Trust Accounting Module

There are 3 components to the Trust Accounting Module:

  1. Trust Accounting Configuration
  2. Daily Trust Accounting Duties
  3. End of Month Process & Owner Statements

Trust Accounting Configuration

Trust Accounting Configuration is the setup of the CiiRUS Trust Account.

It is essential to configure the Trust Accounting Settings prior to completing daily Trust Accounting duties as well as the End of Month Process. Completing the following settings will ensure balanced reconciliations as well as help automate the End of Month Process.

Majority of the Trust Accounting Settings are located in:

Account Settings > Software Settings Assistant > Navigate > Owner Account Settings

 

Enable or Disable Owner Accounting

Enabling the Owner Accounting Module will allow the system to generate an individual Owner Ledger for each property. Within an Owner Ledger, the system will allow production of monthly owner statements.

To generate individual monthly statements for each Owner Ledger, enable this setting.

This setting can be disabled on a per Owner Ledger basis via Quick Property Setup. For example, if managing one or more properties where financials are not be accounted for. Once disabled on a property basis, the property will not appear on any accounting report generated by the system.

 

Owner Account Categories

An Owner Account Category is equivalent to an Account Code or General Ledger. An Owner Account Category is an account or record used to sort, store and summarize a company's transactions. The Owner Account Category must be assigned to each Owner Ledger transaction. Once assigned to a transaction, the system can generate reports based off of each Owner Account Category.

The system has a number of predefined categories available, these cannot be deleted or modified however, new owner account categories can be created.

To create a new Owner Account category:

  1. Type in the category field
  2. Press enter on keyboard

General Owner Account Settings

Minimum Owner Account Balance: The minimum owner account balance is the owner reserve amount. The owner must maintain this amount on a monthly basis. If the owner is below the minimum requirement, the system will require an owner payment that amounts to the minimum requirement. If the owners balance is above the minimum, the system will display an amount due to the owner.

This is a default setting that will apply to all Owner Ledgers in the system. This setting can be overridden on a per Owner Ledger basis via Quick Property Setup

Owner Account Monthly Print View

  1. The system provides two options for the owner statement templates
    • Statement Template Option #1: Classic- transactions will appear in chronological order
    • Statement Template Option #2: Grouped- transactions are grouped together based on type and category.

Once a month is finalized, the system will allow owner statements to be emailed. The monthly statement will appear in the body of the email along with statement cover letter and any attached invoices.

Also, once a month a finalized, the monthly statement is automatically released on the Owner Portal.

  1. Show Payment Link on Owner Statements: If enabled, a secure credit card link will be visible on the Owner Statement. The owner can use this link to make a payment towards their Owner Ledger account balance. Once an Owner credit card payment is submitted, it will appear in Credit Card Processing as a pending transaction to be processed.
  2. Information Box: Enter information to appear at the bottom of the owner statement, this is usually payment information and terms. This information is not specific to each property, therefore, enter general information to appear at the bottom of each owner statement.

Disbursement Rules

The system can trigger rental revenue to the owner statement once the following criteria is met.

Departure date has passed, and full payment is received from guests.

Once a reservation has met the above criteria, the reservation will automatically trigger to apply to the monthly statement.

For example, booking arrives on February 23rd and departs on March 2nd, the owner will receive rental revenue on the March monthly statement.

This efficient method provides a more automated solution to owner accounting. There is no need to individually credit the owners account for each reservation for each property one by one.

Tax Settings

  1. Tax Types: In Australia, there is one tax type across the continent, GST. In Tax 1 field, enter GST. Leave Tax 2 and Tax 3 fields blank.
  2. Reservation Tax Report Based On: Property Managers may or may not have to file and remit taxes on behalf of the managed owners. If filing taxes on behalf of managed owners, specify whether the tax reports are based on the Arrival Date or based on the Departure Date.

For example: July 25 to August 5

If the departure date is selected, taxes for this booking will reflect on the August remittance.

If the arrival is selected, taxes for this booking will reflect on the July remittance.

