What is the difference between receipts and payments and income and expenditure?

Receipts and payments lists the actual cash and bank money that came in and went out, including deposits and arrears. Income and expenditure lists income earned and expenses incurred for the period, whether or not paid yet. Monthly statements to members are usually receipts and payments; the audited annual accounts use income and expenditure.

Are sinking fund contributions shown as income?

Usually not. Contributions to the sinking fund and repair fund are credited to those funds on the balance sheet, because they are set aside for a purpose. Your auditor will follow the treatment your bye-laws and accounting practice require.

How often should a society share accounts with members?

The audited accounts go to the general body every year, but sharing a short monthly statement builds far more trust. It takes a few minutes if the books are kept up to date during the month.

Income and Expenditure Format for Housing Societies

Monthly account format

Money in, money out and the balance, for one month. Share it with every member, on the notice board or by email, within the first week of the next month.

[Society name] Monthly account for [Month Year] Opening balance (bank + cash): ₹[Amount] MONEY IN Maintenance collected ([Paid] of [Total] flats): ₹[Amount] Arrears recovered: ₹[Amount] Late payment interest: ₹[Amount] Parking and other charges: ₹[Amount] Interest on fixed deposits: ₹[Amount] Total money in: ₹[Amount] MONEY OUT Security: ₹[Amount] Housekeeping: ₹[Amount] Common electricity: ₹[Amount] Water: ₹[Amount] Lift AMC and repairs: ₹[Amount] Repairs and maintenance: ₹[Amount] Bank charges: ₹[Amount] Other ([details]): ₹[Amount] Total money out: ₹[Amount] Closing balance (bank + cash): ₹[Amount] Sinking fund in fixed deposits: ₹[Amount] Maintenance still pending: ₹[Amount] from [Number] flats Bills and vouchers are available with the treasurer for any member to see. [Name], Treasurer

Monthly account for WhatsApp

The short version for the residents' group. Totals only: never post who has not paid.

*[Society name]: account for [Month]* Opening balance: ₹[Amount] Collected: ₹[Amount] ([Paid]/[Total] flats paid) Spent: ₹[Amount] Security ₹[Amount], Housekeeping ₹[Amount], Electricity ₹[Amount], Repairs ₹[Amount], Other ₹[Amount] Closing balance: ₹[Amount] Pending: ₹[Amount] from [Number] flats. Reminders have gone to each flat. Full statement and bills: ask the treasurer anytime.

Open in WhatsApp

Annual income and expenditure account

The layout auditors use for the year, with expenditure on the left and income on the right. Your auditor prepares the final version with the balance sheet.

[Society name]
Income and Expenditure Account for the year ended 31 March [Year]

EXPENDITURE                              INCOME
Salaries and security       ₹[ ]         Service charges             ₹[ ]
Housekeeping                ₹[ ]         Non-occupancy charges       ₹[ ]
Common electricity          ₹[ ]         Parking charges             ₹[ ]
Water charges               ₹[ ]         Interest on late payment    ₹[ ]
Lift maintenance            ₹[ ]         Interest on deposits        ₹[ ]
Repairs and maintenance     ₹[ ]         Transfer fees and other     ₹[ ]
Property tax (if paid)      ₹[ ]
Insurance                   ₹[ ]
Audit fees                  ₹[ ]
Printing and stationery     ₹[ ]
Bank charges                ₹[ ]
Surplus carried to
balance sheet               ₹[ ]         Deficit (if any)            ₹[ ]
Total                       ₹[ ]         Total                       ₹[ ]

A worked example

A 40 flat society, ₹2,500 a month per flat, in a month where 34 flats paid on time and two cleared old dues:

Opening balance: ₹1,42,300
Maintenance collected (34 of 40): + ₹85,000
Arrears recovered (2 flats): + ₹10,000
Security and housekeeping: − ₹48,000
Common electricity and water: − ₹14,600
Lift AMC and repairs: − ₹9,200
Closing balance: ₹1,65,500

Pending at month end: ₹15,000 from 6 flats. Those six get a personal reminder, using the reminder templates, not a mention in the group.

Which statement is which

Receipts and payments: the actual money in and out of the bank and cash box. What members want every month.
Income and expenditure: income earned and expenses incurred for the year, paid or not, ending in a surplus or deficit.
Balance sheet: what the society owns and owes on 31 March: bank balances, deposits, the sinking and repair funds, dues from members and unpaid bills.

Keeping it in a spreadsheet? The free maintenance Excel sheet has a Summary sheet that builds the monthly account from your collection and expense books.

Quick answers

About society accounts and statements.

A statement of the society's income earned and expenses incurred for a period, usually the financial year, showing a surplus or deficit. It records what belongs to the period even if not yet paid, and leaves out capital items like fixed deposits. It is part of the audited annual accounts with the balance sheet.

Useful next

An account members trust, every month, without the late nights.

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