Assessing Your Dues

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AssessingYour Dues
By Jim Cole, 33, SGIG in Virginia, and S. Brent
Morris, 33, G.C.
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Issues to Discuss

• ? DUES ?
• Are they enough?
• How much should they be?
• How do we change them?

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Are Valley Dues High Enough?

• History
• What do we pay for?
• If they are enough, how long will they be enough?

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Dues History Richmond, Va.
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Normal Increase

• Richmond inflation-adjusted dues
• 1883 6 per year
• 2008 65 per year
• 1883 dues adjusted for inflation would be 162 in
  2008

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What are our Costs?

• Facility or space
• Meeting and reunion expenses
• Salaries
• Communications
• Supreme Council 10 per member
• Insurance
• Charity

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How Long Will the Money Last?

• From 20002008
• Average annual S.J. total loss 5.6
• Average annual CPI inflation 3.0
• If 2008 dues bought 1.00 in goods . . . 2009
  dues will buy 0.91 in goods

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How Long Will the Money Last?
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How Long Will the Money Last?

• Whatever dues purchased in 2008 . . .
• They must increase 50 to purchase the same
  things in 2013.
• They must increase 100 to purchase the same
  things in 2016.

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What if We Increase Dues?

• Attrition Demits SNPDs
• In 2004 attrition ranged from
• 0.0 Juneau, Kelso, et al.
• 5.0 S.J. average
• 13.9 Shreveport
• We compared dues increases of 020 with
  accompanying attrition rates.

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What if We Increase Dues?
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What if We Increase Dues?

• For 0 dues increase in 2004
• average attrition was 4.7
• For 20 dues increase in 2004
• projected attrition was 5.8
• There was no effect in 2005 or 2006
• For all dues increases in 2003
• there was no change in attrition

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What if We Increase Dues?

• The bottom line
• Worst Case 1 extra lossfirst year
• No extra losses thereafter

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How Much to Increase?

• Realistic forecast of
• Costs
• Other revenues
• Decline (Increase?) in membership

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How Do We Sell the Increase?

• Communicate
• Manage Costs
• Grow other revenues

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Homework

• Analyze current dues coverage
• Estimate next increase
• Review other revenue possibilities
• Communicate

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AssessingYour Dues
By Jim Cole, 33, SGIG in Virginia, and S. Brent
Morris, 33, G.C.