Dieter Louis wrote,

We have an individual who is often two weeks late. The partnership wants me to reduce his units for the amount of the late period per our agreement.  When I use the "two weeks late date," the valuation still calculates the same unit values and Total Return as it does for the rest of the members.   I read that as long as the individual pays within the window before the valuation statement for the next meeting is run, it will not affect the person.  Any thoughts on the subject?

Yes, you are correct.   All payments made between valuations will buy units at the same unit price.   

Depending on what is stated in your partnership agreement, you could, for example, simply designate the current date as the "Member Valuation Date" when entering the late payment in bivio or manually enter a new valuation as of the date of payment if you are using NAIC's Club Accounting.   This would cause the unit value to be recalculated based on the current price.    This may result in the late paying member receiving more or less units depending on the performance of your portfolio since the last valuation.

Or, you could hold the late payment and commingle it with the next months payments.  This way you, as treasurer, don't have to do extra work each month as the result of a tardy paying member.

Or, you could deposit it when received, using the same valuation that was used for all the timely payments, and charge the tardy member a late fee.

Or, you could simply deposit the payment when received and ignore the fact that it was late.

These are just a few examples of how different clubs handle such situations.   In any case, you must follow your partnership agreement.  

Thanks for using bivio!

Jerry Dressel
St.Louis, Missouri
Trez_Talk@bivio.com