Prorating rental income is a standard practice often used for extended stays or long term reservations.
It is a portion of rental income that is adjusted based on the number of days a guest occupies a rental unit within a specific billing period.
For example, if a guest checks in on the 15th day of the month and the monthly rent is $1,000, the prorated rental income for that month would be calculated as follows:
Calculate the monthly rent: $1,000 / 30 days (assuming a 30-day month) = $33.33 per day.
Determine the number of days the tenant will occupy the property in that month (from the 15th to the end of the month), let's say it's 16 days.
Calculate the prorated rent: $33.33 per day x 16 days = $533.28.
Configuring 'Pro-Rate' Settings
Global Settings
Settings Assistant
Owner Accounting Setup
Disbursement Rules
For more information on Disbursement Rules, refer to this article: https://ciirusone.screenstepslive.com/s/24800/a/1704552-rental-income-disbursement-rule
Search for the reservation source titled as 'Long Term Reservation'
In the Disbursement Rule drop down menu, select from two options. Basically, prorate if full payment is received or if partial payment is received.
Option One: Pro-rate owner amount based on date period, regardless of payment received
Option Two: Pro-rate owner amount based on date period (if full payment received)
Click the Save icon
Applying Pro-Rated Income to Owner Accounts
Accounting > End of Month Process >Credit Rental Income
1. In Specify Rule / Statement Date , select "Prorate month'
2. Select Period
3. Proceed with apply rental income as per normal
Steps on how to apply Rental Income can be located here: https://ciirusone.screenstepslive.com/s/24800/a/1704563-processing-rental-income
