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The Main Duties of Your HOA Board Treasurer

The HOA board as a whole is responsible for the financial health of your homeowners association. However, there are specific duties of the treasurer that must happen in order to protect the HOA’s assets. Your governing documents—as well as state laws—will specify these exact duties. They can be overwhelming, so most HOA board will use the help of an HOA manager as well.

The main duties of an HOA treasurer include:

Record-keeping:  All financial and accounting records are maintained by the treasurer. They also make sure all records are retained properly and kept secure, especially if there is an HOA manager involved.

Internal control: Treasurers look out for any abnormalities in how the funds are handled, such as checks made out to Cash that shouldn’t be in the books.

Budgetting: The HOA’s annual budget is prepared by the board treasurer. They often work together with a CPA or HOA management  to make sure the budget reflects the community’s needs, preferences, and values.

Auditting: The accounting and financial records of the HOA should be audited periodically. The treasurer will make sure this happens.

Investing: Treasurers make sure the association’s investments are fair and on-principal with HOA values. There are usually investment policies HOA boards hold to help guide these decisions, so the treasurer will make sure all policies are followed.

Insurance: Your HOA should have proper insurance of every type necessary, such as fidelity, worker’s compensation, and casualty. The treasurer will make sure this is the case.

Taxes: The treasurer serves as liaison to the CPA and auditor of the association. They will watch the annual audit’s progress and ensure tax returns get filed in the appropriate amount of time.

Reserves: The HOA should conduct regular reserve studies. The treasurer should monitor these to make sure they are funded properly in the budget.

Assessments: The HOA management company will usually take control of delinquent accounts and collect assessments. However, the treasurer is responsible for also watching delinquencies closely and letting the board know about any problem areas.

The role of the treasurer is an important one that is necessary to ensure the HOA’s finances are in good standing. A quality HOA management company can guide your board though any questions or problems in this area as well.

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