Credits for unused rent and goodwill
When a lease ends before the time already billed in advance, the unused days are not lost. They come back by themselves as a minus line on the next bill. A goodwill credit is a plain credit note on the bill.
PLANSFrom Growth
The problem it solves
- A tenant leaves on the 10th after paying the whole month, and the refund is worked out by hand.
- A credit for a broken lift is promised on the phone and never reaches the account.
How it works
- Rent is billed in advance. When a lease ends early, through a notice, Extend or Shorten, or a move-out before the period ends, the billed-until date is past the end.
- On the next billing run, or Bill Now, the unused days are worked out at the lease's rent. They are added as a minus line, "not used", with the dates.
- For goodwill, open the posted bill and add a credit note for the amount and reason, as for any invoice.
- The tenant sees the credit on their bills.
Everything it does
Unused rent
- Worked out for each unit line from the end to the day already billed
- Uses the same rent the bill used, including steps and rent-free days
- Shown as a minus line with the period on the next bill of the lease
Goodwill
- A credit note on the bill, with your reason
- No separate goodwill record or approval in Lease
Charges
- A charge not yet billed can be cancelled; a billed one is undone with a credit note
Who uses it
AccountsChecks the credit on the next bill and issues goodwill credit notes.
Lease userEnds or shortens the lease; the credit follows.
TenantSees the credit on their bills.
Where you use it
- Web: Lease > Billing > Rent > Rent Bills (credit notes listed with the bills); Bill Now on the lease
What you control
Settings
- Credits for unused time: always on for leases billed in advance
Notifications
- No message of its own; the credit is part of the next bill or credit note
Questions
Is the unused rent worked out by hand?
No. When a lease ends before the time already billed, the next billing run adds a minus line for the unused days at the same rent.How do we give a goodwill credit?
Add a credit note on the tenant's bill with the amount and the reason, as for any invoice.Is a credit refunded to the bank?
It reduces what the tenant owes. Refund any balance the usual way for customer payments, or with the deposit settlement at the end.Related features
LEASES AND RENTRent schedule in advance or arrears, with rent-free monthsA confirmed lease bills itself from a schedule: monthly, quarterly, half-yearly or yearly, in advance or in arrears. Part periods go by the calendar, and stepped rents, rent-free periods and holdover worked in.LEASES AND RENTRenewals, breaks, holdover and notices to vacateRenew a lease with a new term and rent, and offer it to the tenant on their page. Let the new lease take over on its first day. Break options, holdover rent and notices to vacate each have their dates.CHECKS, DEPOSITS AND REPAIRSDeposits, deductions and settlementThe deposit is held on a liability account, taken in one go or in parts. At move-out, deductions are proposed from the check. The tenant agrees or disputes each line online. Settle Deposit keeps what is agreed and refunds the rest.ACCOUNTINGFull accounting with GST returnsRent bills, deposits, cheques, owner money, vendor bills and the leases you take all land in the books of the same system. Scale adds the full accounting screens and reports, from ledgers to cash flow, and GSTR-1 and GSTR-3B for Indian Entities.
See your buildings on it.
Tell us how many properties and units you have, whether you let your own or manage for owners, and how rent is paid today. We will set up your portfolio with you on SmartMy Lease.