How Can HOA Bookkeeping Services Help Your HOA’s Finances CSM

PayHOA offers a comprehensive digital hub for managing HOA communities, with robust software tools. PayHOA also offers Bookkeeping as a service, freeing up your volunteers to do other tasks. Whether your HOA has just a few members or contacts or a larger membership base, Wild Apricot can accommodate your needs, with support for organizations of all sizes, even up to 15,000 members. Additionally, the availability of volume discount rates for multiple accounts is a significant advantage for organizations with multiple chapters or branches.

• This will include information such as who the check was issued to, the date it was written, the account it’s withdrawing from, and the check number.
• While many volunteer Bookkeepers are more than capable of rising to this task, they may not necessarily have a professional accounting background or have unlimited time to dedicate to their association duties.
• It also supports community health by allowing all community residents and stakeholders to be a part of the team.
• This includes customized financial reporting, dues collection and delinquency reporting, payment processing, bank reconciliation, annual budget preparation, and tax filing.
• Its services include total AR and AP management, daily account reconciliations, tax return preparation, and dues collection.

With access to this information, you will have a clear vision of the financial well-being of your association.

Self-managed HOAs rely solely on association members to handle all daily, weekly, monthly, and annual tasks required to run a community. Much like any corporation, homeowners associations earn revenue and incur expenses. And, wherever there is money involved, it is important to track its movement. Provide them with reports generated by HOA accounting software, like the custom reporting available from CINC Systems.

We Offer Board Members a Variety of Ways to Contact Us

• This typically gives your board members and homeowners a web portal to manage their accounts, track real-time maintenance status, and make online payments.
• They will be able to see quickly if there are any discrepancies such as unfamiliar invoices, double charges, or suspicious activity.
• If you want to see a report or transaction, it is all there for you.
• When seeking the right HOA bookkeeping partner, look for a service that works for you.
• Now is a good time to send a friendly reminder that the association checks the books every summer as a policy and that you noticed an outstanding balance on their account.
• Our support staff is located in the United States and is always an email or a call away.

Keeping members in the dark only promotes mistrust and working with inadequate or no financial information can lead to dwindling reserves for community upkeep and new projects. So do the financial needs of the community, as it relates to its goals and its size. Of course, the more frequently you prepare the statements, the more helpful they will be for the board of directors. Newer HOAs or ones with more basic budgets can prepare one every month without much issue. Still, it’s important to be considerate of the bankrupt homeowner.

Compare Income and Expenses

Bookkeeping services are available specifically for self-managed HOAs and might be more affordable than you’d think. Although an HOA board can do accounting themselves, most lack the required expertise to do it properly. As such, it usually makes more sense to outsource the service to an experienced and certified professional. When you hear the word “audit,” most people immediately think of the IRS.

Watch for unfamiliar invoices, double charges and any other suspicious activity. The sooner you catch a problem, the hoa accounting sooner you’ll be able to solve it. A delinquency report will include HOA residents with unpaid, overdue fees.

Tools and Solutions for HOA Board Members

The CPA will be able to pull reports directly from the accounting software without taking up your time to run them! The CPA will also check for accounting errors and verify your bookkeeping. Additionally, you can request a “positive assurance” to guarantee the accuracy https://www.bookstime.com/ of your financial reports and confirm the HOA’s financial health. Statements of income and expenses are an important association management tool. These reports show all of the association’s financial transactions for a given time period, usually on a monthly basis.

Where Should the HOA Accounting Reports Go?

• HOA accounting can be very confusing — enough to make you use the wrong accounts when recording revenue and expenses.
• Hire a company such as CSM to provide financial management assistance.
• An HOA accounting and management company will be able to manage your community’s finances properly.
• Community Financials provides expert bookkeeping and financial reporting for HOAs, Condominiums, and POAs nationwide, ensuring fund security, transparency, and effective communication.
• Next, the timing for notification depends on your current management agreement – has it expired, is it ending at the end of the month?
• When some people don’t pay it can cause a lot of stress on your community’s budget.

By familiarizing yourself with accounting, you can safeguard your association’s finances. Watch Out – If you don’t have timely and accurate financial reports you may spend more than your income which can cause more work by needing a special assessment and cause owners grief. Not to mention, you also need a solid understanding of accounting and finance to properly perform HOA bookkeeping. By outsourcing to an HOA bookkeeping service, the board can focus their time on day-to-day operations and other more important community matters. You’re also able to avoid costly mistakes that will affect your financial health.

An HOA Accounting Guide For HOA Board Members