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Hello everybody this is Seth Dave and this is our webcast for May 6, 2009, hope you had a great Cinco de Mayo I hope you're having an even better was de Mayo, and today we have a webcast for you that's going to go over how to do real estate or how to handle a rental real estate property and specifically how to handle security deposits we're doing it in QuickBooks and what we're going to do is bring you over into our sharing screen so that we can show you the best way to set this up go to full screen view and what happens is when you take in a new renter they're going to give you a security deposit in addition to their rent, and they're going to have one check for that amount moreover the way I have people set up their rental real estate in QuickBooks is such that you're actually posting invoices for the rent each month even though you're not necessarily going to give your renters and invoice what I'm doing is I'm doing it through an invoice and QuickBooks because this way I have a nice mechanism in place that enables me to capture the Reds and on the next day on the 2nd of the month I can run a report in two seconds it shows me whose rent hasn't been paid yet and if you're in California and many other states probably work the same way I can now run that report and in two seconds have a list on the second of whose rent hasn't been paid, so I can give that to my property manager and say here go post the three-day notices on these people's doors and at the same time I can structure the reports that I have their phone numbers on there which means I can do another copy and give it to somebody in my office and have them call up and say hey you know we can get your rent have you sent it across in the mail can we come pick it up all that sort of thing, so it's really important to set up with the right tracking system when you set up in QuickBooks because there's a lot of ways you can do it, so the first key is setting up your customers in QuickBooks and a customer is basically going to be the property and then a job within that customer is going to be how you set up each unit, so my property might be at 452 Main Street, and then I have renters and apartments a B C D and E so let's say it's a 5 unit apartment, so this is how I want to set that up in QuickBooks now the next thing is I want to set up my items because if I'm invoicing than that means I'm involving items, so I want to set up these service items the first one of course is I need to be able to capture the rent and if I choose to edit that real quick I can show you how this is set up it's called rent the description comes up monthly rent and the account it's tied to is the rental income account pretty straightforward pretty logical now I go to my security deposit now here's where oftentimes I find as a consultant that's not a counter for correctly but the way I like to set this up is to have a separate item for each unit and in the description I can have it actually say security deposit and...
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