The question, “What is a Reserve Study?” is commonly asked to us. A Reserve Study is a tool used by Community Association Managers and Board of Directors to assist in the Budget preparation process. A Reserve Study identifies those common area assets that require reserve funding and then projects their associated costs into the future. The Reserve Study will evaluate the current status of the Reserve Fund, provide a recommended contribution rate and (the funding plan) that should be going into the Reserve Fund on a regular basis.