I have separate accounts where I keep security deposits. I’m not tracking these accounts via Stessa, but the money moves through my account that I do track on the way in and on the way out. Sometimes on the way out, they don’t get the full amount back.
I’m looking for a way to properly label the money that comes in, something like “Security Deposit → Tenant Funds”, and the money that goes out. Something like “Security Deposit → Tenant Refund”
I am also trying to figure this out. I keep all my tenant security deposits in one account. I did link that account to Stessa. However, I don’t have that account associated to a particular property. How do I properly account for refundable tenant security deposits in Stessa?
There’s a top-level category called “Security Deposits” that’s designed for precisely this purpose. It’s treated as a “Transfer” account, which means the transactions don’t show up in your financial reporting (since you’re simply holding the funds in trust).
Check out this separate thread on How to apply security deposit to balance of rent due
Thanks Devin, this is what I needed. So since it’s a transfer account, I don’t need to track my separate account in Stessa? Is that correct?
@opninvestmentsllc If by “separate account” you mean a bank account, it’s really up to you and depends on how much transparency and detail you need to see on an ongoing basis.