All Forum Posts by: Antonette El Baz

Most of my bookkeeping clients use QBO as well and it can work very well for real estate businesses. Not only is QBO popular among CPAs, it has a user-friendly interface, and robust features make it a great option for those looking to scale up and stay organized with multiple properties or LLCs.

While there are other options available, such as Stessa, QBO's integration with property management software and its ease of use for generating reports and tracking income and expenses make it a preferred choice for many. Also, QBO's frequent updates and improvements ensure that it continues to meet the evolving needs of real estate investors.

Ultimately, the choice of bookkeeping software will depend on your specific business needs and preferences. 

$500 for Expert QuickBooks review for real estate investors:

I'll provide you with a thorough and detailed Diagnostic Review of your books so you'll know exactly what needs to be done to achieve accurate record-keeping and stay in compliance.

After you complete the Diagnostic Review, you'll have the option to use my firm for any Clean-Up and Catch-Up work before becoming one of my clients. It may seem like a lengthy process, but I've tested it countless times, and it works!

I take pride in my attention to detail and accuracy and I use this as the foundation for my fixed price packages - from basic bookkeeping services up to CFO level. During our strategy call, I'll go over the next steps and walk you through your financials in layman's terms. I'll even coach and show you ways to move the needle at this level.

I hope you'll choose me for your next bookkeeping engagement. I'm excited to work with you and provide the support you need for accurate record-keeping and financial success!

It's generally recommended to have separate bank accounts for each LLC you own to keep your finances organized and separate from personal finances. I would have one bank account for operating expenses and another for deposits for each LLC.

When it comes to managing multiple LLCs and rental properties, it's important to keep things separate to avoid co-mingling funds. To answer your question, yes, it's generally a good practice to pay the mortgage payment and other expenses for a specific LLC's property from that LLC's dedicated bank account.

So, for example, if you have a rental property that is owned by an LLC, and the tenant pays rent into that LLC's bank account, it's best to use those funds to cover expenses related to that specific property. This includes mortgage payments, property taxes, insurance, repairs, and other expenses directly associated with that particular LLC and property.

By keeping the funds separate and using the LLC's dedicated bank account for its expenses, you can maintain clear financial records and ensure that there is no co-mingling of funds between different LLCs or your personal funds. It's a smart way to keep your finances organized and protect the liability protection that an LLC provides.

Of course, it's always a good idea to consult with a qualified accountant or financial professional for personalized advice on managing your LLCs and rental properties. They can help you set up proper accounting practices and make sure you're following all the legal requirements for your specific situation.

Hope this helps!

It's important to keep in mind that your labor is considered part of your investment in the property, rather than an expense you can deduct. Like others have mentioned when it comes to accounting for your own labor as a landlord, it's not something you can typically deduct from your taxes. Like @Linda Weygantstated, it's called "sweat equity," and it's not considered a deductible expense. If you tried to deduct it, you'd actually have to claim it as income and pay taxes on it, which is not really ideal.

Hey Kyle!

Congrats on your first property purchase and welcome to the world of house hacking! It's awesome that you're taking steps to set up your banking for managing the property. Having a separate bank account for your property is definitely a good idea for keeping your personal and rental finances organized.

As for your questions, paying your mortgage through the separate bank account is usually recommended. It helps you keep track of your rental property expenses separately and makes it easier for tax purposes. You can also use this account to collect rent from your tenants, which keeps your personal and rental income separate as well.

When it comes to repair and maintenance expenses, it's a good practice to split them based on what is for the "rental" portion and what is for the primary residence portion of the house, as you've mentioned. This helps you accurately track the expenses related to your rental property for tax purposes and financial management.

Managing the finances of a SFH house hack can seem overwhelming at first, but with a separate bank account and careful tracking, it becomes much easier. You can use accounting software or even a simple spreadsheet to keep track of all your expenses and income related to the property.

I hope this helps! Best of luck with your house hacking venture, and feel free to ask if you have any more questions.

Hey there! I totally agree with the other commenters that QuickBooks Online (QBO) is a fantastic choice for real estate accounting. That's all I use with my clients. It's a user-friendly platform that offers a wide range of features tailored to the needs of the real estate industry. With QBO, you can easily track your income and expenses, manage your rental properties, generate reports, and even collaborate with your accountant or bookkeeper.

One of the things I love about QBO is its accessibility - you can access it from anywhere, anytime using your computer or mobile device. This is especially handy for real estate professionals who are always on the go. Plus, it integrates with other popular real estate tools like property management software, making your accounting tasks even more streamlined.

The reporting capabilities of QBO are also top-notch. You can generate customized reports to gain insights into your financials, track your profitability, and make informed business decisions. The platform also offers a variety of automation features, such as recurring transactions and bank feeds, which can save you time and effort in managing your books.

Overall, I highly recommend QBO for real estate accounting. Give it a try!

I second the approach of coding personal expenses on a credit card to "Owner Withdrawals" or "Due from Owner". 

It's important to never delete credit card transactions from your feed, even if they are personal expenses. This allows you to track and categorize expenses properly and also helps in reconciling your books accurately.

I also recommend maintaining a strict separation between personal and business expenses to ensure that you can accurately track and manage your property's finances. 

As a virtual bookkeeper with extensive experience in the real estate industry, I can assist you with your accounting needs.

I specialize in providing virtual bookkeeping services for real estate investors, landlords, and property management companies. I work remotely, which means you can save time and money on overhead costs associated with hiring an in-house accountant. I also use the latest accounting software and tools, which ensures that your financial records are accurate and up-to-date.

I understand that each real estate business has unique needs, which is why I offer customized bookkeeping services tailored to your specific requirements. Whether you need ongoing bookkeeping support or one-time assistance with a specific project, I am here to help.

If interested in learning more, please feel free to contact me.

Hi there,

As a professional bookkeeper, I would caution against outsourcing your bookkeeping tasks to an overseas company without proper research and due diligence. While outsourcing can be a cost-effective solution, it is important to ensure that the company you choose is trustworthy and capable of handling your sensitive financial information.

With this company you have found, it is crucial to thoroughly vet any potential outsourcing partner before entrusting them with your financial records. One way to verify the legitimacy of an overseas company is to check reviews from reputable online sources or ask for references from other U.S. based clients who have used their services. 

Have you considered using a U.S. based virtual bookkeeper? I think you'll find that it can be an affordable option and they would follow the same U.S. based accounting practices.