How to Do Year-End Income-Expense Control in Apartment Management?

In apartment and site management, the end of the year is an important period when it is necessary to review the collections, payments and expenses made during the year. How much of the dues are charged, whether the invoices are reflected correctly in the records, and the state of current liabilities directly affect the financial statement of management

Year-end income-expense control is important not only for reviewing the accounts of the past year, but also for identifying deficiencies and preparing the budget for the new period more soundly. So, how should apartment managers carry out this process?

Contributions and Unpaid Debts Must Be Checked

amounts actually charged must be compared with the fees accrued during the year. Thus, it can be determined which independent departments have completed their payments, and in which there is a balance debt.

In particular, partial payments, accruing debts from the previous period and incorrectly recorded collections should be checked. Under Article 20 of the Law on Condominium Property, compensation for arrears with a monthly account of 5 percent for overdue days is provided for the owner of the floor who does not pay the share of common expenses or advances. The calculation should take into account the nature of the debt, the dates of payment and the partial payments made.

sale of the apartment has taken place, it is also necessary to study what period the debt belongs to and the date of its transfer. The correct determination of the responsible person in the pursuit of debts helps to carry out the collection process in a healthy way.

Comparing Invoices and Expense Records

such as electricity, water, cleaning, maintenance, repairs and personnel should be compared with the corresponding invoices and payment documents. It is also important to ensure that the same expense is not recorded more than once, as is the complete processing of the expenses incurred in the records

belonging to a period at the end of the year and remaining for the next month of payment must also be reviewed. For example, a bill for a service received in December may have been paid in January. In this case, the period to which the service belongs and the date of payment must be separated, ensuring that the expense is correctly assessed in the relevant

distribution of expenses to independent departments, the principles of Article 20 of the Law on Condominium must be taken into account. Unless otherwise agreed, janitor, heating, gardener and caretaker expenses are equal; insurance premiums, maintenance and repair expenses of common areas and manager's pension are shared at the rate of land share. The nature of the expense and the specific regulations applicable, if any, must also be checked.

Bank and Cashier Balances Must Be Checked

The collection and payment movements in the bank statement should be compared with the records of management. If there are bank charges, unclear transactions or movements that have not yet been recorded, their causes should be determined

where cash transactions are carried out, the presence of a safe must also be checked separately. If there is a difference between the amount that appears in the records and the money actually found, the relevant documents and transaction history should

end of the check, it should be possible to explain what transactions bank and cash balances consist of. Thus, the available money, receivables that have not yet been collected, and debts pending payment are considered separately from each other.

Year-End Accounts and New Term Budget

After checking the income-expense records, the financial summary of the year should be prepared; current receivables, liabilities and expected expenses should be evaluated together.

KMK m. 39, the manager is obliged to come to the board of owners of the floors and provide an account of expenses at the time specified in the management plan; if no such time has been set, within the month of January. Inspections of the person or board entrusted with the task of auditing must also be carried out within the framework of the relevant obligations

preparing the budget for the new period, regular expenses should be considered, as well as expected maintenance and repair work, personnel expenses and possible severance obligations. Accounting for compensation expenses that may arise in the future in the event of the presence of working personnel in budget planning provides a more financially predictable management.

In accordance with Law No. 7579, which was amended on May 7, 2026, KMK m. 37, the operating project is approved at the general meeting of floor owners. If there is no accepted business project, the manager draws up a temporary project without delay. It is necessary to take a decision on the approval of the project at the general meeting within three months at the latest. The project is notified to the owners of the floors or to the actual beneficiaries of the independent department in exchange for a signature or by a signed letter. In the absence of a seven-day appeal in the previous regulation, the finalization provision is abolished.

Regular Income-Expense Tracking

Regular recording of income, expenses and debt balances belonging to independent departments during the year facilitates the control process at the end of the year. Noticing missing or erroneous transactions within the period also reduces the need to re-examine past records

Regular tracking of income and expenses, collections and debt balances facilitates year-end checks. With the help of the balance sheet, business book and many more reports available in Biyos, you can review your financial records, assess your income-expenses situation and conduct your account tracking in a more practical way.

Conclusion

Year-end income-expense control in apartment management requires a joint assessment of dues collections, unpaid debts, bills, bank transactions, and cash register records. Timely carrying out these checks helps to see the financial statement more accurately and prepare the budget for the new year in accordance with

Regular registration and correct control ensure a more planned start of the new period, while strengthening accountability in apartment management.