SUBSIDIZED RENT

To explain the process for using Tenant Pro with subsidized rent
(Section 8, HUD, HAP)

Instructions

Create a new income account (4000-4999) for the portion of rent income that the Government will be paying. An example of a name for this income account could be: Subsidy Income.

2. Enter the Tenant that receives assistance– Example: Sally Smith. (Refer to the Chapter in your user manual labeled “Tenant Setup” for more information). Create a Tenant for the Government. This "tenant" will be responsible for the portion of the Tenant Rent under the agreement. Move this "tenant" into the same unit as a roommate – Example: Sally SmithGov. The unit should be setup for roommates as ‘Individually Responsible’. (Refer to the Chapter in your user manual labeled “Unit Setup” for more information).

3. Setup and create the recurring charge for the amount of rent the actual Tenant is responsible for paying in the ‘Charges’ tab in the Tenant window. Normally you will use account 4000 as your rental account. Setup and create the recurring charge for the amount of rent the Government Tenant is responsible for paying in the ‘Charges’ tab in the Government Tenant window. You should use the chart of account number that you created for Subsidy Income for the Government "tenants" (Refer to the Chapter in your user manual labeled “Creating Tenant Recurring Charges & Late Fees” for more information).

4. Create the recurring charges for both Tenants for the month. (Refer to the Chapter in your user manual labeled “Creating Tenant Recurring Charges & Late Fees” for more information).

5. When the Government makes the payment, go to Accounting>Tenant Payment>Add – Select the Government Tenant (Sally SmithGov) from the list; enter date; amount; check number; memo (optional); deposit date, deposit number, bank account where money is to be deposited. Pay close attention to the Payment Distribution to ensure that the payment is being applied to the correct charge.

6. When the Tenant makes the payment, you will do the same, except you will select the Tenant (Sally Smith) from the list.