Budget

The property administrator is legally obliged to present his budget at the annual meeting. It is obligatory for that budget to be sent out with the invitation to the annual meeting. That budget is to contain both an estimate of ordinary daily expenses and a budget for extraordinary expenses.

Therefore "ordinary" expenses relate to the current expenses in connection with the maintenance, operation and management of the common parts and the common equipment in the building.

"Extraordinary" expenses: extraordinary costs to be expected such as roof renovation work required or the compulsory modernisation of the lift. Those extraordinary expenses which are often a multiple of the classic annual budget are to be budgeted for separately and requested in good time as the property administrator cannot arrange for any works to be carried out as part of his statutory task until the full amount of the relevant investment is available in the current or savings account.