We work in partnership with our boards to build better budgets. This includes education for our property managers to present board members with accurate information to answer any questions that may arise, and also make the process more transparent for our clients.
Account Period – An accounting period for a specific time span during which financial transactions are recorded. Our standard management reporting is done for each month. Our budgets are annual.
Accrual Basis – Recording revenue and expenses when incurred. If the transaction does not happen during that time period, a journal entry is made to record that transaction with the debit (expense) or credit (revenue) recorded to the general ledger (GL) with an offsetting entry recorded on the balance sheet. These entries reverse when the transaction actually happens.
Assessed Value – The value a fiduciary institution assigns to a property; will have an effect on borrowing terms and real estate (RE) taxes.
Assets – A resource an association has that provides future benefit.
Balance Sheet – A snapshot of assets, liabilities, and shareholder equity of an association; used to gauge the fiduciary health of an association.
CAM Allocation – Expenses such as fees, elevators, property taxes, and electricity used in common areas; these expenses are then shared between commercial tenants based on the agreed allocation commonly based on square footage.
CapEx – Expenses used to acquire, upgrade, or maintain physical assets; for our associations, this normally includes elevator improvements, building renovations, and maintenance equipment upgrades.
Cash Basis – The opposite of accrual basis accounting. This is the basis on which our budgets are being done in 2025 and recognizes revenue and expenses at the time cash is actually received or spent.
Cash Flow – Analysis of the cash inflows and outflows of an association. This will mirror our reporting as we employ cash basis accounting.
Contingencies – Items to be complied with in order to achieve a desired outcome. If this is considered to affect financial reporting, it must be declared to be GAAP-compliant.
Fiscal Year vs. Calendar Year – Budgets and reporting based on the calendar year i.e. 2025, 2026, or another predetermined 12-month period.
General Ledger (GL) – The full financial record which records all of the association's transactions.
Generally Accepted Accounting Principles (GAAP) – General set of rules that governs how we recognize revenue and expenses and how we report them. Our auditors will review our practices to ensure we are compliant with GAAP.
Operating Assessment – A process by which an association raises capital, often for CapEx improvements, by assessing a special amount due from shareholders.
Projection – A forecast of financials over a defined future period.
RE Taxes – The taxes owed to the municipality as the owners of the property. Co-ops pay RE taxes while condos do not, as the RE taxes are paid by individual owners.
Tax Certiorari – The process by which an association may challenge the municipality-assigned assessed value.
True-Up – A detailed review of previously reported financials to ensure past transactions are not missing. Will often result in a series of transactions to record all findings from the review.
Year-To-Date (YTD) – A standard financial report on our management reporting that shows all of the compiled totals for the GL from the start of the reporting year to the current day.
Account Period – An accounting period for a specific time span during which financial transactions are recorded. Our standard management reporting is done for each month. Our budgets are annual.
Accrual Basis – Recording revenue and expenses when incurred. If the transaction does not happen during that time period, a journal entry is made to record that transaction with the debit (expense) or credit (revenue) recorded to the general ledger (GL) with an offsetting entry recorded on the balance sheet. These entries reverse when the transaction actually happens.
Assessed Value – The value a fiduciary institution assigns to a property; will have an effect on borrowing terms and real estate (RE) taxes.
Assets – A resource an association has that provides future benefit.
Balance Sheet – A snapshot of assets, liabilities, and shareholder equity of an association; used to gauge the fiduciary health of an association.
CAM Allocation – Expenses such as fees, elevators, property taxes, and electricity used in common areas; these expenses are then shared between commercial tenants based on the agreed allocation commonly based on square footage.
CapEx – Expenses used to acquire, upgrade, or maintain physical assets; for our associations, this normally includes elevator improvements, building renovations, and maintenance equipment upgrades.
Cash Basis – The opposite of accrual basis accounting. This is the basis on which our budgets are being done in 2025 and recognizes revenue and expenses at the time cash is actually received or spent.
Cash Flow – Analysis of the cash inflows and outflows of an association. This will mirror our reporting as we employ cash basis accounting.
Contingencies – Items to be complied with in order to achieve a desired outcome. If this is considered to affect financial reporting, it must be declared to be GAAP-compliant.
Fiscal Year vs. Calendar Year – Budgets and reporting based on the calendar year i.e. 2025, 2026, or another predetermined 12-month period.
General Ledger (GL) – The full financial record which records all of the association's transactions.
Generally Accepted Accounting Principles (GAAP) – General set of rules that governs how we recognize revenue and expenses and how we report them. Our auditors will review our practices to ensure we are compliant with GAAP.
Operating Assessment – A process by which an association raises capital, often for CapEx improvements, by assessing a special amount due from shareholders.
Projection – A forecast of financials over a defined future period.
RE Taxes – The taxes owed to the municipality as the owners of the property. Co-ops pay RE taxes while condos do not, as the RE taxes are paid by individual owners.
Tax Certiorari – The process by which an association may challenge the municipality-assigned assessed value.
True-Up – A detailed review of previously reported financials to ensure past transactions are not missing. Will often result in a series of transactions to record all findings from the review.
Year-To-Date (YTD) – A standard financial report on our management reporting that shows all of the compiled totals for the GL from the start of the reporting year to the current day.
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