Death of a Club Member
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Death of a Club Member I know this has been covered in the past. This is the first time in my 18 years of being in a club where we have had a death of a member. I know to pay the amount to "the estate of the member". But here are my concerns: We have the standard BI Partnership Agreement and we set our valuation as the last day of the month. When do we set his valuation (his date of death, which was the last day in November) or at the next Club valuation(which is Dec 31st). In making withdrawals for members leaving the club. We would accept their resignation at the next meeting, using the first valuation after the resignation as their valuation. What do we use as our valuation in the case of the death. Kevin Gillogly Whatever your bylaws stipulate. Ours say that notification of death is treated as a request for full withdrawal and is treated as such. Bob Mann Lunch Money Investment Club > On December 1, 2019 at 2:32 PM "Kevin Gillogly via bivio.com" <user*9886100001@bivio.com> wrote: > > > I know this has been covered in the past. This is the first > time in my 18 years of being in a club where we have had a > death of a member. I know to pay the amount to "the estate > of the member". But here are my concerns: We have the > standard BI Partnership Agreement and we set our valuation > as the last day of the month. When do we set his valuation > (his date of death, which was the last day in November) or > at the next Club valuation(which is Dec 31st). In making > withdrawals for members leaving the club. We would accept > their resignation at the next meeting, using the first > valuation after the resignation as their valuation. What do > we use as our valuation in the case of the death. > > Kevin Gillogly I know to use PA. We use the default one from BI. I also realize that this will be a full withdrawal. I am concerned about what is the valuation date. The day he died (yesterday) which so happens to be the valuation date or do we wait until the next valuation (Dec 31st)? Thanks Whatever your bylaws stipulate. Ours say that notification of death is treated as a request for full withdrawal and is treated as such. Kevin, You were notified of the death yesterday (or today). At your next meeting, you will record the death as a request for a full withdrawal. In accordance with your PA, you would then use the next valuation (Dec 31), to determine the amount of the withdrawal. Ira Smilovitz, EA
Ira, Thanks. Kevin
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