Introduction

There are two general types of clients:

Owner-type

When ownership of a unit changes, you will simply Move In the new owner. The new owner is moved-in at the same time as the old owner is moved-out. There is no Vacancy period. Any existing balance remains with the unit and is assumed by the new owner. The processing for an Owner Move-In is described below.

Rental-type

When residency changes in a Rental-type unit, the old resident moves out, the unit becomes "Vacant", the new resident moves in. Any existing balance, as well as any Deposit on-hand, belong to the old resident. These are transferred out of the unit -- into a Move-out unit for further processing.

The following concepts and procedures apply to Rental-Type Clients:

• Vacant Units
• MoveOut Unit
• Notice of Move-Out
• Move-Out
• Notice of Move-In
• Receipt of Deposit Prior to Move-In
• Move-In

Owner Move-In

The new owner is moved-in via the Trust Recievable > Unit Information > Maintain Unit File menu screen. When you select the Move-In button, the following processing occurs:

1. A Name and Address window is displayed, prompting you to enter the information for the new owner.
2. ACH information, if any, is cleared.
3. The Effective Date is updated to the current date.

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Notice of MoveOut

To record a notice of Moveout, click on the arrow to expand the Activity Dates section. The Notice date reflects the date you received notices. The Effective date reflects the actual date of move-out.

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Move-Out

When tenants actually move out of their unit, the Move-Out process should be completed on your system. Do not process the Move-Out until the tenant has actually moved out. The Moveout Process converts the unit to Vacant and transfers any balance to the Moveout Unit:

1. The unit is set as "VACANT" which means:
• The resident name is no longer associated with the unit.
• ACH information, if any, is cleared.
• A Move-Out activity record is created.
• Transactions are restricted. The balance on a Vacant unit will remain at 0.
  • No transactions can be posted to the unit.
  • Any Primary Charge processed by the system will be offset by a Vacancy credit.
  • Other Charges will not be posted to the unit.
  • Payments can only be applied to UNAPPLY.
2. The account balance is zeroed out and moved to the MOVEOUT Unit. This guarantees the new resident begins with a zero balance. You will use the MOVEOUT unit to apply any charges, refund any deposit due, or write-off any unrecoverable money owed.

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Vacant Units

Only Rental-type clients can have Vacant units. A unit is in a vacant status following the processing of a Move-Out. Vacant units are unique as they are FROZEN, meaning no transactions or changes can be made to them until a resident is moved-in. The one exception is receipts can be posted, but they are always posted to the UNAPPLY hold area and have no effect on the unit balance.

Secondly, vacant units are special when it comes to the End-of-Month (EOM) automatic invoice creation (for creating next months invoices). If a unit is Vacant at this time, and the Client is a Rental-type client, a primary charge, and a corresponding vacancy credit, will be created. No additional charges will be created and they are ignored, for billing purposes, until someone moves into the unit.

During the T/R EOM processing, any Vacant unit will have a 'VAC' credit created for the exact same amount as the primary charge. The 'VAC' credit and the primary charge are then paid off (as though the VAC was applied to the primary charge). Only the Primary Charge is processed. Other Charges are not processed on a Vacant unit. This ensures all delinquent agings will show no amount due for units vacant at the beginning of the month.

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MoveOut Unit

The MoveOut unit exists to process all transactions for a prior resident. The unit number is normally MOVEOUT, but may be named differently through "Tools > Settings > General > Corporate Data" option.

When a Move-out is processed, the unit balance is zeroed out and the deposit is reversed. The following offsetting transactions occur to the MOVEOUT unit with an effective date of the move-out date minus 1:

• One net credit/charge for the net amount due is created and uses the "MVO" transaction code.
• One security deposit charge (to apply the deposit) is created and uses the "DEP" transaction code.

All adjustments to the moveout account will be done through the "Apply and Clean-Up Accounts" T/R module process, where you will be asked to identify the old unit# (when selecting the moveout account). If a unit# is selected then only the transactions for the selected unit# will be available.

