What does Maintenance fee include?
The maintenance fees/charges often include Property Taxes, Water Charges, Common Electricity Charges, Contribution to Repairs and Maintenance Fund, Expenses on repairs and maintenance of the lifts of the Society, including charges for running the lift. Contribution to the Sinking Fund, Service Charges, Car Parking Charges, Interest on the defaulted charges, Repayment of the installment of the loan and interest, Non-occupancy Charges, Insurance Charges, Lease rent, Non-agricultural tax, Education and Training Fund Election Fund and Other Charges. This is as per the By- laws no 65. of co-operative Housing society.
Why are maintenance charges needed?
- Salaries of the office staff, liftmen, watchmen, mails and any other employees of the Society along with taking care of stationery charges.
- The society needs to pay independent charges for office, taxes and affiliation fees.
- Audit Fees for internal, Statutory and reaudit, if any.
- Other charges that have been approved by the General Body at its Meeting.
- However, such charges should not contradict the provisions of the Act, Rules, and By-laws of the Society.
- Any other charges for the staff and the Members of the Committee of the Society.
- Subscription to the Education Fund of the Maharashtra Rajya Sahakari Sangh Ltd.
- Annual Subscription of the Housing Federation and any other co-operative institution to which the Society is affiliated.
- The general expense that are incurred during the meetings of the general body, the Committee and the Sub-Committee, if any
- Audit related charges like Retainer fees, legal charges, statutory enquiry fees.
- Common electricity charges.
How to Calculate Maintenance Charges for your society?
There are 4 different types of Maintenance charges for the society Equal fee for all, Pay as per area, Partial equal fee, and hybrid charges.
Equal Fee for All
Here a fixed amount is charged to all apartments but can be considered unfair by some residents. This model is ideal when the apartment sizes are the same across society. However, in the current societies there are 2-3 configurations of flats available. Hence, it is unfair for the smaller flat owners to pay the same amount.
Pay as per Area
It is one of the most commonly used methods for calculating maintenance fee. A rate is fixed per square feet and then calculated by multiplying it to the size of the flat. Thus, depending on the size of your home you pay. This till now is proven successful and easy way to calculate the maintenance fees.
Partially Equal Fee
Here, a fixed amount is charged on the smallest area of the flat. After that a pre-defined value per unit is charged. This is decided by the committee member of the society.
Hybrid method of fees often is fair to the larger apartment owners. In this the overall cost is divided into two parts. The first being lifts, salaries, stationery, electricity, meeting, events, taxes and other common charges. The other is based on usage like water by residents.
Select one that works for all the residents of the society. Once the payment is calculated you need to track that payment. Which can be a challenge owing to the various peoples involved.
To help you track the payments use ezeeserve application. It has numerous features that can help manage society’s activities smoothly. For information drop a mail to firstname.lastname@example.org or call at +91 90222 85908.