Wealth Management Strategies Inc

ITEM 5 – FEES AND COMPENSATION
         We are a fee-based advisor, which may include hourly and/or fixed fees, as well as fees
 based upon assets under management. Additionally, certain of our Advisory representatives, in
 their individual capacities, may offer insurance products under a commission arrangement. A
 fee based on assets under management means we get paid a fee for our investment
 management services based on the average daily market value of your assets under
 management in the preceding quarter. We typically bill for our fees quarterly, payable in
 advance. Our minimum account size and fees are negotiable in certain circumstances. Fees can
 be paid by having them deducted directly from your account or by check. The choice is yours.
 In either case, we provide you with a fee statement. Our annual fee schedule is as follows:

      Total Assets Under Management            Annual Fee*
      Up to $500,000                           1.25%
      $500,001 to $3,000,000                   1.00%
      $3,000,001- $5,000,000                   0.80%
      $5,000,001-$10,000,000                   0.65%
      $10,000,001-$25,000,000                  0.50%
      $25,000,001-and up                       negotiable
       *We, in our sole discretion, may negotiate to reduce any fee. AUM excludes any
       non-managed assets held in a managed account. A non-managed asset includes
       any asset that the client has directed us to hold and not trade. Our minimum
       account size is $500,000; however, we reserve the right to manage smaller
       accounts.

Asset Management Fee Calculation Example
       A client with $4,000,000 in Assets Under Management would annually be billed 0.80%.

        Our asset management fee includes our charge for the development and maintenance of
a client’s financial plan. For non-investment management clients, we charge a monthly fee for a
financial plan of $250 to $1,000 with a 12-month minimum commitment. The fee is subject to a
3% annual increase plus an adjustment for changes in the complexity of the advisory relationship.
We do not require or solicit prepayment of more than $1,200 in fees per client, six months or

more in advance.

        In investing your portfolio, we will likely use one or more mutual funds and/or Exchange
Traded Funds (ETFs). If we do, you will incur mutual fund fees and expenses that are in addition
to the fees we charge you. Mutual funds and ETFs pass these fees and expenses on to investors
directly - they are not charged nor billed by us.

        We use Charles Schwab & Co., Inc. (“Schwab”), a registered broker-dealer and member
of the Securities Investor Protection Corporation, as our custodian. Through our use of Schwab’s
services, you will incur certain trading costs in addition to our fees. These costs are further
explained in Item 12 below.

      Either party may terminate the agreement with notice to the other party. The investment
management fee will be pro-rated for the quarter in which the cancellation notice was given.
Upon termination, any unearned fees will be refunded to you.

ITEM 7 – TYPES OF CLIENTS
        We provide investment advice to individuals, retirement plans, trusts, estates,
 endowments, charitable organizations, corporations and other business entities. Our minimum
 account size is $500,000; however, we reserve the right to manage smaller accounts.