Today, there are several ways to manage an apartment building. The owners themselves decide which option to choose for themselves.
In recent years, the popularity of HOAs has been growing; more and more apartment owners want to manage their common property themselves.
But in this case, the question arises, how much is the salary of the chairman of the HOA and what does this amount consist of?
Utilities and housing services
Before you understand the salary of the chairman of the HOA, you need to understand what the income of any home consists of.
An apartment building is an economic facility with a whole network of engineering networks and communications that require regular and attentive attention.
Any apartment owner must pay utility bills on time . Part of the amount goes to pay for utilities consumed by the house over the past period, such as heating, hot and cold water supply, electricity and sanitation.
The second part of the payments goes to the maintenance of common property, as well as to the payment of labor to specialists hired to perform a particular type of work.
It is from this part that wages are paid to the employees of the management company or, if the house is managed by an HOA, to members of the board and the chairman of the HOA.
The overwhelming majority of ordinary people are sure that the work of the chairman of the HOA is not so significant that this item should be included in the column of house expenses. But if you take into account the entire volume of work performed and the time this activity requires, this position should be paid.
What is the amount paid?
The remuneration to the chairman of the board of an apartment building may vary in size. The exact amount of payment is determined by the owners of apartments in the building at a meeting. Most often, a fixed amount of funds is determined for this, which will be transferred by each apartment owner.
Additionally, when determining the exact remuneration for the chairman of the board of an apartment building, a percentage of the total fee or the area of the building can be calculated. It is the residents of the house who decide what the amount of this payment will be. To do this, the well-being of residents is taken into account, as well as their opinion on this issue.
In some buildings, the chairman receives only a symbolic amount of funds, while in another building he can count on a full salary, so he can devote a lot of time to improving the living conditions of residents.
Does the chairman of the HOA have the right to receive a salary?
Two similar houses (assuming that both are managed by an HOA), built in the same period with different maintenance, may look completely different after ten years. It all depends on how carefully these houses are monitored.
Timely ongoing repairs, high-quality landscaping of courtyard areas, care of common property - all this is the merit of the head of the HOA.
Most of the chairman’s work is invisible from the outside, but over the years all the activities carried out make themselves felt. The work of the chairman is commensurate with the work of any other person who goes to work on a schedule, therefore, to the question of whether the chairman has the right to receive material remuneration for his activities, there is only one answer - he has.
The remuneration of the chairman is a settled issue, it should be . Can the chairman receive a salary or is it possible to get by with one-time rewards for his efforts?
To understand this, it is necessary to take into account that in the issue of the chairman’s salary there are a number of nuances that need to be taken into account.
The chairman of the HOA is elected by the residents themselves - this is an elected position. The term of chairmanship cannot exceed two years. After this period, the election of the chairman must be repeated.
Not all residents have the right to elect the chairman of the HOA; the candidate is determined at a meeting of the HOA board members.
Responsibilities of the chairman of the HOA
- The primary task of the chairman is to constantly monitor the implementation of decisions made by the board.
- Manage the work process, giving instructions to officials.
- Sign financial documents.
- Develop a staffing schedule for HOA employees and monitor its compliance.
- Act on behalf of the partnership, protecting its interests.
- Enter into agreements that do not require a board decision.
Another important function of the chairman is to ensure the stability of payments of amounts for received utility services.
The more responsibly residents take this responsibility, the better the quality of services provided to them. The fight against debtors is a constant, continuous process
Procedure for creating a partnership
When the house is new and there are many apartments in it, forming an HOA is economically beneficial. The law establishes the procedure for its creation. The issue is resolved at the GSM (general meeting of owners). 10 days before the event (each of the homeowners can initiate it), apartment owners are informed. The legislation provides that information about the upcoming OSS must be communicated to each owner of the living space. In order to exclude subsequent legal proceedings, it is better to do this through the Russian Post via letters with notification of receipt.
The agenda contains the following issues:
- the time when the OSS is planned to be conducted and the day;
- approval of constituent documents (including the Charter);
- selection of the audit commission and board;
- granting a certain person the right to register an organization with the tax authorities;
- end date of vote counting.
The meeting may be held in person, in person, in absentia or in absentia.
