How Much Does Strata Management Cost in Australia?

strata costs
Posted on Posted in News, Strata Management

Strata management services help owners living with strata title better manage the property that is shared with other owners. These services help take the hassle out of managing common property, liaising with owners and organising the accounts. We understand you might have questions in relation to the cost of strata management. Here are responses to frequently asked questions.

What are Strata Fees?

Strata fees are the payments you make to the organisation that helps manage your owners’ corporation. If you are a member of an owners’ corporation, because you own a property that is on land which is shared with other properties, you will have to pay fees to those that manage common property and strata relations. Owners can choose to self-manage their strata or engage a third party professional service provider.

What do Strata Maintenance Fees Include?

We offer three packages to our clients. Depending on the package you choose, the price and type of services differ.

(1) Owner controlled

Regain control of your strata property. Our leading strata software solution provides you with all the tools you need to successfully manage your strata community. Communicate whenever you need, manage your financials, raise levies, arrange and conduct meetings, issue minutes, log maintenance requests, and more all in quick and easy steps.

(2) Administration support package

Our Strata Administration Support Package allows you to manage your affairs by conducting your own meetings and remaining in control of all decisions affecting the owners. All this can be done while your strata community is backed by an experienced and qualified support team who take care of the administration (i.e. raising owners’ levies and recording bill payments).

(3) Fully managed

For those who are time poor, all your strata management requirements can be managed by a team of first-class strata managers. This means you get all the benefits of our leading online platform plus great communication tools and complete transparency to all owners in their strata affairs 24/7.

How Much Are Strata Management Fees?

The packages described above are prices as follows:

1) Owner controlled ($7 per unit / per month);
2) Administration support package ($9.50 per unit / per month); and
3) Fully managed ($21 per unit / per month).

Are Strata Fees Tax Deductible?

Strata fees are only tax deductible if they are incurred in the pursuit of earning income. If you are an owner-occupier, you cannot claim a tax deduction for the expense you incur in paying strata management fees as you are not earning any income. However, if you are an investor, you can claim the expense as a tax deduction against the rental income you derive from the property. Remember, you can also partly occupy and partly rent your property. This will attract proportionate deductions for expenses. Speak to your accountant to learn more.

Do Strata Fees Cover Building Insurance?

Strata fees may include building insurance. This depends on the agreement you negotiate with the strata management service provider. Remember, building insurance relates to the building (i.e. all items that are attached to the building). This is different to contents insurance (i.e. this typically relates to all items that are not attached to the building). However, make sure you read the wording of the policy as the inclusions and exclusions will differ between insurance providers.

The underlying premiums of the building insurance policy will be borne by the owners as the strata management service provider will pass on the cost to the owners which will be incorporated in the strata fees that are paid.

Are Strata Fees Paid Monthly or Yearly?

Strata fees can be paid monthly or yearly depending on the negotiated agreement. It is important you consult your accountant to check what option is best for your cash flow needs. A yearly fee will require a higher once-off payment, whereas periodic monthly fees may be easier to pay as they are smaller. Strata fees can also be paid quarterly or half-yearly too. Make sure you discuss this with your strata management service provider so that you choose an option that best suits your needs.

Do Strata Fees Include GST?

Strata fees may include GST (i.e. depending on whether the service provider is registered for GST or not). Goods and Services Tax, otherwise known more commonly as GST, is a tax levied by the Australian Government. There are reasons why GST might not apply, however this discussion is beyond the scope of this blog. At present, the GST is 10% on the value of the goods and/or services provided. In Australia, it is common for a service provider to quote an amount which is inclusive of GST. However, it is always wise to check this because 10% on a sum can be a small or large amount. GST is paid directly to the service provider providing the services.

Do Strata Fees Include Utilities?

Strata fee payments do not include payment to utility providers such as electricity retailers, gas retailers, water authorities and telecommunication retailers. All these entities are different because a strata management service provider does not provide utility services. While a strata management service provider can help recommend utility providers, they typically do not commission any services to your property.

Do Strata Fees Cover Council Rates?

Strata fees and council rates are two different things. Strata fees are fees paid to a third party service provider that provides strata management services to the owners’ corporation. Council rates are fees paid to the local council or municipality in relation to the land that you own. The strata management service provider and the local council are two separate entities.

What is The Cost Of Strata Management?

As discussed above, the cost of strata management varies. There is an endless number of services that can be provided which are tailored to your needs. Remember to discuss your specific needs with your strata management provider so the services complement your requirements.


At Our Body Copy, we offer helpful, user-friendly and comprehensive cloud solutions to help you manage your strata properties with ease. If you own all the properties subject to strata title, or are a member of an owners’ corporation committee together with other owners, our strata management services help keep you in control of your owners’ corporation. For more information, browse our website or call us on 1300 848 343.


Related Posts:

Strata Management Services to Suit Your Needs

Owners in Control of Strata Management

Strata Management Duties and Responsibilities in Australia

Difference Between Body Corporate and Strata Title?

9 Factors to Consider When Choosing A Strata Management Company in Australia

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7 thoughts on “How Much Does Strata Management Cost in Australia?

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