To add Australia as a Tax Location

  1. Click Add
  2. In Tax Region Name, enter Australia
  3. In GST field, enter 10%
  4. Click Add

Owner Tax

The system will apply an additional debit line item of GST to any of the following items if enabled. For example, when applying a Work Order debit to the owner statement, the system will also apply an additional line item of tax for that work order.

  • Process Cleans
  • Work Orders (Basic)
  • Work Orders (Advanced)
  • MC Commissions
  • Owner Booking Fees

Trust Accounting Settings

  1. Trust Account Receipt Settings: For each payment receipted by a guest, the system generates a unique Trust Account Receipt. On the Trust Account Receipt, it must display the Property Manager Licensee details.
  2. Reset Trust Account Receipt ID: Trust Account Receipts must remain in sequential order. Only if migrating from one software to CiiRUS, enter the last generated receipt ID from the previous system into Reset ID To. When a new payment is receipted, the Trust Account Receipt Id’s will remain in order.

3.     Australia ABA Bank Account Settings (Trust Account):

To generate a ABA file for Owner and/or Vendor Payouts, enter the following Trust Account Bank Details.

  • BSB Number: A six-digit number used to identify the individual branch of an Australian financial institution.
  • Account Number
  • Business Name
  • Default Comment: Transaction description that will reflect on the bank statement.
  • APCA Number: A unique six-digit number and is issued by financial institutions. If the financial institution does not supply a APCA number, enter six zeros.
  • Bank Code: Bank abbreviation code.
  • Description: Transaction description that will reflect on the bank statement.

4.     Operational Account ABA Details:

After finalizing a month, the system will generate a report that displays business funds to transfer out of the Trust Account to the General Account. To generate a ABA file for a Management Payout, enter the following details for the General Account.

  • BSB Number: A six-digit number used to identify the individual branch of an Australian financial institution.
  • Account Number
  • Business Name
  • Default Comment: Transaction description that will reflect on the bank statement.
  • APCA Number: A unique six-digit number and is issued by financial institutions. If the financial institution does not supply a APCA number, enter six zeros.
  • Bank Code: Bank abbreviation code.
  • Description: Transaction description that will reflect on the bank statement.

5.   Trust Account Details

  • Opening Balance Date: In CiiRUS, the Trust Account needs to match the real-life bank activity. To commence Trust Accounting in CiiRUS, pick a day to start tracking transactions.
  • Opening Balance Amount: Enter the balance of the real-life bank statement based off of the opening balance date.
  • Bank Name: Enter Trust Account bank name.
  • Account Number: Enter Trust Account bank number.

After completing the Accounting Settings within the Software Settings Assistant, complete the remaining Trust Accounting Configuration Settings.

Vendor / Creditor Bank Account Details

  1. Management Company
  2. CRM
  3. Contacts
  4. Select Vendor
  5. Advanced
  6. Australia Settings tab
  7. ABA Settings
  8. Complete all fields
  9. Ok

Owner Bank Account Details

  1. Owners & Homes
  2. Manage Owners
  3. Select Owner
  4. Other Settings
  5. ABA Settings
  6. Complete all fields
  7. Ok

Taxable Settings

  1. Reservations & Quoting
  2. Quote Settings
  3. Taxable Settings

In Australia, taxes only apply to the Housekeeping Fee and Booking Fee. To have the system auto apply taxes to the Housekeeping and Booking Fee, enable these settings

To apply these tax settings to all properties,

  1. Press the "Make Default For All Properties" button
  2. Press Yes to apply the settings to all properties

Once the Trust Accounting Configuration is complete, proceed to Daily Trust Accounting Duties.

Daily Trust Accounting Duties

With the CiiRUS Trust Accounting Module, there are three Accounting Tasks that should be completed daily;

  1. Trust Account
  2. Daily Reconciliation
  3. Bill Payments

Completing these tasks ensures that the systems finances are always up to date, corresponds to the real-life bank activity and there is less prone to error when balancing. Also, it helps to detect any errors, discrepancies, or fraud.

