Common Budgeting Mistakes

In summary, budgets are crucial for a well-run condo corporation, but it is common for board members to lack financial literacy. The budget preparation process includes reviewing the current budget, predicting changes and expenses, and considering future repairs and maintenance costs. However, there are common budgeting mistakes such as having unrealistic expectations, over-reliance on the condominium manager, and lack of owner and board input. These mistakes can create financial challenges for future boards and owners, and may even lead to condo fraud. The solution is to have financially savvy individuals on the finance committee and board, and to monitor costs and contracts.