ow to allocate a lump sum deposit for rental income less management fees

[LeeMel19]

I have a lump sum rental income deposit which is  minus  the real estate management fee how do i allocate that please

[LRBooks61 · Accepted solution]

Hi

I suggest you allocate it in the following way

4-xxxxx rental income account $xxxxxx - this should be gross income amount

6-xxxxx management fees expense account  this should be entered as a negative figure

eg rent $600 management fee $50 deposit $550

4-xxxx $600

6-xxxx -$50

tax codes are dependent on whether it is commercial or residential 

hope that helps

Lisa