Fillet with Setbacks

When rounding edges with the Round Vertex option, you can enter setbacks in the Inspector Bar. The setback is the distance from the vertex to the point on an edge where the rounding begins.
Setbacks are visible at vertices where all edges are rounded. The setback value must be greater than the edge rounding radius.

Select the object, set the radius, and select the first edge to round. When an edge is selected, the blue square turns red. If you select an edge that is smoothly connected to other edges, the connected edges will be selected automatically.
Continue selecting edges.

When you select two adjacent edges, any other edge that meets that vertex will be automatically selected as well, indicated by the green square.
When all edges are selected, set the rounding radius in the Inspector Bar, and select Finish from the Inspector Bar or the local menu.

If no setbacks are used, the rounding extends along the entire edge.

If setbacks are used (entered in the Inspector Bar), the rounding starts at the specified distance from the vertex.

Note: If the setback values are different, where they are applied depends on the structure of the object itself. You may need to experiment to get the desired result.