It takes exhausting work, sturdy communication, and nice group to successfully handle an HOA. However even probably the most passionate workers and members can not keep their group with out cash.
HOA charges account for almost all of income coming into an HOA group. Charges are used to uphold the worth and desirability of an HOA group. The cash paid by members is used to compensate workers, buy insurance coverage, pay for upkeep, utilities and repairs, and way more.
Greatest Practices
Contemplating how crucial income from charges is to any ruled group, it’s not exhausting to grasp why having a standardized price assortment system, together with an correct report of accounts receivable, is crucial to the general monetary well being of the affiliation.
Members should know the way a lot they owe, when funds are due, and how you can pay. The folks answerable for price administration should monitor and comply with up on delinquent funds to verify the HOA will get all the cash it’s owed.
Utilizing QuickBooks to handle HOA charges
QuickBooks offers HOAs with a streamlined solution to arrange an accounts receivable system. The respected accounting system is designed for non-accountants, which is one key motive why it’s so standard.
HOAs can make the most of accounts receivable options in QuickBooks to distribute invoices for charges, report funds not made via this system, and keep correct data of funds made by residents. Moreover, with the accounts receivable performance, administration can simply establish late quantities, and evaluation and replace fee phrases.
An internet accounting program helps HOAs cut back prices related to labor as a result of it promotes extra correct invoices and data. This additionally results in fewer disputes between the affiliation and residents. Moreover, the accounts receivable monitoring characteristic simplifies the reconciliation course of, saving workers much more time.
Although QuickBooks shouldn’t be particularly designed for ruled communities, it is vitally dynamic and may meet the wants and necessities of most HOAs.
Greatest practices for utilizing QuickBooks
It takes a little bit of time for many customers to grasp the ins and outs of QuickBooks, however when you get the hold of it, you’ll begin to recognize how efficient the system actually is. These greatest practices can additional increase your course of for monitoring and processing HOA charges. In consequence, the affiliation’s money movement turns into extra dependable, and this course of turns into much less painful on your workforce.
1. Take full benefit of the accounts receivable characteristic
Utilizing the AR characteristic to create and distribute invoices is a superb begin, however QuickBooks will allow you to do way more. You’ll be able to examine on which members have paid their dues for the month, and which of them have excellent balances. This system additionally provides you the flexibility to ship overdue reminders to these members.
You can even settle for funds on-line via invoices. QuickBooks makes it straightforward to just accept on-line funds, monitor incoming funds for every bill, and generate studies.
2. Arrange automated emails
With QuickBooks On-line, HOAs can arrange recurring invoices to be mechanically emailed to members on a sure date. This handy possibility utterly eliminates one huge “to-do” merchandise for workers answerable for this accountability. Moreover, in case your group makes use of QuickBooks Funds, members pays on-line and the funds shall be mechanically recorded in QuickBooks.
3. Combine with property administration software program
QuickBooks integrates with over 750 apps in order that clients can mix their favourite packages as a substitute of getting to decide on one over the opposite.
Apartment Management is among the high property administration software program platforms that work collaboratively with Apartment Management, and when the 2 are mixed, HOAs achieve entry to a complete accounting and knowledge administration resolution.
The 2-way sync functionality between the platforms means workers solely should enter knowledge into one platform. Adjustments are mechanically mirrored within the different program.
Members even have the flexibility to make funds for choose unpaid invoices or bookings utilizing their Apartment Management account, and funds will mechanically seem in QuickBooks On-line. They take pleasure in easy accessibility to their account balances, and by no means have to depart Apartment Management to get that data. All approved events have entry to data, so if there may be ever an issue, it’s far simpler to evaluation invoices and see if a mistake was made.
Through the use of each packages, HOAs create a knowledge administration course of that’s each easy and correct. Members have extra self-serve choices which in the end reduces the workload for workers.
4. Make use of classes and customizations
The extra time you spend making a customized QuickBooks workspace, the extra you’ll get out of it. Ensure you or your workforce members are finishing data and transactions totally. Meaning filling out all relevant classes. With regards to any such work, typically talking, the extra data you possibly can report or embody, the higher.
Assign classes to charges if potential, and mark them as billable (or not). Categorized bills shall be very helpful when it comes time to organize taxes or full audits.
There isn’t a scarcity of YouTube movies demonstrating how you can make your QuickBooks account your personal. Discover a number of to seek out out how one can construct a fair higher accounts receivable course of.
5. Run month-to-month studies
It’s potential to run quite a lot of studies with QuickBooks On-line, together with an accounts receivable growing old abstract. This lets you see excellent balances and the way lengthy they’re late. Reviews might be modified/custom-made, however many customers are pleased with the studies as they’re.
AR growing old studies enable you to to establish members who’ve a behavior of creating late funds. Additionally they provide you with an concept as to how efficient your present assortment course of is. For instance, when you have loads of excellent funds which can be over 60 or 90 days, you could take into account altering your assortment practices indirectly.
6. Use the cheat sheet
This QuickBooks cheat sheet teaches you keyboard shortcuts so you possibly can entry varied home windows and pages with out touching a mouse. These helpful shortcuts assist to make your workday a bit bit extra nice.
Conclusion
QuickBooks is a well-liked accounting system utilized by clients in all forms of industries. It’s perfect for some HOA communities, particularly these which can be on the smaller facet.
QuickBooks can assist automate and streamline the method of documenting and gathering month-to-month funds from members. Not solely does an internet system assist to enhance money movement for the group; it reduces the workload on your workforce too.
