ChrysB
Posts: 45
Posts: 45
Posted:
What are the experiences using Quickbooks as your accounting system?
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Quick books
Started by ChrysB • 9 replies • 325 views
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HenryS7 (Pennsylvania)
Posts: 336
Posts: 336
Posted:
Are you self-managed?
Most of us have accountants or property management companies that take care of the books on behalf of the volunteer board. Some small associations take care of them on their own and may be able to weigh in. I wouldn't worry about this unless you are self-managed.
Most of us have accountants or property management companies that take care of the books on behalf of the volunteer board. Some small associations take care of them on their own and may be able to weigh in. I wouldn't worry about this unless you are self-managed.
DouglasK1 (Florida)
Posts: 2,046
Posts: 2,046
Posted:
My experience is with a self managed HOA where the treasurer personally managed the books. The HOA does not have any computer equipment or office space, the treasurers used their own.
In my association the prior treasurer had set up Quickbooks with the help of an accountant friend of theirs. I think the prior treasurer did have some bookkeeping experience. Prior to that the treasurers had used Excel.
When I became treasurer I made a few small changes, but left Quickbooks mostly as it had been initially configured. I thought it did a good job. It didn't really save much time over using Excel for the common operations of paying bills and collecting assessments, but reporting was much faster and easier than harvesting data from Excel and manually creating reports. I could pretty much press a button and get budget vs. actual, balance sheets, P&L reports, etc. I don't have bookkeeping experience, but have managed accounting systems from the IT side and also done some programming/customization of them and understand accounting basics.
After I left the board one of the prior treasurers became treasurer again and reverted back to using Excel. He did not appear to have any real handle on accounting beyond paying his own bills and balancing a checkbook, and did not really understand how to use an accounting system (and didn't want to learn). From what I could tell he did a decent job of paying bills and tracking assessments, but any reporting he did was not close to following standard accounting practices and took him a long time to create.
The takeaway is that Quickbooks works if the person using it knows something about bookkeeping/accounting or has access to someone who does. If the user doesn't, they might find Excel or even a paper ledger easier to use. Of course with an HOA, changing directors/officers frequently will bring in varying skill levels so even if you implement an accounting system now it may or may not stay in use long term. I felt bad for the treasurer before me, she had put a lot of time into the initial set up, and that all went down the tubes after my tenure.
In my association the prior treasurer had set up Quickbooks with the help of an accountant friend of theirs. I think the prior treasurer did have some bookkeeping experience. Prior to that the treasurers had used Excel.
When I became treasurer I made a few small changes, but left Quickbooks mostly as it had been initially configured. I thought it did a good job. It didn't really save much time over using Excel for the common operations of paying bills and collecting assessments, but reporting was much faster and easier than harvesting data from Excel and manually creating reports. I could pretty much press a button and get budget vs. actual, balance sheets, P&L reports, etc. I don't have bookkeeping experience, but have managed accounting systems from the IT side and also done some programming/customization of them and understand accounting basics.
After I left the board one of the prior treasurers became treasurer again and reverted back to using Excel. He did not appear to have any real handle on accounting beyond paying his own bills and balancing a checkbook, and did not really understand how to use an accounting system (and didn't want to learn). From what I could tell he did a decent job of paying bills and tracking assessments, but any reporting he did was not close to following standard accounting practices and took him a long time to create.
The takeaway is that Quickbooks works if the person using it knows something about bookkeeping/accounting or has access to someone who does. If the user doesn't, they might find Excel or even a paper ledger easier to use. Of course with an HOA, changing directors/officers frequently will bring in varying skill levels so even if you implement an accounting system now it may or may not stay in use long term. I felt bad for the treasurer before me, she had put a lot of time into the initial set up, and that all went down the tubes after my tenure.
Escaped former treasurer and director of a self managed association.
BenA2 (Texas)
Posts: 1,273
Posts: 1,273
Posted:
Keep in mind that Quickbooks Desktop and Quickbooks Online are two different things. I do bookkeeping for a private company and they use Quickbooks Online. There are a lot of problems with it. It is fine for a very small business owner who wants to do their own books, otherwise, I do not recommend it.
Our HOA has used Quickbooks Desktop for at least a decade and it has worked well for us. We have an accountant on the board and she agrees that QB desktop works well but she hates QB Online.
Our HOA has used Quickbooks Desktop for at least a decade and it has worked well for us. We have an accountant on the board and she agrees that QB desktop works well but she hates QB Online.
ChrysB
Posts: 45
Posts: 45
Posted:
HenryS7,
We have a management company, but we are not happy with the financial reports we received from their accounting system. We would like the property manager to use a system that generates friendly to read reports.
