--- title: "HOA Treasurer Bookkeeping Basics for Volunteers | MCC" description: "New volunteer HOA or condo treasurer? Learn what to record monthly, how to keep operating and reserve money apart, and how to hand off the books." url: "https://mcc-solutionsnj.com/bookkeeping/guides/hoa-treasurer-bookkeeping-basics" --- Bookkeeping guide · Updated October 12, 2026 # HOA Treasurer Bookkeeping Basics for Volunteers Most volunteer treasurers are neighbors, not accountants. The job is smaller than it feels once you know what has to be written down: money in, money out, who owes what, and proof that the bank agrees with your records. By [Matthew Coleman](/about), MCC Solutions Want this handled for you? Monthly bookkeeping, cleanup and year-end close for small businesses. Start with a free health check of your books. [Free health check](/bookkeeping/health-check)[Get a quote](/bookkeeping/#interest) **Related:** [Trial balance explained](/bookkeeping/guides/trial-balance-explained) · [Owner contribution or loan](/bookkeeping/guides/owner-equity-and-capital-contributions) · [Closing entries and retained earnings](/bookkeeping/guides/closing-entries-and-retained-earnings) **Free tools:** [Net profit margin calculator](/bookkeeping/net-profit-margin-calculator) · [Early payment discount calculator](/bookkeeping/early-payment-discount-calculator) [![Intuit ProAdvisor Gold tier badge](/img/credentials/intuit-proadvisor-gold.png)](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)Gold tier in Intuit's ProAdvisor program. [See my Intuit listing](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77) Keeping your own books? Tallyfinch does invoices, bank import and reports on your computer. [See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software) ## The five things you must be able to show Whoever reads your books, whether a board member, a lender or an auditor, will mostly want five answers. How much cash does the association hold and where? How much was billed to owners and how much was collected? What was spent, and on whom? Which owners are behind? And what is set aside for future repairs? If your records answer those five questions at any month-end, you are doing the core job. Everything below is just the routine that keeps those answers current. ## Record income by type, not as one lump Regular dues, special assessments, late fees, interest, move-in fees and key or fob charges are different kinds of income. Give each its own income account so you can compare them to the budget later. Do not net a late fee against a dues payment because the check came in as one amount. Record the full deposit and split it across the accounts it belongs to. Keep an owner ledger for every unit. It is a simple list of charges and payments by date. The association's total receivables at any moment should equal the sum of what each ledger says is owed. If those two numbers disagree, a payment was applied to the wrong unit or never recorded. ## Keep operating and reserve money visibly apart Operating money pays for day-to-day costs such as landscaping, insurance, utilities and management. Reserve money is set aside for large future repairs and replacements. Many associations hold them in separate bank accounts, and your governing documents or state rules may say how reserve funds can be held and used. Check them before you move any money between the two. Even if both sit in one bank account, track them as separate funds in your books. A transfer from operating to reserve should be a recorded entry with a board approval behind it, not a mental note. ## Pay vendors with a paper trail Pay from an invoice, not from memory. Each invoice should show who approved it, which budget line it belongs to, and the check or payment reference. Collect a W-9 from each vendor before the first payment. At year end, ask your CPA which vendors need a Form 1099-NEC, since the answer depends on the vendor's type and what you paid for. Avoid paying a bill from personal funds and being repaid later without a written record. If it is unavoidable, record it as a reimbursement with the receipt attached. ## Reconcile monthly and write it down When the bank statement arrives, compare it to your books line by line. Mark every deposit and payment that matches, list the ones that have not cleared, and confirm the ending balance agrees. Sign and date the reconciliation, and have a second board member look at it. A second set of eyes is the simplest protection both for the association and for you. If you use QuickBooks Online, the reconcile screen walks