Bookkeeping Services for Landlords
Our bookkeeping services for landlords in Los Angeles keep an investment properties’ finances in order, ensuring that you are actually earning income instead of wasting money.
Real estate investments have a peculiar financial process. There are debits and credits that must be closely monitored in order to properly record accounts payable and receivable. If an investment properties’ finances are not in order, expenses get swept under the rug and the investment could actually be losing money. The daily recording of transactions is vital to ensuring that you are actually earning income instead of wasting money.
Bookkeeping Responsibilities: Just because technology has allowed us the ability to input data quickly into software, there is a skill set required to properly analyze the financial data. Belwood Properties meticulously collects all receipts, income, and financial transactions necessary to maintain proper records. Records are what keep businesses out of legal trouble and sustains financial health. Managing accounts receivable and payable efficiently is how we make sure our clients are paid on time and that no bills are delinquent.
Income statement – This is what most people know as the profit and loss statement. It simple is what revenue is brought in and what expenses were paid.
Balance Sheet – This is the clear picture of assets, liabilities, and capital at any given moment in time. This financial document is used for an instant insight into a business or real estate investments financial status.
Cash Flow Statement – This is the cash (income) brought in and cash used to pay for expenses.
Statement of Retained Earnings – This will show how income has changed over a specific period of time. It will either show an increase or decrease in any owner capital or reserve.
Bank Reconciliation: Included in all bookkeeping services, is a thorough bank reconciliation solidifying our bookkeeping numbers are correct. It starts with documentation provided by the bank, including all of the transactions recorded for a single month. We then compare the bank statements to the account’s general ledger, making sure all income is recorded. If there is a bounced check, we will find it and alter the accounts accordingly. We then make sure that all expenses are recorded properly by checking to see if there are any outstanding checks. When all incoming and outgoing cash has been accounted for, there will be a balanced account. A balanced account is vital for ensuring we do not spend money or give owner withdrawals without actually having money in the bank.
Investment Property Budget: We create a budget so that we can help our clients work towards their goals. Belwood Properties is able to effectively facilitate resources to attain maximum revenues. We believe that using a certain amount of revenue to increase business goals is imperative to increasing business success. Cutting unnecessary expenses is a sign that we are properly budgeting. We start the process by diving into total revenues, then start subtracting accounts payable from that amount. When we discover what is bringing the business down and what could increase the businesses revenues, we have created the appropriate budget. All of our budgets are dependent on each individual client and come in either monthly, quarterly, or semi-annual forms.
Employee Payroll: We provide payroll services for clients that request it. We handle all procedures such as collecting EIN numbers, tax IDs, forms, 1099’s, and employee tax information. A payroll schedule is put into place by our team calculating all hours worked including overtime. Salaries are remitted appropriately as well as deductions, net pay, and gross pay. All payment methods, for employees, are issued in the way that they each individually prefer. Belwood Properties has a payroll system grounded in integrity and trusted by clients because of our in-depth record keeping.