HS can calculate three types of handicaps:  

• USGA(tm) handicap. USGA mode calculates an exact United States Golf Association index \ handicap. 
• RCGA(tm) handicap. RCGA mode calculates an exact Royal Canadian Golf Association factor \ handicap. 
• Custom handicap. CUSTOM mode lets you set up your own handicap parameters. A custom handicap is sometimes referred to as a "local" handicap.
  

You are not locked into just one calculation mode. You can switch calculation modes at any time. For example, your club may issue USGA handicaps to its membership, but for local tournaments use a custom handicap that is based only on scores shot in tournament play.

Below is a typical scenario of the cycle involved to maintain a roster of golfers and calculate\report handicaps. First you should determine the length of your handicap revision cycle. If you are calculating a USGA handicap, the USGA says:

"USGA Handicap Indexes shall be revised no less often than once a month and no more often than once every two weeks during the playing season or calendar year."  From the USGA HANDICAP SYSTEM MANUAL.  Go to www.usga.org  to see this manual online.

Thus, those calculating a USGA handicap should use a cycle from twice to once a month. The length of your revision cycle may vary over time but it is a good idea to establish a regular schedule. Handicaps will be more consistent and your membership will appreciate timely revisions.