Financial Reports

Started by ErikaB2 • 8 replies • 2063 views

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ErikaB2 (Florida)
Posts: 36

Posted:

What reports and information is typical for an Accountant or PM to include in the HOA Financial reports to the treasurer monthly?

Please, no discussion on why a PM should do this or self-manage. Just looking for an answer to this question.

Thanks.

TimB4 (Tennessee)
Posts: 21,059

Posted:

They should provide enough information to the Treasurer to allow the Treasure to make their reports to the Board.

We are a small to medium sized community (130 lots) with few amenities.
Based on the reports I make (and what an MC would be tasked with) I would require:

1) Amount of deposits
2) Notation of any funds included in the deposits that were not assessment payments
3) Expenditures made (amount and whom to)
4) # of accounts 30 days behind, 60 days behind, 90 days behind, 120 days behind >120 days behind
5) Transfers to or from the reserve account/s

With this information I provide the following in my report to the Board:

Income and Expense Statement
Budget Summary (Budgeted vs. actual)
Accounting of delinquencies (month to month changes of # behind 30 days, 60 days, etc.)

Hope this helps,

Tim

ErikaB2 (Florida)
Posts: 36

Posted:

Hi Tim,

Can you elaborate on "2) Notation of any funds included in the deposits that were not assessment payments "?

Thank you for your help.

TimB4 (Tennessee)
Posts: 21,059

Posted:

This would be different charges as these are accounted for separately in our budget and I&E statements. Examples:

Payments for Disclosure packages ($100 per package)
Payments for additional printed copies of the governing documents ($25 per book)
Payments of Fines (if any)

Mind you, most of this information is provided as it happens vs. in formal reports to the treasurer.

ErikaB2 (Florida)
Posts: 36

Posted:

Thanks Tim.

I feel that as a board we are not getting a lot of information we should be getting to keep an eye on how things are being handled. We don't get anything regarding assessments being paid or delinquent except for a running report of totals but we can tell what part of payments or totals are for what, ex. late fees, liens.

Is there a name for this report that I can use to ask the PM to provide? Or do I just ask for a customized report with this information?

What kind of ongoing information should I be requesting? The PM is making me feel guilty for asking for any information beyond what is already being provided because I am not trusting. What is normal as far as documents that we should be getting on an ongoing basis through out the month and at the end of month?

I sincerely thank you for your help and time.

RogerB (Colorado)
Posts: 5,067

Posted:

Erika,
We provide to all Board members with an email address the following monthly reports:
Balance Sheet; Income Statement; Check Register; and Aged Receivables Report.

An example of the Income Statement is attached. There are line items for each income and each expense. There are 4 columns - Month Actual; Month Budgeted; YTD Actual; and YTD Budgeted. There are lines listing total income; total expenses; and net income.

Some HOAs also request a Cash Flow Chart (example attached).

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📊187381712571.xls(24 KB)

📊187381871854.xls(43 KB)

AllisonD (Florida)
Posts: 449

Posted:

I love using cash flow reports. They are a great way to monitor month by month whether you have enough income every month to pay expenses, and it allows you to see trends (more expenses during the summer than the winter, for example). Also you can clearly see your monthly actual income which is not always easy to find on canned reports.

SheliaH (Indiana)
Posts: 6,964

Posted:

We get a balance sheet for our operating and reserve budgets, income and expense report for each, a delinquency and pre-payment report, showing people who paid a month in advance and those who are 30 days behind (for each account the amout 30, 60, 90 120 and over 120 days is shown, a daily general ledger for the month, a copy of the bank statement and a delinquency notes report that summarizes specific action taken. Most of it concerns accounts that have been sent to the attorney, so we check to see if we have a recommendation to write off an account, file a lien or pursue a foreclosure (all of which require a board vote)

If it is not right do not do it; if it is not true do not say it. Marcus Aurelius

JohnC46 (South Carolina)
Posts: 14,265

Posted:

One problem with many BOD's is that some members could not read a financial report if it slapped them up alongside the head real hard. Often they have to be taken aside and taught. Taught as in we all had to be taught at one time in our life.

If on a BOD and you see others do not understand something. Reach out to them privately/personally (not at the meeting) and help them.

Wow, Harry, I still struggle with the way Tom presents the financial information......

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