Sunday, February 22, 2009

Numbers don't lie


But sailing club officers have been known to. One recently posted an analysis of last year's final budget. A few things jumped out:

(1) There was an unusual $83,644 expense to buy 420s.
(2) A major source of income is work-hour "deposits". Fewer than one in 10 club members got their "deposit" refunded.
(3) Most free memberships are, in essence, wages because they go to instructors.

Once the anomalous $83k 420 purchase is excluded and 80 free memberships are included (at $150/ea), you can see how much of the club's budget actually went to pay wages (see pie chart). This reflects a typical year. The vast majority of that cash went to instructors.