We recommend that you read:
Responsibilities of the chairman of the HOA in apartment buildings
The decision will be considered accepted when more than 50% of apartment owners support it. To calculate the percentage of the area of the apartment (S sq.) to the area of the house (S dm). For example, S sq.= 30 m2, S dm.= 3 thousand m2, 30:3000*100%= 1%.
To register a partnership, the following must be submitted to the tax authority:
- OSS protocol signed by more than 50% of owners.
- A document confirming payment of the state duty.
- Application in the form established by the fiscal authority.
- Charter (2 copies).
The activities of TSN, created to manage apartment buildings, fall under the norms of the Housing Code (Housing Code), therefore it is obliged to provide a package of documents to the housing inspectorate. The partnership has 5 days to do this from the moment the votes are counted.
It is required to submit copies of the following documents:
- protocol;
- voting sheets.
The controlling organization has the responsibility to check the meeting procedure for compliance with the law. If a controversial situation arises, she may request additional data, for example, documentary evidence that all owners have been notified of the upcoming OSS. If violations of the decision-making procedure are revealed, the housing inspection will have the right to invalidate the documents.
The protocol and voting sheets are recognized as legally significant documents; their falsification entails criminal liability.
Transferred materials are stored for 3 years. In addition to the housing inspection, all information must be placed in the GIS Housing and Communal Services (state information system for housing and communal services); violation of this procedure is punishable by a fine.
Payment or reward?
The amount of work assigned to the chairman of the HOA is considerable . How should this work be rewarded? Can the chairman of the HOA receive a salary or is he only entitled to one-time remuneration?
The Labor Code of the Russian Federation clearly regulates this issue: the chairman must receive a salary, and his labor relations must be secured by an employment contract.
The only problem is that the law does not say anything with whom this agreement should be signed . In the case of the HOA chairman, it is not entirely clear who is the employer and who is the employee.
On the one hand, the chairman of the HOA is a position whose responsibilities include monitoring the work process. But on the other hand, the chairman is the same owner of the property, and at the same time he is an employee of the partnership, since he is a member of the board.
For a long time, such confusion led to distortions . It was not entirely clear how to competently resolve all the friction that arises between the residents and the chairman, who sets the size of the chairman’s salary, with whom the contract should be concluded, and others.
The shortcomings led to the fact that unscrupulous chairmen charged themselves wages that had no real justification. The necessary work was carried out untimely, incompletely or not at all.
In 2011, amendments were made to the Housing Code of the Russian Federation, from which it followed that a member of the board of a residents’ association cannot work in the same HOA on the basis of an employment contract.
Therefore, the only option left for material incentives for the chairman of the HOA is remuneration for each type of work performed by him. As practice has shown, this option turned out to be optimal.
Salary is a set amount, which is calculated according to a single scheme from month to month .
While the activities of the HOA chairman cannot be assessed using a single index. The amount of work varies from month to month. For example, a house is undergoing renovation work to replace the roof. During this period, the chairman is required to actively participate in all work processes.
conclusions
Thus, remunerations paid to members and chairmen of the board of HOAs under civil contracts for the performance of work and provision of services are subject to insurance contributions for compulsory pension and compulsory medical insurance and are not subject to insurance contributions for compulsory social insurance in case of temporary disability and in connection with motherhood (relevant if the relationship is not actually an employment relationship and cannot be recognized as such. Read our article about concluding an employment contract and recognizing the relationship as an employment relationship).
In the case of concluding an employment contract, or the existence of actually established labor relations, remuneration paid to members and chairmen of the board of the HOA, remuneration is subject to mandatory insurance contributions for compulsory pension and compulsory health insurance and compulsory social insurance in case of temporary disability and in connection with maternity.
As we see, the types of insurance premiums differ depending on the presence of labor or civil law relations. Personal income tax is payable in any case of receipt of income. At the same time, if payments are made by a management organization, HOA, housing cooperative, then it must withhold the amount of insurance premiums and personal income tax and pay them to the appropriate budget.
Letter of the Ministry of Finance of Russia dated 04/09/2018 No. 03-15-05/23294 > > >
Appeal ruling of the Moscow City Court dated September 20, 2017 in case No. 33-35243/2017 > > >
Appeal ruling of the Sverdlovsk Regional Court dated 09/02/2014 in case No. 33-11033/2014 > > >
Appeal ruling of the St. Petersburg City Court dated November 17, 2016 in case No. 33-23794/2016 > > >
Letter of the OPFRF for St. Petersburg and the Leningrad region dated August 23, 2018 No. 19-02/29988 > > >
Author: Otrutskaya T.V.
taxes 34homeowners' association 67
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How to draw up an employment contract?
