club_cafe: fines

iras1 on

In a message dated 6/28/2005 9:15:49 A.M. Eastern Daylight Time, lric@bivio.com writes:

Greetings! We have recently instituted a system of levying
small fines to members whose payments are not on time. Any
advice on how exactly to enter this in the accounting?
Thanks in advance!!

Personally, I believe this is counterproductive. Members who make late payments are penalized already by owning a smaller share of the profits. However, if you insist on assessing these penalties, they should be entered as "fees" in the member section.

Ira Smilovitz

Rip West on

Ira,

<<
Personally, I believe this is counterproductive. Members who make late
payments are penalized already by owning a smaller share of the profits.
>>

While I agree with you that assessing a late payment fee is not all that
important, I do take exception that late payments will result in members
owning a smaller share of the profits. If there are losses between the
date of the regular monthly payment and the date the offender's
contribution is credited, the late member may actually benefit by the
delay.

Rip West
Saint Paul, MN

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