Our club does not have fractional shares but bivio gives
them to us anyway. Is there any way I can put member
payments into the report without getting factional shares.
For example, I own 5 shares, our members make payments we
call dues at the first of each year-for the full year but
the number of shares each of us owns does not change. If,
as the treasurer, I entered the payments as fees, would
bivio stop adding these factional shares?

Nancy Barber writes:
> Our club does not have fractional shares but bivio gives
> them to us anyway. Is there any way I can put member
> payments into the report without getting factional shares.
> For example, I own 5 shares, our members make payments we
> call dues at the first of each year-for the full year but
> the number of shares each of us owns does not change. If,
> as the treasurer, I entered the payments as fees, would
> bivio stop adding these factional shares?

You should ignore the "shares" (aka. units) values, and simply look at
the percentages. If you always put in the same amounts at the same
time, the percentages should not change.

Rob

Nancy, club accounting on the unit value method, which both bivio and Club
Accounting Online use, will of necessity result in showing fractional units
owned. The value of a unit is determined by the total value of the club,
cash and securities, divided by the number of units that are owned at any
particular time. Most PA's designate an effective valuation date each
month to be used for posting payments or computing withdrawal values.

You start out your club with one unit being worth a particular amount of
money, but that value will change as your club value changes. Even if you
only pay in once a year, the number of units purchased with the same amount
of money will change each year, and this is not wrong. If everyone always
pays the same amount at the same time, your percentages (or share of the
club) will not change, but as soon as someone pays at a different time, or a
different amount, or you take in a new member, each person will receive the
correct number of units for what they paid, when they paid it, which is as
it should be, and percentages shown will reflect that appropriately. It is
not necessary to try to keep members equal, nor is it even recommended, as
being too restrictive to recruit new members.

The accounting programs using unit values are designed to handle differences
in payments just fine, so apply your payments as payments, not fees.

Gene Rooks, Space Coast Chapter
Accounting Instructor