Are you managing a new property where there is an existing tenant and the tenant’s security deposit had previously been paid to owner? The steps below will show you how to properly record it in Rentvine
Step 1 - Create a security deposit lease charge on the lease
- Search for the lease
- In the lease view page, click on the green Actions button
- Select Add Charge from the drop down
- In the New Lease Charge screen, complete the fields
- Select the Account for your security deposits (Typically pick the Owner Held Security Deposit account)
- Enter in the Amount of the security deposit
- The Date Posted will pre-fill, but you can change this if needed
- The Description will pre-fill to the name of the account, but you can change this if needed
- Click the green Save button
Step 2 - Record a credit on the lease and apply it to the owner held security deposit lease charge
- In the lease, click on the green Actions button
- Select Add Credit from the drop down
In the Add Tenant Credit page, complete the fields to record the credit
Top Section - Details
Account - Choose a clearing account (This is usually a liability account)
Amount - Enter the amount to be credited. Should be the same amount of the Owner Held Security Deposit charge
Date Posted - will pre-fill, but you can adjust this if needed
Description - Enter text to describe the transaction
Bottom Section - Charges
Apply the credit to the owner held security deposit charge that was recently created
Click the green Save button
Step 3 - Create a journal entry
- Click on ACCOUNTING from the left navigation menu. Then click on Transactions from the dropdown menu.
- Click on the Green Actions button and select New Journal Entry from the dropdown menu.
Fill out the New Journal Entry form:
- Ledger - Type to search for the applicable property or unit and select it
- Date Posted - Choose a date.
- Description - Type in a comment, ie Record Previously Held Owner Security Deposit.
- Account - Choose the Owner Held Security Deposit account, ie Owner Held Security Deposit.
- Debit - Type in the amount being held by the owner.
- Credit - Type in 0.
- Account - Choose an account, ie Clearing.
- Debit -Type in 0.
- Credit - Type in the amount being held by the owner.
- Click Save