End of Year Accounting

Rentec Direct property management software provides the steps and tools to accomplish important end of year financial tasks. 

Pro Tips:

General Housekeeping


The Summary page will be the best place to start. When you’re on the Summary page, make sure All Properties is indicated in the upper right hand corner.

  • Click on the reminder bell to review pending tasks
  • Complete any open work orders
  • Finish pending move-outs
  • Review tenants, vendors, and owners if applicable information for accuracy
  • Verify Tax ID#s for company, owners, and vendors
  • Review property inusurance

Reports to Review in Rentec Direct:

  • Review lease expiration report
  • Review Delinquent Tenant report for issues that may need to be addressed

End-of-Year Accounting Tasks in Rentec Direct:

  • Post expenses that haven’t been entered
  • Check Tenant Security Deposits for accuracy, your Tenant Security Deposit report will give you a current view
  • Review and change “Uncategorized” transactions using the Balance Discrepancy Report
  • Reconcile bank accounts
  • Pull Account Balances reports to make sure accounts balance. (Bank account balance should = Properties + Owners)
  • All Properties
  • Bank Accounts
  • Owners (if applicable)


    Note: To save time and keep financial records accurate it is highly recommended to perform 3-Way reconciliations monthly on operating and deposit accounts.

  • Confirm that you’ve done all 12 months 3-Way reconciliations
  • Send out any required statements. If you file 1099s electronically through Rentec Direct, copies of 1099s are sent out for you
  • Owners - Send Owners Year to Date Statements
  • Vendors, the vendor ledger report can be provided
  • Tenants - If you are required to provide tenants with ledger reports, pull the multi-tenant ledger report per property

Notes: 

  • Bank balance should equal Property and Owners combined. If tenant security deposits are held in a separate bank account, they should be reconciled separately OR included in the bank total on the balance sheet.
  • Trial Balance B report should match owner ledger balance plus security deposits held

Forecasting

This is a great time to incorporate time saving automated features and reports and review any required or internal updates to rental agreements, policies, and procedures.

Common considerations include:

  • Update your Business Plan to meet your business goals
  • Review upcoming trends or changes in rates or fees
  • Review new laws in your area
  • Review any upcoming large expenses, such as remodels or improvements and create a budget
  • Make a Marketing Plan
  • Updating internal policies and procedures
  • Schedule the balance sheet to automatically be emailed to yourself
  • Updating lease or rental agreements. The following is a suggested list to review:
      • Change in rates
      • Add consent for electronic communications
      • Include tenant authorization for electronic payments and applicable fees
      • Renters Insurance requirements
      • Pet policy
  • Updating Management Agreements. Some items you may want to review include:
    • Consent for electronic communications
    • Clarification of handling of convenience fees and other management fees
    • Schedule owner statements to automatically be sent to owners
  • New services 
    • Tenant lead management
      • Tenant Turner
      • ShowMojo

HELPFUL LINKS:

Your Rentec Direct Client SuccessTeam is here to help.

1-800-881-5139 ext 2 success@rentecdirect.com

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