You can have Breeze calculate management fees and pay them over to your property management company.
This function requires the following setup:
Make specific GL accounts subject to fees.
Verify the account for management fees.
Set up the management fee percentage and minimum amount at the system level, on the Company Settings screen.
Set up the management fee percentage and minimum amount at the property level.
Finally, set up your property management company as a vendor, so you can create payables.
Each step is explained below.
Making Specific GL Accounts Subject to Fees
Open the relevant GL Account screen. (For this example, we used the Storage Fees GL Account).
Select the Subject to Management Fee check box.
Typically, you would make most of the income accounts subject to management fees: Rent, Miscellaneous Income, Parking, and so on.
Late Fees are a special case. If the contract with your owners allows you to keep 100% of Late Fees, do not select the Subject to Management Fee check box for the Late Fee account. Instead, you can include the late fees when you calculate management fees. If you only receive a percentage of Late Fees (as you do for other income accounts), select the check box.
Verifying the Management Fee Account
Check that your database has an account for management fees (Admin > GL Account).
If you are using the pre-configured chart of accounts, the Management Fee Account is 6820.
If the account does not exist, set it up, using the screenshot above as a guide.
Entering the Management Fee Percentage at the System Level
At the system level, you set up defaults for the management fee percentage and the minimum amount. At the property level, you can change them.
Go to the Company Settings screen. (Click your name in the upper right-hand corner of the screen and select Company Settings.)
Open the Account Settings tab.
Enter the management fee percent and the minimum amount.
The minimum amount is applied per property. The minimum is used if the calculated amount is lower than the minimum.
Entering the Management Fee Percentage at the Property Level
New properties inherit the percentage and minimum amount from the Company Settings screen. At the property level, you can edit them. (Note: Properties added before you set up management fees will not inherit the settings from the system level; you will have to add them manually.)
Go to the Property screen.
When Breeze calculates management fees, it uses the settings at the property level.
Setting up Your Property Management Company as a Vendor
Go to Vendors > Add New.
Add your company as a vendor so that you can create payables for it.
Running Management Fees
To calculate fees and create payables, go to Accounting > Monthly Tasks > Pay Management Fees.