Some of the best free and paid accounting software for landlords include Stessa, Wave, ZipBooks, GnuCash, and QuickBooks. However, Stessa is the only free software system specifically designed for real estate investors. Remember that learning to use this software will take some time, and you’ll want to ensure you take full advantage of its features if you go down this path. Those that don’t have the time or interest in learning another software program may find it easier to work with a property management company that can take the entire task off your plate. An online version with a mobile app is becoming favored because it doesn’t require software updates and provides access to company finances from anywhere in the world. Landlord Studio allows you to quickly and easily track rental income and expenses, generate professional reports, reconcile with your bank, and more.

This is where tools like property management software or QuickBooks come in. In this article, we take a look at the benefits and limitations of QuickBooks for rental property accounting compared to property management software. It’s designed for landlords, property managers, tenants and property investor/owners. QuickBooks is an accounting tool, which all small businesses need, but it is not an operational tool designed for real estate investors or property managers.

QuickBooks Online: A solution for property management?

However, even after you scan everything, it’s a good idea to back things up and keep a few folders with regular receipts and other paper records. Digital programs – including rental property bookkeeping accounting software – could crash, leaving you scrambling to recover your data. Save time and stress by using accounting software designed for your rental business.

Understanding these best practices can help ensure your QuickBooks rental properties experience is a positive one. One drawback is the cost, however, as QuickBooks Online users pay a monthly subscription fee that adds up significantly over time. Your QuickBooks software has templates you can customize with relevant fields and information. This aspect is vital when using the software for your rental property because you won’t require the same data points as a traditional business.

How to Classify Rent Income on the General Ledger

The statements are found in your Documents library, and provide a historical record of all financial performance. The statements serve as a snapshot of financial performance over a given period, and are static documents (unlike Reports, the statements do not update/change in real-time). While this is the best choice for the planet, this is also a great move for your business, as it will help you stay organized. You can also track leases and store receipts to keep all your key records in one convenient location.

Landlord Studio is an easy property management and accounting software and app designed for landlords. Track income and expenses, run reports, collect rent online, find and screen tenants, manage property maintenance, and more. You can connect a property management tool to your bank, even if you have different accounts for different properties. This saves hours of admin time, eliminating manual data entry and reducing many bookkeeping errors. By synchronizing transactions from your bank account, landlords can reconcile and assign income and expenses to their properties. You also gain access to a current view of how your portfolio is performing in real time.