The presence of an official document regulating the relationship between the chairman and the HOA is beneficial to both parties.
On the one hand, the organization, which is the HOA, receives a manager who is responsible both for his own actions and for the actions of the employees he hires. It should be understood that the work of the chairman does not have a clear established schedule with weekends and weekdays.
It should be understood that all these responsibilities are assigned for a reason. The chairman also has the right to leave, the number of days is determined by the Labor Code of the Russian Federation. The code also provides for receiving remuneration twice a month: advance payment and salary. The time during which a person performs the duties of the chairman of the HOA is also counted towards the total length of service.
Logically, the agreement between the chairman and the HOA should be signed by the head, in this case, the chairman himself. But such a drafting of the document will not be legally correct. Therefore, it makes sense to indicate in the constituent documents of the HOA the person who will have the right to sign this kind of paper .
What else should the employment contract between the chairman and the HOA contain?
- Full name of the organization, as well as the last name, first name and patronymic of the employee. With whom the contract is concluded.
- Passport details of the citizen with whom the agreement is concluded, reference to the document justifying the actions of the partnership.
- Date and place of conclusion of the contract.
- The contract should initially specify the working conditions of the chairman, as well as his workplace. This is necessary so that each tenant, if necessary, can easily find a manager.
- Duties to be performed by the chairman.
- The validity period of the contract must be indicated.
- The procedure for calculating remuneration and the period for its payment.
The contract may contain a lot of other nuances, which, in the opinion of homeowners, should be outlined from the very beginning. But it should be understood that the employer, in this case the homeowners, can supplement this agreement only with those clauses that are designed to improve the employee’s working conditions.
Free labor
What to do if the chairman of the HOA is without a salary? How to format it correctly? Let's figure it out further. It happens that the members of the partnership do not consider it necessary to pay for the work of the chairman. People think that he doesn’t do anything, so there’s no reason to pay him.
What to do in this situation? If no meeting has been held within sixty days and the residents do not even talk about paying remuneration, then the chairman has the right to turn to the housing inspector for help. They will explain how to proceed further, and if necessary, they will help you file a lawsuit.
Usually the case is heard in the district court, so there will be no difficulties with filing an application. The chairman will contact the place of registration and pay the state fee. The application has a clear form and must contain information about the chairman, the defendant and the partnership itself.
The document must reflect the date from which the chairman stopped being paid, as well as the latter’s services to the members of the HOA. In addition, it is necessary to indicate the reasons why residents refuse to pay even the average salary to the chairman of the HOA.
The application must be signed by the chairman himself, and he must also put the seal of the partnership on it.
In addition, the claim will not be considered if there are no documents confirming the words of the chairman. Therefore, evidence of correctness is needed, for example, a protocol for the election of the chairman or reports on the work carried out.
The document must be typed on a computer or written with a black or blue ballpoint pen. If the application is in writing, the handwriting must be legible.
Unfortunately, such situations arise more and more often, and the court, as a rule, takes the side of the chairman. When the conscientious performance of the latter’s duties is confirmed, the remuneration is allocated from the overhaul fund. If the fund is empty, then the remuneration amount is included in the overhaul bill for each resident.
Remuneration of the chairman of the HOA
How is it calculated and what factors influence the amount of remuneration for the chairman of the HOA:
- Type and volume of work performed.
- The deadline for completing this work is the time required to achieve the task.
- The amount of remuneration can be initially specified. This can be either a certain amount or an agreed percentage of the value of the entire contract.
- In order to receive remuneration for the amount of work performed, the chairman is obliged to provide a completed acceptance certificate for completed work for each type of work separately, drawn up in accordance with all the rules. Only this document can be considered a legal basis for calculating remuneration. There are also requirements for filling out this paper that must be followed. It is important that this type of work is actually performed properly.
- The chairman of the HOA can carry out the necessary work himself, for example, replacing a valve in the basement or installing a window in the entrance. This type of work is regulated by civil law and is not illegal. There was a volume of mandatory work that was ultimately completed, but by whom it does not matter.
- After fulfilling his obligations, the chairman of the HOA board will receive the amount agreed upon for each type of work.
