We know that the end of the month can sometimes be a little bit stressful. We're taking steps to help reduce that stress where we can, that's why we have created a quick-read guide to help you understand your end-of-month statements.

 

Take a moment to scan over this article, and any questions you may have about your statement should be answered:

 

Starting with an example statement, this is what you will receive in your client account portal. We have labelled the key sections with markers, please refer to the descriptions below to identify each area of the statement.

 

 

A) Start/End: This section gives you a quick view of the dates covered on this statement, including a total disbursement figure.

 

B) Landlord details: Here you will find confirmation of your contact details, company name (if applicable), address, and landlord client number.

 

C) Full statement summary: This shows your total rents, works, sundry (see the point 'I' for more information on this), management fees and your disbursement total.

 

D) Your payment: The number will reflect the amount you will receive in your bank.

 

E) Property: The address of your property(ies) that are registered under your client account.

 

F) Tenant paid to: This shows the date that your tenant's rent is paid up to. Tenants typically pay their rent one month in advance and if this is the case, should be paid 1 month in front at all times. 

 

G) Last tenant owed to date: If your tenant owes any rent, the amount that they owe (on the day that the statement was produced), will be shown here. For example, if a tenant is 1 week overdue on their rent, the cost of 1 week's rent will show here. 

 

 

H) Rents: All rents paid, for each address within the statement period, are shown here.

 

I) Net sundry expense: This figure shows expenses that don’t fall under typical ‘works’, for example, our letting fee would show here. This column will also be used if we pay any bills on your behalf such as council tax. Should we need to credit your account, perhaps if we receive a deposit back from a previous tenant deposit, this amount would also show here. 

 

J) Works: Deductions for works invoices are shown here. The correlating invoices will be on your client portal in your ‘invoices’ folder. 

 

K) Management Fees: This shows the management fees deducted within the statement period. The management fees are charged based on the rent collected, therefore, if only half of the rent is collected within your statement period, only half a management fee is deducted. 

 

L) Disbursed: This amount is your gross rent less any sundry expenses, works and management fees. Essentially it’s what you get paid from each property after the costs.

 

M) Balance to carry forward: A statement may have been generated but no funds paid to you (if you have works deducted from your account but your rent has not yet been received). Any balance carried forward will show here. 

 

 

Let's take another look at the statement we saw previously. You can see that it is dated for everything from 3rd November 2022 - 21st November 2022. The total rent received in this period was £750. Following deductions, the amount the landlord will receive is £600.00 with a total works deduction of £60.00 and the total management fee deduction of £90.00.

 

This tenant's rent is due 1st of each month, their rent is £500.00 which they paid in full. They are therefore paid up to 1st December 2022. The management fee is 10% + VAT, £60.00 inc VAT management fee has been deducted. With £500.00 rent and £60.00 in management fees deducted, £440.00 has been disbursed for this property.

 

This tenant's rent is due 14th of each month. Their rent is £500.00 and they have only paid £250.00, the tenant is therefore paid until 29th November (it could be that these tenants are vacating on 29th November). The landlord has carried out a Gas Safety Check at the property, a £60.00 inc VAT works fee has been deducted for this. As only 50% of the rent has been collected, only 50% of the management fee has been charged, £30.00 inc VAT. With £250.00 rent, £60.00 works and £30.00 in management fees deducted, £160.00 has been disbursed for this property.

 

This tenant's rent is due on the 18th of each month. The tenant has not paid on the 18th of November and therefore they are only paid up to the 18th of November 2022. The ‘last tenant owed to date’ shows the 4 days of rent owed from the 18th of November through to the 22nd of November (current date). This will continue to increase every day at the daily rental rate. As no rent has been collected, no management fee has been charged.

 

We hope this helps you in understanding your statements, but as always, if you have any other questions, you can reach out to our Finance Team. Give us a call on 01482 562 562 if you need further assistance.