accounting for rental property expense

[Carol D]

We have a rental property handled by a management company.
The rent charged is 1500 per month. The management company takes 8% so we get a rent payment of 1380.00 each month.
For this year we have just recorded the rent payment to a contribution fund directed to an income account for Rent.

Now this month our rent payment was only 1231 because there was an expense paid of 149 by the management company.
Again the rent was received thru contributions module as 1231 and a comment was entered that there was a 149 expense subtracted.

My question is this, should I be recording some other types of transactions to account for this 149?
I am not paying an invoice, the management company does that.

Any help or advice with this situation would be appreciated.

Carol D

[NeilZ]

We have a rental property handled by a management company.
The rent charged is 1500 per month. The management company takes 8% so we get a rent payment of 1380.00 each month.
For this year we have just recorded the rent payment to a contribution fund directed to an income account for Rent.

Now this month our rent payment was only 1231 because there was an expense paid of 149 by the management company.
Again the rent was received thru contributions module as 1231 and a comment was entered that there was a 149 expense subtracted.

My question is this, should I be recording some other types of transactions to account for this 149?
I am not paying an invoice, the management company does that.

Any help or advice with this situation would be appreciated.

Carol D

Since you have a management company doing all the work managing and maintaining the property, you should be getting a statement each month of costs, etc.

I'm guessing this income goes directly to the operations income for the congregation. In which case you may not need to do anything but maintain the monthly reports, and enter the income.

However, if your church board needs to see all the expenses, then you're going to have to change the way you're entering the monthly income. I would check with an accountant who is familiar with fund accounting for advice on what to do, especially if this property is not covered by any religious property tax exemption.