See Also Help PDF document # 208 (Payment Recorded in Error)
or Help PDF document #235 (Tenant Deducts from Rent Payment)
Use this procedure if you want to credit the tenant for rent due or return rent previously paid.
When a tenant pays less than the full amount of rent because he paid for something the owner is to reimburse him for, you will need to record transactions prior to posting the rent payment so that the rent credited to the owner and management fees credited to the management group are in the proper amounts.
The process involves increasing the tenant’s open credits (balance) by the amount of the deduction. This is done using the AR - Receivables, Adjust Open Credit function. The account selected should correspond to the reason for the deduction. If it doesn’t then a memo should reflect the circumstances. Posting the transaction will decrease the owner balance by increasing the liabilities and will increase the tenant’s open credits.
When posting the tenant’s rent payment, enter the amount actually received and use the open credits to fully pay off the rent. This will result in the owner getting the full rent amount, the tenant getting credit for paying the full rent amount, and the management group getting the entire management fee.
Create the Credit
1.
|
Go to <<AR, Adjust Open Credits>>
|
2.
|
Select the [Tenant] or [Unit].
|
3.
|
Select the [Account]. The account should correspond to the reason for the deduction. If it doesn’t then a memo should reflect the circumstances.
|
Posting the transaction will decrease the owner balance by increasing the liabilities and will increase the tenant’s open credits.
Post the Payment
When posting the tenant’s rent payment, enter the amount actually received and use the open credits to fully pay off the rent.
1.
|
Go to <<AR, Tenant Receipt>>
|
2.
|
Select the [Tenant] or [Unit]
|
3.
|
Enter the [Amount] of the payment actually received.
|
4.
|
Be sure the Apply Open Credits checkbox is marked - this will use the amount in open credits to pay off the charges.
|
5.
|
Verify that the payment amount plus the open credits are being used to pay off charges.
|
This will result in the owner getting the full rent amount, the tenant getting credit for paying the full rent amount, and the management group getting the entire management fee.
|