Understanding your strata budget and levies

A friendly guide from the strata experts at Centric Strata

When you live in a strata property, you’re part of a community — and like any community, it takes planning and resources to keep things running smoothly. That’s where your strata budget and levies come in.

At Centric Strata, we know these terms can sometimes feel like jargon, so we’re here to break them down into simple, practical terms so you can feel confident about where your money is going and why it matters.

What is a Strata Budget?

Think of your strata budget as your building’s financial game plan. It’s set each year by the owners corporation and outlines how much money will be needed to:

• Maintain and repair common property (gardens, hallways, lifts, pools, etc.)

• Pay for shared services like cleaning, gardening, and insurance

• Build up a fund for future big-ticket expenses (like roof replacements or repainting)

A well-planned budget ensures your property is well maintained and your investment stays protected.

What Are Strata Levies?

Strata levies are the contributions owners make to cover the costs in the budget. They’re usually paid quarterly and fall into three categories:

How Are Levies Decided?

Each year at your Annual General Meeting (AGM), the owners corporation reviews past spending, estimates future costs, and sets the budget. From there, your levies are calculated based on your unit entitlement (your share of ownership in the building).

If you ever feel unsure about why a levy is a certain amount, remember: the budget is created transparently, and you have the right to ask questions and review the figures.

Why Are Strata Levies So Important?

Paying your levies on time isn’t just about following the rules — it’s about protecting the value of your property and the comfort of your home. Underfunded strata schemes can lead to:

• Deferred maintenance (which often costs more later)

• Lower property values

• Unexpected special levies

A strong, realistic budget means fewer financial surprises and a better living environment for everyone.

Centric Strata’s Approach

We believe in proactive, transparent budgeting. At Centric Strata, we:

• Work closely with owners corporations to create accurate, future-focused budgets

• Ensure levy schedules are fair and clearly explained

• Keep owners informed every step of the way

In Summary

Your strata budget and levies are simply the tools that keep your building safe, functional, and looking its best. By understanding them, you’re better equipped to make informed decisions and protect your investment.

If you’d like expert guidance on your strata budget or have questions about how levies are set, get in touch with the friendly team at Centric Strata. We’re here to make strata living simpler, clearer, and stress-free.