New HOA Treasurer's First 90 Days: A Complete Checklist

TL;DR: In your first 90 days as HOA treasurer, reconcile every bank account, pull the last 12 months of financials, confirm reserve fund balances against the reserve study, and check whether any vendors need a 1099-NEC — the threshold rises from $600 to $2,000 per payee for payments made on or after January 1, 2026. Do this before you sign a single check.

_Last reviewed: August 2026 · 8 min read_

You just got handed a binder, a login, and a stack of bank statements — and now everyone's asking when the assessment increase kicks in. The fastest way to stop feeling behind is a structured first 90 days, not a scramble through last year's spreadsheets.

Okoniq Property Hub helps HOA treasurers log reserve contributions, vendor payments, and reconciliation notes in one place so nothing gets lost between board handoffs.

What should a new HOA treasurer do in week one?

Week one is about locating everything, not fixing anything yet. Get read-only or admin access to every bank account, the accounting software, the reserve study, the governing documents, and the last two years of tax filings before you touch a transaction.

Make a list of every bank and investment account the association holds — operating, reserve, and any CDs or money market accounts — and confirm the signers on file match the current board. Associations sometimes carry a former treasurer or a departed board member as an authorized signer for years after they've left; this is the moment to clean that up. Pull the last three bank statements for each account and compare the ending balances to what's shown in the accounting software. If they don't match, that's your first project, not a footnote.

Set up a simple chart of accounts structure if the association doesn't already have one that separates operating income and expenses from reserve activity. Mixing the two is one of the most common HOA bookkeeping problems and it makes every later report harder to trust.

How do you review the HOA's books and bank accounts?

You review by reconciling every account monthly and tracing every large transaction back to an invoice or contract. Start with a full reconciliation for the current month, then work backward at least six months to spot patterns — a vendor being paid twice, a recurring fee that never got questioned, or a reserve transfer that didn't happen on schedule.

Compare year-to-date actuals against the approved budget line by line. Assessments collected should roughly match what was billed, minus a reasonable delinquency rate. If collections are running noticeably below budget, that's a board conversation, not just a bookkeeping note.

Check whether the association's books are kept on a cash or accrual basis — the same distinction landlords deal with applies to HOAs, and knowing which method is in use changes how you interpret the numbers, especially around prepaid assessments and unpaid invoices at year-end.

What financial controls and records should already be in place?

A functioning HOA needs dual approval on payments above a set dollar threshold, a documented reserve study that's updated regularly, and a clear paper trail for every disbursement. If any of these are missing, building them is a legitimate 90-day goal, not a failure of the prior treasurer.

Pull the reserve study and compare the recommended annual contribution to what's actually being deposited. Underfunded reserves are one of the most common reasons associations hit residents with a surprise special assessment, and catching a shortfall early gives the board time to phase in a fix instead of announcing an emergency one.

Review any capital purchases from the past year — a new gate motor, playground equipment, a pool pump — against how they were recorded. Items under $2,500 per invoice can often be expensed immediately under the de minimis safe harbor rather than depreciated over years, which simplifies the books for smaller associations. Anything larger typically needs to be capitalized.

| Check | Where to look | Red flag | |---|---|---| | Bank reconciliation | Monthly statements vs. ledger | Balances don't match for 2+ months | | Reserve funding | Reserve study vs. actual deposits | Contributions below recommended level | | Vendor payments | Invoices vs. disbursement log | No invoice on file for a payment | | Signer list | Bank records vs. current board roster | Former board member still authorized |

How does the HOA handle taxes and vendor reporting?

Most HOAs file an annual federal return, and the treasurer's job is to confirm which form fits and to get vendor tax documents right before January. If your association issues 1099s to landscapers, management companies, or repair contractors, note that the reporting threshold changes starting with payments made on or after January 1, 2026 — it rises from $600 to $2,000 per payee. Payments made before that date, including anything you're wrapping up for the 2025 tax year, still fall under the $600 threshold. An income payment is reportable to the recipient regardless of whether a 1099 gets issued, so don't treat the new threshold as a reason to stop tracking smaller vendor payments internally.

Confirm with the association's CPA which annual form is being filed and why — the choice affects what income is taxable and what paperwork the board needs to approve. This isn't a decision to make unilaterally as a new treasurer; it's a question to ask and document the answer to.

What does an HOA financial audit actually check?

An audit or financial review checks whether the numbers you're reporting can be traced back to source documents. Before year-end, build the habit of keeping every invoice, contract, and board-approved expenditure in a folder tied to the transaction date — what auditors ask for during a rental property review looks a lot like what an HOA auditor wants: dates, amounts, who approved it, and where the money came from.

Associations that undergo a review or audit every year (many governing documents require one at a certain revenue threshold) tend to catch problems within months instead of years. If your association has never been audited, ask the board whether it's required under the CC&Rs or state statute — some states set a mandatory audit trigger based on annual revenue or reserve balance.

FAQ

How often should an HOA treasurer reconcile the bank accounts?

Monthly, at minimum, and ideally within two weeks of the statement closing so errors get caught before the next board meeting.

Does an HOA need to issue a 1099 to every vendor?

Only to vendors paid above the reporting threshold for services, which is $600 for payments made before January 1, 2026, and rises to $2,000 for payments made on or after that date. Corporations are generally exempt from 1099-NEC reporting regardless of amount, so check entity type before issuing anything.

What's the difference between the operating fund and the reserve fund?

The operating fund covers day-to-day expenses like landscaping and utilities, while the reserve fund is set aside for large, infrequent repairs like roof or pavement replacement. Mixing the two on the books makes it impossible to tell if reserves are actually funded at the level the reserve study recommends.

Can a new treasurer change the accounting method the HOA uses?

Yes, but it should go through the board and ideally the association's CPA first, since switching between cash and accrual basis changes how income and expenses show up in every future report and can affect tax filings.

How do I know if the HOA's reserves are underfunded?

Compare the current reserve balance and annual contribution to the numbers in the most recent reserve study. If the association is depositing noticeably less than the study recommends, or hasn't updated the study in several years, that's a sign reserves may be behind schedule.

<div class="glass rounded-2xl p-5 mt-7 max-w-4xl border border-red-400/30 bg-red-500/5"> <div class="flex items-start gap-3"> <span class="text-2xl flex-shrink-0">⚠️</span> <div class="flex-1 min-w-0"> <p class="text-red-200 text-sm font-bold">Not tax advice</p> <p class="text-slate-300 text-xs mt-1 leading-relaxed"> This post assumes a typical U.S. HOA operating on standard bank and reserve accounts and does not account for your association's specific state statutes, governing documents, entity structure, or any legislation passed after July 2026. Tax rules change and depend on your specific situation. Talk to a licensed CPA before acting on anything here, and confirm current figures on IRS.gov. </p> </div> </div> </div>