Board members are familiar with the Quick books for business, and we would like to hear HOAs' experiences with Quick books.
Thank you for your reply!
We have a management company, but we are not happy with the financial reports we received from their accounting system. We would like the property manager to use a system that generates friendly to read reports.
Board members are familiar with the Quick books for business, and we would like to hear HOAs' experiences with Quick books.
Thank you for your reply!
ChrysB
Posts: 45
Posts: 45
Posted:
BenA2,
Great information! I will share your comments with our board!
We may be looking into the same scenario having a CPA onboard.
Thank you!
Great information! I will share your comments with our board!
We may be looking into the same scenario having a CPA onboard.
Thank you!
ChrysB
Posts: 45
Posts: 45
Posted:
DouglasK1,
Thank you sharing your experiences on QuickBooks.
I have been educating myself on this program and I find this would serve our needs.
We are still at the preliminary stages of exploring the system and who will run the program, property manager or the office administrator who has been with us for long time and understands bookkeeping (she handles the payroll in house) or treasurer or another board member.
Thank you sharing your experiences on QuickBooks.
I have been educating myself on this program and I find this would serve our needs.
We are still at the preliminary stages of exploring the system and who will run the program, property manager or the office administrator who has been with us for long time and understands bookkeeping (she handles the payroll in house) or treasurer or another board member.
BillH10 (Texas)
Posts: 1,217
Posts: 1,217
Posted:
ChrysB
We have used Quick Books Desktop since forming our management company 13 years ago.
Before we took on our first client, we enrolled in Basic and Advanced Quick Books training at a local community college. I strongly recommend doing so even though I had several semesters of accounting courses in college, which were valuable as I was familiar with the concept of double-entry accounting and the terminology. It also helped that I have used Quicken since it was first released. While not a double-entry system as is QB, many of the operations are the same.
I am generally satisfied with Quick Books, but I do have some issues:
-QB was written by accountants, some processes are needlessly complicated and not at all intuitive unless one has a strong accounting background. One such issue requires manual journal entries, which could easily be accomplished through simple high level entries by rewriting the underlying code and the addition of perhaps a check box or two. With one exception, that being recording assessment payment credits to two property accounts when the payment is made via a single check, thankfully the need for journal entries occurs only three or four times a year.
-I do not care for the standard QB report formats; that is easily addressed by downloading the data into report templates which I have designed or which are available at no cost in the form of QB templates, or templates created and shared by QB users.
-Be prepared to purchase a new version at 4-5 year intervals.
-If you association elects to use QB, I strongly recommend you have at least two 'operators' to cover for each other during vacations and illnesses. Have a process in place to bring someone new on board should someone move from the association.
-If you elect to use QB, I recommend you find a local QB expert, particularly one familiar with real estate or property management accounting to assist and advise you as you set up the accounts. I also suggest you maintain a relationship with that person as a consultative resource.
We have used Quick Books Desktop since forming our management company 13 years ago.
Before we took on our first client, we enrolled in Basic and Advanced Quick Books training at a local community college. I strongly recommend doing so even though I had several semesters of accounting courses in college, which were valuable as I was familiar with the concept of double-entry accounting and the terminology. It also helped that I have used Quicken since it was first released. While not a double-entry system as is QB, many of the operations are the same.
I am generally satisfied with Quick Books, but I do have some issues:
-QB was written by accountants, some processes are needlessly complicated and not at all intuitive unless one has a strong accounting background. One such issue requires manual journal entries, which could easily be accomplished through simple high level entries by rewriting the underlying code and the addition of perhaps a check box or two. With one exception, that being recording assessment payment credits to two property accounts when the payment is made via a single check, thankfully the need for journal entries occurs only three or four times a year.
-I do not care for the standard QB report formats; that is easily addressed by downloading the data into report templates which I have designed or which are available at no cost in the form of QB templates, or templates created and shared by QB users.
-Be prepared to purchase a new version at 4-5 year intervals.
-If you association elects to use QB, I strongly recommend you have at least two 'operators' to cover for each other during vacations and illnesses. Have a process in place to bring someone new on board should someone move from the association.
-If you elect to use QB, I recommend you find a local QB expert, particularly one familiar with real estate or property management accounting to assist and advise you as you set up the accounts. I also suggest you maintain a relationship with that person as a consultative resource.
ChrysB
Posts: 45
Posts: 45
Posted:
BillH10,
Super insights!
Thank you so much for your time!!! I will certainly share this information with our finance committee for their consideration.
Super insights!
Thank you so much for your time!!! I will certainly share this information with our finance committee for their consideration.
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