Rent Receipt to give or not?

Question

Should I give them a receipt at all times or should I give if they ask for it? Tenant is paying by cash. I have a tenant that recently signed lease that starts on the 1st of this month. After discussion back and forth prior to signing the lease with the agent that's what the agent tells me. Certain things we agreed upon was to deduct from the days they won't be able to move in and this is just for the first month of rent but going forward they will pay the amount agreed upon on the lease. 2000/31=64.5*7=451.5 but will say $452. They have already paid the deposit and we agreed to deduct 452 from the 2k rent just for the first month for the days they said they are not able to move in...They first said they are unable to move in until the 8th of this month but then I just got told that they might be able to move in one day earlier so they say they will pay us $65 for moving in earlier one day.

So my question is if I were to write the receipt for this money they will be paying what is the proper way to write on the check under the receipt part...like the note section so there is no confusion? I want to keep it as simple and understandable but don't want to use bad wording on the receipt that doesn't apply.

Would this be correct or proper? But its too wordy...

Pro rate rent money for moving in on 12/7 (initially agreed upon for move in date 12/8) do u think that is fine?

Thanks for the help. Let me know what's best to write on the receipt...

David Lee Hall, III · Answer

I have a rent schedule as an addendum on my lease. It is just a table I create in Excel with what is due when. Similar to an amortization schedule from a bank some lenders provide. I have it signed with the lease and provide a copy to the tenant. There are no questions then when things are due even for prorated months. (Haven't had to present it in court before, but I am sure a judge wouldn't complain about the additional documentation.)

Theresa Harris · Answer

@Simon L.  Yes you should give them a receipt.  Keep it simple. Get a simple receipt book which allows you to keep a copy and give the tenant a copy.  It looks like a cheque book.  Put down how much you received, when it was received and in the bottom left put down for rent from X day to Y day (so Dec 2019 rent for 123 Main St, City, ST, or rent for Dec 7-31, 2019).  Then have them sign it along with yourself (hand write your names below the signatures).  Give them the original and keep the duplicate copy.

Kevin Sobilo · Answer

@Simon L., I like to keep things simple. I would not have prorated to the day. I probably would have only charged them 1/2 months rent for the first month and told them I was giving them the discount on the first month because moving is stressful on time and finances. Doing something nice for a tenant off the bat sets the tone for a good landlord/tenant relationship.

Its simple enough with a lease to note what a discount or refund was given for the first months rent. Usually there is a freeform area to add things to a lease.

I would always give a receipt with a cash payment. Its just a good business practice. However, if cash is given when a lease is signed, the lease should show what monies have been paid at the signing of the lease and what if any monies are still owed. Since the lease is signed by the landlord, I consider that to be the receipt for monies paid at lease signing and I explain that to the tenant.

Jim K. · Answer

@Simon L.

Any time you get cash that you're going to be taxed on, give a receipt for it.

Yes, it is too wordy. What I would do in this situation is to have with that first payment is an additional affidavit explaining (something your draw up in two copies and both sign). The receipt is to document that $$$ took place, the signed affidavit articulates what amounts to a verbal contract you entered into regarding special circumstances this month.

The way I have to see things in Pennsylvania, if this rental agreement ever falls apart, you'll want to make sure you have the affidavit and the receipt in order in your folder when you go up in front of a judge, and that the affidavit and receipt is clear enough without shorthand or possibly confusing explanations.

David Lee Hall, III · Answer

Np

Jim K. · Answer

That's wise. I've got to start doing that. Thanks, David.

James Mc Ree · Answer

I always give a receipt on accepting a deposit and at move-in.  I don't normally give receipts otherwise unless I am handed cash.  The receipt protects us both that we agreed I was given $X in cash.  Otherwise, there is a paper/online check or online payment record that serves as a receipt.  I also give receipts if a tenant needs one to prove something, such as getting assistance.

Sam Horton · Answer

@Simon L. If you're using an agent just have them write some additional language into the lease regarding the prorated first month, then both you and the tenant initial the changes. Regarding the cash payment, in the state of Mass you are supposed to have a separate bank account for rental income especially when handling security deposits. I'd consider just having a separate account for your real estate income, then for accounting purposes it's all on one ledger and you have the revised lease to back it up.

Simon L. · Answer

what should i put in affidavit or how should i go about writing it? i'm not an attorney so i don't know how to prepare that? any example you can show would help. thanks!

Rent Receipt to give or not?

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