Description of Our Firm Schaefer Financial Management, Inc. was formed in 1989 by Jeffrey A. Schaefer. The Firm operated as a sole proprietorship until 2001 when it was incorporated as Schaefer Financial Management, Inc. (a Colorado Corporation). Jeff has served as the Firm’s sole owner and President since the Firm was formed. The Firm provides financial planning, financial management and investment management services to a variety of clients and to other professional advisors. Our objective in working with each client is to provide the client with information and education so that the client may make better financial decisions geared toward the realization of objectives. While our services encompass a wide variety of areas, most engagements involve two distinct phases. The first is the development of a financial plan. Rather than relying on boiler plate language and analysis, our focus is on addressing the unique goals and challenges of each client and tailoring strategies to meet those goals on an integrated basis. The second phase of a typical engagement involves the ongoing management, on a non-discretionary basis, of investment assets. The scope of services provided, and method of compensation, is different for each broad area. Types of Advisory Services We Offer Financial Planning: Scope of Services In the area of financial planning, we provide a wide range of services to our clients, ranging from single need consultations to comprehensive financial plans designed to integrate every aspect of the client's financial situation. Among the services provided are: 1. Cash flow management and budget counseling. 2. Analysis of debts, including consideration of appropriate consolidation or refinancing strategies. 3. Analysis and recommendations for educational financing. 4. Analysis and recommendations for retirement financing. 5. Analysis of employer provided benefit plans. 6. Risk management analysis, including examination of current insurance coverage (life, health, long-term care, disability, overview of property and casualty). 7. Tax planning, including strategies to reduce current and future taxable income and transfer tax liabilities. 8. Business planning. 9. Review of current estate plan and consultation with counsel regarding appropriate revisions to documents, strategies, etc. 10. Analysis of property ownership arrangements. 11. Development of charitable gifting strategies. 12. Preparation of personal financial statements. 13. Analysis of portfolio holdings and recommendations, as needed, for revisions to client’s portfolio strategy. An engagement may include any or all of the above listed areas. In addition, we will address other areas of client need, if, in our sole and exclusive judgment, we are adequately equipped to competently advise the client in the area in question. Financial Planning: Process Our approach to financial planning centers around the belief that financial planning is primarily a problem-solving process designed to provide clients with superior information with which to make financial decisions. As a result, our planning process is a straight forward, common sense approach to solving problems that includes the following steps: pg. 5 1. Gathering of data from the client, including information about the client's goals and objectives. 2. Analysis of the data, with particular attention paid to the client's current position in the light of stated goals and objectives. 3. Preparation of a written analysis, including examination of alternative courses of action and a recommended set of steps for the client. 4. A meeting to discuss the analysis and recommendations with the client. 5. Implementation of the plan. Of course, at no time is the client under any obligation to implement, in whole or in part, any of our recommendations, which are purely advisory in nature. 6. Ongoing review of the plan and its implemented steps. While a client is never under any obligation for ongoing, periodic reviews, it is our belief and experience that planning may lose its relevance and validity if changing economic, market and personal circumstances are not accounted for. It is important to emphasize that each client engagement involves a unique set of circumstances and problems. As a result, no two engagements are alike, and the scope of services provided will vary from client to client. This flexible approach means that computer generated "boiler plate" planning is not part of our process. In addition, we are acutely aware of the need to control costs. By only focusing on those areas of concern for the client, unnecessary work and costs can be eliminated. Financial Planning: Reviews/Reporting As noted above, while a client is never under any obligation to engage in any sort of ongoing review, it is strongly recommended that the client do so. The value of financial planning will quickly be lost if a client fails to monitor the progress of their plan or implemented steps. In addition, as economic and personal changes occur, it is necessary to modify assumptions and projections to accurately take these developments into account. This can only be accomplished through a systematic, ongoing review process. All reviews will be overseen by Jeffrey A. Schaefer, CFP® and conducted by a professional member of the staff of Schaefer Financial Management, Inc. It is suggested that reviews take place at least annually and more frequently if client changes dictate. At the present time no regular reports are disseminated to clients regarding their plan or status, other than statements and summaries issued by investment or insurance companies. Please note that these reviews of financial planning issues are separate from the investment plan reviews discussed below. Investment management and implementation While the goals and objectives of any given client will be unique, a common thread that runs through most engagements is the need

