What is an HOA operating budget?

An HOA operating budget is a financial plan for a homeowners association in Washington that outlines expected income and expenses for the upcoming year. The budget is a living document that reflects the current financial condition of the HOA and provides a guideline for how the association will allocate its resources. The budget includes income from owner assessments, fines or late fees, investments, and other sources such as rental income from common property. The budget also includes projected expenses such as management fees, repair and maintenance costs, utilities, and insurance. The budget must be submitted to the members of the homeowners association for review and approval each year. It is important that the budget be realistic and provide sufficient funds to cover necessary expenses throughout the year. The budget should also be used to set fees and dues, and it should be adjusted if needed as the year progresses. An HOA operating budget must be approved by the association’s board of directors and should be reviewed regularly throughout the year to ensure it is meeting the needs of the association.

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What is an HOA operating budget?

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