The Investment Account
The Investment Account in rpmsOnline reflects all amounts received and withdrawn from individual Tenant Deposit Accounts as well as any Bank Costs and Interest Transactions on your Investment Account. The Investment Account in rpmsOnline should be a mirror image of your actual Investment Account and should as such be reconciled with your actual investment account on a monthly basis to ensure that the account balances are the same.
Also included in this article:
- The Investment Account Dashboard layout and features
- How to capitalise Interest
- How to reconcile the Investment Account
The Investment Account and its associated investment category balances can be viewed on an Investment Account dashboard.
To navigate to the Investment Account dashboard:
- Select the Management menu option and then select the Company Bank Accounts menu option to open the Company Bank Accounts query.
- On the default Investment Account, click on the Dashboard icon (see below) to open the Investment Account Dashboard.
Investment Transaction Detail
Any investment transaction in rpmsOnline have the following information:
- Date - the date when the transaction was captured
- Property - the property for which the transaction was captured
- Tenant - the tenant for which the transaction was captured
- Description - a description for the transaction
- Category - the following categories are supported
- Deposit - used for deposits invested
- Deposit Released - used when deposits are released
- Bank Costs - used to reconcile bank costs charged to the investment account
- Cost Recovery - used to reconcile cost recovery transactions that were made to cover bank costs charged to the investment account
- Interest - use to reconcile and capitalise interest earned on the investment account
- Interest Transfer - use to reconcile interest withdrawn transactions that were made to withdraw reserved interest
- Type - credit for amounts received and debit for amounts paid or withdrawn
- Amount - the transaction amount
- Interest Allocated - the amount of an Interest Transaction that were allocated to individual Deposit Accounts
- Interest Reserved - the amount of an Interest Transaction that were reserved
- Status - Review when the transaction is created and Final when the transaction has been submitted
The Investment Account Dashboard
The Investment Account dashboard as shown above provides the following features:
- Main Transaction Panel - this panel shows all the Investment Account transactions
- Balances Panel - this panel shows the current Investment Category Balances based on all the Investment Transactions. The Investment Account Balance should be equal to your Investment Account bank statement when the Investment Account has been reconciled.
- Bank Cost Feature - use this feature to reconcile a Bank Cost transaction
- Cost Recovery Feature - use this feature to reconcile a Cost Recovery transaction
- Capitalise Interest Feature - use this feature to reconcile and capitalise Interest Earned
- Withdraw Interest Feature - use this feature to reconcile a Reserved Interest withdrawl transaction
- Tools drop down - utility features. The following options are available:
- Deposit Account Balances - view the Deposit and Interest Balances on the individual Tenant Deposit Accounts
- Recalc Investment Account - used to recalculate the Investment Account balances
- Investment Transactions for Period - view the Investment Transactions for a selected Period
- Options & Tools on a Transaction - use these features to execute operations on a specific Investment Transaction. The following options are available:
- Submit - used to accept a new transaction and change the status to Final
- View - used to view the transaction detail
- Delete - used to delete an Investment Transaction (not available for Interest transactions)
- Deposit TRX - used to view the associated Tenant Deposit Account where applicable
- Interest Split - used to view the associated Interest Split for an Interest Transaction
How to Capitalise Interest ?
- Open the Investment Account dashboard as shown above
- Click on the Capitalise Interest button
- Complete the fields on the form as shown below:
- Date - the Transaction Date
- Amount - the total Interest Earned amount taken from your Investment Account bank statement
- Reserve % - the percentage of the Interest Amount that you would like to hold back to cover costs. This percentage will be deducted from the Interest Amount and allocated towards Interest reserved. The remainder of the Interest amount will be allocated to the Individual Tenant Deposit Accounts on a pro-rata basis based on the Individual Deposit Balances.
- Include Switches - Interest are by default allocated to Current Leases, but you can include New, Past and Archived leases in the allocation process by just setting the relevant switch to the ON position on the form.
- Click on the Create button to process in the Interest Transaction. Note that Interest Capitalisation transactions are processed in bulk after hours and will only reflect on the individual Tenant Deposit Accounts the next day.
How to reconcile the Investment Account
Most auditors would require you to prove that you can reconcile your rpmsOnline Investment Account with the actual Investment Account and with the individual Deposit Accounts of the Tenants. The Investment Account recon feature will assist you with this task.
As with Trust Recon records, you can now also created Investment recon records for a period and the reconcile the Investment Account at regular intervals (typically monthly).
To open the Investment Recon query:
- Navigate to the Accounts menu and select the Banking menu option
- From the Tools drop down (top right), select the Investment recon records option.
- The Investment recon records query will be displayed (see example below).
- Click on the Add Recon Record button to select the Period and Open and Closing Balances on your Investment Account Statement. The system will then create a recon record for this period.
You can now click on the edit icon to open the recon record. An example of the detail is shown below:
With reference to the example recon record note the following:
- The system will link and total the Deposit Transactions that was received in the Investment Account.
- The system will link and total the Deposit Transactions that was released from the Investment Account.
- The system will link and total the Interest Transactions for the period as well as the Bank Cost and Recovery Transactions.
- The system will calculate a closing balance based on the rpmsOnline Investment Account transactions for the period as well as delta with reference to the Statement closing balance that you entered. In order to reconcile, this delta must be zero.
The Deposit Transactions tab provides a list of all Tenant Deposit Transactions for the period as well as a summary panel to assist you as shown below:
On the Deposit Transaction tab shown above:
- The Deposit Delta is zero - meaning that the Total Deposit Transactions on the Investment Account = Total Deposit Transactions on the Tenant Deposit Accounts for the selected period.
- The Withdrawl Delta is zero - meaning that the Total Withdrawl Transactions on the Investment Account = Total Deposit Withdrawl Transactions on the Tenant Deposit Accounts for the selected period.
- The Interest Delta is zero - meaning that the Total Interest Allocated on the Investment Account = Total Interest Earned Transactions on the Tenant Deposit Accounts for the selected period.