Setting up Charge Codes for Automatic Dues Distribution

Many times when dues are collected for Real Estate associations they are distributed between several different associations. For example, the Local Association might collect membership dues with a portion going to the State Association and yet another portion going to the National Association of Realtors®. This is easily accomplished in netFORUM Pro for Real Estate Associations with the correct amounts transferred to NRDS and a General Ledger balanced with the correct Accounting and Charge Codes set-up.

The steps to collecting and distributing dues include:

1. Obtain the Realtor ID and Bank IDs for each association needed to which to distribute the dues. In the example above, both are needed for the Local, State, and National Real Estate associations. 

Note:  Use Realtor.org as the payment processor to have seamless deposit of funds to the realtor banks specified in set up.

2. Set-up the charge codes needed using the Realtor ID and Bank ID obtained.
3. Use the charge codes set up to distribute the Membership Dues through NRDS ecommerce.
4. The Distributed Membership checkbox must also be checked on the Membership Type Information form (located in the Member Type Profile.)

Failing to check the Distributed Membership checkbox will prevent fee distribution to the charge codes that have been set up.

Charge codes in netFORUM Pro are used to track accounting transactions. Generally, charge codes are set up for Dues, Merchandise, Tax charges and so forth. View the netFORUM Pro Online Help topic on Charge Codes and Setting up Charge Codes for more information.

To add a new charge code in Accounting set-up, click the Add link. The Charge Code Information window appears.

Two fields have been added to this window to support Real Estate Associations; the Association ID and the Bank ID fields.

Association ID:  Use this field to input the Realtor ID for the distribution set up. In the example above, the local dues are being set up for the Local Association of Realtors. After it is saved, an additional charge code will need to be added for the State and National associations. Each of their Realtor IDs should be added respectively in their Association ID fields. This ensures the funds will be distributed accordingly to NDRS as specified.

Bank ID:  Select the the Bank ID of each association that will be used from the Bank ID drop-down menu. The values listed in this drop-down menu are obtained from the list of Banks that have been previously set up. If the Bank IDs don't display, set them up following the steps outlined in the Setting Up Banks for Multi-Cash Accounts.

For each association to which to distribute dues, create a corresponding Charge Code with a Realtor ID and Bank IDs selected as described above. Using the Local, State, and National examples, the Charge Codes in Accounting setup would eventually look similar to the image below.

When setting up charge codes, the NAR is always assigned Association ID 1. Since the NAR only has one bank, do not need to include a bank parameter for the Bank ID on the NAR charge code. 

In addition, most state associations will also only have one bank and will not need a Bank ID assigned (as the default Bank ID will suffice.) However, it is still important for the local associations to check with NAR to confirm that their state only has one Bank ID. In cases where states have multiple Bank IDs assigned, the local associations should check with the state association to determine to which Bank ID the state would like the membership funds directed.

Note:  When a specific Bank ID is not supplied when setting up a charge code, funds collected from that charge code will be directed to the default Bank ID for that association.

Once the Charge Code is set up correctly, they are easily distributed.

To distribute your dues automatically:

1. Go to the Member Type profile.
2. On the Dues Rate tab, click the Add link to add dues.
3. Complete the dues information by creating a name and price; however, notice that the Charge Code drop-down allows selecting only one at first when distributing dues.  For now, select only one of the Charge Codes created and click Save.
4. Edit the Dues Rate to distribute dues to the rest of the Charge Codes created.
5. Click the Edit button and notice the Fee Distribution Information section, seen below. Using this section, break down how much of the fee should go to each association’s charge code which is tied directly to NDRS through the IDs set up.

6. Use the drop-down menus in the Fee Distribution Information section to distribute the dues rate. The totals must not exceed the total seen in the Member Fee fields in the Fee Information section.  Set a Distribution Priority to receive partial payments and to dictate which association receives priority.

Using the combination of Accounting Charge Code set-up and Member Type set-up ensures that data is sent accurately to NDRS and that the General Ledger reconciles efficiently as well because codes are clearly labeled.