Budget Preparation

At Teddi Howard LLC, we understand how challenging it can be to manage ___. That’s why our community managers have these tasks built into their routines.

As the year winds down, associations must shift their focus to the future and begin preparing next year’s annual budget.

 

We can help prepare an accurate association budget that is in compliance with Florida Statutes by utilizing these important steps:

1.  Create a budget before proceeding to the next year.  If you don’t have a financial plan, you will find yourself in a mess about halfway through the year when you realize that you don’t have enough funds to make it through the entire year.

 

2.  Review your budget and financial history.  You always want to review the previous two years’ financials to fully understand where you currently are versus where you want your association to be.  But, that’s not all.  One problem we see is that many associations despite reviewing past numbers, fail to make the proper budget corrections when something is over or under budget from the previous year.  Make the proper adjustments to ensure an accurate budget.

 

3.  Help prioritize projects. Many associations get caught up in the finer things in life and spend monies that should be used for emergencies on lavish curb appeal or other amenities that can be scheduled at a later date when there is a common surplus available.  Other things that can destroy a budget are repairs and projects that are handled all at once.  Any kind of future projects or repairs, need to be prioritized accordingly. This is where you must separate your association’s needs and wants.  You must eliminate any safety or potential liabilities before exploring any community beautification projects.

 

4.  Utility Increases – Water, gas, and electricity costs have been increasing steadily over the last decade, especially water costs over the last 2 years.  We can research local city and municipalities to see if they have a price rate schedule available so that you can budget accordingly.