Documents, Rules & Compliance
Reading Your Reserve Study Without an Accounting Degree
What the numbers mean, what to question, and the three pages that matter most.
The H.O. Way Editors··8 min read
Your reserve study tells you whether your community is quietly going broke. Most boards skim it. Don't.
Find the percent funded number. Under 30% is a warning. Under 10% is an emergency.
Check the assumptions: inflation rate, interest earned on reserves, and component lifespans. If any look optimistic, your real position is worse than the report suggests.
This is educational content, not legal advice. Always check your governing documents and applicable state law.