HOA Treasurer Software Recommendation?

[joeea]

Starting next month, I'll become the treasurer of our small HOA (34 units).

The previous treasurers have used Excel. I'm happy to use Excel (or Google Sheets) in my case, but I'm wondering if others have used anything better for this purpose?

[pb4uski]

It depends on what is involved. If very simple then I would think that excel woudl be fine. Otherwise, Quicken or Quickbooks or GnuCash (freeware) seem to be popular.

Also see similar recent thread: http://www.early-retirement.org/foru...ml#post2054977

[davebarnes]

Accounting software is much better than Excel for managing a business. Tracking and reporting are so much easier.
Accounting software costs money and Excel is free.
Online accounting software makes the most sense. (starts at $9/mo or 26¢/mo/unit)

Use The Google: "online accounting software"

P.S. Quicken is not "accounting software", QuickBooks is and it is expensive.

[OldShooter]

Quickbooks.

Excel is the Leatherman tool of mathematics. If you have ever tried driving twenty or thirty screws with a Leatherman you will appreciate why a more specialized tool can be of benefit. Accounting software is that tool, and QB is the de facto standard for small businesses accounting software.

Read that other thread that @pb4uski linked.

[joeea]

Do you all actually use Quicken or Quickbooks or GnuCash for your HOA? Or do you know that your HOA's treasurer actually uses them? Or are you just assuming that they would be better?

If either of the former, what do those systems provide for your HOA that Excel doesn't?

[OldShooter]

Quote:

Originally Posted by joeea Do you all actually use Quicken or Quickbooks or GnuCash for your HOA? Or do you know that your HOA's treasurer actually uses them? Or are you just assuming that they would be better? If either of the former, what do those systems provide for your HOA that Excel doesn't?

Not sure who you are asking, but for me I don't use it for an HOA. I used it for many years managing rental real estate, pretty much since it was released in the 1990s. I also used it for about ten years as treasurer of our flying club, billing 80 members every month and handling about $350K of revenue annually. Finally, I have seen it used for many, many different businesses in my role as a SCORE small business mentor. So I don't think I'm just "assuming."

What does it provide beyond Excel? Too many things to count. For one, your books will always balance because it checks every transaction. Second, it provides a great interface to your CPA or tax preparer -- nothing new to learn as they already know it. Third, it allows you to email statements to your HOA members with the click of a mouse. Fourth, it will talk to your bank and import/reconcile your checking and other accounts. Fifth, it will keep track of any 1099 vendors so you can file the proper paperwork at tax time. Sixth, you will have P&Ls and balance sheets at the touch of a key. ... Lots more.

You can dig a ditch with a teaspoon, too, but it is not the optimum tool.

[pb4uski]

Quote:

Originally Posted by joeea Do you all actually use Quicken or Quickbooks or GnuCash for your HOA? Or do you know that your HOA's treasurer actually uses them? Or are you just assuming that they would be better? If either of the former, what do those systems provide for your HOA that Excel doesn't?

I use GnuCash for our lake association... the previous Treasurer used Excel and I continued with Excel to the end of the fiscal year, then started with GnuCash.

I'm very familiar with Quicken and Quickbooks and could have chose to use either of those too. I used GnuCash instead of Quicken (which I already owned) because I wanted to try it out. I am familiar with Quickbooks from volunteer work that I do with the local food pantry that uses Quickbooks.

If cost were not a consideration then I would use Quickbooks.

[cathy63]

Quote:

Originally Posted by joeea Do you all actually use Quicken or Quickbooks or GnuCash for your HOA? Or do you know that your HOA's treasurer actually uses them? Or are you just assuming that they would be better? If either of the former, what do those systems provide for your HOA that Excel doesn't?

I am an HOA treasurer who uses Quicken. We only have 4 units, so 34 doesn't sound that small to me! The two treasurers before me were also using Quicken, so we basically have about 25 years of data in the file. Like the treasurers before me, I also use Quicken for personal finances, so I know the program and have a copy anyway, so it doesn't cost the HOA anything for me to use my existing software on my own laptop. I am not using the subscription version of Quicken, and I'm not sure if you can have multiple data files with that version, so if we ever get forced into an upgrade we might reconsider then.

Our finances are simple. We pay our HOA fees quarterly, so I have 4 annual bank deposits to record. I have one income category of "HOA Fees" and 4 subcategories for the four house numbers. Each deposit gets split into the 4 subcategories. If someone prepays for more than one quarter, I just put the actual amount received from them against their subcategory. I also have a "Special Assessment" category and subcategories for each unit, but haven't had to use that one in several years. Our funds are kept in a free non-interest checking account.

We have 5 expense categories: landscaping, termite, pest control, insurance, other repairs. Every outgoing check or automatic withdrawal fits into one of these categories, but I could create more if needed. (Owners pay for their own trash removal and utilities, including water, so we have no association expenses for those items.)

At the end of the year, I run a Cashflow report for the current year and a Budget report for the next year and email them to all the owners. The Cashflow report also has all the numbers that I need to fill out and file form 1120-H with the IRS.

