It’s safe to say that no one likes the IRS.
If you do, then you are un-informed about the history of the IRS and probably still believe that republicans and democrats are actually “fighting” on TV as well as believe everything the media says. FYI, all politicians are on the same team: THE MONEY TEAM. Sorry to be so harsh! But if you’re like me and want to keep track of your funds so you don’t over pay the IRS, you’ll want to learn these accounting techniques listed below!
Let’s just say, we live in a big SHAM and we’ve been lied to and misled our whole lives about the IRS and the government! But that’s neither here nor there, I won’t let my disdain for the government interfere (too much) with this article.
Since we have to pay taxes to a FOR PROFIT entity called the IRS, here are some accounting techniques to keep track of your funds:
- Keep track of all tenant move in’s/out’s
- Make sure the first and last name, date and length of stay is documented.
- Make sure all maintenance records are kept under the tenant as well as the date.
- Account for all payables and receivables
- Make sure any money received is accounted for. Date, amount, what it’s for, who it’s from.
- Make sure any money paid is accounted for. Date, amount, what it’s for, who it’s being paid to.
- Have all vendors fill out a w9 form
- Any vendor paid over $600 needs to be sent a 1099 form (unless you want to pay taxes for that person).
- Put everything in an excel spreadsheet
- You’ll want to create your own P&L (profit and loss) statement.
- Give the P&L to your tax professional for write offs, etc.
At TGN Property Management, we handle all these aspects. We keep 100% accurate accounting and maintenance records. We are required by the BRE each month to reconcile our bank account to make sure everything is in balance. We provide owner P&L’s at any time requested. As an owner you can also access your statements online via www.TGNPropertyManagement.com. At TGN we are 100% paperless and oh so fancy! TGN PROPERTY MANAGEMENT LINK
Keeping track of all your tenants moving in and out with a AirBNB vacation rental can be a task. That’s a possible 30 guests in one month you have to account for! At TGN we pay an arm and a leg (no offense Appfolio – we still love you!) for our property management software that helps us keep flawless records of EVERYTHING. Appfolio is the Ferrari or Lamborghini of the property management software companies.
If you dont want the hassle of keeping your property profitable, call TGN today at 310 623 2704.