broker-dealer and custodial
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issues.

D. Pro-rata Fees

If you become a client during a quarter, you will pay a management fee for the number of days left in that quarter.
If you terminate our relationship during a quarter, you will be refunded the portion of the prepaid management
fee for the remainder of the quarter. Once your notice of termination is received, we will refund the unearned
fees to you in whatever way you direct (check, wire back to your account).

E. Compensation for the Sale of Securities

To permit RWMG clients to have access to as many investment solutions as possible, certain professionals of
RWMG are registered representatives of Purshe Kaplan Sterling Investments, Inc. (“PKS”) a FINRA member broker-
dealer. RWMG offers certain qualified clients trading services, which gives RWMG the ability to execute trades
through PKS of client assets not custodied at Schwab. The relationship with PKS allows these professionals to
provide additional products to clients’ portfolios that would not otherwise be available. Because PKS supervises
the activities of these professionals as registered representatives of PKS, the relationship may be deemed
material. However, PKS is not affiliated with RWMG or considered a related party. PKS does not make investment
decisions for client accounts. Registered representative status enables these professionals to receive customary
commissions for the sales of various securities, including those he or she recommends to clients. Commissions
charged for these products will not offset management fees owed to RWMG.

Receipt of commissions for investment products that are recommended to clients gives rise to a conflict of interest
for the representative, in that the individual who will receive the commissions is also the individual that is
recommending that the client purchase a given product. This conflict is disclosed to clients verbally and in this
brochure. Clients are advised that they may choose to implement any investment recommendation through
another broker-dealer that is not affiliated with RWMG. RWMG attempts to mitigate this conflict by requiring that
all investment recommendations have a sound basis for the recommendation, and by requiring employees to
acknowledge their fiduciary responsibility toward each client.

F. No-Transaction-Fee Fund Share Classes

At our firm, we acknowledge a potential conflict of interest when selecting investments in no-transaction-fee
fund share classes, as the firm has a financial incentive to do so due to the absence of transaction fees. These share
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Item 7: Types of Clients

Clients advised include individuals, trusts, foundations, pension and profit-sharing plans and corporations.

For asset management services, RWMG requires each client to place at least $250,000 with the firm. This
minimum can be waived at the discretion of RWMG.

There is no set minimum that clients are required to place with RWMG for financial planning services.