The Goal: Understand exactly how GrowthZone calculates prorated membership dues so you can verify a prorated amount on an invoice.
Before You Begin:
- Know the full annual dues amount for the membership type you are prorating.
- Know how many months of the membership term you need to prorate for.
Step-by-Step Instructions
GrowthZone calculates the proration based on the annual amount before calculating the months.
- Start with the full annual dues amount for the membership type. In the case of the AFFILIATE 2-5 membership, the membership dues are $350.
- To find one month of proration, divide the annual amount by 12 months. 1 month of proration would be $350/12 months. This breaks down to $29.1666666(repeating). We round this to $29.17.
- To prorate for multiple months, divide the annual amount by 12 and multiply by the number of months. 10 months of proration would be $350/12 months x 10 months. This breaks down to $291.666666(repeating). We round this to $291.67.
Common Pitfalls
- Rounding the monthly rate first: GrowthZone divides the full annual amount by 12 and multiplies by the number of months before rounding the final result. Rounding the monthly figure first (e.g., $29.17 x 10 = $291.70) will not match the system's calculated amount of $291.67.