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Notice of MoveIn

To record a notice of Move In, click on the arrow to expand the Activity Dates section. The Notice date reflects the date you received notices. The Effective date reflects the actual date of move-in.

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Receipt of Deposit Prior to Move-In

If a deposit is received on a unit before it is VACANT, the payment should be posted as UNAPPLIED. The payment will post to the bank account, but will not be applied to the unit.

The payment will remain in the unit record as UNAPPLIED until the resident moves in and the payment can be applied to any Deposit due.

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Move-In

When new tenants actually move into their unit, process the move-in on your system. Do not process the Move-In until the tenant has actually moved in. When you complete the Move-In, the name on the unit is updated with the new tenant information and you can begin posting charges and payments on this unit.

The Move-In process will automatically create the "prorated" charges on the current unit through the end of the billing cycle of the effective date and will create the charges on all subsequent billing cycles through the current billing cycle (this means a resident can move in in the previous T/R processing month). This will address the issue of a move-in with an effective date prior to the current billing cycle. These charges will be the beginning of charges on the current account, since the move-out zeroed out the customer balance. When processing a move-in a "ProRate " table pops up and displays the prorated rent calculations for the resident moving in the current unit. The standard method of proration can be based on either the actual days or on a 30 day month basis, where the resident is charged for the day of movein. You can override these calculations if needed.

Notes

1. You are still going to have to "clean-up" the moveout account. This does have the benefit of zeroing out the original account though. Any other charges/credits to be assessed will have to be posted to the moveout account. A definite assumption: the Primary Charge doesn't change...it should not change while a unit is in a Vacancy status, either!! This is because during a MoveIn, the old rent is used to calculate how much prorated rent to reverse thru the month-end before we prorate the new rent thru the month-end.
2. Do not allow the creation of any T/R transactions on a "VACANT" unit. This account balance must remain zero until a new resident moves in. Any charges on the old resident should be posted to the moveout account and any charges on the new unit should wait until the new resident moves in.
3. All adjustments to the moveout account will be done through the "TRREC.ADJ" and "TRINV" program(s) where you will be asked to identify the old unit# (when selecting the moveout account). If a unit# is then selected then only the transactions for the selected unit# will be available in the TR Adjustments screen.
4. Only a system administrator can change the Primary Charge on any unit in a VACANT status.
5. Only a system administrator can create invoices on a "VACANT" unit. This assures a zero beginning balance for any new resident.
6. TR Ledger reports can limit output, for the MoveOut unit, to the designated unit#s.
7. TR account adjustments can limit access, for the MoveOut unit#, to a selected unit#, thus limiting what can be applied within the MoveOut unit.
8. TR invoices for the MoveOut unit need to be identified by unit# (if desired).
9. No funds can be applied to a SecDep on the MoveOut unit.
10. No move-in can be accomplished except on a vacant unit (one where a move-out was processed).
11. When a move-in is accomplished, this releases the unit to allow applying receipts to something other than "UNAPPLY".
12. Vacant units cannot have their future billing amounts changed.

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Rental-type Transaction Examples

The following is an example of several move-ins and moveouts. It is somewhat complicated, so unless you have accounting experience, you might want to skip this section.

The above figure shows three different scenarios of what happens during a move-in and a move-out. The following facts are given:

1st of Month
   o  Unit# 100's monthly rent is $ 900 and is Vacant.
   o  Unit# 203's monthly rent is $ 900.
   o  Unit# (?)'s monthly rent is $1,200.

10th of Month
   o  Resident in Unit# 203 moves out.

21st of Month
   o  New resident moves into unit# 100 at new rent of $1,200 / month.
   o  New resident moves into unit# 203 at new rent of $1,200 / month.

G/L Account#s for T/R Move-Out Transactions

The following T/R transactions are an example of those that occur on unit# 103, whose resident is moving out effective 13 Jul 2005. The deposit refund was made on the 20th.

