Preparing Your Community for Audit
When running an HOA or community association, it’s important to be aware of your state’s rules regarding community audits.
Many states require HOA communities to perform an audit once a year, and even if your state doesn’t, you should budget for one anyway. Audits are important in determining your community’s financial standing and helps determine financial performance. With the COVID-19 pandemic, it’s no secret that community auditing will be a bigger challenge than years past. Fortunately, there are steps one can take to make the audit process easier and successful even during a pandemic. Here are the steps you should take while auditing during COVID-19.
Prepare to Work Remotely or Virtually
The biggest necessity when auditing during a pandemic is the ability to still work even when you’re not at the office.
You should have remote work capabilities and the ability to access your community financial records even when out of the office. Property management software, like TOPS [ONE] makes this a simple task. TOPS is not only accessible from any device; it keeps all your information stored on the cloud so property managers can easily access the information regardless of location. Having access to your community information while at home makes the audit process easier and allows you to work remote. Not being able to go to the office is a challenge that managers and their staff can easily get around with [ONE].
Maintain Clear Communication with Staff
When you and your staff are working remotely during a pandemic the need for communication is of great importance.
Transparent communication is necessary to help the audit process go easier. Staff members should be in contact via phone, instant message, and email. With TOPS, your entire staff can have access to your financial system. So, when audits are occurring it is easy for staff members to directly point out where they have questions or concerns. This helps for a more robust audit process. It’s also important during the audit process to set a clear deadline and lay out the goals you are looking to accomplish. This can help staff in their work and help them better present ideas.
Ensure Information Is Accurate and Reporting Is Clear
The last step to take when auditing during a pandemic is to make sure your accounting and information is accurate.
Incorrect information on an audit can cause major issues for a community. With TOPS, we offer a solution that is designed for community association accounting. It is simple and allows you to access the fields most relevant to community associations. We also offer a robust reporting platform, so your audit is simplified and easy to present. This can be a huge help when access to the office or printing shops are restricted during a pandemic.
Performing Your Best Audit
Audits are a difficult but necessary part of being a community manager.
When done correctly, they can be a major benefit to your financial records and reveal improvement your community can make. It’s important to take them seriously and be as detailed as possible. TOPS can help you with the audit process and solves several issues created by the pandemic. Be sure to be open with your staff and make sure your information is accurate and you’ll survive audit season.
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In this download, this eBook helps provide a basic understanding of the unique aspects of Community Association Accounting, and gives a general overview of standard CAM accounting practices.
Here’s what you’ll learn:
- Provide Board members with the monthly financial reports they need to govern their association
- Which accounting method to use for your association management.
- Understand the accounting cycle for community management
- Identify the unique aspects of CAM accounting.
- How to set up your General Ledger.
This is the resource you’ve been waiting for.