you through this. A spreadsheet and a printed statement work too, as long as you do it every month. ## Build the handoff binder from day one Volunteer treasurers rotate. Keep a running handoff file: bank account list and who is authorized to sign, login locations (not the passwords themselves in plain sight), insurance policies and renewal dates, the current budget, the last twelve reconciliations, vendor contracts, the owner ledger, and tax filings. When your term ends, the next treasurer should be able to pick up the file and continue without guessing. If your association has outgrown a volunteer, MCC Solutions LLC offers bookkeeping support that can sit alongside the board. ## Common questions **Do we need an accountant if our HOA is small?** Not always for monthly bookkeeping, but a CPA is worth consulting for the annual tax return, for questions about how to treat reserve interest and fees, and if the board plans an audit or review. Requirements vary by state and by your governing documents. **Should the treasurer be the only person with bank access?** Generally no. Many boards separate duties so that the person who records transactions is not the only one who approves payments or reviews the bank statement. Ask your attorney or accountant what controls fit your documents. **How long should we keep records?** Retention periods depend on the document type and on your governing documents and state law. Ask your attorney for a written retention schedule, and keep permanent records such as the governing documents and meeting minutes indefinitely. This guide is general information, not tax, legal or accounting advice. Rules, fees and due dates change; check with the IRS, the NJ Division of Taxation or a licensed professional for your situation. Let us handle it [### Monthly bookkeeping Categorizing, reconciling and monthly reports, with cleanup, payroll and NJ filings available. Bookkeeping →](/bookkeeping/) [### QuickBooks Online Monthly bookkeeping, cleanup and reconciliation in QuickBooks Online for New Jersey small businesses. Your account stays in your name. QuickBooks →](/bookkeeping/software/quickbooks-online) More guides - [HOA Reserve Fund Explained: Operating vs Reserve](/bookkeeping/guides/hoa-reserve-fund-explained) - [Collecting Delinquent HOA Dues: A Treasurer's Process](/bookkeeping/guides/collecting-delinquent-hoa-dues) - [HOA Treasurer's Monthly Board Report Checklist](/bookkeeping/guides/hoa-board-treasurer-report-checklist) - [How to Build an Annual HOA Budget Step by Step](/bookkeeping/guides/hoa-budget-how-to-build) Free tool - [Bookkeeping health check](/bookkeeping/health-check) [All guides](/bookkeeping/guides) Reach small business owners, freelancers and bookkeepers who read this guide: [advertise here](/advertise#bookkeeping). Do it yourself ### Nonprofit Treasurer Bundle Track funds, report against the budget and start the books with a sensible account list. [See what's inside ($65)](/toolkits/nonprofit-treasurer-bundle)14-day full refund Course: [Small Business Bookkeeping Basics](/courses/small-business-bookkeeping-basics) ($49) covers chart of accounts, reconciliations, the monthly close, payroll and 1099 basics for owners. It is training with a certificate of completion, not a credential. [![Cover of Bookkeeping Fundamentals (ebook) by Matthew Colt](/img/toolkits/bookkeeping-fundamentals-ebook/cover.webp)](/toolkits/bookkeeping-fundamentals-ebook) From the bookshelf ### Bookkeeping Fundamentals A college-level bookkeeping course, without the tuition. By Matthew Colt, $9.99 as an ebook (EPUB and PDF). [See the book](/toolkits/bookkeeping-fundamentals-ebook) [Read the first pages free](/toolkits/bookkeeping-fundamentals-ebook#free-starter) Excel workbook ### HOA and Condo Association Books Track who has paid dues and who is behind, compare spending to the budget, follow the reserve fund and hand the board a one-page report. [See what is inside ($39)](/toolkits/hoa-condo-association-books) Tallyfinch ### Books you keep on your own computer Tallyfinch does invoices, bills, bank import, reconciliation and the main reports, in a file you own. $99 once, then $5 a month for updates; the app keeps working if you stop the plan. It does not do payroll or sales tax filing. The free download records up to 60 entries. [See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software) [Download it free](/tools/pro/trial/mccBooks) [Compare the three apps](/software) ## Rather have us keep the books? Ask for a quote. [Get a Quote](/bookkeeping/#interest)[Call (908) 444-6373](tel:+19084446373)