Useing a homeowner in the HOA to be paid for services

You would need to check with your state in order to determine whether you need a license. Many states require it due to the fact that knowledge of housing laws, accounting, reporting come into play.

Also- you need to be very, very careful if you choose to do this in the manner that you described. First, if they are 'hiring you' to do this work and you are not a Board member, then you should get insurance for your self in the event that mismanagement or misappropriation accusations happen. You could easily get sued. All it takes is one disgruntled homeowner.

My best suggestion- if you are not already on the Board, get back on it. So long as there was a vote on this matter, and a quorum of the entire association was met you would seem fine in being paid so long as your covenants/master deed etc. allows it. But also, I would put in writing what is expected of you, and of the association (duties, pay, etc.)so no one has to guess.

And keep in mind that if they pay you it is taxable as income.

AngleB before you take on the job you best check the documents. Some say the Board can not be paid. Also the Association insurance may not cover you if you a paid empolyee. It will have to be rewritten, check with the agent. Make sure you have workman comp coverage. Best of luck

Hi,

At my last HOA (in the state of MD) we had a resident who who ran an MC. We employed his firm/him to manage our HOA. He in fact found that this was a conflict of interest so we had to find another MC. Check the state requirements.

Tracy

I went through the SAME experience!!! Half way through I realized it wasn't my post!
Our bookkeeper was a resident of our HOA. She managed our books and was paid about $300 a month for doing so. She was NOT a board member. However, she functioned much like a Management company. Board members are VOLUNTEER positions only and do NOT get paid.
If you are qualified to be a bookkeeper/accountant you may request to be hired as one. You may not be required to be licensed if your HOA wants to keep being run "informally". There's no legal requirement in most documentation that a Management company has to be hired. HOA's were designed to run by homeowner's only. A management company is a hired contractor anyways. They are hired because most homeowner's don't want to do the job themselves or want the responsibility to be involved.
Another option in all of this is: The HOA can vote to dissolve. If the HOA dissolves, it may require to be turned over to a management company. What if you became a management company? Our documentation requires if we ever dissolved, we MUST be turned over to a management company. The issue with a management company running the HOA is that the homeowners completely LOSE their voting rights in their own community and the MC controls the money. Meaning the MC can raise dues at their own will and NOT need a majority vote of the homeowners. That is the down side of this option. It's way to easy for you the management company to control everything and enforce your will. I don't think the other homeowners realize what they would be giving up if this option is pursued. Plus, no matter how good and fair you are, you will be perceived as a "dictator". The only one in control no matter if it was majority vote of the homeowners who put you there.