HOA board template

HOA budget template.

An HOA annual operating budget lists the association’s expected income and expenses for the year, including a contribution to the reserve fund, and sets each unit’s dues. Copy the template below, fill in your numbers, then divide the amount to be raised by your units as your governing documents allocate it.

Last updated November 3, 2026

General information, not legal or accounting advice. How a budget is prepared, noticed and adopted, how dues are shared between units, and how much must go to reserves are set by state law and by your association’s declaration and bylaws, and both vary widely. Some states require a reserve study, specific budget disclosures to owners, or an owner vote above a set increase. Check your documents, and ask your association’s attorney or accountant if you’re unsure.

What does an HOA budget template include?

An HOA budget template has three parts: income, operating expenses and the reserve contribution. Put last year’s budget and actual figures beside next year’s so the board can see where the numbers come from. Rename, add or delete lines to fit your community.

Template · Annual operating budget
[ASSOCIATION NAME] ANNUAL OPERATING BUDGET – FISCAL YEAR [YEAR] ([START DATE] to [END DATE]) Proposed by the Board on [DATE] · Adopted on [DATE] Number of units: [NUMBER] Columns for each line: Last year's budget | Last year's actual (or projected) | Next year's budget | Notes INCOME Regular assessments (dues) ................ $[AMOUNT] Late fees and interest .................... $[AMOUNT] Interest on operating account ............. $[AMOUNT] Amenity fees, keys, rentals ............... $[AMOUNT] Other income [DESCRIBE] ................... $[AMOUNT] TOTAL INCOME ................................ $[AMOUNT] OPERATING EXPENSES Administrative Management or bookkeeping fees ............ $[AMOUNT] Accounting: tax return, audit or review ... $[AMOUNT] Legal fees ................................ $[AMOUNT] Insurance (master policy, D&O, fidelity) .. $[AMOUNT] Software, website and bank fees ........... $[AMOUNT] Postage, printing and office supplies ..... $[AMOUNT] Meetings and annual meeting costs ......... $[AMOUNT] Taxes, licenses and state filings ......... $[AMOUNT] Utilities Common-area electricity ................... $[AMOUNT] Water, sewer and irrigation ............... $[AMOUNT] Trash and recycling ....................... $[AMOUNT] Gas, internet, phone ...................... $[AMOUNT] Maintenance and contracts Landscaping and tree care ................. $[AMOUNT] Pool, clubhouse and amenities ............. $[AMOUNT] General repairs and maintenance ........... $[AMOUNT] Snow removal .............................. $[AMOUNT] Pest control .............................. $[AMOUNT] Gates, lighting and security .............. $[AMOUNT] Janitorial ................................ $[AMOUNT] Other Allowance for uncollectible dues .......... $[AMOUNT] Contingency (unexpected costs) ............ $[AMOUNT] TOTAL OPERATING EXPENSES .................... $[AMOUNT] RESERVES Contribution to reserve fund .............. $[AMOUNT] (Per [RESERVE STUDY DATED [DATE] / BOARD ESTIMATE]) TOTAL EXPENSES AND RESERVE CONTRIBUTION ..... $[AMOUNT] DUES CALCULATION Total expenses and reserve contribution ... $[AMOUNT] Less income other than dues ............... $[AMOUNT] Amount to raise from assessments .......... $[AMOUNT] Per unit per year (equal shares) .......... $[AMOUNT] Per unit per month ........................ $[AMOUNT] [OR: each unit's share per the declaration, Article [X]: see attached schedule] Change from last year: [+/- AMOUNT] per unit per month ([PERCENT]%) Reserve fund balance at start of year: $[AMOUNT] Projected reserve balance at end of year: $[AMOUNT]

Which expense categories go in an HOA operating budget?

The operating budget covers the association’s recurring, day-to-day costs. Most communities group them like the template above:

  • Administrative: management or bookkeeping, accounting and tax preparation, legal, insurance, software, postage and office costs, and state filing fees.
  • Utilities: anything the association pays for common areas, such as electricity for lighting, irrigation water, trash, and internet for a clubhouse or gate.
  • Maintenance and contracts: landscaping, pool service, repairs, snow removal, pest control, janitorial and security contracts.
  • Allowance for uncollectible dues: an estimate of dues that won’t be collected, based on your delinquency history.
  • Contingency: a small cushion, often a few percent of operating costs, for repairs and price rises nobody planned for.

Large replacements that happen every several years (a roof, paving, a pool resurface) belong in the reserve fund, not the operating budget. See the glossary entry on the HOA operating budget for how the two fit together.

