Recipe: Seabass Over Pancetta and Spinach Risotto (“Charting an Exciting New Course,”)
Additional Photos: “Putting The Prairie Club on the Map,” pg. 14; “Form Follows Function,” pg. 20; “Better by Half,” pg; “Feast Your Eyes,” pg. 33; “Locally Grown,”
Sidebar: Food safety tips (“Feast Your Eyes,” pg. 33)
Floor Plan: Petroleum Club of Fort Worth (“Better by Half,”)
Jim Sutton, CCM, General Manager of River Hills Country Club in Lake Wylie, S.C., posed this question to the group:
We are considering replacing our 18% service charge with a flat monthly service fee for all members. Because the club uses these revenues to offset payroll expense, the 18% is subject to state sales tax; however, a flat fee may not be. I would appreciate any advice from clubs that use the fixed fee.
“We have a flat service charge, and we leverage it with the members by telling them that the more they eat at the club, the more they benefit from the flat fee, and hence the lower percentage. We do charge sales tax on it, as we do not pay 100% of it to the staff.”
—Caroline Gedney, CPA, Controller,
Wykagyl Country Club, New Rochelle, N.Y.
“I charge an annual fee for gratuities in January. If you don’t use F&B, you still pay the same amount as someone who eats every day. In addition, I implemented a frequent dining reward plan. Every month I charge a flat rate, whether a member uses the club or not. If they do spend money in F&B, I reward them with 25% of their spending. This reward is accumulated over 12 months, and will be applied against their dues in January.”
—Jim Schell, General Manager,
The Venice (Fla.) Golf and Country Club
Have something to add? Join the conversation – click the LinkedIn icon at ClubandResortBusiness.com or find us on LinkedIn.com
“A flat monthly service fee spread across the entire membership is nothing more than a dues increase for those who do not use the dining facility. Consequently, those who use the dining facility will see it as a reduction in fees; the others will see it as superfluous. This is a step in the direction of dues supporting the food and beverage operation. However, this can be used to your advantage if properly implemented.
If you increase the dues enough to cover your additional wage expenses, you have two very positive outcomes. First, your club’s food and beverage becomes far more competitive in the marketplace. In effect, all food and beverage becomes 18% less expensive. (This is a large number for a wedding, but consider a “tea service” charge instead.) Second, this dues increase comes with the visible benefit that your staff can embrace and your members will likewise enjoy.”
—Michael Froese, CCM, General Manager,
The University Club of Seattle
Tell Us What You Think!
You must be logged in to post a comment.