Accounting software is used by all types of professionals. While accountants and bookkeepers are generally very comfortable working with this technology, people without an accounting background can use it too.
In fact, several HOA staff and managers rely on accounting software to streamline and organize income and expenses, such as bill payments, taxes, payroll, assessments from owners, and budgets.
If you’re looking for some guidance on what accounting software system will work best for your community, check out our recommendations.
Table of contents
- What is the benefit of having accounting software?
- Do I need accounting software made exclusively for HOAs?
- Top HOA accounting software for small, medium and large associations
- Combine your favorite solutions for more effective HOA management
What is the benefit of having accounting software?
Just like HOA management software, accounting software reduces workloads by automating manual processes. By reducing manual data entry requirements, accounting software not only saves you some time, but minimizes the potential for human errors, too.
With more accurate numbers, HOAs can confidently make informed decisions about budgets, projects, assessments, and more.
Do I need accounting software made exclusively for HOAs?
HOA accounting software is software designed to handle the particularities of HOA finances. This includes everything from collecting dues and fees to financial reporting and tax preparation.
There are companies that make software with HOAs and community associations in mind. However, those platforms are not necessarily the best options out there. Believe it or not, many communities prefer to use a more popular accounting software system and integrate it with their favorite HOA management software. That way, they can enjoy the benefits of two excellent platforms.
Top HOA accounting software for small, medium and large associations
QuickBooks – best for small HOAs (5 – 99 doors)
We’ve selected three top-performing accounting software systems and have organized them based on how many customers, or in this case, staff and residents, they can comfortably manage.
The first is QuickBooks. This well-known accounting software program was developed by Intuit. QuickBooks products work best for small and mid-sized businesses that do not have an abundance of resources.
There is a desktop and cloud-based version available. Clients that select QuickBooks Online can access the program from any device, and can integrate other third-party software (including Condo Control) and financial services.
Some of QuickBooks’ top applications include:
- Income tracking
- Expense tracking
- Bill management
- Invoicing
- Online payments
- Reports
- Receipt capture
- Payroll
Get more details about QuickBooks and HOA accounting here.
QuickBooks is designed to be user friendly, and it has a reliable support team. Customers agree that it is easy to use compared to other accounting software options, and works well with a wide variety of businesses. It is an ideal choice for small HOAs that may be self managed.
Sage – best for med-sized HOAs (100 – 499 doors)
Sage is a market leader in cloud business management solutions. It is a British multinational company that has seen significant growth since its 1981 inception.
Sage caters to small and mid-sized companies, providing finance, HR and payroll solutions that automate manual processes. The company has several different products, but Sage 100 and Sage 300 are most appropriate for mid-sized HOAs.
Sage 300 is more robust than Sage 100, and has more sophisticated automation capabilities. Since it is sold by module, it is highly customizable, but that also equates to higher costs.
Top features of Sage 300 include:
- General ledger
- Instant bank reconciliations
- Accounts payable
- Accounts receivable
- Payment processing
- Purchase order
- Reporting
A cloud option is available which enables HOAs to integrate other software and access additional Sage add-ons. Customers have found Sage fairly easy to use, but customizing processes can be a bit challenging.
Yardi – best for large HOAs (500+ doors)
Yardi is a large company that provides automation solutions for all types of organizations, including HOAs. Yardi Systems was founded in 1984 in Santa Barbara, California, and has rapidly expanded since that time.
Yardi has several comprehensive product offerings, so large HOAs can select custom solutions that will address their individual needs.
The top Yardi accounting functionalities include:
- Payment processing
- Vendor payment
- Invoicing
- Reporting
- Tax management
Yardi has a robust accounting platform that will easily handle the needs of a large HOA. The capabilities are almost endless. The downside is that it is not a user-friendly program, and it can be costly since customers have to add on additional features to get a complete accounting system. However, a larger community likely has someone who has accounting knowledge and is comfortable using accounting software.
Furthermore, Yardi integrates with several third-party software platforms.
Combine your favorite solutions for more effective HOA management
When boards or managers use two systems, one for accounting and one for HOA management operations, they get the benefit of having two top-performing tools. Each system has its strengths, and none of the good qualities are sacrificed when you pair them.
Condo Control’s integration capabilities mean HOAs can enjoy the best of both worlds. Here’s an example of how the integration benefits HOAs. If a transaction is documented in the accounting platform, that information is also recorded in Condo Control, automatically. Depending on the platform, two-way sync may be available, meaning updates to owner information in Condo Control are updated in the other platform too. So no matter what platform you’re using, your information will be up to date.
By integrating software systems, workloads are lightened and errors are reduced, giving staff more time to focus on more pertinent, less mundane tasks.
Conclusion
It’s ultimately up to your community to decide which HOA accounting software will be most compatible with your needs and your budget. However, the three options listed above are worth your consideration.
After identifying the primary financial tasks your HOA needs to manage, evaluate the features of the accounting system(s) that appear to be most appropriate for your community.
The accounting software should be intuitive and relatively user-friendly, and you should be able to reach a support team that can help you when you need assistance. After all, even the best accounting software won’t help you if you aren’t able to use it.
Finally, your HOA does not need to have accounting software made specifically for HOAs. Instead, consider using an accounting system that has the capability to integrate with your current management software. This way, you enjoy the benefits of two superb software platforms instead of having one system that excels in some areas but not others.