How much should the reserve contribution be?

The reserve contribution should be enough to pay for each major component’s replacement when it wears out, without a special assessment. The best basis is a reserve study, which lists each component, its remaining useful life and its replacement cost, and recommends a yearly contribution.

  • Use the contribution your most recent reserve study recommends, and say which study in the budget.
  • Without a study, list your major components, estimate each one’s cost and remaining life, and divide: a $90,000 roof with 15 years left needs about $6,000 a year, before inflation and interest.
  • Show the contribution as its own line, and transfer it to the reserve account on a schedule, so operating and reserve money stay separate.

Some states require reserve studies, set how often they’re updated, or require the budget to disclose how well funded the reserves are. Read more about the reserve fund.

How do you set HOA dues per unit from the budget?

Add up operating expenses and the reserve contribution, subtract income other than dues, and divide what’s left among the units as your declaration allocates it. Here’s a worked example for an 80-unit community whose declaration splits dues equally.

Worked example: annual operating budget for an 80-unit HOA
LineNext year
Insurance (master policy, D&O, fidelity)$18,000
Management and bookkeeping$6,000
Accounting and legal$4,500
Software, website, postage and office$2,400
Common-area electricity$7,200
Water and irrigation$9,600
Landscaping$28,800
Pool service$8,400
General repairs and maintenance$6,000
Contingency (about 5%)$4,500
Total operating expenses$95,400
Reserve contribution (per reserve study)$36,000
Total expenses and reserve contribution$131,400
Less income other than dues (late fees, pool keys, interest)−$1,800
Amount to raise from assessments$129,600
Per unit per year ($129,600 ÷ 80)$1,620
Per unit per month ($1,620 ÷ 12)$135

Figures are examples, not typical costs. If your declaration allocates dues by percentage interest, square footage or unit type instead of equal shares, multiply the amount to raise by each unit’s share: a unit with a 1.5% share would pay $129,600 × 1.5% = $1,944 a year, or $162 a month. Round consistently, and make sure the shares add back up to the total.

Before adopting the budget, compare the new dues with last year’s. Some declarations and state laws cap how much the board can raise dues without an owner vote, so check before you notice owners.

When should the board prepare the HOA budget?

Start about four months before the fiscal year begins, so there’s time for bids, a board review and the owner notice your documents require. A typical timeline for a year starting January 1:

  1. August–September Pull this year’s actuals to date, collect renewal quotes for insurance and contracts, and update the reserve study or component list.
  2. September The treasurer (or manager) drafts the budget, line by line, with last year’s budget and actuals beside it.
  3. October The board reviews the draft at a budget workshop or meeting and approves a proposed budget.
  4. October–November Send owners the proposed budget and notice of the meeting where it will be adopted, within the window your bylaws and state law require (often 30 to 60 days before; check yours).
  5. November–December Adopt the budget at a meeting open to owners, or hold any owner vote or ratification your documents require. Record the adoption in the meeting minutes.
  6. December Tell owners the new dues amount and due dates, and update the assessment schedule and any autopay.
  7. Through the year Review budget against actual every month or quarter, and explain large differences at board meetings.

Many boards present the budget at the annual meeting; the HOA annual meeting checklist covers notice, quorum and the budget review.

FAQ

Questions about HOA budgets

Who prepares the HOA budget?+

The HOA treasurer usually prepares the budget, often with a community manager or accountant, and the full board reviews and adopts it. In some associations, the bylaws or state law also give owners a vote or a chance to reject the budget.

What is the difference between an HOA operating budget and a reserve budget?+

An HOA operating budget covers recurring yearly costs such as insurance, utilities and landscaping. A reserve budget plans for replacing major components, such as roofs and paving, over many years. The operating budget includes the yearly contribution to reserves as one line.

How much should an HOA keep for contingency?+

Many HOA boards budget a contingency of a few percent of operating expenses for unplanned repairs and price rises. The right amount depends on the community’s age, its history of surprises and how well funded its reserves are.

Can the HOA board raise dues without an owner vote?+

Often, but not always. Many declarations and some state laws let the board adopt a budget and raise dues up to a set limit, and require an owner vote above it. Check your declaration, bylaws and state law before noticing an increase.

From budget to dues, tracked all year.

In HOAOS the board sets up a budget and tracks budget against actual, plans reserve funds with a 30-year projection, and turns the adopted dues into an assessment schedule that charges every unit’s ledger.

See HOAOS dues & payments More free resources