How to Record Tenant Referral Bonuses
Recording the cost of rewards or bonuses paid to existing tenants for referring new occupants who sign a lease.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Marketing and Promotion Expense | Expense | 250.00 | - |
| Cash | Asset | - | 250.00 |
💡 Accountant's Note
Debit marketing and promotion expense to reflect customer acquisition costs; credit cash for the payout to the referring tenant.
Practitioner & Systems Framework
💻 ERP Architecture
If given as a rent credit, debit the expense and credit Rent Receivable instead of cash.
⚠️ Audit Flags
Bonuses paid without a signed lease from the referred party.
📄 Required Documentation
Referral program agreement and signed lease from the new tenant.
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