On-Site Manager Agreement and Compensation

[Kathleen Hendricks]

Curious about how others structure an on-site manager's employment agreement (e.g. housing allowance, hourly or salary, tasks required,etc). This is for California specifically.  Would also love a referral for an attorney to draft such an agreement to meet local and state guidelines.

Thanks!!!

[Account Closed]

Originally posted by @Kathleen Hendricks:

Curious about how others structure an on-site manager's employment agreement (e.g. housing allowance, hourly or salary, tasks required,etc). This is for California specifically.  Would also love a referral for an attorney to draft such an agreement to meet local and state guidelines.

Thanks!!!

 How big is the property?  I actually worked for an owner who only offers a free apartment in exchange for managing 25 units (26 unit building).  This is in Silicon Valley, where apartments cost quite a bit.  He doesn't have an office or regular hours for the manager, so it's a part-time position, where the manager can also work full-time, if they can still get the job done.  This is how he does all his apartment buildings around the Bay Area, all of similar numbers of apartments.  And if you're talking about managing in the Carmel area, free rent would be a sweet deal.

You don't need an on-site manager unless the building/complex has 16 or more units.

It's advised to have an agreement for managers to be given just a discount on rent plus a salary.  I forget why.  But, I think sometimes these things can be over-thought and just give attorneys unnecessary business.  I know the guy I worked for did pay for workers comp and unemployment insurance.  

You could check out the Nolo book for landlording in CA.  I know there's a section in it regarding managers.  I don't remember that section specifically.  I used the book for contracts and references as far as being the manager.  But, it's a cheap book and had all the forms you need and contracts, etc.  Might be worth the price to see what they have to say about compensating the manager.

https://store.nolo.com/products/the-california-landlords-law-book-lbrt.html