How do I set my management fee policy?

Buildium will automatically calculate your management fee income based on the management fee policy you put in place.

A management fee is a regular fee that is paid by a rental owner to a property manager in exchange for the property manager's services. Fees vary by region or by client.

This topic discusses how to set up a monthly management fee policy. One time fees, such as finder's fees for filling a vacancy are discussed elsewhere.

In this article, you'll learn how to:

  1. Adjust your global management fee policy
  2. Set up management income accounts
  3. Set up non-commissionable income accounts

1. Adjust your global management fee policy

To adjust your global management fee policy:

    1. Navigate to Settings > Application settings.

    2. Click Management fees.

    3. Select the Fee type and amount.

    4. Choose the Management company and Expense account you'd like Buildium to default to.

The settings here will apply to all properties and associations you enter into Buildium. If your policy varies by property or association, you can set a separate policy for each once your global policy is saved.

Click here to learn how to set a property specific management fee policy.

Click here to learn how to set an association specific management fee policy.

 

2. Set up your management income accounts

Next, you'll want to identify your management income accounts. Management income accounts include any income that's paid to you directly (and is never shown as income to an owner).

For example, if your company takes application fees directly and never shows that money as income to a rental owner, you'd want to add Application fee income in this section.

Click here to learn more about management income accounts

To set up your management income accounts:

    1. Navigate to Settings > Application Settings.

    2. Click Management fees.

    3. Scroll down and use the drop down menus under the Management Income Accounts section to identify your management income accounts. 

 

3. Set up non commissionable income accounts

You’ll also want to identify any income that you don’t collect management fees on. This is called non-commissionable income.

Click here to learn more about non-commissionable income accounts

 

To set up non commissionable income accounts:

    1. Navigate to Settings > Application settings.

    2. Click Management fees.

    3. Use the drop down menus under the Non Commissionable Income Accounts section to identify your non-commissionable income accounts.

 

 

 

 

Article #: 200990493

 

 

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