Introduction
This article describes the process of configuring the membership annual service fee, which is an additional fee that members pay along with their membership fees. It can cover club maintenance, renovations, or new equipment.
- This article will help you to configure the membership annual service fee.
- This article contains practical examples on the Membership service fee usage.
- This article will be helpful for PG Champions, System administrators, Finance team.
Before you start
If you wish to use this feature, contact the Perfect Gym Support Team and ask them to adjust the Contract.Fees.MembershipServiceFee.IsEnabled setting.
Instruction
1. Go to the PGM -> Sale -> Membership service fee.
You will see the membership service fee definitions screen.
2. Click Add to insert a new definition.
Adding a new definition requires employee permission: Manage membership service fee
3. Fill in the definition name and set the fee net amount.
VAT rates and taxes will be automatically added based on membership fee tax rates from the payment plan
4. Press Save.
How to add a membership fee to a payment plan.
1. Go to the PGM -> Sale -> Payment plans and add a new payment plan.
You cannot assign a service fee definition to an existing payment plan (during the update)
You will see the field to assign a proper membership service fee definition to a payment plan.
It's only available for the main payment plans, not the additional ones
2. Select the Membership service fee.
3. Fill in all the required fields.
4. Save the payment plan.
When adding a contract to a member, choose a payment plan with the membership service fee definition assigned.
Notice that the membership service fee will appear in the payment information (it will be also shown to a member when signing up via Client Portal)
The transaction will be added with a due date equal to the contract start date.
The charge will be added automatically each year by the task called ChargeMembershipServiceFee.Task
The transaction add date can be adjusted with a setting called Contract.Fees.MembershipServiceFee.ChargeAddDays - set to 7 by default, can be changed by the Perfect Gym Support Team if needed. The value "7" means that the charge transaction will be added 7 days before its due date.
If a member cancels the contract after the charge has been applied with contract end date lower than charge due date, the transaction needs to be deleted manually.
Example:
Today is 12/01/2024 and a member has a contract which started on 15/01/2023. The second membership service fee has been already applied with a due date of 15/01/2024. The PGM user cancels the user's contract with today's date - 12/01/2024. The membership service fee from 15/01/2024 will not be rolled back automatically, it needs to be deleted manually if needed.
Membership service fee charges scenarios
1. Member with one contract with no end date.
The simplest scenario, member will be charged each year starting from the contract start date.
There's not flexibility with this option. The membership service fee is always charged annually, on the day of starting the contract.
2. Member has an automatically renewed and upgraded contract.
Member will be charged each year starting from the first contract start date. The membership service fee amount will be taken from the first payment plan.
Example:
Member has a one-month automatically renewing contract. The first contract, with payment plan X, started on 01/01/23. On 01/02/23 it got renewed to payment plan Y with a different membership service fee definition assigned.
Member will be charged on 01/01/23 and 01/01/24 with the amount from the membership service fee definition related to payment plan X.
3. Member canceled a contract and signed an independent new contract.
Member will be charged both times they sign a contract.
Example:
Member had a contract X starting on 01/01/24 and got charged with the membership service fee the same day. On 31/01/24 member decided to cancel the contract X with an end date equal to 31/01/24.
A month later member rejoins the gym and buys a new contract Y starting on 01/03/24. They will be charged the second membership service fee on 01/03/24 related to payment plan Y.
4. Member was transferred to another club.
There are 3 ways of transferring members between clubs. Membership service fee differs based on the way you choose.
- Force transfer only changes the current contract's club, the membership service fee remains as it was (might only cause changes in taxes if the target club has a different tax rate than the source one).
- Standard transfer creates an independent contract with a new start date set to the transfer date and other settings taken from the payment plan configuration. Membership service fee will be treated the same as if the member created a new independent contract (Described in number 3).
- Continuation transfer creates a contract continuation with end and commitment dates taken from the original contract. Membership service fee will be treated the same as if it was a contract upgrade. (described in number 2)
How to manually add a membership service fee to a member.
Adding a membership service fee manually is possible by using the Add new manual transaction function:
The new transaction type will appear in the dropdown list, called Membership service fee.
Please be aware that currently, this function does not implement taxes other than VAT. It only allows for putting the gross value and assigning the default VAT rate from the company settings.
Accounting membership service fee transactions
Please note that Contract.Fees.MembershipServiceFee.IsEnabled setting must be enabled along with the accounting module.
In order to account service fee type transactions, the accounting rule must be assigned on the Payment Plan level.
Go to PGM -> Payment Plan -> Edit -> Accounting Configuration.