Trust Account

  1. Accounting Functions
  2. Trust Account

The Trust Account window is a system version of the Trust Account bank statement and/or activity. The CiiRUS version of the Trust Account should be a replica of the credit and debit transactions.  

Daily Reconciliation

  1. Accounting Functions
  2. Daily Reconciliation

Daily Reconciliation is the process of cross-referencing system financial records against monthly statements from external sources—such as a bank, credit card processors, or other financial institution statements. Completing this process ensures that the system activity corresponds to the Trust Account activity and both systems financially align, therefore, reconciling.  

 Specifically, Owner and Guest payments will reflect in the Daily Reconciliation screen.  

Manual Reconciliation in CiiRUS Trust Accounting Module

  1. Specify the correct date range using the date chooser.
  2. Select to view unreconciled payments.
  3. Click ‘Refresh’ to return results.
  4. In the Reconcile Target Amount field, enter the amount to be reconciled based off the bank statement.
  5. Locate the corresponding transactions that equal to the Target Amount by doubling clicking the R (reconcile) parallel to the selected transaction.
  6. Once the ‘R’ tick box is checked, the transaction is now reconciled.  

Keep going until the Reconcile Target Amount equals to the Reconciled Amount and there should be a difference of zero, therefore the daily reconciliation is balanced.

For example, the bank statement displays a batched credit of $10,000.00 from the merchant processor,

Step One: Enter $10,000 in the Reconcile Target Amount.

Step Two: Locate the corresponding transaction(s) that apply to the 10,000.00 bank credit.  

Step Three: Reconcile the corresponding transaction(s) as it has processed and clear into the bank account.

Auto Reconciliation

CiiRUS has an auto reconciliation feature where the system can auto detect guest payments that equal to the inputted Target Amount.  

For example, the Reconcile Target Amount is $500.00, CiiRUS will automatically detect which guest payment and/or payments equal to $500.00 by auto selecting the guest payments that equal to $500.00. If there is a match found, a pop-up message will appear requesting to auto reconcile the payments. If the matches are correct, click yes to Reconcile.

Batching Deposits to Trust Account

Now that the target amount is reconciled with the corresponding transactions, these same transactions must be batched or exported to the CiiRUS Trust Account

  1. Select the exact same transactions that were recently reconciled
  2. Click Export
  3. Specify the bank statement date
  4. Ok to proceed

Once the above steps are completed, the batched deposit will reflect on the CiiRUS Trust Account window:

Accounting Functions > Day to Day Accounting Functions > Trust Account

Therefore, the batched deposit into the CiiRUS Trust Account corresponds to the credit transaction on the Trust Account bank statement.

Please note that a Guest Payment can be exported one time. This is to eliminate duplicate Guest Payments on within the CiiRUS Trust Account.

Bill Payments

  1. Accounting Functions
  2. Bill Payments

A Bill Payment is a payment or payouts made to a vendor, tradesman, utility company, sub-contractor on behalf of the property homeowner. A Bill Payment can also be payouts to homeowners.

For Australian Trust Accounting, there are three Bill Payment scenarios:

  • Cleaner Payouts
  • Work Order / Maintenance Payouts
  • Owner Payouts

Bill Payments Table

The Bill Payments Table will display the following:

  1. Date Bill Received: This is the date that the bill was received by the vendor. To change the date of the Bill Payment, double click to open Bill Payment and change the date.
  2. Bill From: The company, owner, or point of contact that the payout is from and whom is owed payment.
  3. Amount: The total amount due for the payout.
  4. Paid: If checked, the selected bill would have been paid. Once a bill is marked as paid, it cannot be deleted, only voided.
  5. Date Bill Paid: The date the Payout was paid or processed.
  6. Date Payment Due: The date the Bill Payment or Payout is due to the vendor.
  7. Memo: Text or comments referencing the vendor’s invoice and/or a description of the payment.
  8. Invoice Number: If the received bill has an invoice number attached, it can be entered against the Bill Payment.
  9. Comments: Any notes or text describing the individual transactions within a Bill Payment.
  10. Category: The category refers to the Account Code associated to the Bill Payment.
  11. Payment Method: The method of how the Bill Payment was processed.

