QLD: Can a strata committee member increase their own payment?

This article discusses strata committee self payment, explaining that members can’t increase their own pay without approval and must follow the proper legal process.

Question: Can a committee member organises to pay themselves an entitlement fee and then request to double their pay after 6 months?

Answer: Request an honorarium be paid to any strata committee member that has conducted work beyond what a normal strata committee would do.

The quick answer is no, not without an order of the NSW Civil & Administrative Tribunal to vary your contributions under section 87 of the Strata Schemes Management Act 2015 (see below). Instead of taking this path I would instead encourage you to request an honorarium be paid to any strata committee member that has conducted work beyond what a normal strata committee would do. This is permitted under section 46 of the Strata Schemes Management Act 2015 (see below). It must be passed by way of an ordinary resolution at a general meeting and can only be for past services.

46 PAYMENT OF OFFICERS OF OWNERS CORPORATION

An owners corporation may pay to a person who is an officer of the owners corporation or another member of the strata committee of the owners corporation an amount determined by the owners corporation at an annual general meeting in recognition of services performed by the person for the owners corporation in the period since the last annual general meeting.

87 ORDERS VARYING CONTRIBUTIONS OR PAYMENT METHODS

1. The Tribunal may, on application, make either or both of the following orders if the Tribunal considers that any amount levied or proposed to be levied by way of contributions is inadequate or excessive or that the manner of payment of contributions is unreasonable–
   
   1. an order for payment of contributions of a different amount,
   
   
   2. an order for payment of contributions in a different manner.


2. An application for an order may be made by the lessor of a leasehold strata scheme, an owners corporation, an owner or a mortgagee in possession

This post appears in the September 2022 edition of The NSW Strata Magazine.

Allison Benson Kerin Benson Lawyers E: allison@kerinbensonlawyers.com.au P: 02 4032 7990