- In practice, it often happens that in fact an HOA has been created on a house, but all management rights have been transferred to some management company. At the same time, the partnership reserves the right to lease common property and control over all financial documentation. The homeowners themselves decide how and what to spend all the additional funds raised.
Rights and obligations of the parties
In the case of interaction with the management company, the chairman is not required to constantly monitor everything that happens on a daily basis, but in the case of independently solving all problems that arise, he is required to be constantly at the workplace.
Can the chairman control the activities of citizens?
Each owner of an apartment or commercial property has the right to engage in various types of work in this property. If he has permission from the local administration, he can even carry out work related to housing redevelopment.
The chairman is vested with certain powers, which include the ability to influence the work of the owner of the premises. But such impacts should be limited, so claims can only be made in cases of violation of legal requirements or in other extreme situations. If the homeowner has official permission for the work being carried out, and also does not violate the rights of other persons, then the chairman cannot influence him in any way. Otherwise, the owner of the property may complain about the selected chairman.
Can the chairman of the HOA work part-time?
The Labor Code in 2021 prescribes the right of every citizen to combine several jobs at once. But you should understand the specifics of working as the chairman of an HOA. This is a leadership position that requires constant vigilant monitoring of the processes taking place in the house.
His responsibilities include accepting all work performed and signing certificates of completed work. Based on this, we conclude that combining the chairman of the HOA with other jobs is an unrealistic task.
Management bodies of the partnership
The supreme body of the association is the OSS, whose competence includes key issues, such as:
- Making adjustments to the constituent documents (Charter).
- Election and empowerment of the audit commission, board members, and chairman of the organization. Otherwise, the latter is appointed from among the members of the board.
- Approval of the annual budget for income/expenses and a report on it.
- Determining the amount of payments required to finance the maintenance of the apartment building.
- What amount of remuneration will be paid to the chairman of the HOA and the citizens included on the board?
- Coordination of the annual work schedule aimed at maintenance and current repairs.
The elected board carries out the activities of the partnership, whose competence and duration of work are determined by the owners of residential/non-residential premises at a general meeting. The period of existence of the body cannot exceed 2 years. The composition of the board consists exclusively of members of the association. In order for a decision to be made, 50% or more of the board members must vote in support of it. The choice of the chairman is possible from among them, but the charter may provide that his appointment to the position is the prerogative of the general meeting.
Can the chairman of the HOA work as an accountant at the same time?
On July 18, 2011, a law came into force in which an amendment was made stating that the head of an organization, such a position is the chairman of the HOA, does not have the right to combine his main activity with any other during the same working hours.
The Chairman may maintain financial records, but this will not be considered as holding a separate position . True, homeowners who are members of an HOA can increase the amount of remuneration for this amount of work performed.
HOA or management company
Before choosing a method for managing an MKD, it is worth calculating the economic benefits. There is an opinion that HOAs are the most attractive option, since residents independently solve all problems at home and have the opportunity to quickly monitor the activities of their chosen bodies. This statement is completely justified, and taking into account the fact that the partnership is a non-profit organization, control by the housing inspectorate is not as strict as that of the management company. The size of fines also differs significantly. However, if we are talking about a house that was built a long time ago, with worn-out utility networks and requiring repairs to the entrances, then when creating an HOA, we must not forget that the owners will independently make decisions on all issues. They will personally have to look for contractors, conclude contracts and sign them. In such a situation, it is easier to give the house to a management organization with highly qualified specialists.
Carrying out repairs of the same type on several buildings at the same time significantly reduces the cost of such work.
The management company can also afford to agree with the owners to pay for services in installments, for example, residents will pay over 3 years for repairs already carried out.
Do not forget about the mandatory list of works aimed at maintaining the MKD:
- Cleaning stairwells and local areas. If we talk about the regions of Siberia, then this is a very expensive item.
- Control over electrical equipment, thermal units and the like.
No one else but the owner will have to pay for these services.
The management organization has its own staff of workers servicing several houses, and, therefore, their wages are transferred from the account of each of them, and not just one, as happens in the HOA.
Who and how sets the salary for the chairman of the HOA
The amount of remuneration for all members of the board, including the chairman, is negotiated at a general meeting of residents of the building.
How is the amount of remuneration for the chairman of the HOA determined:
- A general meeting of residents is held. Notification can be carried out both through individual invitations and through an announcement on the bulletin board. These meetings will need to be held monthly. In order for the meeting to be considered valid, the presence of at least half of the residents of the house must be present. Otherwise, the decision made will not be valid.
