Service Charge
A recurring charge for shared services or common operations.
Definition
Service Charge is A recurring charge for shared services or common operations. In day-to-day operations, it matters when common services or shared spaces have to be funded, maintained, and explained across multiple occupants.
Operationally, it matters because shared operations become contentious quickly when residents use them but do not understand how they are managed or charged. The term helps connect building service levels to the charges that support them.
Use cases
Use Service Charge to explain how shared services are funded and what they cover.
Review Service Charge when the team needs to tie common-space use back to the charge or rule that supports it.
Track Service Charge so operations can reduce disputes about shared operations before they escalate.