Are you looking for the best property management accounting software program available? If so, you have probably realized that there are plenty of options available. It can be difficult to go through so many options and figure out which one is going to work best for you.
Keep in mind that the best property management program for your community may not be the best property management program for another community. What are a few features you should consider if you are looking for a program that can help you with your accounting? Take a look at some important features below, and remember to contact an expert if you are trying to find the best property management program to meet your needs.
General Ledger Accounting is a Must
The first feature you need to look for is a program that can help you keep track of your general ledger. What this means is that you need a program that can help you track your basic budget. You need to keep track of all the money that is coming into your property management company. Then, you need to have a program that can balance this against your expenses. You have to pay your employees, pay your contractors, and handle your utilities, rent, or mortgage. If the property management program cannot handle a general ledger, you need to find a different option.
Automatic Bank Reconciliation Is Necessary
Next, you need to find a program that can help you with automatic bank reconciliation. You probably have a bank account that you use for your property management team. Then, you need to reconcile this with the individual numbers you have in your own ledger. The numbers need to match. If there is a discrepancy between the numbers you have on your paper and the number you see in your bank account, you need a program that can help you find the difference. This can help you save a significant amount of time when you balance your books.
Handle Your Payments Online
After this, you should locate a program that can help you handle payments online. You may have HOA dues that are coming in from your owners. You may also have rent payments that are coming in from your tenants. You need to find a program that allows people to pay these dues online. That way, you don’t have to worry about handling paper checks or individual bills. This will also automatically create a paper trail that can help you balance your books, keep track of individual ledgers, and protect your owners.
Automatic 1099 Filing
You should also look for a property management program that can help you file your 1099 statements electronically. You probably have a lot of contractors who do work around the community. Even though these payments might be tax-deductible, you still need to report them to the government. That is why you need to file a 1099. This can be a lot of paperwork, and you should try to find a program that can help you do this automatically. If you have any questions about taxes related to your property management company, you should work with a tax professional.
Multiple Levels of HOA Dues
Finally, you may have multiple levels of HOA dues in your community. For example, owners who possess a three-bedroom condo may have larger HOA dues than owners who have a one-bedroom condo. You should find a program that can handle multiple levels of HOA dues. That way, you will have an easier time balancing the ledger. As the community grows, the requirements of your software program might change as well. You should try to find an accounting program that will scale with your community. That way, you don’t have to spend money replacing the program later.
Find the Best Property Management Accounting Program To Meet Your Needs
Every multifamily community is different, and you may be trying to find an accounting program that can help you reconcile your books. Even though you might have an accountant who can do all of this by hand, you may be able to find a software program that can make this process easier. That way, you can save time and money. Remember that the best property management program for your community is not necessarily going to be the same as the best program for another community. If you have questions or concerns about which program is best for you, you may want to call an expert for help.