Smallwood Wealth Investment Management LLC

Item 5: Fees and Compensation

A. Fee Schedule

Portfolio Management Fees

         Total Assets Under Management                        Annual Fee

         $0 - $750,000                                        1.55%

         $750,001 - $2,000,000                                1.35%

         $2,000,001 - $5,000,000                              1.05%

         $5,000,001 - $10,000,000                             0.85%

         $10,000,001 - $30,000,000                            0.60%

         $30,000,001 - and up                                 0.50%

The advisory fee is calculated using the value of the assets in the Account on the last business day
of the prior billing period.

These fees are generally negotiable and the final fee schedule is attached as Exhibit II of the
Investment Advisory Contract. Clients may terminate the agreement without penalty for a full
refund of SWIM's fees within five business days of signing the Investment Advisory Contract.
Thereafter, clients may terminate the Investment Advisory Contract immediately upon written
notice.

Pension Consulting Services Fees

The rate for pension consulting services is between 0.50% - 1.55% of the plan assets for which
SWIM is providing such consulting services. These fees are negotiable.

Financial Planning Fees

Fixed Fees

The negotiated initial fixed rate for creating client financial plans is between $1,050 and $14,000.
Additionally, the fee for ongoing updates is between $450 and $6,500.

Hourly Fees

The negotiated hourly fee for these services is between $200 and $525.

Clients may terminate the agreement without penalty, for full refund of SWIM’s fees, within five
business days of signing the Financial Planning Agreement. Thereafter, clients may terminate the
Financial Planning Agreement generally upon written notice.

B. Payment of Fees

Payment of Portfolio Management Fees

Asset-based portfolio management fees are withdrawn directly from the client's accounts with
client's written authorization on a quarterly basis. Fees are paid in advance.

SWIM calculates advisory fees using the value of the assets in the client’s account as of the last
business day of the prior calendar quarter. Fees are billed quarterly in advance based on that
valuation.

In addition to the standard quarterly billing, the firm applies a cash flow true-up process at each
billing cycle to account for significant account activity that occurred during the prior quarter. The
firm reviews deposits and withdrawals made since the previous quarterly billing run. For any
individual transaction that equals or exceeds five percent (5%) of the account’s value, a prorated
adjustment is calculated for the remainder of that quarter. Deposits result in an additional prorated
fee and withdrawals result in a prorated rebate. These adjustments are applied at the same time as
the standard quarterly billing and are reflected in the net fee appearing on the client’s statement.

For new clients whose accounts are established mid-quarter, the first billing cycle may include both
the standard quarterly fee in advance and a prorated charge for the number of days the account was
active during the prior quarter.
Payment of Pension Consulting Services Fees

Pension consulting fees are withdrawn directly from the client’s accounts with client’s written
authorization on a quarterly basis. Fees are paid in advance.

Payment of Financial Planning Fees

Financial planning fees are paid via check.

Fixed financial planning fees are paid in advance, but never more than six months in advance.

Hourly financial planning fees are paid in advance, but never more than six months in advance

C. Client Responsibility For Third Party Fees

SWIM will wrap third party fees (i.e. custodian fees, brokerage fees, mutual fund fees, transaction
fees, etc.). SWIM will charge clients one fee, and pay all transaction fees using the fee collected
from the client.

D. Prepayment of Fees

SWIM collects fees in advance. Refunds for fees paid in advance will be returned within fourteen
days to the client via check.

For all 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.)

Fixed fees that are collected in advance will be refunded based on the prorated amount of work
completed at the point of termination.

For hourly fees that are collected in advance, the fee refunded will be the balance of the fees
collected in advance minus the hourly rate times the number of hours of work that has been
completed up to and including the day of termination.

E. Outside Compensation For the Sale of Securities to Clients

John L. Smallwood, Robert D. Marks, Christopher J. Smallwood, Jared R. Smallwood, and John L.
Smallwood, Jr. are registered representatives of a broker-dealer. John L. Smallwood, Robert D.
Marks, Christopher J. Smallwood, Jared R. Smallwood, and John L. Smallwood, Jr. are insurance
agents. In these roles, they accept compensation for the sale of investment products to SWIM
clients.

1. This is a Conflict of Interest

    Supervised persons may accept compensation for the sale of investment products, including
    asset based sales charges or service fees from the sale of mutual funds to SWIM's clients. This
    presents a conflict of interest and gives the supervised person an incentive to recommend
    products based on the compensation received rather than on the client’s needs. When
    recommending the sale of investment products for which the supervised persons receives
    compensation, SWIM will document the conflict of interest in the client file and inform the
    client of the conflict of interest.

2. Clients Have the Option to Purchase Recommended Products From Other
Brokers
...

Item 7: Types of Clients
SWIM generally provides advisory services to the following types of clients:

    ❖       Individuals
    ❖       High-Net-Worth Individuals
    ❖       Pension and profit-sharing plans (other than plan participants)
    ❖       Charitable Organization

There is no account minimum for any of SWIM’s services.