- All reports of work completed over the past month are carefully studied and presented to the present residents by members of the board. All acts must indicate the amount of the cost of services.
- Based on the estimate of all work performed, the percentage of remuneration is calculated. By law, it cannot be less than 3. After this, residents hold a vote; it can be either secret or open.
- After reaching a consensus, minutes of the meeting are drawn up and signed by all those present. Only after signing this protocol does the chairman have the opportunity to withdraw the agreed amount of money from the personal account of the house.
- After this, the issue of the amount of remuneration to the chairman for the past month is decided.
In order not to hold this kind of meeting every month, many HOAs stipulate in the agreement the amount that the chairman will receive monthly.
A certain amount is prescribed in the Charter. The final amount must satisfy not only the chairman of the HOA, but all members of the board.
How to apply for a position
What does the chairman of the HOA receive: salary or remuneration? We have figured it out, but it is still unclear how to fill the position.
To be able to become a chairman, you need to have housing in a certain house. This point is spelled out in Article 143 of the Housing Code. If a person rents an apartment or lives in an apartment that is rented by someone else, he cannot apply for a position.
The same article states that to join a partnership it is enough to submit an application to the chairman or the person who performs his duties.
Once you join the partnership, you need to take the next step. Namely: get on the board. The board is elected at the general meeting of the apartment building. The maximum term of the board is two years, after which elections take place again.
Article 149 of the Housing Code states that the chairman can be elected only for the period specified in the charter. Most often, both the board and the chairman are elected for the same term.
Let's derive the algorithm of actions:
- Own housing that is located in the building where the partnership operates.
- Write an application addressed to the chairman or the person performing the duties. This is necessary in order to join the partnership.
- Wait until the term of office of the chairman and board ends.
- Attend the general meeting. It is there that the issue of re-election is decided.
- Be on the list of candidates for the position at the meeting.
- Make as positive an impression as possible so that more participants will vote.
Everything seems simple, but in order to get on the list of candidates, you need to have the following knowledge and qualities:
- In-depth knowledge of the legislation of our country.
- Understand contracts and understand legal language. Without this knowledge it is impossible to work in a position.
- Mastery of business communication style. The position involves communication with different social strata, which means that the chairman must be able to communicate with any people.
If all these skills are available, then only the social status or age of the applicant can become an obstacle to obtaining a position. Although it is not prohibited by law, they try to choose people with rich experience as chairmen. They are better at navigating situations and are able to effectively lead people, unlike young people.
The more successful a person is, the more likely he is to become chairman. High income and a good reference from the place of work also contribute to the sympathy of the board of the partnership.
Salary of an accountant in a homeowners association
A tenants' association is not a commercial organization, but this does not mean that this organization is exempt from accounting. If the head of the partnership is not able to carry out this work himself, then the HOA is obliged to hire a person to fill this position.
It is the accountant who is responsible for the formation of all reporting documents, timely submission of reports and declarations.
The amount of remuneration to the accountant for conducting this work is also determined by the board of the partnership . It all depends on whether the accountant works full time or whether he works part-time in a given HOA only on previously agreed upon days.
Nuances and pitfalls
Often, residents of a multi-storey building refuse to pay wages to the chairman of the board only because they do not know what he should actually do, what his responsibilities are in his work activities. It may seem to them that he is not doing anything, he is simply appointed as a manager, but in fact he is fiddling with a whole bunch of papers, working with those who do not pay utility bills, and so on. In order to prove to the judiciary or to the housing service that the representative actually performs all the functions assigned to him, he needs to be savvy in the law and clearly understand his responsibilities.
It is necessary to somehow popularize the activities of the leader so that residents agree to make payments to the chairman.
If the residents do not agree, then the head of the HOA can contact the housing inspectorate or the judicial authorities with a statement containing a request to receive wages. In Russian practice, the most common situations are when the court is on the side of the chairman, but this is only possible if a number of evidence is provided about the work activities of representatives of the homeowners association.
If the head of the homeowners association performs his activities only from time to time, then no judicial authority will agree to confirm his request for a permanent salary. In this case, it seems quite possible to accrue in the form of payments for activities already completed. This form of wages is considered the best from the point of view of the residents of the high-rise building being serviced, because receiving money encourages the head of the HOA to more often and more productively perform the tasks and responsibilities that are provided to him during the performance of his work activities.
