Westhill Financial Advisors Inc

Item 5 - FEES AND COMPENSATION

FINANCIAL PLANNING AND FINANCIAL CONSULTING FEES
The fixed fee for a financial plan is predicated upon the facts known at the start of the
engagement. The fee typically ranges from $4,000 to $10,000 depending on the complexity and
scope for comprehensive plans and is negotiable for limited scope plans. Since financial planning
is a discovery process, situations occur wherein the client is unaware of certain financial exposures
or predicaments. In the event that the client’s situation is substantially different than disclosed at
the initial meeting, a revised fee will be provided for mutual agreement. The client must approve
the change of scope in advance of the additional work being performed when a fee increase is
necessary.

Hourly fees for financial planning or financial consultations are typically $400 per hour.

Estimated financial planning and financial consultation fees are paid in advance.

The initial financial planning fee is separate from and in addition to the annual investment
management fee. However, ongoing financial planning services are included in ongoing annual
investment management fees.

Financial planning and consulting fees do not include the fees a client incurs for other professionals
(i.e. personal attorney, independent investment advisor, or accountant) in connection with the
financial planning or consultation.

INVESTMENT MANAGEMENT FEES
For its investment management clients, WH charges a fee based on a percentage of the market
value of the investments held in each client’s account. Assets in the account are included in the
fee assessment unless specifically identified in writing for exclusion. The annual management fee is
prorated and billed every three months, in advance, meaning that the fee is paid before each
quarterly billing period begins.

The management fee is computed on the last day of the prior billing period by determining the
market value of the account using the following guidelines: (a) for marketable securities: the

current market price provided by custodian; (b) for securities for which there exists no active
market (such as real estate, gas and oil, or other illiquid securities), by using such information as
WH shall in good faith deem relevant to determine the value thereof, or in the absence of such
information, at cost; and (c) for cash or equivalents, at dollar value.

Unless otherwise negotiated between the Firm and the client, the annual fee is calculated
according to the following standard fee schedule:

   Value of Account Assets                                                         Annual Fee Rate
   On the first $100,000                                                           1.35 %

   On the next $400,000                                                            1.15 %

   On the next $500,000                                                            0.85 %

   On the next $2,000,000                                                          0.60 %

   On amounts over $3,000,000                                                      0.30 %

Clients customarily authorize WH to deduct its investment advisory fee directly from their custodial
account. Under limited circumstances, WH or the individual Investment Advisor Representative
agree to pay ticket charges on household accounts of $500,000 or more under management. This
authorization is granted under the terms of the client’s signed investment management
agreement and the client’s instructions to the custodian. It is the client’s responsibility to verify the
accuracy of the fee calculation, as the custodian will not determine whether the fee is properly
calculated.
At the discretion of the Firm, clients may instead pay their fee directly to the Firm. Under this
arrangement, payment is due within 30 days of client’s receipt of our billing invoice.

Services provided for the above fees are for investment advice and periodic reporting of asset
holdings, valuations, and performance reviews. The client’s investment management fee to the
Firm is determined in accordance with the above standard fee structure, with exceptions
negotiated on a case-by-case basis at our discretion. Any deviations from the fee structure are
based on a number of factors including the nature and length of the client relationship, the
services requested, account composition, the amount of work involved, the amount of assets
placed under management and the attention needed to manage the account.

If assets are deposited into or withdrawn from a client’s account after the inception of a billing
period and depending upon the timing or size of such withdrawal or deposit, the fee payable with
respect to such assets will not necessarily be adjusted or prorated based on the number of days
remaining in the billing period. Accounts initiated or terminated during a calendar month will be
charged a prorated fee.

An advisor’s investment strategy generally does not encourage clients to use margin account
trading. Therefore, the decision as to whether to employ margin is left to the sole discretion of each
client. To the extent that a client authorizes the use of margin, and margin is thereafter employed,
the market value of the client’s account and corresponding management fee payable to Advisor
will increase as any margin balance will not be offset against the value of assets purchased on
margin when Advisor calculates its advisory fee.

In certain cases, clients request that WH purchase, maintain, or consolidate pre-existing or other
securities positions in custodial accounts maintained with the Firm, that are not consistent with the
Firm’s investment strategy. In such cases, WH will not charge a management fee on such assets,
with the specific understanding that these are non-managed assets for which client is responsible
for determining the suitability of maintaining such a position. The Firm will not sell such securities
without specific written instructions from the client.
...

Item 7 - TYPES OF CLIENTS

Our clients include individuals and high net worth individuals, trusts and estates, pension and profit-
sharing plans, corporations and other business entities. We have established a minimum
relationship size for investment management services of $1 million. This minimum may be waived
in certain circumstances. As a result of the minimum requirement, WH’s services are not
appropriate for everyone. Particularly for smaller accounts, other investment advisors provide
somewhat similar services for lower compensation, although still others may charge more for similar
services.