To claim your dividend you must:
provide Photo ID at the registers
be the primary name on the account
have spent a minimum of $303.39 during the last fiscal year
claim your dividend by May 2, 2019
This year, the Co-op will be distributing dividends in the amount of $2 or more. Thank you for being a co-op owner!
Voted on in November 2017 by 92% of voters, a Patronage Dividend is a rebate given to SIFC Owners at the end of each fiscal year. Once the year’s profits are calculated, the Board votes on the percentage co-op owners are to receive back in the form of store credit.
Patronage Dividends are just one of the many Ownership Benefits at Sno-Isle Food Co-op. This sustainable system allows our Co-op to thrive alongside our growing community.
More about dividends:
Dividend Benefits for Owners
Larger Return on Investment
The more money spent at the co-op is more money given back as Dividends. This makes your shopping at the co-op a continuous owner investment. Yearly dividends are savings that reflect your spending for an entire year!
More Owner Discounts
Dividends have allowed The Co-op to offer a larger variety of owner benefits.
Dividend Benefits for The Co-op
Patronage Dividends are a sustainable method of distributing profits. All Co-ops return profits to owners based on how much they use the services. Previously, our co-op used a 10% monthly discount program, which refunded these profits before we made them. The dividend program allows the board to decide how much to return after the books are closed.
The dollars that we allocate as patronage stay here in the community rather than going to the IRS.
The retained portion of patronage dividends builds financial stability and allows the co-op to continue to grow and thrive.
Frequently Asked Questions
When will I receive my dividends?
Dividends will be allocated each year in February.
How will I receive my dividend?
Dividends will be available through the register as store credit February 1, 2019 thru May 1,2019.
How much will my dividend be?
Every year is different based on recommendations of our CPA as well as the decision of the Board.
How will I know how much my dividend is?
We will not know the dollar amount each member is to receive in dividends until late January 2019. At this time, Sno-Isle Food Co-op will mail each member receiving a dividend a Notice of Allocation. This notice will inform members of the amount they are to receive and how to redeem the dividends.
What happens if I don’t use my dividend before May 1, 2019?
Unclaimed dividends will be will be redirected at the discretion of Sno-Isle Food Co-op’s Board of Trustees.
I’d rather not spend my dividend yet - can’t I let it build up?
Dividends do not roll over into the next fiscal year. They must be used up by May 1st.
Do I have to have all of my equity paid to receive a dividend?
No, you will receive your dividend so long as you are still an Active Member**.
How can I increase my dividend?
The more you shop, the more you are eligible to earn in your dividend.
When is Sno-Isle Food Co-op's fiscal year?
Every year our fiscal year runs September 1 - August 31.
How many other co-ops use dividends to return profits to their owners?
Just about all co-ops use dividends.
Will the Co-op distribute dividends every year?
Only in years when the Co-op generates sufficient profits. This is determined by the Board of Trustees.
How is the Co-op doing? Are we making a profit?
The Co-op is doing great. We continue to enjoy strong support from the community. Our sales have grown steadily and we have been profitable in each of the past twenty years.
I have resigned my membership. Can I still receive my dividend?
Resignations prior to January 1, 2019 will NOT receive a dividend.
If you have resigned prior to January 1, you will not be considered an Active Member. Approved dividends are allocated to Active Members* at the register February 1, 2019 thru May 1, 2019.
*ACTIVE MEMBERS must have shopped within the last fiscal year (9/1/2017-8/31/2018) and are still an active member as of January 1, 2019. Active Members do not include employees or volunteers.
What can we do as owners to support the Patronage process?
Be an active co-op owner and use your ownership at the register with each transaction to increase your dividend amount.
How is The Co-op different from any other store?
Here are four ways the Co-op is different from other stores…
• You own the Co-op! Our Co-op is democratically owned by community residents, lending accountability and oversight to store operations.
• The Co-op can only be owned by the people who use it. Publicly traded corporations can be owned by anyone.
• The Co-op exists to provide a service, while publicly traded corporations exist to make a profit for their shareholders.
• Our Co-op returns profits based on how much our owners use the service, not how much stock they own.
How does the dividend program compare to the previous discount program?
For owners: Other co-ops have found that owners experience more savings under the new benefits program (including dividends and owner-only specials) compared to discounts at the register.
For the Co-op: It’s a more sustainable method of distributing profits. Co-ops return profits to owners based on how much they use the services. The discount program returned these profits before we made them. The dividend program allows the board to decide how much to return after the books are closed. Patronage dividends allow the Co-op to realize significant tax savings. The dollars that we allocate as patronage stay here in the community rather than going to the IRS. The retained portion of patronage dividends builds financial stability.
What about taxes?
Dividends are non-taxable income to co-op owners. Additionally, taxes are not taken out of dividends. However, if you use your membership for business purchases, you should consult your accountant.
More questions? Drop us a line using the contact form or Email email@example.com