This article serves as general advice regarding audit compliance for the state of North Carolina. For specific questions or concerns, it is always recommended to speak with your state's licensing committee.
In general, every month you should be reconciling your bank accounts and running reports to tie-out the cash breakdowns by rental owner. The state of North Carolina requires the following per Commission Rule A.0107:
|North Carolina State Audit Requirement||Buildium Report|
|Journal||Bank transactions consolidated for all properties/owners. You can also see this detail in a clickable form in our banking area.|
|Supplemental Deposit Worksheet||Each bank deposit has a "deposit summary" that contains this information. You can also click on the bank deposit to access this detail.|
|Supplemental Disbursement Worksheet||Each check has a stub that contains this information. You can also click on the check to access this detail.|
|Property Ledger||Bank transactions or Bank transactions consolidated. These reports allow you to filter to show one or more properties.|
|Owner Ledger||Bank transactions or Bank transactions consolidated. These reports allow you to filter to show one or more owners.|
|Bank Reconciliation||Bank reconciliation. On this report, the Ending balance is the number that appears on the bank statement. The Book balance is the number that includes both cleared and uncleared transactions.|
|Trial Balance||Bank account balance breakdown|
These reports allow the state to see that transactions are recorded accurately and that each owner's balance is clearly defined.
For audit preparation, keep a copy of bank deposits and check stubs recorded from Buildium to store in your files. Proactive record-keeping will pay off!