A Guide to Patronage Dividends: How to Get Paid for Buying

 

Are you fed up with spending too much on necessities? You can actually get paid to shop, did you realize that? It’s known as a patronage payout, and we’re here to explain it to you in full.

What is a Patronage Dividend?

A patronage dividend is a payment a cooperative makes to its members in accordance with the volume of revenue they have generated for the cooperative. In essence, it’s a portion of the co-earnings op’s that is given to its members.

How Does it Work?

Consider the case where you shop at a co-op food store. You’ve spent a total of $500 at the shop over the course of the year. The co-op chooses to give its members a patronage dividend of 10% after calculating its profits for the year. That implies that your portion of the earnings would be $50.

Why Should You Care?

A patronage dividend encourages you to keep buying at the co-op as well as rewarding you for your purchases. In terms of patronage dividends, the more you invest, the more you’ll get back. You will also have a say in how the co-op is managed because co-ops are owned and run by their members.

Where Can You Find Co-ops?

There are co-ops in many different sectors, including grocery shops, credit unions, and insurance firms. Find local co-ops by doing some research, and think about joining to start receiving patronage rewards.

Conclusion

An excellent method to get paid for something you already do is to shop is through a patronage dividend. You will receive a reward for your loyalty as well as a voice in how the co-op is managed. What are you still holding out for? Earn those profits right away!