Sinking Fund: Housing Societies' Mandatory Reserve for Major Repairs. 99% Don't Know!

• A Sinking Fund is a long-term reserve for major repairs, reconstruction, and extending building life.
• Mandatory for registered housing societies under Maharashtra Cooperative Housing Society Rules.
• Created by collecting a fixed monthly amount from members, decided at the Annual General Meeting (AGM).
• Rules suggest depositing at least 0.25% of the building's construction cost annually into the fund.
• Used only for major repairs (e.g., structural audit, lift replacement), not general expenses, requiring a General Meeting resolution.