Filter & Search Bills and/or Payouts

Bill Payments can be filtered by the following:

  • Date Range
  • Due, Received, or Paid Date
  • Unpaid, Paid, or Overdue Bills
  • Vendor
  • Property
  • Invoice Number
  1. To load all past, present and future bills, enter 0 in the ‘Max Bills to Return’ field and click Refresh.

The system will display all Bill Payments which results can be further filtered within the table.

Add a Bill Payment

To add an Adhoc Bill Payment, go to:

  1. Accounting Functions
  2. Bill Payments
  3. Add New Bill For
  4. Select Vendor
  5. Once the vendor is selected, click Add Bill

If the Vendor or Tradesman does not reflect in the drop-down menu, the vendor must be entered into the system. To enter a vendor into the system, click here

Bill Payment Screen

A bill record will be created for the selected vendor and the Bill Payment details window will appear.

This window is where various details of the bill will be inputted.

  1. In the Available Properties list, select applicable units > Add > Selected
  2. Enter Amount for each unit
  3. For the Payment Method, select ABA
  4. When ready to produce the ABA file, open the applicable Bill Payment to Mark as Paid
  5. Once Marked as Paid, a system prompt will appear to select the Owner Statement Date, therefore, the Bill Payment will debit the Owners Account

After applying to the Owners Account, the Bill Payment will reflect in ABA Pending to upload to the bank account

Cleaner Bill Payment

  1. Accounting Functions
  2. Process Cleans to Vendors
  3. Select the right dates
  4. Select the cleaner
  5. Refresh

 

  1. Ensure that the ‘Clean Cost to MC (inc tax)’ is correct for each clean
  2. Ensure that the ‘Charge to Guest’ is correct for each clean
  3. Ensure that the ‘Charge to Owner’ is correct for each clean
  4. Reference the Cleaners invoice to select the applicable cleans using the Selected tickbox
  5. Click on the Pay Cleaner Button
  6. Referencing Cleaners Invoice, enter the Bill Amount
  7. Ensure that the system total (selected amount) and the Bill Amount are balanced and there is a difference of 0.00
  8. Click OK to generate the Bill Payment
  9. In the Cleaner Bill Payment, select ABA as the Payment Method
  10. When ready to produce the ABA file, open the applicable Bill Payment to Mark as Paid
  11. Click Email Remittance to email the Cleaner a Remittance stub of the payout
  12. Once Marked as Paid, the Cleaner Bill Payment will reflect in ABA Pending to download to the bank account

Please note that the above method of processing Cleaner Payouts do not apply to the owner statement

Work Orders / Maintenance Bill Payments

Bug Shalini and Roger need to fix

  1. Accounting Functions
  2. Process Work Orders (Basic)
  3. Select the right dates
  4. Check ‘Show Complete’
  5. Refresh
  1. Ensure that the ‘Owner Charge’ is correct for each Work Order
  2. Ensure that the ‘MC Cost Price (inc tax)’ is correct for each Work Order
  3. Reference the Maintenance Vendor Invoice to select the applicable Work Orders using the Selected tickbox
  4. Click the Pay Vendor button
  5. Referencing the Maintenance Vendor Invoice, enter the Bill Amount
  6. Ensure that the system total (selected amount) and the Bill Amount are balance and there is a difference of 0.00
  7. Click OK to generate the Bill Payment
  8. In the Maintenance Bill Payment, select ABA as the Payment Method
  9. Click Email Remittance to email the Maintenance Vendor a Remittance stub of the payout
  10. Once Marked as Paid, the Maintenance Bill Payment will reflect in ABA Pending to download to the bank account
  11. If you would like to apply the Work Order to the Owner Statement, select the Work Order > Send to Owner Account. Please note that the Work Order Start Date is the Owner Statement Date.

End of Month Procedures

At the end of every month, Property Managers produce a monthly statement to provide to their owners. The monthly statement will display financial activity for the owner’s vacation rental which can include Rental Revenue, Booking Commissions, Property Expenses, Taxes, Ending Totals and Payments Due To or Due From the owner.

