Pajero 4WD Club of Victoria Inc.
2020-21 Budget & Annual Fees
Between January and April the Committee undertook the process of putting together the
budget for the Club for the 2020-21 financial year. There was nothing unusual about this
process until mid-March when all assumptions about income and expenses were thrown out
the window due to the Covid-19 shutdown.
This is a summary of the journey the Committee went on to establish the 2020-21 budget
that was approved at the April Committee meeting. All Club members should be assured
that this process involved numerous discussions and a range of points of view were taken
into consideration before arriving at the final outcome.
Recent Years
As a starting point a review was completed of how the Club has been travelling in recent
years.
As can be seen from the table between 2011 and 2015
fees increased from $120 to $135 and a small profit was
made in all but one year. If this approach had continued
fees would now be about $150.
In 2016 a decision was taken that the Club’s financial
resources were more than was necessary and so fees
could be reduced. The result is the Club lost about
$21,000 over 3 years or about $7,000 per year. Fees for
2019-20 were set at $120 and it is expected we will
make another loss, however It is currently unclear what
that will be for two reasons:
1. Membership fees are usually collected in May-June
for the following financial year, however due to
problems last year a large portion of the fees were collected in July-August, therefore
inflating this year’s figures.
2. Covid-19 – two of our main income sources, being General Meetings and DTU courses
stopped for the last 4 months of the financial year.
Below are two pie charts showing our income sources and our expenses. This is for the
2018-19 financial year, which is typical of recent years and we do not expect 2020-21 to be
all that different. This shows half our income is from fees and that our expenses are many
and varied.