Young Association Professionals (YAP) yapstar.org

Hi, Kiki -- I think the correct answer is $300,000, using the following formula. According to my notes, "insubstantial" is defined as:

-- 20 percent of the first $500,000 of the association's budget, plus
-- 15 percent of the second $500,000, plus
-- 10 percent of the third $500,000, plus
-- 5 percent of every $500,000 after that.

For a $3 million budget, I believe that adds up to $300,000.

Anyone else come up with a different answer? Is my math correct?

Good luck!

Bill Sheridan
bill@macpa.org
twitter.com/BillSheridan

I believe $300,000 is the correct answer for a 3 million budget . 20%, 15%, 10%, then 5% for each remaining $500,000.

Bill,

You have the % right and the calculations right.  One  more note:  there is a total ceiling of $1M, regardless of revenue.

E

And only 25% of what is spent on lobbying can be spent on grass roots efforts. So does that mean 25% of $300,000,(max allowed in this scenario) or if the c3 only spent $285,000 lets say, is grass roots limited to 25% of the actual amount spent ($285,000)

Thoughts?

It's 25% of the actual amount spent.