Association fees lifecycle

 This topic discusses the common things to do regarding association fees. Your individual requirements may vary depending on local rules and generally accepted practices. If you're not sure, seek out the advice of your accountant or real estate commission.

1. Charge for association fee income
   
   1. Setting up your ledgers for the first time. see "Entering beginning tenant and association owner balances"

   2. Charging for association fee income automatically. see "Association owner recurring charges"

      When you enter this charge, use association fee income income. When you move in an association owner or create an ownership account for the first time, the software automatically sets up a recurring charge that begins on the 1st of the following month.

   3. Charging for prorated association fee income. see "Association owner charges"

      You'll only use this option if the new owner owes fees on the current month because they've purchased the unit mid-month. When you enter this charge, use association fee income. Buildium does not offer a calculator for prorated association fee income in case . You'll need to figure out the total owed and add the charge manually.

2.  Receiving payments for the association fee income

   1. Receiving a payment for association fee income in the office. see "Association owner payments"

      When you record the payment, use association fee income income.

3. Association fee discounts see "Association owner credits"

   Choose association fee income in the credit. Why? When you issue the credit, you'll want to choose association fee income. Let's say the owner repaired something for the board. You're giving them a one time credit on their association fee income because they fixed something. The urge to pick "Repairs income" might be powerful, but it's best to resist the urge and choose "association fee income " instead.

4. Deposit the money in a bank account. see "Bank deposits"

5. Giving money back to the association owner:

   1. Refunding an overpayment of association fee income to the owner. see "Association owner refunds"

      When you issue the refund, use association fee income.

   2. Giving money back to the owner because they paid for something.

      First, give them a credit for association fee income. See above for instructions. Then, issue a refund.

6. Using the cash in the bank after the association fee income has been paid.

   1. Pay a vendor. see "Checks" or see "Pay bills"
   2. Record a management fee. see "Recording Management Fees"

7. Common reports that deal with association fee income

   1. Every unit has its own ledger. see "Ownership accounts"
   2. To see who still owes money, try the Outstanding balances page under the Associations menu or a delinquency report. see "Delinquent association owners report"

   3. Recurring charges see "Recurring charges report"

      This report's Recurring Charges column will show all charges that are automatically added by the system, including association fee income.

   4. For monthly reporting to your board members, use the income statement. see "Income statement report"