FAQ > Managing Property Owners

How is an Owner’s beginning balance recorded?

It’s important to keep track of the cash balance you have with an owner client. In order to record your beginning cash balance, let’s take a specific example.

Gabe Carlos is an owner client for whom you’ve started to track transaction data in SimplifyEm.com Property Management Software starting on July 1st 2012. You have a beginning balance with him of $500.00. We need to record the $500.00 as owner contribution as of June 30th 2012 so that it will show up as owner’s beginning balance on July 1st 2012.

The reason we are using June 30th 2012 is because we need to record the owner’s contribution a day before the actual tracking start date (July 1st 2012).

You would do the following to record the $500.00 as beginning balance:

1. Go to the owners page by clicking on the ‘Owners’ tab of the left of the page.

2. Hover over ‘Take Actions’ for the corresponding owner’s row and click the ‘Record Owner Contributions’ option from the dropdown list.

3. The Multiple Owner Contributions page opens up.

4. You can now add the owner contribution of $500.00 as of June 30th 2012 and click the ‘Record Owner Contributions’ button.

The owner’s beginning balance will show up in the Owner Balance History table:

The Beginning balance for each month is calculated based on the ending balance of the previous month.

For example if your previous month ending balance was $500.00, then your current month beginning balance will be $500.00.

The owner’s ending balance for each month is calculated based on the income, expense, owner draw and owner contribution transactions that occurred during the month.