Wealth Advisors of Iowa LLC

Item 5: Fees and Compensation

Portfolio Management Services Fees
WAI charges an annual fee of up to 1.5% of total assets under management, through theses Portfolio
Management Services. As a general rule, WAI’s Portfolio Management Services are provide through
WAI’s wrap fee program, the Wealth Advisors of Iowa Wrap Fee Program. If a client Account is not being
managed within WAI’s Wealth Advisors of Iowa Wrap Fee Program the following fee structure applies.
Wealth management fees will be calculated and paid in advance or in arears at the beginning of each
quarter. Wealth management fees will be based on the Quarter Ending Balance (QEB) of the client’s
account assets under management at the end of the previous quarter. The QEB does not take into
account securities that are not priced, nor does it count days when the account has a zero balance.
Wealth management fees will be automatically deducted from account’s core money market mutual fund.
An account that is opened mid-period will be charged an initial wealth management fee that includes a
portion of the fee that is pro-rated for the number of days that the account is open in the first quarter.
Wealth management fees will be noted on client’s monthly custodian statement. Clients provide WAI with
written authorization to deduct all wealth management fees and trade execution charges from client’s
account at the Custodian. These fees are generally negotiable, and the final fee schedule is included as
part of the client agreement.

Expenses related to the ordinary servicing of the Account, including custody fees, security transaction
fees, and/or program fees shall be paid by the client. Other non-ordinary fees or fees incurred at the
direction of the client shall be paid by the client. Operating fees of mutual funds and other investment
product fees are deducted from the asset value of those investments as defined in the prospectus of the
sponsor for each product.

Client may have wealth management fees paid from other accounts or custodians or be billed directly by
invoice.

For information on WAI’s Wealth Advisors of Iowa Wrap Fee Program, please review WAI’s Wealth
Advisors of Iowa Wrap Fee Program Brochure.

Qualified Retirement Plan Services Fee
WAI does not have a Qualified Retirement Plan Service plan asset minimum. However, WAI’s Qualified
Retirement Plan Service is best suited for employers with 50 or more employees or plans with $1,000,000
or more of assets. For plans with fewer employees or assets of less than $1,000,000 a negotiated fee will
be considered for the scope of work to be performed.

Plan Sponsor shall pay under one of the following Fee Schedule structures:

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    •   Annualized Asset Based Fee Schedule: Up to 1.0% of the assets invested in the plan. WAI’s
        annualized asset-based fee schedule is paid monthly or quarterly in advance or arears based
        upon previous period ending balance of the assets invested in the plan; or
    •   Annual Flat Fee Schedule: Up to $25,000. WAI’s Flat Fee schedule is paid quarterly in advance
        or arears.

WAI’s Qualified Retirement Plan Service fee minimum is $1,000. WAI’s Qualified Retirement Plan Service
fee minimum may be negotiable at the discretion of WAI.

Financial Planning Services Fees
The following is the WAI financial planning fee structure:

    •   Hourly Fee - Up to $750 an hour for planning consulting.
    •   Fixed Rate Fee - The maximum fixed rate fee is $20,000.
             o One-time fee; or
             o Annual fee payable in arrears at the end of each quarter or semi-annual period. The fee
                 in the first period of the agreement shall be prorated from the inception date to the end of
                 the first period. The final fee due is calculated on a prorated basis up to the date of
                 termination.
    •   Asset Based Fee - The fee is annualized and payable in arrears at the end of each quarter or
        semi-annual period based on the period ending value of the assets. The maximum asset based
        fee is an annualized rate of up to 1.5% The fee in the first period of the agreement shall be
        prorated from the inception date to the end of the first period. The final fee due is calculated on a
        prorated basis up to the date of termination.

All financial planning fees are negotiable and will be noted in the client agreement.

Financial planning fees may be billed and be due upon entering in an agreement, upon completion of the
financial planning services, on a quarterly billing basis, bi-annual billing basis, or a combination of these
options. WAI will not collect an advance fee of $1,200 for services that will take six (6) months or more to
complete.

The financial planning fees paid by client do not include payment for other professional services, which
may be required by client to implement the recommendations made by WAI. Financial planning fees are
negotiable.

Referrals to Other Investment Advisers Fees
The investment advisory and referral fees in these investment advisor’s programs are negotiable but may
range up to 2.5% with the fees being divided between the investment advisor and WAI. All fees are fully
disclosed in the agreement signed by the client. Fees for these referral adviser programs and services
may be more than the cost of purchasing the same services separately or similar services elsewhere.

In some instances, WAI does not deduct fees from client accounts or assets that are referred to other
investment advisers. All fee billing and fee deductions are done by these other investment advisers. Once
these other investment advisers are paid the fees owed them, they pay WAI its referral fees. In other
circumstances, WAI deducts its fees from client accounts and the unaffiliated investment adviser deducts
its own fee separately. For further details on these other investment advisers and their fee billing
...

Item 7: Types of Clients

WAI generally provides investment advice to the following:
   • Individuals
   • High-Net-Worth Individuals
   • Banks and Thrift Institutions
   • Pension and Profit Sharing Plans
   • Trust, Estates or Charitable Organizations
   • Corporations or Business Entities

Portfolio Management Services Account Size Minimum and Fees – WAI does not impose a minimum
account or minimum fees. Certain Sub-Advisers may impose minimum assets levels.

Planning Fee Minimum- WAI charges a minimum fee of $150 for financial planning services. Exceptions
may be granted to this minimum at the discretion of WAI.

Qualified Retirement Plan Minimum- WAI does not impose a minimum plan size but does impose a
minimum fee of $1,000.

Referral Adviser Minimum – Investment Advisers that WAI may refer clients to set their own account
minimums. Generally, such minimums are in the $50,000 to $100,000 account size range.