Vannoy Advisory Group Inc

Item 5 – Fees and Compensation
The specific manner in which Vannoy Advisory Group charges fees is established in a written Agreement. All fees
are subject to negotiation at the discretion of Vannoy Advisory Group.

Fees for Financial Planning Services

Financial planning services are generally provided without additional fees for Clients that engage us for investment
advisory services and meet the current minimum quarterly fee. Fees for financial planning services are based on the
complexity of the Client’s situation, reassessed on an as-needed basis, and will not change without the consent of
both parties.

Fees for financial planning services for these Clients are quoted as an annual fee, but are paid quarterly in arrears in
installments equal to one-fourth (1/4) of the annual fee. Financial planning services fees are deducted from a non-
qualified account managed by the Advisor unless another payment method has been agreed to in advance. We do not
require or accept advance payment of financial planning services fees for these Clients.

At times we offer financial planning services on an as-needed basis to Clients that do not engage us for investment
advisory services. Fees for these limited engagements are quoted and billed as a flat fee based on the amount of time
anticipated to be spent by each consultant devoting time to the services at the current hourly rates. Current hourly
rates are $250 per hour for Lead Planners and $90 per hour for administrative work.

Fees for limited engagements are billed in thirds: one-third as a deposit, one-third during the planning process, and
the final third upon delivery of the services. This fee may be paid in fewer installments if agreed to by you and the
Advisor.

Fees for Investment Advisory Services

Fees for investment management through our investment advisory services are billed according to a tiered fee
schedule based on the combined average daily balance of all accounts managed for the Client during the most
recent quarter. We do not have an account minimum for investment advisory services but do charge a minimum
quarterly fee of $1,500.

Fees for investment advisory services are billed according to the following tiered fee schedule:
                       Combined Balance Tiers                                Annual Fee
                           $0 - $749,999.99                                    0.85%
                       $750,000 - $1,499,999.99                                0.65%
                      $1,500,000 - $2,999,999.99                               0.30%
                             $3,000,000 +                                      0.20%
We bill for investment advisory services at the end of each calendar quarter in arrears. Clients receive a detail of the
investment advisory services fees earned by Vannoy Advisory Group at the end of each quarter. These fees are
deducted directly from the account(s) managed unless the Client has arranged to pay the fees by a different method.
We do not require or accept advance payment of investment advisory services fees.

Clients may incur additional fees and expenses when they purchase or sell securities that we recommend or when we
purchase or sell securities for Clients in the account(s) we manage. We do not receive, directly or indirectly, any of
these fees charged to Clients. They are paid directly to the third party that charges them. Examples of some of these
fees and expenses include:

    •    Brokerage commissions,
    •    Transaction fees,
    •    SEC fees,
    •    Management fees charged by mutual funds and exchange-traded funds (ETFs) and notes (ETNs),
    •    Custodial fees,
    •    Wire transfer and electronic fund processing fees,
    •    Mark-ups or mark-downs on security transactions, and
    •    Other expenses that may be incurred.

Vannoy Advisory Group does not receive any compensation from the sale of securities or investments that are
purchased or sold for Client accounts or to which we provide advice or expertise. As a result, we are a “fee-only”
financial planning and investment management firm. We do not have any potential conflicts of interest present that
relate to any additional (and un-disclosed) compensation from the Client or Client assets that we manage.

Terminating and Agreement

Either party may terminate an Agreement for ongoing financial planning and investment advisory services within
five (5) days of signing without any fee being due. Clients that terminate an Agreement after five (5) days of signing
are responsible for any services conducted up to the point the Advisor receives written notice to terminate the
engagement. Any amount received in excess of the invoiced amount will be refunded within twenty (20) days. If an
Agreement is terminated within the first twelve (12) months, the Advisor reserves the right to bill for the remaining
amount due for the first twelve (12) months of investment advisory services based on the balance of the funds in the
Client’s account(s) managed by the Advisor as detailed in the fee schedule in the Agreement. The Advisor may
reduce or waive this fee at its discretion. The final amount invoiced for investment advisory services will be
deducted directly from the account(s). If the Advisor is not able to deduct payment for the invoice from the Client’s
account(s), then payment of such invoice shall be made by the Client within twenty (20) days of receipt.

Termination of a limited engagement within five days of signing the Agreement would result in no fees due. Any
deposit paid by the client would be refunded immediately. If a limited engagement is terminated after five days of
signing the Agreement, the client is responsible for any services conducted by Vannoy Advisory Group up to the
point we receive written notice of the client’s desire to terminate the limited engagement. Any deposit in excess of
the invoiced amount would be refunded to the client within twenty (20) days.

Item 7 – Types of Clients
Vannoy Advisory Group provides financial planning and investment advisory services to individuals; high net worth
individuals; families; corporations and other business entities; pension and profit-sharing plans; charities; non-profit
organizations; and foundations. Although we do not have an account minimum, our investment advisory services are
best for Clients that have at least $600,000 in investable assets due to our minimum quarterly fee.