Could I do all this in Excel? Yes. It would be a bit more cumbersome because Quicken automatically selects the right data for the reports and it has predefined reports, which I would have to create in Excel and then update yearly. If I didn't already have Quicken, I'd probably use Excel for my 4-unit association. If I had 34 units to keep track of, I'm sure there'd be a need for e-mailing invoices and reminders and adding late fees, and in that case I'd lean more towards QuickBooks since it's designed to handle those types of activities.

[joeea]

Quote:

Originally Posted by cathy63 I am an HOA treasurer who uses Quicken. We only have 4 units, so 34 doesn't sound that small to me! The two treasurers before me were also using Quicken, so we basically have about 25 years of data in the file. Like the treasurers before me, I also use Quicken for personal finances, so I know the program and have a copy anyway, so it doesn't cost the HOA anything for me to use my existing software on my own laptop. I am not using the subscription version of Quicken, and I'm not sure if you can have multiple data files with that version, so if we ever get forced into an upgrade we might reconsider then. Our finances are simple. We pay our HOA fees quarterly, so I have 4 annual bank deposits to record. I have one income category of "HOA Fees" and 4 subcategories for the four house numbers. Each deposit gets split into the 4 subcategories. If someone prepays for more than one quarter, I just put the actual amount received from them against their subcategory. I also have a "Special Assessment" category and subcategories for each unit, but haven't had to use that one in several years. Our funds are kept in a free non-interest checking account. We have 5 expense categories: landscaping, termite, pest control, insurance, other repairs. Every outgoing check or automatic withdrawal fits into one of these categories, but I could create more if needed. (Owners pay for their own trash removal and utilities, including water, so we have no association expenses for those items.) At the end of the year, I run a Cashflow report for the current year and a Budget report for the next year and email them to all the owners. The Cashflow report also has all the numbers that I need to fill out and file form 1120-H with the IRS. Could I do all this in Excel? Yes. It would be a bit more cumbersome because Quicken automatically selects the right data for the reports and it has predefined reports, which I would have to create in Excel and then update yearly. If I didn't already have Quicken, I'd probably use Excel for my 4-unit association. If I had 34 units to keep track of, I'm sure there'd be a need for e-mailing invoices and reminders and adding late fees, and in that case I'd lean more towards QuickBooks since it's designed to handle those types of activities.

Thanks! Very helpful.

[ocean view]

To OP - let’s assume you go the excel route and there is a GAAP law change to the depreciation rules, for example. If you use excel, the VOLUNTEER Treasurer has to 1-be aware that the law changed and 2-be able to update the excel model to ACCURATELY reflect the new law. If you use a software program, like quickbooks, all you have to do is install the update.

[joeea]

Quote:

Originally Posted by ocean view To OP - let’s assume you go the excel route and there is a GAAP law change to the depreciation rules, for example. If you use excel, the VOLUNTEER Treasurer has to 1-be aware that the law changed and 2-be able to update the excel model to ACCURATELY reflect the new law. If you use a software program, like quickbooks, all you have to do is install the update.

I understand. Thanks.

[joeea]

Quote:

Originally Posted by pb4uski I use GnuCash for our lake association... the previous Treasurer used Excel and I continued with Excel to the end of the fiscal year, then started with GnuCash. I'm very familiar with Quicken and Quickbooks and could have chose to use either of those too. I used GnuCash instead of Quicken (which I already owned) because I wanted to try it out. I am familiar with Quickbooks from volunteer work that I do with the local food pantry that uses Quickbooks. If cost were not a consideration then I would use Quickbooks.

Thanks for your help.

[joeea]

Quote:

Originally Posted by OldShooter Not sure who you are asking, but for me I don't use it for an HOA. I used it for many years managing rental real estate, pretty much since it was released in the 1990s. I also used it for about ten years as treasurer of our flying club, billing 80 members every month and handling about $350K of revenue annually. Finally, I have seen it used for many, many different businesses in my role as a SCORE small business mentor. So I don't think I'm just "assuming." What does it provide beyond Excel? Too many things to count. For one, your books will always balance because it checks every transaction. Second, it provides a great interface to your CPA or tax preparer -- nothing new to learn as they already know it. Third, it allows you to email statements to your HOA members with the click of a mouse. Fourth, it will talk to your bank and import/reconcile your checking and other accounts. Fifth, it will keep track of any 1099 vendors so you can file the proper paperwork at tax time. Sixth, you will have P&Ls and balance sheets at the touch of a key. ... Lots more. You can dig a ditch with a teaspoon, too, but it is not the optimum tool.

Thanks.

[Gotadimple]

I am a treasurer of an 8 unit condominium complex and we use MoneyDance. For our purposes I need to track association payments, special assessment payments, interest income, and expenses. It is very similar to Quicken and uses a checkbook register for data entry. You can split a payment/income between account categories. It outputs acceptable monthly (and YTD) reports for Budget, Income-Expense, and Balance Sheet, all in PDF format if you want.


Budgeting is a bit different (and less effective IMHO) than in Quicken, but then the cost of the software is less and all versions are supported by an active Community Forum with staff chiming in when needed.


Would I use Excel instead? Sure, but the reports are the real advantage of any piece of software, and creating the code/macros to make them work in Excel is more work than I'm willing to accept.


HTH,
Rita