> small amounts such as postage reimbursements. For some clubs, a bank
> account is required (at least in our by-laws... despite my best efforts to
> ditch it). Bank accounts are here to stay.

To me, this sounds like "paper accounting" is here to stay.

One of the problems with the traditional NAIC method of accounting is
that it leaves no room for creativity or change. Consider the problem
of small expenses. There's an automatic coupling between expenses and
reimbursements. It does not need to be that way.

Here's a different view. Let's say John spends $34 for postage stamps
on 11/11/2001 for his club. Also assume his club's last valuation
date was 11/01/2001. How should this be entered in bivio?

1. Create an account called "Out of Pocket Expenses" (if it doesn't exist)
2. Enter a $34 Member Payment for John on 11/11 and a 11/01 val. date.
3. Enter a $34 Account Expense for "Envelopes and Stamps" on 11/11.

John is credited for $34. He is in effect, making an investment in
the club. If he doesn't want to make that investment, he just skips
his next payment or reduces his next payment by $34. Either way, the
accounting is *very* straightforward.

The Out of Pocket Expenses account contains all the transactions which
were "reimbursed" without having to introduce an extra step of cash
changing hands. It's simple and clear. And, you don't need the added
expense and complication of a checking account.

Rob

Great post Rob! Your paperless approach is exactly what I do with one of my
clubs. My other club is intent on creating tedious paper trails. They
require (By-Laws requirement no less!) deposits to be made to our bank
account and from there I draw a check for deposit to the broker.
Reimbursements are expected to be done by check from the bank account as
well. I don't think I'll draw them into a paperless approach no matter how
hard I try. It's cultural though... like me, most of my partners are fellow
government employees and live and breath by paper. <sigh>

John Munn


----- Original Message -----
From: "Rob Nagler" <nagler@bivio.net>
To: "The Club Cafe" <club_cafe@bivio.com>
Sent: Wednesday, November 14, 2001 6:31 PM
Subject: Re: club_cafe: Re: Re: Suggestion for Bivio


> > small amounts such as postage reimbursements. For some clubs, a bank
> > account is required (at least in our by-laws... despite my best efforts
to
> > ditch it). Bank accounts are here to stay.
>
> To me, this sounds like "paper accounting" is here to stay.
>
> One of the problems with the traditional NAIC method of accounting is
> that it leaves no room for creativity or change. Consider the problem
> of small expenses. There's an automatic coupling between expenses and
> reimbursements. It does not need to be that way.
>
> Here's a different view. Let's say John spends $34 for postage stamps
> on 11/11/2001 for his club. Also assume his club's last valuation
> date was 11/01/2001. How should this be entered in bivio?
>
> 1. Create an account called "Out of Pocket Expenses" (if it doesn't exist)
> 2. Enter a $34 Member Payment for John on 11/11 and a 11/01 val. date.
> 3. Enter a $34 Account Expense for "Envelopes and Stamps" on 11/11.
>
> John is credited for $34. He is in effect, making an investment in
> the club. If he doesn't want to make that investment, he just skips
> his next payment or reduces his next payment by $34. Either way, the
> accounting is *very* straightforward.
>
> The Out of Pocket Expenses account contains all the transactions which
> were "reimbursed" without having to introduce an extra step of cash
> changing hands. It's simple and clear. And, you don't need the added
> expense and complication of a checking account.
>
> Rob
>

Chris Washburn wrote:
> A couple of ideas for Bivio...
>
 
When Investorama went bankrupt, I lost one of the best resources for researching stocks. The worst hit was the loss of the "Stock Report." It collected and displayed, on one page, all the objective info necessary to do an SSG and allowed you to download that info in SSG format. If Bivio could replicate that, it would be a very welcome addition to you services.
 
Jeff Hoyt

Our club does these type of out of pocket transactions Rob.
It works fine for us. We have it written into our
partnership agreement to allow these transactions.

Fees and Compensation: No partner shall be compensated for
services rendered to the Partnership. However, authorized
partnership expenses shall be either reimbursed by the
Partnership or credited to that partner’s capital account.

Debi

Rob Nagler wrote:
>
> Here's a different view. Let's say John spends $34 for postage stamps
> on 11/11/2001 for his club. Also assume his club's last valuation
> date was 11/01/2001. How should this be entered in bivio?
>
> 1. Create an account called "Out of Pocket Expenses" (if it doesn't exist)
> 2. Enter a $34 Member Payment for John on 11/11 and a 11/01 val. date.
> 3. Enter a $34 Account Expense for "Envelopes and Stamps" on 11/11.
>
> John is credited for $34. He is in effect, making an investment in
> the club. If he doesn't want to make that investment, he just skips
> his next payment or reduces his next payment by $34. Either way, the
> accounting is *very* straightforward.
>
> The Out of Pocket Expenses account contains all the transactions which
> were "reimbursed" without having to introduce an extra step of cash
> changing hands. It's simple and clear. And, you don't need the added
> expense and complication of a checking account.
>
> Rob