Financial
HOA Dues Increase Notice Template
The dues-increase notice is part communication, part compliance. Most state HOA statutes (and most Bylaws) require the board to give specific advance notice before the new assessment takes effect — and to reference the budget that justifies it.
When to use
Use whenever the board votes to raise the regular monthly or quarterly assessment. For a one-time charge to fund a specific project, use a special-assessment notice instead — the procedural requirements are different.
How to use this template
- 1
Confirm the percentage increase doesn't exceed any cap your Declaration or state statute imposes on board-set increases without a member vote.
- 2
Reference the adopted budget by date — owners commonly request a copy, and statute often gives them a right to one.
- 3
Time the notice to give the statutory minimum (often 30-60 days) before the new amount applies.
- 4
List the explicit drivers (insurance, reserve study contribution, water rates) when possible. Generic 'rising costs' copy correlates with owner pushback.
The template
[HOA LETTERHEAD] [DATE] To: All members of [HOA NAME] Re: [YEAR] Assessment Increase — Effective [EFFECTIVE DATE] Dear Member: At its [BOARD MEETING DATE] regular meeting, the Board of Directors of [HOA NAME] adopted the [YEAR] operating budget and approved an increase in the regular assessment, effective [EFFECTIVE DATE]. ──────────────────────────────────────────────────────── CURRENT and NEW ASSESSMENT Current regular assessment: $[CURRENT AMOUNT] per [month / quarter] New regular assessment: $[NEW AMOUNT] per [month / quarter] Increase: $[DIFFERENCE] ([PERCENT]%) ──────────────────────────────────────────────────────── PRIMARY DRIVERS OF THE INCREASE 1. [DRIVER 1, e.g., "Property and liability insurance premiums increased [%] year-over-year"] 2. [DRIVER 2, e.g., "Reserve-study contribution increased to fund the [PROJECT] scheduled for [YEAR]"] 3. [DRIVER 3, e.g., "Common-area utility costs rose [%]"] A summary of the [YEAR] adopted budget is enclosed (or available at [URL]). Members may request a full copy by contacting [HOA EMAIL]. ──────────────────────────────────────────────────────── EFFECTIVE DATE AND PAYMENT The new amount applies starting with the [BILLING CYCLE] beginning [EFFECTIVE DATE]. Owners on automatic bank draft do not need to take action — the new amount will be drafted on the regular schedule. Owners who pay manually should adjust the amount accordingly. If the increase creates hardship, please contact [TREASURER NAME] at [HOA EMAIL] to discuss available options. ──────────────────────────────────────────────────────── BOARD AUTHORITY FOR THIS INCREASE This increase was adopted under [BYLAWS SECTION CITE] and complies with the assessment-increase provisions of [DECLARATION SECTION CITE]. The increase is within the board's authority and does not require a member vote. ──────────────────────────────────────────────────────── We appreciate your continued support of [HOA NAME]. Sincerely, [BOARD MEMBER NAME] Treasurer, Board of Directors [HOA NAME] Enclosure: [YEAR] adopted budget summary cc: Files · [PROPERTY MANAGER]
Review with counsel before sending. Many states cap board-set assessment increases at a fixed percentage (commonly 20%) without a member vote, and prescribe specific notice timing. Exceeding the cap or underdelivering the notice is a common ground for an owner challenge.
Related topic guides
Whose job is this?
Definitions
Templates are generic. Your community isn’t.
Get this letter with your section cites filled in.
Upload your CC&Rs and Bylaws once — then ask the bylaw concierge for the exact section reference, cure window, or hearing right that should appear here. Free under 250 homes.
Run an HOA? Free for boards under 250 homes.
Ask unlimited bylaw questions with citations back to the exact section and page in your governing documents.