It’s here. The most wonderful time of the year. Oh, wait. It’s just budget season. Fear not. There are tools you can use to make this process less painful. Break out the calculator and get to it.
Review the books for the HOA going back three to five years. Pay close attention to any unforeseen expenses that materialized. These costs need to be factored into the operating budget as well. Check with utility and service providers (pool cleaners, landscapers, etc.) and find out if their fees are changing. If they are, then put out a call for new contract services bids. While you’re at it, review their performance and make sure your community is benefiting from the services they’ve pledged to deliver.
Check the reserve fund amount. The fund should be robust enough so you can cover big costs that aren’t budgeted. Review the amount of insurance coverage you need and have, too.
Share the proposed budget with your board members and anyone else who needs to weigh in on the financials. Property Managers can use global reporting to share finances, and get interactive feedback from their designated managers.
Consider security going forward. Are break ins or property crimes an issue? Is your neighborhood turning into the Autobahn? Maintain the highest level of security with access control and visitor management software.
Fiduciary responsibility is no joke. As a property manager or HOA manager, you’ve taken on great responsibility. Being 100% transparent is going to minimize resistance from residents and stakeholders and ultimately make your community more informed, engaged, and safe.
Looking for more room in your budget? Consider analyzing your banking relationship. Download your copy of our free guide, What Every Property Management Company Needs to Know About Free Checking.