The CiiRUS Trust Accounting Module displays a series of steps to complete the End of Month Procedure to produce individual owner statements. Included in the End of Month Procedure, there are a variety of bookkeeping reports to save and keep a record of.

 

Step One: Disburse Owner Amounts

Bug Shalini and Roger need to fix

To access to Disburse Owner Amounts screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Disburse Owner Amounts

 

Once the guest has checked out or the departure date has passed and full payment is applied, the booking will automatically trigger to Disburse Owner Amounts.

This table will display:

  • Booking ID
  • Arrival Date
  • Departure Date
  • Guest Name
  • Property
  • If the booking is cancelled, as the owner may receive funds for a cancelled reservation
  • Amount Paid by Guest
  • Booking Total
  • Booking Commission Due to Property Manager
  • What is Due to the Owner
  • Amount in Owner Account
  • Balance Due to Owner

 

To display bookings that are due to the owner, click Refresh.

To distribute rental income to all property ledgers in one process or batch, click the select all toolbox.

Prior to clicking ‘Process Selected’, ensure that the setting to ‘Include then deduct commission’ is enabled. Having this setting enabled will itemize Property Manager Commissions as a separate line item.

Click ‘Process Selected’

Step Two: Recurring Charges

To access to Recurring Charges screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Recurring Charges

Recurring Charges is regularly scheduled expenses to the owner account statement.  

Examples of Recurring Charges would include monthly lawn care bills, pest control, pool services, management fees, or any other charge that is consistently billed on a month to month (or bi-annual, tri-annual, quarterly, etc.) basis.

To create a Recurring Charge:

  1. Click Add
  2. Select the contact and/or Vendor
  3. Specify the Category and/or Account Code
  4. Enter a description of the charge that is visible to the owner. For example, Monthly Pool Cleaning Fee.
  5. If the amount is the same for all properties, enter the default amount. If it is a charge to the owner, be sure to include a negative symbol before the amount.
  6. If the default amount is to be applied to all properties, check the All Properties checkbox.
  7. If the amount is different or does not apply to all properties, unselect the All Properties checkbox and then add the applicable properties in the panel to the right with the amounts.
  8. If applicable, enter the Property Manager Cost Price.
  9. To allow the system to automatically process the charge to the owner account, click to process automatically
  10. Set the day of the month that the charge should be applied to the owner statement. For example, if Day of Month = 1, then on the 1st of each month, the system will automatically process the charge to the owner account.
  11. To manually process the charge to the owner account, specify the month and the year at the top of the screen and click process selected charge

Charge Cleans to Owner Accounts

To access to Charge Cleans to Owner Accounts screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Charge Cleans to Owner Accounts

If the cleaning fee needs to be itemized on the owner statement as a debit line item or if the owner is being debited or charged for cleaning fees, continue with this step. If the owner is not being charged for cleaning fees, disregard this step.

Once the guest has checked out or the departure date has passed, the booking will automatically trigger to Charge Cleans to Owner Account.

 

This table will display:

  • Property
  • Guest Name
  • Property Features
  • Total Nights
  • Departure / Cleaning Date
  • Housekeeper
  • Type of Clean
  • Amount to Charge to Owner

To apply the Cleaning Fees to the individual owner statements:

  1. Click on the Process tickbox for each applicable clean or Check Process All.
  2. To override the Cleaning Fee amount, select the line item > In the Charge field, input the amount.
  3. If a clean does not apply to the owner statement, click on the Ignore tickbox for each applicable clean or Check Ignore All.
  4. Once the Cleans are marked with Process or Ignore, click Process Selected to apply to the owner statements.

Please note that once a clean is ignored, it will not reflect on the owner statement and will permanently remove from this table. Therefore, prior to clicking Process Selected, ensure that each clean is marked with the correct information.

Step Four: Process Cleans to Vendors

To access the Process Cleans to Vendors screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Process Cleans to Vendors

If applicable, now that the owners have been charged for the cleaning fees, it is time to process Cleaner Payouts.

