Each week we bring you one low cost, easy to use tip on how we are helping our clients use AI in their strata management businesses.
Tip #2 - Streamlined Strata Budget Preparation with AI
The problem:
Strata managers spend hours preparing annual budgets, researching cost trends, analysing historical data, and formatting presentations for committee approval. This process typically requires 3+ hours per budget, creating a significant administrative burden for managers handling multiple properties.
What we did:
We implemented Claude AI as a budget preparation assistant, dramatically reducing the time spent on research and initial drafting while improving the quality and accuracy of budget forecasts.
How it works:
- We provide Claude with the property's historical financial data and current requirements.
- Claude analyses the data and produces a preliminary budget forecast based on historical patterns.
- We prompt Claude to reference current economic indicators and industry cost databases (like the Insurance Council of Australia) for up-to-date price escalation information.
- Claude provides sourced projections for key budget items like insurance, utilities, and maintenance costs with specific citations.
- We review, refine, and finalise the AI-generated draft before presentation.
What can be produced:
Using this method, we can produce comprehensive, well-researched budget proposals that include:
- Accurate cost projections based on current market conditions.
- Detailed breakdown of anticipated expenses with growth rationales.
- Clear sourcing for price increase projections (e.g., insurance premium trends from industry reports).
- Professional visualisations showing expense distribution and year-over-year changes.
Why this approach works:
Our AI-assisted budgeting process reduces budget preparation time by approximately 2 hours per property. For a manager handling just one budget per week, that's 100+ hours saved annually that can be redirected to higher-value client services or spent on having a life!
Claude helps our clients:
- Access up-to-date cost projection data from reputable sources.
- Identify spending patterns and anomalies across fiscal years.
- Generate professional, committee-ready documentation.
- Provide transparent, defensible rationales for proposed increases.
How we can help:
Contact us to learn how to implement AI-assisted budget preparation for your strata properties, complete with our framework for ensuring accuracy and compliance with regulatory requirements.
Suggested reading:
AI Tips for Strata Professionals - Legally compliant strata committee minutes without the hassle
Michael Teys advises strata management businesses on improving profitability through professionalisation and streamlined operating systems.
He has more than 30 years’ experience as a strata lawyer and academic and has owned 11 strata management agencies throughout Australia. He has a Master of Philosophy (Built Environment) and Bachelor of Laws. He lectures and writes widely about strata management issues in Australia and internationally.
