This article will take you step by step on how to enter a new Chart of Account (COA) in Rentvine.A chart of accounts (COA) is a list of all the accounts you must use to record financial transactions in your general ledger. It helps you keep track of where money comes from and goes. A chart of accounts is integral to your bookkeeping, accounting, and financial reporting.
- In your Global Settings locate "Chart of Accounts" under the Accounting header.
- Next click the "New Account" button in the top right hand corner
You will be able to enter any name and account number of your choosing.
The system will bring up an error if the account number you have selected is already in use.
- You will have different options to select from when choosing an account type.
- When selecting your Account Type, Account Settings to configure, these settings vary depending on the account selected.
The picture above is an example of the toggles you can configure when selecting the Income account type.
Account Category is an option to help you group your Chart of Accounts.
- The different toggles are:
- Subject to Management Fees - If toggled on, the COA will take a percentage as management fees. The percent value used is the "Percent of Rent Payments" that is defined in the Management Fee settings of the property. (ie, if the Rent Income COA has this toggle turned on, then 10% of the rent payment will be collected as a management fee based on the example image.)
- Subject to Late Fees - If toggled on, the COA is subject to late fees that are defined by the the Late Fee settings on the lease.
- Use for Rent Tracking - If toggled on, the COA is used for Rent reporting purposes. (ie, Rent Roll Report, used to calculate Actual Rent on a lease)
- Use for Tax Tracking - If toggled on, the COA is subject to 1099 reporting. The amounts will be reported as income on 1099's.
- Include on Budget Report - If toggled on, the COA will be included in budget reports and be accessible when creating / editing budgets for properties.
- Use for Prepayment Tracking - If toggled on, the COA is used to track the prepayment balance on portfolio ledgers.
- Use Security Deposit Tracking - If toggled on, the COA is used to track Security Deposit held balance on leases and on portfolio ledgers.
- Use for Tracking Management Fees - If toggled on, the COA is used to track management fees for reporting purposes.
- Subject to Sales Tax - If toggled on, the COA is subject to sales tax that is defined by the Sales Tax setting on the property.
- Track as Held - If toggled on, Liability type accounts are excluded from the Operating Balance. Toggle it OFF if you want to include liability accounts in the Operating Balance. An example where you would want to to turn this OFF is for an Owner Held Security Deposit account or for COA's that are tracking loans to an owner
- Exempt from Bill Approval - If toggled on, the COA will skip the bill approval process. This is used if you have Bill Approvals enabled in your Accounting settings.