for investment advice, implementation assistance and ongoing portfolio management. We provide these services via one of two service models, as described below. It is important to bear in mind that implementation of any recommendation that we make is always at the discretion of the client. Schaefer Financial Management, Inc. will never take discretion, dominion or custody of client assets. Moreover, the client is never under any obligation to use our services to implement any part of or the entire plan. The client may use any insurance agent, stockbroker, attorney or accountant that they desire. If, however, the client desires our assistance with implementation, we will provide such services. Investment advisory services – ongoing management and quarterly reviews For most clients, a review of their investment portfolios and the development of recommendations for changes to their portfolio are part of a comprehensive financial plan as described above. At the sole discretion of Schaefer Financial Management, Inc., however, we may provide an initial review of investments and the development of an investment policy consistent with individual needs and objectives as well as ongoing investment supervision on a stand-alone basis. In either instance, there are several areas to be addressed in the development of an investment plan, including: pg. 6 1. Review of present holdings in light of sound investment management practices and individual goals. 2. Development of an investment policy and asset allocation model. 3. Development of an implementation plan including the selection of specific securities. If a review of the investment portfolio is part of the development of a comprehensive financial plan, the fee for such a review will be included in the financial planning fee quoted in Item 5: Fees and Compensation. If the investment planning engagement is a stand-alone engagement, a flat fee will be quoted for the development of the investment plan, with a minimum fee of $2,500. Upon the completion of an investment analysis, Schaefer Financial Management, Inc. will provide assistance with the implementation and ongoing supervision of the client portfolio. While clients will always receive monthly statements from their custodian as well as transaction confirmations, Schaefer Financial Management, Inc. will provide a comprehensive report to each Investment Advisory Client on a quarterly basis. This report will include an analysis of the portfolio values, asset allocation and performance on both an individual asset and portfolio wide basis. Performance will also be reported on an absolute and relative basis and will be compared to broad market indices. Methodology and security selection is discussed in Item 8: Methods of Analysis, Investment Strategies and Risk of Loss. Investment Advisory Services – Ongoing Management and Annual Reviews Some clients are not desirous of, or in need of, regular quarterly reviews of their portfolio. For these clients, services can generally be confined to the development of an investment plan and annual reviews of the portfolio. In providing these services, the model outlined above for Investment Advisory Services will generally be followed. The firm will perform the following services: 1. Review of present holdings in light of sound investment management practices and individual goals. 2. Development of an investment policy and asset allocation model. 3. Development of an implementation plan including the selection of specific securities. Once again, most investment analysis will be conducted as part of a comprehensive financial plan. As noted above, if the investment planning engagement is a stand-alone engagement, a flat fee will be quoted for the development of the investment plan, with a minimum fee of $2,500. Upon the completion of an investment analysis, Schaefer Financial Management, Inc. will provide assistance with the implementation and ongoing supervision of the client portfolio. While clients will always receive monthly statements from their custodian as well as transaction confirmation, Schaefer Financial Management, Inc. will provide a comprehensive report to these clients on an annual basis. The month-end anniversary date varies for each client and is set by the Firm and the client at the outset of the engagement. While client holdings will be reviewed throughout the year, this service is intended to be a “buy and hold” approach to the portfolio and will, by extension, not seek to take advantage of the same range of tactical opportunities that may be presented to quarterly review clients. Each annual review report will, however, include an analysis of the portfolio values, asset allocation and performance on both an individual asset and portfolio wide basis. Performance will also be reported on an absolute and relative basis and will be compared to broad market indices Methodology and security selection is discussed in Item 8: Methods of Analysis, Investment Strategies and Risk of Loss. pg. 7 Insurance Implementation If a need for insurance coverage for life, disability or long-term care insurance is identified, we will assist clients in the process of shopping for and purchasing suitable coverage. The process of comparison shopping for insurance coverage is time intensive since it involves the comparison of many variables and a good deal of data. We will generally charge on an hourly basis at the rate of $250 per hour for our assistance in this area, with a minimum charge of $500. If insurance planning is part of the development of a larger financial plan, the fee for insurance planning may be bundled with the planning fee. We do not maintain insurance licenses, but rather make recommendations to clients for no-load insurance coverage or refer our clients to licensed insurance agents for specialty products. Amount of client assets we manage At the end of 2023 we managed $888,301,693, all on a non-discretionary basis.