Thus, it is quite possible for the chairman of the HOA to receive a salary, despite the fact that this is not provided for by Russian housing legislation. In order to receive payments for his work, the head of the partnership must simply gather residents with the question of approval of payment, and in cases where property owners refuse to make payments, he can contact the local housing inspectorate or territorial judicial authorities.
The person appointed as the chairman of the homeowners association must be aware of his responsibility. He is responsible to the residents of the serviced house by providing them with all services for home improvement, concluding contracts with service companies and other types of activities. In addition to the residents, he is responsible for all members of the partnership, because illegal activities on his part will lead to a threat to the entire Council of Owners.
Tax base
The remuneration of the chairman of the HOA is subject to taxes and insurance contributions. Why is that?
The income of the director of a tenants' association is nothing more than making a profit . What taxes are levied on the remuneration of the chairman of the HOA?
This type of income is subject to mandatory personal income tax. As a percentage, this is 13% of total income.
As for insurance premiums, the head of the partnership is also obliged to pay them with constant regularity. This can be done either monthly or one-time for the whole year at once. This is necessary for this. So that in the future there will be no problems with calculating pensions.
How exactly the chairman will make a tax deduction is his personal problem . He can carry out this procedure personally, or he can contact a regional operator or a credit institution that provides this type of service.
Can the chairman refuse payment?
The chairman certainly takes part in every meeting of the house. He transmits the necessary information or documents to residents. Additionally, he reports on all activities performed related to the maintenance of the apartment building.
It is at such a meeting that residents can decide to pay the chairman any amount. How to refuse remuneration to the chairman of the board of an apartment building? If the appointed person does not want to receive any funds from other residents, so as not to increase the number of duties and powers, then he can easily refuse this payment by notifying other citizens of his decision directly at the meeting.
Decision on payment of remuneration
According to clause 8.1 of Art. 161.1 of the Housing Code of the Russian Federation, the adopted decision must contain:
- terms of payment (based on work results, after hearing the report, regardless of work results);
- payment procedure (how, who collects funds and pays them, pays personal income tax, insurance premiums, with what frequency);
- the procedure for determining the amount of remuneration (it is important to indicate how the amount of remuneration is determined: is it paid for each square meter, or for each owner, or for each residential premises, how are personal income taxes and insurance premiums paid).
When deciding on the payment of remuneration, it is necessary to indicate in the decision and management agreement the amount of such remuneration, as well as the frequency of its payments (month, quarter, half-year, year). In this case, it is necessary to provide that the amount of payment may vary depending on the work done, its quantity and quality, and provide for the accrual of remuneration after consideration of the report of the members and (or) the chairman of the council of the MKD.
When choosing the amount of remuneration, you must understand that taxes and fees provided for by law must be paid on the amount received, so it is better to indicate that taxes are included in the amount of remuneration, or the amount of remuneration is fixed and the stipulated amount of taxes is collected from the owners in addition to the amount of remuneration. When concluding an agreement with a management organization, it is worthwhile to provide for who calculates and pays insurance premiums and personal income tax on remuneration.
Unfortunately, there are often situations when not all owners pay the required amount of remuneration, and the final amount may not correspond to the one established by the general meeting of owners. For example, at the meeting it was decided to pay the chairman of the MKD council 10,000 rubles monthly. In fact, 8,000 rubles were collected. Where can I get the remaining amount? And what to do if suddenly in the next period the owners or part of them, who did not pay the remuneration for the previous period, paid it too, and in fact, for example, not 10,000 rubles were collected, but 12,000 or 10,800 rubles? This question remains open, since the payment of remuneration to the members and chairman of the house council lies on the conscience of the owners and depends on them. At the same time, members and the chairman of the house council have the right to go to court if payments are not made in full. The problem in this case will be that it will be necessary to go to court in relation to each specific owner.
It can be stated that if the full amount of remuneration is not collected to the members and (or) the chairman of the council of the MKD / HOA board for the established period, the amount that was actually collected is paid. In the case of collecting an amount higher than the stipulated amount, either the actually collected amount of remuneration is paid, or the amount is paid in the established amount, the remainder is returned to the owners, or the previously underpaid amount of remuneration is recalculated - provide for the procedure that seems most convenient and logical specifically for your apartment building. It should also be taken into account that the amount of personal income tax and insurance payments will be paid from the actual accrued amount of remuneration.