  1. Select the right dates
  2. Select the cleaner
  3. Refresh
  4. Ensure that the ‘Clean Cost to MC (inc tax)’ is correct for each clean
  5. Ensure that the ‘Charge to Guest’ is correct for each clean
  6. Ensure that the ‘Charge to Owner’ is correct for each clean
  7. Reference the Cleaners invoice to select the applicable cleans using the Selected tickbox
  8. Pay Cleaner
  9. Referencing Cleaners Invoice, enter the Bill Amount
  10. Ensure that the system total (selected amount) and the Bill Amount are balance and there is a difference of 0.00
  11. Click OK to generate the Bill Payment

Step Five: Process Work Orders (Basic)

To access the Process Work Orders Screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Process Work Orders (Basic)
  1. Select the right dates
  2. Check ‘Show Complete’
  3. Refresh
  4. Ensure that the ‘Owner Charge’ is correct for each Work Order
  5. Ensure that the ‘MC Cost Price (inc tax)’ is correct for each Work Order
  6. Reference the Maintenance Vendor Invoice to select the applicable Work Orders using the Selected tickbox
  7. Pay Vendor
  8. Referencing the Maintenance Vendor Invoice, enter the Bill Amount
  9. Ensure that the system total (selected amount) and the Bill Amount are balance and there is a difference of 0.00
  10. Click OK to generate the Bill Payment

To apply the corresponding Work Order(s) to the Owner Statement

  1. Select the applicable Work Order(s)
  2. Send to Owner Account.
  3. Please note that the Work Order Start Date is the Owner Statement Date

Step Six: Process Work Orders (Advanced)

To access the Process Work Orders (Advanced) screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Process Work Orders (Advanced)
  1. Select the right dates >
  2. Check  'Complete’
  3. View All Properties
  4. Refresh
  5. Ensure that the ‘Owner Charge’ is correct for each Work Order
  6. Ensure that the ‘MC Cost Price (inc tax)’ is correct for each Work Order
  7. Click Select All
  8. Pay Vendor
  9. Referencing the Maintenance Vendor Invoice, enter the Bill Amount
  10. Ensure that the system total (selected amount) and the Bill Amount are balance and there is a difference of 0.00
  11. Click OK to generate the Bill Payment
  12. To apply the corresponding Work Order(s) to the Owner Statement, click Owner Account > Specify the Statement Date > Charge to Send to Owner Account.

Seven: Process Owner Booking Fees

To access the Process Owner Booking Fees  screen, go to:

  1. Accounting Functions
  2. End of Month Procedures
  3. Process Owner Booking Fees

An Owner Booking Fee is when an Owner has placed a reservation for their family and/or friends. Typically, a Property Manager can charge the owner for facilitating services for that Owner Booking, thus an Owner Booking Fee.

  1. Click on the Settings tab to define the process.
  2. Specify the Start Date to begin or start processing Owner Booking Fees.
  3. Select to display Owner Bookings that have either Arrived or Departed.
  4. Input the Default Owner Booking Fee amount.
  5. Specify the Contact/Vendor associated with the Owner Booking Fee.

 

Once the settings are defined, go back to the Process Owner Booking Fees tab.

This table will display:

  • Booking ID
  • Category or Source of the Reservation
  • Property
  • Arrival Date
  • Departure Date
  • Guest Name
  • Owner Name
  • Owner Booking Fee Amount

To apply the Owner Booking Fees to the individual owner statements, click on the Process tickbox for each applicable clean or click Select All.

To override the Owner Booking Fee amount, select the line item > In the Booking Fee field, input the amount.

If a Owner Booking Fee does not apply to the owner statement, click on the Ignore tickbox for each applicable item or click Ignore All.

Once the items are marked with Process or Ignore, select Departure Date as the Statement Date and then Process Selected to apply to the owner statements.

Please note that once an Owner Booking Fee is ignored, it will not reflect on the owner statement and will permanently remove from this table. Therefore, prior to clicking Process Selected, ensure that each item is marked with the correct information.