Management Fee is a form of service charge that property manager charges to the owner for managing their properties. In our portal, we have automated the management fee calculation for you. It is a very important configuration that the property manager should set at the beginning of the property setup process. This can be set from the property details page.
Based on the management fee settings, our software automatically calculates and creates necessary transactions when the rent payment is received. To set up management fees, please follow the steps below:
- Log in to the portal as super admin.
- Click the Settings icon on the top left (beside the Dashboard icon)
- Click the ‘Management Fee Settings’ option.
- You can globally configure management fees setup or set them for individual property.
- Select the property to configure. The property drop-down list only shows properties that are set (on the property detail page) to be managed by property managers.
- Select (Monthly) management fee type
- Choose if there is an initial setup fee. If yes, please specify the amount.
- Do you want to automate monthly management fee income collection?
- Specify the date of the month you want the system to process this fee (for the previous cycle’s rent collection)
- Choose the tax percentage if you are going to charge any taxes.
- Click ‘Save’ to save the configuration.
Note: If yes, the system will automatically process the ‘Management Fee invoice’ if rental income is enough to cover the management fee for that month. The invoice will remain open for manual processing if the collected rent amount does not cover the management fee.
CAUTION: Please note that this is a very important setup. These settings will impact accounting transactions, reports including the owner’s disbursement report.
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