..DATE..  REF NO.  LAST NAME..........  SOURCE.......................  .....AMOUNT
   07-13-05  77       ANDRADE              APPLIED FROM DEPOSIT (AFD)          300.00CR
   07-13-05  76       ANDRADE              DEPOSIT TRANSFER (DTR)              300.00  
   07-13-05  75       ANDRADE              MOVE OUT (MVO)                      370.00CR

The following T/R transactions are an example of those that occur on the Move-Out unit caused by a resident moving out of the above unit#:

..DATE..  REF NO.  LAST NAME..........  SOURCE..........................  .....AMOUNT
   07-20-05  103      ANDRADE, #103        REFUND (REF)                           300.00  
   07-14-05  101      ANDRADE, #103        DEPOSIT TRANSFER (DTR)                 300.00CR
   07-14-05  100      ANDRADE, #103        MOVE OUT (MVO)                         370.00

The following are the G/L postings that occur on the above Move-Out. G/L acct# 3090 is Accounts Receivable as defined in the G/L Critical Accounts table. All other account#s are defined in the T/R transaction codes.

Ref Date  Jrnl  Transaction Description                    Acct#    Amount....  Detail............
   07-13-05  T/R   MOVE OUT (MVO)                             3090       <370.00>  103 ANDRADE
   07-13-05  T/R   MOVE OUT (MVO)                             3120        370.00   103 ANDRADE
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-13-05  T/R   DEPOSIT TRANSFER (DTR)                     3090        300.00   103 ANDRADE
   07-13-05  T/R   DEPOSIT TRANSFER (DTR)                     3005       <300.00>  103 ANDRADE
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-13-05  T/R   APPLIED FROM DEPOSIT (AFD)                 3090       <300.00>  103 ANDRADE
   07-13-05  T/R   APPLIED FROM DEPOSIT (AFD)                 3005        300.00   103 ANDRADE
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-13-05  T/R   MOVEOUT CLEANUP, 103*77                    3090        300.00   103 ANDRADE
   07-13-05  T/R   MOVEOUT CLEANUP, 103*76                    3090       <300.00>  103 ANDRADE
   07-13-05  T/R   MOVEOUT CLEANUP, 103*75                    3090        370.00   103 ANDRADE
   07-13-05  T/R   MOVEOUT CLEANUP, 103*73                    3090        <10.00>  103 ANDRADE
   07-13-05  T/R   MOVEOUT CLEANUP, 103*72                    3090       <360.00>  103 ANDRADE
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-14-05  T/R   MOVE OUT (MVO)                             3090        370.00   MOVEOUT ANDRADE, #103
   07-14-05  T/R   MOVE OUT (MVO)                             3120       <370.00>  MOVEOUT ANDRADE, #103
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-14-05  T/R   DEPOSIT TRANSFER (DTR)                     3090       <300.00>  MOVEOUT ANDRADE, #103
   07-14-05  T/R   DEPOSIT TRANSFER (DTR)                     3005        300.00   MOVEOUT ANDRADE, #103
                                    20 Jul 2005 12:05PM Totals =>          0.00
   07-20-05  T/R   REFUND (REF)                               3090        300.00   MOVEOUT ANDRADE, #103
   07-20-05  T/R   REFUND (REF)                               2000       <300.00>  MOVEOUT ANDRADE, #103
                                    20 Jul 2005 12:06PM Totals =>          0.00

The following is a GL 'T' account for security deposit. The assumption here is that the defined G/L account# for DTR and AFD is the standard Security Deposit G/L account#, as defined in the Critical Accounts table.

   Sec Deposit
   ------------------
            |   300(DEP)   Original Security Deposit paid by Andrade. 
   300(AFD) |   300(DTR)   The Deposit Transfer Charge and the Sec Dep Application to that charge... 
            |              ...on #103 during "MoveOut".
   300(DTR) |              The Deposit Transfer Credit created in "MoveOut" unit#.