Using Advanced Management Fees, you can calculate different fee percentages for different GL accounts, for example, 10% of rental income, but 50% of income from late fees. You can also set up different percentages for different properties.
Setting up advanced management fees requires:
Creating fee pools. For each fee pool, you specify G/L accounts and percentages for management-fee calculations.
Linking the pools to properties. On the Fee Pool screen, you designate the properties that will use the pool. A property can be linked to multiple pools.
You create one fee pool for each calculation method that you want to use. For example, if you want the fee percentage for rent to be 3.5%, but you want the fee percentage for late fees to be 50%, create one fee pool for rent and another for late fees.
To set up a fee pool
Go to Admin > Toolbox > Advanced Mgmt Fee Set Up.
Click the Add New button.
The New Management Fee Pool screen appears.
Complete the screen.
Code | Enter a unique code. |
Description | Enter the description that will appear as a note on invoices created using this fee pool. If you consolidate fees from multiple pools on a single invoice, this text appears in the Notes field of the associated line item. If you do not consolidate, the description appears in the Notes field for the entire invoice. |
Calc Method | Select Percent if you want to pay a percentage of transactions associated with the G/L accounts specified on the Load Accounts tab. Select Flat Rate if you want to pay a set amount. |
Flat Period | Select Per Month if you want to pay a flat rate per month. Select Calculation if you want to pay a flat rate per calculation. Note: If the Calc Method is Percent, this field is not editable. |
Percent | Enter the management fee percentage of transactions associated with the G/L accounts specified on the Load Accounts tab. If the Calc Method is Flat Rate, this field is not available. You can pay different management fee percentages for different G/L accounts by creating multiple fee pools. For example, you could create a fee pool that pays a 4% commission for the G/L account used for rent, and another fee pool that pays a 6% commission for vending machine income. |
Flat Rate | Enter the management fee amount. If the Calc Method is Percent, this field is not available. |
Minimum Fee | If the management organization should receive a minimum fee each month, enter the amount. |
Book | Select the accounting book (cash, accrual, or user-defined) containing the transactions that you want to base commissions on. |
Negative Tran | Select Yes if you want Breeze to create a credit invoice if the calculated amount of fees is a negative amount. Otherwise, select No. |
Fee Acct | Enter the number for the G/L account for management fee payments or credits. |
A/P Acct Cash Acct | Enter the relevant account numbers, if you want to override the defaults. |
To select accounts for a pool
If Percent is selected as the Calc Method, you need to select accounts. You can select accounts manually, or you can use the Load button.
To select accounts manually, click the 
button to the right of the Account field. A lookup appears, where you can select an account.
To use the Load button, define a range of accounts in Account From and Account To fields. Click Load. Breeze displays the accounts in the lower half of the screen.
After you select the accounts, you can set the following options for them:
Add/Subtract | Add Transaction data increases the commission. This option is typically used for income accounts, but it can also be used to pay commission on expense accounts or cash accounts. Subtract Transaction data decreases the commission. You can use this feature to subtract expenses that are included in lease charges but for which you are not entitled to a commission. |
Exclude JE | If selected, Breeze does not include journal entries made to this account in management-fee calculations. |
Remove | If selected, Breeze removes the row when you save. |
To link properties to a pool
On the Properties tab, click the Add Property button. The Add Property Management Fee Pool screen appears.
Complete the screen:
Property | Select a property. |
Pool | Read-only field, completed by the system. |
Inactive Date | Not applicable for a new pool you are linking to the property. Only complete this field for a pool that is already linked to the property that you want to remove. |
Consolidate Payables | If you want management fees based on this fee pool to be combined with management fees based on other fee pools, select Yes. If you want management fees based on this fee pool to have their own payable, select No. |
Vendor | Enter the vendor code for the property management company. |
Start Date | Enter the first month that the pool will apply to this property. (In this case, “start date” means |
Percent | Completed by the system. If you want to override the percentage specified in the fee pool, edit the amount. |
Minimum Fee | Completed by the system. If you want to override the minimum monthly fee specified in the fee pool, edit the amount. |
Click Save.
Next Steps
After creating a pool and linking it to one or more properties, you can use it to create management fees. Go to Accounting > Accounts Payable > Pay Management Fees (Advanced).