As an example, let us cite the Appeal Ruling of the Saratov Regional Court dated June 24, 2015 No. 33-3075 , which states that the chairman of the MKD council must be paid the amount actually collected for a certain period . Thus, “by decision of the owners of an apartment building, a monthly remuneration was established for the chairman of the council of the apartment building, paid by the owners of the premises of the apartment building to the chairman of the council of the building, in the amount of 1 ruble per 1 square meter. The decision of the general meeting of owners of an apartment building established that the amount of remuneration to the chairman of the council of an apartment building is indicated in receipts for payment of housing presented monthly to the owners of the premises of an apartment building. After payments from the owners to pay for the activities of the chairman of the house council are received to the bank account of Stroy-Service+ LLC, it transfers the actual funds received to the chairman of the house council. Under such circumstances, the arrears of remuneration to K. must be calculated from the amount actually received into the bank account of Stroy-Service+ LLC from the owners of the premises of the apartment building.
It is important to note that if remuneration is accrued through a management organization (and this is appropriately secured), then no separate agreement is necessary between the members and the chairman of the house council and such organization , and payment of the collected remuneration in full is mandatory, not depending on the presence of debt of the owners to the management organization .
Thus, the management organization “Zhilkomservice” illegally withheld funds in its account intended as remuneration for the chairman of the board of MKD. The justification given by the management organization was the lack of agreement between it and the chairman of the MKD directly. By the appeal ruling of the Perm Regional Court dated February 2, 2015 in case No. 33-731/2015, the court determined that “since the service is provided by the chairman of the board to the owners of the apartment building, and not to the Non-Profit Partnership of the Social Initiative “Zhilkomservice”, the decision of the owners was not challenged or canceled , the defendant’s argument about the absence of an agreement concluded with the plaintiff has no legal significance . The materials of the case confirm that the plaintiff fulfills the duties assigned to the chairman of the board of an apartment building by the provisions of the Housing Code of the Russian Federation.”
According to the ruling of the Primorsky Regional Court dated March 31, 2014 in case No. 33-2590, “the presence of debts among the owners of the premises of an apartment building to pay utility bills to the management company does not relieve the latter from the obligation to transfer remuneration to the chairman of the Council of the house , since the management company has the right to implement the provided clause 2.2.5 of the Agreement the right to collect the specified debt from the owners in the prescribed manner.”
The management organization may disagree with the decision of the general meeting of MKD owners and refuse to include a clause on the payment of remuneration to members and (or) the chairman of the MKD board in the management agreement, since the inclusion of additional conditions is not mandatory, but is based on mutual agreement of the parties (owners and management company) .
If the management organization refuses to indicate the item “payment of remuneration” in the payment documents, the management organization will not collect funds or transfer them to members and (or) the chairman of the house council.
Since the exact procedure for collecting and paying remuneration is not provided for, various options are possible that are convenient for owners in each specific case. Of course, such options should not go beyond the law and violate someone’s rights.
One of the possibilities is to find an organization (for example, a payment center or another organization) that will issue receipts, accrue and pay remuneration for free or for a fee (and the owners will also have to spend money on this).
We assume that the general meeting cannot make a decision to directly transfer established amounts to the personal bank accounts of members and (or) the chairman of the MKD council. The transfer of funds in a manner that does not provide for accounting and the ability to determine the payer/defaulter, the payment deadline, seems to us to have been chosen not in the interests of the members and the chairman of the house council. A member or chairman of the house council has the right to go to court to collect the uncollected amounts of remuneration, and for this he or the organization needs to know who is in debt and in what amount. However, everything depends directly on the residents of the house, on the number of apartments and other features.
Theoretically, it is possible to transfer remuneration to a person chosen at the meeting, who acts voluntarily and collects, stores (including in a personal bank account) and transfers (transfers) the remuneration to the persons for whom it is intended. Such a person can be determined by the cashier, collector - as the owners decide.
However, in the last two cases, it is necessary to pay special attention to the issue of calculation and payment of personal income tax and insurance premiums.
The method of paying remuneration through a settlement center and management organization seems to us the most convenient and transparent, however, the law does not contain a prohibition on other methods of paying remuneration.
