What does a new HOA treasurer need from the previous treasurer?
By OurHOA · General information · Revised
A checklist for a new HOA treasurer taking over the books: bank access and signers, passwords, tax filings due, insurance renewals, autopays, and open items.
Part of the HOA board handbook: treasurer and money.
Start with a meeting, not a box
The best treasurer handoffs happen in one sitting, with both people at a table and the accounting file open. Schedule two hours within a week or two of the election, before the outgoing treasurer's memory fades or they stop answering email. This article covers the treasurer's piece specifically: money, filings, and payments. Governing documents, minutes, and the association's general records are covered in our guide on handing off HOA records to a new board, and managers taking over a whole community can use the guide on the first 30 days of a management transition. If the previous treasurer is unavailable or uncooperative, work from the bank, the CPA, and the IRS instead, and document what you could not get.
Bank accounts and signers
Get a list of every account the association owns, including the bank, account type, last four digits, and current balance: operating, reserve savings, money market, CDs, and any account a payment processor deposits into. Ask whether any account exists that the board might not know about, such as an old account from the developer period. Then get yourself added as a signer through a board resolution, following the bank's process, and confirm the outgoing treasurer is removed from signature cards and online banking once you and at least one other director have working access. Get your own online banking login rather than inheriting the old one. Ask whether any debit cards or checkbooks are outstanding and collect or cancel them.
The books and the numbers
Get the accounting file or software access and confirm you can log in as yourself. Ask for the last completed bank reconciliation for each account and any open items on it. Pick an as-of date, usually the last month end, and agree the cash balance and the total owed by owners at that date, both in writing. Get the current year's budget and the most recent budget versus actual report. Ask for the owner ledger and aging report, a list of owners on payment plans with their terms, and any account that has been referred to an attorney or collection agency. Collect the last three years of financial statements and any CPA review or audit reports. If something does not add up, write it down as an exception with the amount rather than accepting it and hoping it resolves.
Tax filings and government accounts
Find the EIN and confirm who is listed as the responsible party with the IRS. If it is the outgoing treasurer, the association needs to file Form 8822-B, and the IRS says responsible party changes must be reported within 60 days. Get copies of the last three federal returns and any state returns, and confirm the next due date. For a calendar-year association filing Form 1120-H, that is generally April 15. Ask whether any IRS or state notices are unresolved. Find out whether the association filed 1099 forms for vendors last January and where the vendor W-9s are kept. Confirm the state corporate annual report date and any state HOA registration renewal. Get the name and contact of the CPA who prepares the returns and let them know you are the new contact.
Insurance, contracts, and autopays
Get the insurance summary: carriers, policy numbers, coverage types including fidelity or crime coverage, renewal dates, and the agent's contact. A renewal falling in your first 60 days needs attention now, especially fidelity coverage, which some policies tie to named treasurers or controls. List every recurring payment the association makes. Utilities, landscaping, pool service, insurance premiums, software subscriptions, website hosting, and storage are common. Note which ones are paid by autopay from the bank, which charge a card, and which get a check. Recurring charges on a card in the outgoing treasurer's name, or subscriptions billed to a personal email, need to move to association-controlled accounts before the volunteer leaves. Ask for a list of unpaid invoices and any disputes with vendors.
Logins and digital access
Make a list of every online account the treasurer used: bank, accounting software, payment processor, lockbox or bill-pay service, IRS and state tax accounts, the insurance portal, vendor portals, and the shared association email. Transfer each one through the provider's official process, and change the password or recovery email once you have access. Never accept passwords in a plain email or text. If an account was registered to the outgoing treasurer's personal email or phone for two-factor codes, change the recovery details to an association-controlled address while they are still cooperative.
Your first 90 days
After the handoff meeting, give yourself a short list of checks. In the first month, complete a reconciliation for every account yourself, even if the prior treasurer already did it, so you learn the accounts and confirm the starting point. Pay one full cycle of bills and see which vendors bill by email, paper, or autopay. In the second month, compare actual spending with the budget and flag anything already running over. By the third month, meet or call the CPA, confirm the next tax filing date, and review the insurance renewal. Report to the board after 90 days with what you found, what you changed, and any exceptions still open from the handoff. That report closes the transition and gives the board a fair baseline for judging the books from here forward.
Close with a signed list
At the end of the handoff, write a one-page summary of what you received, the as-of cash and receivable balances you agreed, and the open items still being traced. Both treasurers can sign or initial it, and a copy goes in the association's records and to the board. It protects the outgoing treasurer as much as the incoming one, because it records what was handed over and what was already missing. Then book your own first-month tasks: the next reconciliation, the next bill run, and the next board report. Put the signed list somewhere the board can find it next year, when you may be the one handing over.
Sources
These guides are general education for HOA boards and residents, not legal, tax, or financial advice. Rules vary by state and by your community's governing documents - check with a professional for your situation.
More from the board handbook
- How can an HOA protect its bank accounts from payment fraud?
- What does an HOA treasurer need to do every month and quarter?
- What is the timeline for an HOA board collecting past-due dues?
- How does an HOA switch from paper checks to online dues payments?
- How does an HOA reconcile its bank statement?
- Does an HOA need an EIN?
- Should an HOA use cash or accrual accounting?
- Does an HOA check need two signatures?
- Does an HOA have to keep reserve funds in a separate bank account?