Bank Account Allocations

[Roy C.]

Hello BP.

Hope everyone had a wonderful holiday. One of my NYR is getting more involved with REI and BP forums, so here it is.

How do you guys manage your REI bank accounts?

From what I understand from previous discussion, I should have at least four accounts for:

1. Place where tenants send their checks

2. Security Deposit

3. Cash Reserve for Expenses

4. and maybe for future investment reserve (for down payment etc)

Now my question is how do you keep track of all this? If you have one or two properties this doesn't seem to be challenging, but how people with 50+ properties keep track on expenses? Is there any software available to assist with this kind of task?

[KYLE Z.]

I have 1 account for my 7 rentals. The credit union set up the savings account for me with separate drop down accounts for cap ex, vacancy, taxes, insurance and security. I manage all with online banking and a excel spread sheet I made.