Performing the Move-Out Calculation

1. Locate the lease by using Search or the Lease Navigator.

2. Click the Tenant Ledger button on the sub-navigation bar.

3. Click the Move Out Tenant button above the Tenant Ledger table.

 The following pop-up window, entitled Move Out, will display:

4. Select Reason For Leaving. Select a Termination Code from the drop down menu. Your Propertyware Administrator may modify the Lease Termination Codes in this list from Setup | Customize | Leases.

5. Calculate Security Deposit Interest. This top section displays the total amount of security deposit charges collected from the tenant and the date when the first charge was collected. Use the Calculated Interest field to enter an amount for the earned interest. You can also click the Calculate button to use the calculator to determine the amount of interest earned:

Enter the number of years held, the interest rate, and the manner the interest is compounded. The Calculated Interest will appear below. Click the Done button when you are finished.

6. TheTotal Security Deposit field shows the sum total of the security deposits collected and the calculated interest. Click the Allocate button apply  the security deposit towards any outstanding charges. You can also apply the deposit towards any specific outstanding charges by typing the corresponding amounts in the Current Payment field for each charge.

7. The Unpaid Charges Table displays any outstanding unpaid charges on the tenant ledger. If you need to create an additional charge that will be deducted from the security deposit, then cancel this move out calculation and create a one time charge on the tenant ledger. Unpaid charges paid by the security deposit will show a check in the Paid column.

8. The Security Deposit Refund section displays the remaining security deposit after it has been applied to any unpaid charges. The SECDEP Held For Unpaid Charges field shows the total deduction from the security deposit to pay for unpaid charges. If there is any money left in the security deposit, you can either:

9. • Refund it to the tenant by selecting the Refund option from the dropdown menu. You will then need to select the appropriate bank account from the Pay Refunds From Account dropdown menu. If you plan to manually write a check for the refund, enter the check number in the Ref# field. If you want to generate the check through QuickBooks, you can leave the Ref# field blank and check the To Be Printed box.

   • Forfeit the remaining security deposit by selecting the Forfeit option from the dropdown menu. This option allows your company to recognize the remaining money as income and move the remaining funds in the security deposits account (liability) to the property's income account.

9. Enter Forwarding Address information for the vacating tenant. This Information will be saved in the Contact record for the tenant, and you can use it if you need to contact the tenant for any reason.

10. Click the Save button.

How will Move-Out Transactions Appear on the Tenant Ledger?

Security Deposits applied toward Unpaid Charges: When a security deposit is applied towards unpaid charges, it appears as a Journal Entry on the tenant ledger; a Journal Entry refers to money that has been transferred from one account to another. When no money has been received from the tenant to cover any unpaid charges, you then apply the security deposit towards unpaid charges; that is, you have transferred available funds from the security deposit account to cover unpaid charges.

To view a summary of the journal entry, click the View link that appears in the Action column. This opens a window that displays the date that the security deposit was applied to any unpaid charges. In addition, the Debit/Credit table shows the amount debited from the security deposit account to credit the account for the unpaid charge(s).

Security Deposit Refunds: Any tenant refunds appear on the tenant ledger in a green row. To view the detail of a refund payment to your tenant, click the View button that appears in the Action column.

Note: Refunds can also be viewed from the Money Out Summary page.