If you are making the smart choice to use QuickBooks for manage the financials and day to day operations of your real estate business, you may be asking  yourself the question one of our clients approached us with last week.

Q: How should I record rent payment (income) in QuickBooks?

A:  Recording rental income is really quite simple, but you need to create the right accounts and items from the start. For property managers or real estate business owners using QuickBooks, here’s what we recommend:

  1. Create an Rent as an Service Item
  2. Create an Invoice
  3. Memorize Invoice
  4. Receive Payment
  5. Make Deposit

And one more tip! Remember when you track rental income, you must specify the appropriate Customer:Job and Class for each transaction.