budget

That depends what do YOUR CC&R's say about it?

The budget doesn't have to be overly detailed. It's going to change as the year goes along. Plus most budgets are based on the year before unless there's a major project in the works for this year. I think some people look for a budget with a bit more details than necessary. One can't tell the future at the beginning of the year what things are going to cost the rest of it.

I would expect something like we have X amount of homes and if all pay X amount in dues this is our Top Budget. That then would break down to the basic expenses such as Insurnance, lawncare, and other required payments (Utiliites etc.). This is what I would be the minimal annual PROPOSED budget I would want to see. For a more accurate one, it would need to factor in delinquency rates, projected project costs, and other miscellaneous out of normal expenses. That budget may form after the meeting is held.

Remember a HOA is typically a NON-PROFIT. It's budget needs to equal as best as possible the amount it collects to the amount it spends out. It can have a savings/reserve account. However, it should not produce a profit as that profit can be subject to taxation. Hence, why I am against HOA's having garage, bake, or rummage sales. Only dues should be used to fund the HOA. A HOA is ONLY funded by it's members for it's members.