homeowners associations

[oceanlovin'ea]

Do any of you do work for homeowner's association? I had a lady call today that wants someone to send out the bills and deposit the checks when they come in for the association. This person would also pay any bills that come due as a joint signer on the account. If any homeowners don't pay, the president of the association would be the one to contact them for payment. There are a little over 200 homeowners in the association.

What would be a fair charge for this kind of work?

Linda, EA

[taxea]

Do any of you do work for homeowner's association? I had a lady call today that wants someone to send out the bills and deposit the checks when they come in for the association. This person would also pay any bills that come due as a joint signer on the account. If any homeowners don't pay, the president of the association would be the one to contact them for payment. There are a little over 200 homeowners in the association.

What would be a fair charge for this kind of work?

Linda, EA

Linda, I suggest you query bookkeepers in your area, or try salary.com. Whenever I have this type of question I call various bookkeepers and ask, as though I am the potential client, what they would charge me for this type of thing. I make it clear that I am shopping rates and will get back to them should I decide they are the right fit for me. Don't just ask what they would charge but what would be included in their service.

[outwest]

My spouse does this.

my advice is to go with a hourly rate. The first year you'll spend a lot of time catching up on accounts, who is paid up, setting up the statements etc. Then there is the homes bought, sold and foreclosed with the title co inquiries for dues in arrears. After the first year, then maybe establish a fixed rate.

[taxea]

my advice is to go with a hourly rate. The first year you'll spend a lot of time catching up on accounts, who is paid up, setting up the statements etc. Then there is the homes bought, sold and foreclosed with the title co inquiries for dues in arrears. After the first year, then maybe establish a fixed rate.

I think Linda is trying to set a fee.
What city is your wife's business and what are her fees for this type of work. This is a good place to start.

[taxmandan]

Do any of you do work for homeowner's association? I had a lady call today that wants someone to send out the bills and deposit the checks when they come in for the association. This person would also pay any bills that come due as a joint signer on the account. If any homeowners don't pay, the president of the association would be the one to contact them for payment. There are a little over 200 homeowners in the association.

What would be a fair charge for this kind of work?

Linda, EA

First, meet with the Treasurer for the Association and make sure that you can work with that person. I find that an hourly rate works best since the amount of time will vary according to the amount of hand holding you'll do with the Treasurer.

I have tax exempt orgs including home owners associations and the Treasurer is the person that will either drive you crazy with their lack of accounting knowledge or they will be a real help for you. They are volunteers and come in all sizes and types. And every time a new one is elected you get to educate them.

[Uncle Sam]

Homeowners' Associations

This bookkeeping type service is usually handled by a managing agent who is
paid a flat monthly fee for type of work.
Depending upon where the homeowners association is located - city, suburb,
country - the rates of course, are different.

[S T]

NC Association

I am on the Board for a small group in NC of Commercial Property Owners Association, The Prof Mgmt Fee for this is a Minimum Fee of $110 per month, they send out the statements for Association fees due, record the payments, pay the bills and produce the Profit and Loss Each Month, as well as any Collection or Past Due Notices. This Mgmt also takes care of any Association Repairs and Landscaping Maintenance. All of which is not much since it is only 9 property owners - but that is their minium fee.

This might provide you a starting guideline. 200 Homeowners and mailing out notices is a lot of paperwork and recording those payments -

Agree set your minimum fee and then set an hourly fee, plus costs if you are furnishing the mailings/envelopes/postage, etc.

Then you have to be also up to date on the "collection regulations" if a HO doesn't pay.

Sandy

[oceanlovin'ea]

They told me that the president would take care of any collections issues. Just give him a list of those that haven't paid.
But I agree that it would take quite a bit of time to do the invoices and mail them out. She said they would provide all the supplies and postage.

Maybe they have had some issues with actual homeowners not handling the money honestly. That is what she indicated to me. They want an outside party doing that.

I think the hourly rate would be the best way to start out. Then we can see how much time is involved and change to an reasonable fee.

Linda, EA