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What are best practices to keep in mind when setting up Membership Plans?

Updated

Introduction

This article explains best practices for naming, structuring, and managing membership plans, session limits, billing types, and session packs. It is designed to help staff maintain consistency, clarity, and accurate reporting when creating and assigning plans.

How should I name plans?

Each plan must have a unique name (no duplicates). Plan names are not visible to members, so prioritize clarity for staff.

  • Include session frequency & format:

    • Examples:

      • Unlimited Open Gym

      • 3x a Week Semi-Private

      • 1x Weekly Personal Training

  • Include billing frequency (if applicable):

    • Examples:

      • 3x Open Gym – Bi-Weekly

      • 6m PIF Group Training

      • Unlimited Open Gym – Yearly

How should I use the Plan Description field?

Plan descriptions are optional and not visible to members. Use them for internal notes such as who the plan is for, pricing considerations, or special rules. Keep descriptions concise so staff can quickly scan them.

Which Plan Type should I choose?

Choose the correct plan type for consistency in reporting and filtering:

  • Full Membership: For standard, longer-term memberships (paid in full or recurring).

  • Challenge: For short-term, goal-oriented programs (e.g., 6-week challenge).

  • Limited-Time Pass: For temporary access like day passes, trials, or guest passes.

What are best practices for managing session limits?

Many successful gyms limit sessions to 3x per week to manage capacity and member experience.

  • Weekly Calculation: By default, sessions reset Monday–Sunday.

  • When Weekly Limits Are Off: Sessions reset based on billing date (e.g., Wednesday–Tuesday if billing weekly and the start date is Wednesday).

  • Recommendation: Keep Weekly Session Limits ON for clarity.

  • For Missed Sessions Rollover: For example, if the plan has a 3x per week limit, use a 28-day period allowing 12 sessions per 28 days, with a weekly limit of 4. This gives members flexibility to make up sessions later.

Should I charge sales tax on memberships?

Consult a local CPA to confirm if you should charge sales tax on memberships and at what rate.

  • Note: The sales tax rate can be set up / edited in your Business Settings >Location Settings.

How should I set up billing and auto-renewal?

  • Auto-Renewal: Turn this ON for continuous renewal until canceled. Turning OFF sets an end date at the end of the current cycle.

  • Billing Type – Paid in Full:

    • Use for challenges, short-term memberships, or annual plans.

    • Enter the highest plan cost — discounts can be applied later.

    • Can be split into up to 4 payments.

    • Track retail purchases using a 1-day Limited-Time Pass with Paid in Full billing.

    • Click here to read about best practices when attaching a Paid in Full membership to a member: What are some best practices for attaching a Paid in Full (PIF) plan to a member?

  • Recurring Plans:

What are best practices for charging intervals on Recurring Plans?

  • By Day:

    • Examples:

      • $99 every 7 days

      • $149 every 14 days

    • Best Practice:

      • Bill every 28 days (4 weeks) for maximum profitability:

        • 13 billing cycles per year instead of 12

        • $1,300 annual revenue on a $100 plan (vs. $1,200 with monthly billing)

        • Same principle applies to 7-day or 14-day billing

    • Important Tip: If switching from monthly to 28-day billing, contact your coach for guidance.

  • First of the Month: Charges are billed on the 1st of each month. If the plan doesn’t start on the 1st, the first charge will be prorated.

  • Monthly: Charges on the same calendar day each month

How do session packs work?

Session packs do not work like a balance that deducts each visit. Instead, the system compares:

  1. How many sessions are included in the pack

  2. How many sessions have been marked with attendance

This determines whether sessions remain available.

  • Expiration: Packs do not expire by default. To set an end date, use a future cancellation date.

  • Weekly Session Limits: Recommended for better scheduling control.

  • Pricing: Enter the total price of the entire pack, not per-session pricing.

  • Auto-Renewal: If enabled, members are billed the full pack price the day after their last session is booked. 

  • Click here to read about best practices when attaching a Session Pack to a member: What are some best practices for attaching Session Packs to members?

How do I handle free plans?

Use free plans for promotions (e.g., free trial month) or special member offers.  

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