Based on your scenario - if the money is there the night of the meeting you
should not have to make any other transaction than if the member was there and
paid the money. Only if a payment is not received - and is subsequently paid at
a later date, or has a late fee attached should any transaction record be made
(my opinion).

We have so many late payments and skipped attendance that we actually assigned a
member to be our 'collection cop'. We also assigned teams to be responsible for
each other in case of a missed meeting and/or payment. Therefore, if I miss a
meeting my brother must put in for me. He then will chase me down and collect
from me directly.
In this situation all member investments are due the night of the meeting and we
enter all investments into Bivio as though they occurred the day after the
meeting (when the checks are deposited). We feel that continuity of returns is
more important than having the system track a payment that came in one or two
days after the meeting. The partners often assign their own 'late fee' if they
feel too much effort was made in collecting the payment (ie monetary or free
lunch on the side).

Our collection member may often need to make some calls between the Treasurer
and the Secretary to insure that all payments are made and that our bank account
is reconciled properly. In our six years we have had two charge only two late
fees and two NSF charges.






Lynn Ostrem <lynn@bivio.com> on 10/23/2002 10:09:27 PM

Please respond to "The Club Cafe" <club_cafe@bivio.com>
                                                              
                                                              
                                                              
  To: club_cafe@bivio.com
                                                              
  cc: (bcc: Juan Mostek/BattleCreek/USA/Kellogg)
                                                              
                                                              
                                                              
  Subject club_cafe: A wash expense??
  :
                                                              





Situation: NAIC club member dues were due. Two members
were absent, and forgot to forward their checks to the
meeting. The club covered this expense for them, and they
have since paid the club back.

Where do these transactions go? Do I debit, then credit,
the amount as a fee to the member's account? Or do I debit,
then credit, expense?

I'm concerned about not messing up the taxes or the member's
accounts.

thanks!

Lynn Ostrem
garbagecop@foxinternet.net

Rob, are you out there??

Thanks to Ira and Juan, but you didn't understand my
question.

The money was not club dues. Every year, our general fund
picks up the tab for the NAIC $40. But each member pays for
their own club membership. It was the annual $14 due to NAIC
that I needed to cover for these two members. I couldn't
wait around for them because I already had the invoice for a
month, and I didn't want our magazines to get suspended. I
used club funds to cover this NON-CLUB expense.

My inclination would be to charge Misc. Expense for this
money, then simply credit it with their checks. The expense
would be a wash, and it wouldn't affect the members
"Paid-In" or "Unit" columns on the Member Status Report.

Is this the correct way to handle this??

Lynn

Lynn Ostrem writes:
> Rob, are you out there??

Always, and so is the rest of the bivio support team. :-) If we give
all the answers, Ira et al won't have any fun. ;-)

> The money was not club dues. Every year, our general fund
> picks up the tab for the NAIC $40. But each member pays for
> their own club membership. It was the annual $14 due to NAIC
> that I needed to cover for these two members. I couldn't
> wait around for them because I already had the invoice for a
> month, and I didn't want our magazines to get suspended. I
> used club funds to cover this NON-CLUB expense.

This is a club expense related to investing, and we even have a
category for it.

> My inclination would be to charge Misc. Expense for this
> money, then simply credit it with their checks. The expense
> would be a wash, and it wouldn't affect the members
> "Paid-In" or "Unit" columns on the Member Status Report.

What often is difficult to understand is that money flowing through
the club is "ok", and, more importantly, the payment/fee transactions
are not "related" to any expense transactions. This is very similar
to the "buyout" issue, where members make payments to cover the cost
of a withdrawal. A nice way to think about this is: if we (bivio)
don't have it on one form, the transactions are probably unrelated.

Cheers,
Rob