Mwalimu SACCO 2022 Dividends, Rebates

NATIONAL DELEGATES’ MEETING

The Mwalimu National Sacco National Delegates Meeting will be held on 0/02/2022.

In this regard;

2022 Dividends looming at the rates that will be determined during ADM.

Things to note:

1.Terms used

Rebates

Benefits accrued from one’s monthly deposits or savings.

Dividends

Benefits accrued from share capital.

Sacco business period

Starts_ 1st Jan of every year
Ends _ 31st Dec of the same year

How to arrive at the total amount expected in one’s account.

For purposes of calculations, see the illustration below;

1.Total deposit as at 31st Dec ,2021 = ksh 100,000

2. Monthly deposit= ksh 5000

3.Capital share = ksh 20,000

4.Rates

Rebates=12%
Dividends =13%

Mathematics

a) 12% × 100,000 ( deposits as at 31st Dec ,2021= 12000

b) 13% × 20000(share capital) = 2600

C) Monthly deposit

Jan
12% × 5000 × 12/12= 600

Feb
12% × 5000 ×11/12= 550

March

12% × 5000× 10/12= 500

April
12% × 5000 ×9/12= 450

May

12% × 5000 ×8/12= 400

June
12% ×5000×7/12=350

July
12% × 5000× 6/12= 300

Aug

12% ×5000 ×5/12 = 250

Sept

12% × 5000 × 4/12 = 200

Oct

12% × 5000 ×3/12 =150

Nov

12% × 5000× 2/12 = 100

Dec

12% × 5000× 1/12 = 50

Total = 12000 + 3900+ 2600= 18500

Amount expected in the account

18500× 5% (withholding tax)= 17575

This 17575 is still subjected to

1.exercise duty

2.Processing fee

The formula above was arrived at in a bid to encourage members to start saving as early as January.

Members who make deposits close to the end of the year wont reap big as per their expectations.