The Financial Legacy Group LLC

Item 5 Fees and Compensation
Portfolio Management Fee
We charge an annual "wrap-fee" for participation in the Program depending upon the market value of
your assets under our management. You are not charged separate fees for the different components
of the services provided by the Program. Our firm pays all trade expenses of trades placed on your
behalf. Our Program fee includes the fee we pay to any portfolio manager for their management of
your account and Charles Schwab & Co., Inc.'s transaction or execution costs. Assets in each of your
account(s) are included in the fee assessment unless specifically identified in writing for exclusion. In
special circumstances, and in our sole discretion, we may negotiate a lesser management fee based
upon certain criteria (i.e., anticipated future earning capacity, dollar amount of assets to be managed,
related accounts, account composition, pre-existing client relationship, account retention, etc.).

On an annualized basis, our Program annual fee schedule is as follows:

Assets Under Management        Annual Fee
$0 - $999,999                  1.75%
$1,000,000 - $2,999,999        1.50%
Over $3,000,000                1.25%

Our annual portfolio management fee is billed and payable, quarterly in advance, based on the
account value at the beginning of each quarter. If the portfolio management agreement is executed at
any time other than the first day of a calendar quarter, our fees will apply on a pro rata basis, which
means that the advisory fee is payable in proportion to the number of days in the quarter for which you
are a client. Our advisory fee is negotiable, depending on individual client circumstances.

As a client, be aware that you have the option to purchase investment products that we recommend
through other brokers or agents that are not affiliated with us.

At our discretion, we may combine the account values of family members living in the same household
to determine the applicable advisory fee. Combining account values may increase the asset total,
which may result in your paying a reduced advisory fee based on the available breakpoints in our fee
schedule stated above.

Withdrawal of Assets
You may withdraw account assets on notice to our firm, and subject to the usual and customary
securities settlement procedures. However, we design our portfolios as long-term investments and
asset withdrawals may impair the achievement of your specific investment objectives.

Payment of Fees
We will deduct our fee directly from your account through the qualified custodian holding your funds
and securities. We will deduct our advisory fee only when the following requirements are met:

    • You provide our firm with written authorization permitting the fees to be paid directly from your
      account held by the qualified custodian.
    • The qualified custodian agrees to send you a statement, at least quarterly, indicating all
      amounts dispersed from your account including the amount of the advisory fee paid directly to
      our firm.

We encourage you to reconcile our invoices with the statement(s) you receive from the qualified
custodian. If you find any inconsistent information between our invoice and the statement(s) you
receive from the qualified custodian call our main office number located on the cover page of this
brochure. For more information concerning the Wrap Fee Program, see Appendix 1 to this Brochure.

Financial Planning Services
We charge either an hourly or fixed fee for financial planning services. Our hourly fee is $500 and our
fixed fee ranges between $1,000 - $10,000. These fees are negotiable depending upon the complexity
and scope of the plan, your financial situation, and your objectives. An estimate of the total time/cost
will be determined at the start of the advisory relationship. In limited circumstances, the cost/time could
potentially exceed the initial estimate. In such cases, we will notify you and request that you approve
the additional fee. Our financial planning fees are negotiable and payable in advance of services
rendered. We do not require the prepayment of more than $1200 in fees six or more months in
advance. Should the engagement last longer than six months between acceptance of financial
planning agreement and delivery of the financial plan, any prepaid unearned fees will be promptly
returned to you less a pro rata charge for bona fide financial planning services rendered to date.

You may terminate the financial planning agreement within five (5) business days of signing the
agreement without penalty. You may terminate the financial planning agreement by providing written
notice to our firm. If you have pre-paid financial planning fees that we have not yet earned, you will
receive a prorated refund of those fees.

Financial Consulting Services
We charge an hourly fee of $500 for financial consulting services. Our financial consulting fee is
payable in advance and is negotiable depending on the complexity and scope of the consulting
arraignment. An estimate of the total time/cost will be determined at the start of the advisory
relationship. In limited circumstances, the cost/time could potentially exceed the initial estimate. In
such cases, we will notify you and request that you approve the additional fee. Should the engagement

last longer than six months between acceptance of financial consulting agreement and completion of
the consulting services, any prepaid unearned fees will be promptly returned to you less a pro rata
charge for bona fide financial consulting services rendered to date.

You may terminate the financial consulting agreement within five (5) business days of signing the
agreement without penalty. You may terminate the advisory consulting services agreement upon
written notice to our firm. If you have pre-paid financial consulting fees that we have not yet earned,
you will receive a prorated refund of those fees.

Additional Fees and Expenses
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Item 7 Types of Clients
We offer investment advisory services to individuals, including high net worth individuals, pooled
investment vehicles, charitable organizations, corporations, and other businesses entities.

In general, we do not require a minimum dollar amount to open and maintain an advisory account;
however, we have the right to terminate your account if it falls below a minimum size which, in our sole
opinion, is too small to manage effectively.

We may also combine account values for you and your minor children, joint accounts with your
spouse, and other types of related accounts to meet the stated minimum.