Here’s How HOA Accounting Software Can Increase Revenue

Those who’ve managed finances are familiar with the concept that time equals money. It has become a cliché in the business world, yet it proves that some clichés persist because they’re true. As any CEO will attest, ineffective time management and poor productivity inevitably lead to ballooning costs and lost revenue.

On the other hand, many businesses and organizations have turned to software solutions to modernize their operations and maximize their earning potential. Like these businesses, there are many ways software can help your HOA increase revenue in order to properly reinvest that money into your community.

HOA accounting software organizes and streamlines your association’s day-to-day management tasks, from budgeting and managing finances to collecting dues, storing important documents, communicating with residents, tracking violations and requests, and tracking data on units, residents, and vendors.

Not only can the right HOA software give you tools to run your organization more efficiently, but it allows for electronic dues collection that can help drive revenue.

Contactless or electronic payment options are becoming increasingly popular, whether it’s for buying groceries or event tickets, banking, or paying membership dues as a homeowner in an HOA community. “Going digital” can lead to a smoother invoicing process, increased collection rates, and better information tracking.

Here are some of the ways using digital payments can boost your HOA’s revenue.

Table of Contents:

1.      Meeting Homeowners Where They Are

2.      HOA Accounting Software For Accountability

3.      Using Software to Meet Revenue Goals

Meeting Homeowners Where They Are

HOA accounting software lets residents access payment options anywhere, any time. This means they won’t have to deliver physical checks during office hours. It also means board members won’t waste time running to the bank and maintaining a physical paper trail.

The flexibility of digital payments makes paying dues and fees more accessible and easier, which can lead to better collection rates and fewer delinquent accounts.

While COVID-19 has spurred businesses and patrons across the U.S. to adopt contactless digital payment options, the truth is that digital payments were growing in popularity before the pandemic and will continue to do so into the future. 

Quick Stats:

·        A study by the U.S. Federal Reserve found that the use of physical checks is on the decline, falling by more than 7% from 2015 to 2018. Over the same period, the study found that noncash payments rose by $30.6 billion.

·        Today, more than 3/4 of Americans use some form of digital payment, according to a report by Mckinsey & Company. 

·        Almost 60% of Americans use multiple forms of digital payments, up from 45% in 2019, according to the same report.

Digital payments are simply more convenient and more secure.

HOA accounting software gives homeowners the option to use a personalized resident portal to set up automatic payments, check their payment history, communicate with their association, and more, putting their association on pace with other industries that use digital accounting and management tools.

HOA Accounting Software for Accountability

Using a software solution designed for an HOA’s unique financial and property management needs can lead to increased transparency, better organization, and more accountability.

HOA accounting software offers several unique features that can help associations balance their budgets, track and manage collection rates, and better meet financial goals.

Some of these features include:

·        Bulk, automated billing per unit for monthly, quarterly, or annual collections

·        Customizable physical invoices sent via USPS using software

·        Mass payment reminders sent via email or text

·        Securely stored digital communications with residents

·        Access to a centralized repository of resident, unit, and vendor data

·        Deposit payments directly into bank accounts

·        Sync bank ledgers with your accounting data

The right HOA accounting software can help centralize and organize all financial aspects of running your neighborhood, from billing and collections to budgeting, bookkeeping, and producing financial reports to build more transparency within the community.

Keeping secure, complete digital records of financial transactions, invoicing, violations and fees, and other communications with residents can also ensure accountability of both the association and homeowners.

When HOAs have the unfortunate task of using a collections service for delinquent dues and fees, gathering physical evidence can take time. HOA software keeps all your information in one place that’s easy to search and instantly access using custom categories and tags.

Using Software to Meet Revenue Goals

Coupled with digital billing, payments, and accounting tools, HOA accounting software can also produce a variety of financial reports and track your analytics. This data can play a crucial role in setting and meeting financial goals, comparing your budget to real-time accounting, and other information that can lead to increased savings and revenue for both the short and long term.

Since all your accounting data is centrally stored, it’s quick and easy to check progress with delinquent accounts, as well as other areas where the association may be over budget.

This data can help make informed decisions when it comes to everything from setting dues and assessments to identifying the best vendor contract management practices.

Real-time dashboard analytics keeps critical information right at your fingertips, including things like invoiced vs. collected revenue and a current cash flow summary. This allows an association to make timely decisions and keep their accounts out of the red.

PayHOA offers HOA accounting software that’s trusted by associations across the United States, and is easy to integrate with your existing systems. Yet it also allows for a customized experience that can be scaled for use across multiple communities, with dedicated customer support to help you every step of the way.

PayHOA’s financial and community management software tools can replace your costly property management company, saving you thousands of dollars each year, and it’s completely free to try.

Your goals are our goals

PayHOA is more than just software. Our support team are HOA experts who can help you through the setup and implementation of your HOA accounting software. Every day, they work with more than 7,000 HOAs across the country to help them tackle their unique challenges. 

As they create individual solutions to meet their goals, these solutions regularly become a standard offering of PayHOA’s platform. PayHOA is constantly improving, giving you the power to make your neighborhood a great place to live.

PayHOA offers an HOA management software solution for HOAs of any size or managerial priorities. To find out if PayHOA fits all your HOA management needs, try our software free for 30 days.