Utah HOA dues & late fees: the § 57-8a-201 limits
Utah caps what an HOA may charge for a late assessment: a late fee of no more than the greater of 10% of the assessment or $50, plus interest of up to 1.5% per month on the assessment and late fee. And no fee under this section is valid until the board has adopted a fee schedule by rule — following the § 57-8a-217 rulemaking process — and provided a copy to every lot owner.
(4) The board of directors may impose, for a late payment: (a) a late fee, not to exceed the greater of: (i) 10% of the assessment amount; or (ii) $50; and (b) interest on the assessment and late fee of up to 1.5% per month. (5) Before imposing a fee under this section, the board of directors shall: (a) adopt a fee schedule by rule in accordance with Section 57-8a-217 that describes the amount of fee the board shall impose; and (b) provide a copy of the fee schedule to each lot owner.
What it means for your board
The debt is automatic; the fees are not
Each owner owes their proportionate share of common expenses in the amount and on the schedule the board sets under the declaration or bylaws — the assessment is a debt from the moment it's made. But the late fee and interest don't follow automatically: they exist only if the board has done the paperwork first.
Adopt the fee schedule before you need it
Before imposing any fee under this section, the board must adopt a fee schedule by rule — which means the full § 57-8a-217 process: 15 days' notice, an open forum, and delivery of the adopted rule — and provide a copy to each lot owner. A late fee charged without that schedule on file isn't authorized by the statute.
The cap in practice
On a $200 monthly assessment, 10% is $20 — so the cap is $50, the greater figure. On a $1,200 special assessment, the cap is $120. Interest can run up to 1.5% per month on both the assessment and the late fee, which is 18% annualized — meaningful pressure, but only when applied correctly and consistently.
Collections is a sequence, not an event
Statement, late fee, interest, demand letter, then the § 57-8a-301 lien conversation — in that order, each step documented. Boards that charge what the schedule says, every time, win disputes before they start; boards that improvise amounts hand the owner a defense.
Enter the assessment and its due date — get the lawful late fee, the interest math, and every statutory date from first notice to the 180-day foreclosure floor.
Build a collections timelineCommon questions
How much can an HOA charge in late fees in Utah?
No more than the greater of 10% of the assessment or $50 per late payment, plus interest of up to 1.5% per month on the assessment and late fee, under Utah Code § 57-8a-201(4). The board must first adopt a fee schedule by rule and provide it to every owner.
Can a Utah HOA charge interest on unpaid dues?
Yes — up to 1.5% per month (18% per year) on the assessment and the late fee, but only after the board has adopted a fee schedule by rule under § 57-8a-217 and delivered a copy to each lot owner.
Is an HOA assessment legally a debt in Utah?
Yes. Under § 57-8a-201, an assessment is a debt of the owner from the time it is made — which is what lets the association's § 57-8a-301 lien secure it, along with collection costs and interest.
What if the HOA never adopted a fee schedule?
Then fees under this section aren't authorized. The statute says the board shall adopt a fee schedule by rule and provide a copy to each owner before imposing a fee — a late fee with no schedule behind it is open to challenge.
Kahoa answers your homeowners with these citations built in
Every statute on this page ships inside Kahoa's Utah pack — modern HOA management software your board supervises. Upload your CC&Rs and the correspondence desk drafts replies to homeowner email with the statute and your own documents cited — your board approves and sends.
This page explains Utah statute in plain language for community boards and homeowners. It is general information, not legal advice, and it isn't a substitute for reading the statute or talking to a Utah attorney about your association's specific situation. Statute text quoted from le.utah.gov, current as of the verification date shown above.
Statute data from Kahoa's open Utah statute pack (CC-BY-SA-4.0) · verified July 29, 2026