Distribution of vacancies by salary
Let's consider the distribution of vacancies (with the specified salary) by salary range for 'manager (housing and communal services)' (Moscow).
Up to RUB 93,000.0: 15.38% of vacancies.
From 93000.0 rub. up to RUB 113,000.0: 15.38% of vacancies.
From 113000.0 rub. up to RUB 121,000.0: 15.38% of vacancies.
From 121000.0 rub. up to RUB 157,000.0: 23.08% of vacancies.
From 157000.0 rub. up to RUB 201,000.0: 15.38% of vacancies.
From RUB 201,000.0: 15.38% of vacancies.
The distribution of vacancies by salary can also give a rough estimate of the minimum and maximum salaries for 'manager (housing and communal services)' (Moscow).
Determining the size - what does the amount consist of?
There is no single salary amount for the head of an HOA. The amount will depend on the cost of the work performed - the amount consists of a certain percentage of the funds spent on the action. The head of the HOA cannot decide for himself what amount will be paid to him.
The issue of the amount of accrued remuneration is decided only by the owners of the apartments at a general meeting, where the certificates of completed work will be studied and the issue of the percentage for the chairman will be resolved. The maximum and minimum amount of payment is not established by law.
Attention. The amount paid to the manager cannot exceed the amount of work performed.
Arbitrage practice
In judicial practice, there have been many disputes related to the position of the chairman of the HOA. Moreover, quite often they relate to the wages that the house manager arbitrarily accrues to himself, and the recovery of damage caused to the common property of the apartment building.
See examples of real cases below.
According to the salary of the HOA chairman
In 2021, a hearing was held in a case related to the illegal accrual of bonuses to himself and other employees by the former chairman of the HOA, Dzhumageldin E. Kh.
Residents of the house located at the address <…> filed a lawsuit in the Sarapulsky District Court of the Udmurt Republic demanding to establish guilt and punish the defendant who committed the theft of funds from the HOA.
As a result of consideration of this case, the court granted the claim and found citizen Dzhumageldin E.Kh guilty. He was sentenced to a penalty of 100,000 rubles (Sentence No. 1-22/2017 dated May 11, 2017).
Recovery of damages
In June 2015, the Oktyabrsky District Court of Vladimir passed a verdict against citizen Leontyeva, who is the chairman of the MKD at <…> in the period from <…> to <…>.
At the initiative of the residents of the house, a criminal case was opened against her, in which she was accused of theft of someone else's property transferred to her to perform her direct duties.
The court found citizen Leontyeva guilty and imposed penalties on her in the form of deprivation of the right to hold positions related to contact with goods and materials, including the position of chairman of the HOA, for a period of 2 years. At the same time, until the court decision comes into force, the preventive measure will be left unchanged (Sentence No. 1-98/2015 of June 25, 2015).
In conclusion to the above, let us recall that the activities of the chairman of the HOA, his functional responsibilities, the amount of remuneration and other aspects are regulated and adopted only by a decision of the meeting of owners of the apartment building.
Do I need to pay insurance premiums?
This must be done.
There are two options for paying it:
- The chairman himself does this by submitting documents.
- Payments are made by the HOA, and wages are reduced by the amount of contributions.
How exactly this happens must be written down in the Charter. In case of non-payment, the inspection authorities will be able to charge fees.
As a rule, payments are transferred once a year based on its results.
The functioning of the entire partnership directly depends on the work of the chairman of the HOA, and therefore, many questions arise regarding this position. The following publications from our experts can answer some of them:
- Can a candidate for HOA chairman not be the owner of the property or his tenant?
- How does the process of selecting the chairman of the HOA take place and is it documented?
- What is the procedure for changing the chairman of an HOA and how can the head delegate authority?
- Job descriptions of the chairman and manager of the HOA - what are the differences?
- The structure and content of the agreement with the HOA manager, as well as its sample.
Where are the conditions stated?
The main conditions are specified in the Charter of the partnership.
The lowest and highest possible percentage are not established by law. The amount of payment for specific work must be recorded in the minutes of the meeting.
If information about the percentage of payments was not included in the Charter initially (or the amount changes), you will have to formalize its change. For this, it is also necessary to hold a meeting. On it, HOA members vote to add (or change) this item. A protocol is drawn up. If more than half of those eligible to vote took part and the result is positive, the information is written down in the document.