Budget

Started by RebeccaK • 3 replies • 1362 views

💬 Join us to post & get advice from 50,000 HOA & Condo leaders.

⚡ Takes 30 seconds

Already a member? Log in

RebeccaK (Oklahoma)
Posts: 2

Posted:

Our HOA is responsible for the complete lawn care maintanence for each individual resident. I was trying to find our information on ways to set-up a budget for the HOA. What percentage of annual dues for lawncare, reserves, etc.

Thanks.
RebeccaK

GeraldT1 (<Not Specified>)
Posts: 519

Posted:

RebeccaK,

You need multiple bids from landscape contractors to establish the cost to the association to maintain the lawns. Divide the cost by the number of dwellings getting the lawn care and that is the minimum amount that needs to be budgeted for that particular line item.

Reserves are another matter entirely. I'll explain in an additional thread.

Best of success!!
GeraldT1
NNJ

BradP (Kansas)
Posts: 2,640

Posted:

Rebecca:

I don't think there is a set formula for what percent of dues is spent on this or that, every association is different. You need to figure out what works for you. Either cut expenses, raise revenues (dues) or leave everything where it is.

JoeS4 (Kentucky)
Posts: 77

Posted:

Also it is important to know if other than lawncare if your responsible for mulch, fertilize, weed control, and etc. You should get at least three bids for everything if possible. Your board also needs to be aware of homeowners desires, we pass out forms before our annual meeting and budget committee starts to find out new needs or wants of homeowners as well as we list all common interest items and let the homeowners rate them from 1-10 as to importance so that we know what is important to each. Lastly remember to allow 2.5-5% per year for increases in living expenses, if they are needed.

Good Luck

🎯 You've read this entire discussion

Join the conversation with 50,000 HOA & Condo Leaders:

✓ Ask follow-up questions
✓ Share your experience
✓ Get expert advice
✓ Access 350,000 discussions

Create Free Account →

⚡ Takes 30 seconds

Already a member? Log in here