Good morning everyone. I recently closed on my first triplex and had a couple questions about Tracking Expenses. None of the books I have read so far have gone in much detail on tracking expenses, rent, and payments. It's only a triplex (also possibly looking to buy the next door quadplex as well), so I don't have a large portfolio at the moment where I feel paying for a service would be the best use of money. I'm hoping to gain a better understanding of what and how to track in google sheets to keep track of money in and money out. Also I will be meeting with a CPA this Wednesday to ask him many of these questions as well and build that relationship. I have a business checking and savings account through Capital one, for rent collection and expenses AND holding the security deposits, respectively. I have also created an account on apartments.com and linked my bank account and sent signup info to tenants to receive ACH rent payments.
-Do you have recommendations for how to set up an excel document to ensure I am tracking everything appropriately? Do you save all receipts?
-I deposited about $1100 into the checking account, this was the remainder of a $10,000 credit from the seller. Was this the correct location to place this money?
-I will be making some purchases for the property: lawn mower, washer dryer, some electrical work, possibly a printer/scanner for documents. Are these business expenses that should go through the business checking account? And to pay for them do I transfer money from my personal checking to the business checking? Am I able to pay for things with my personal credit card (keep the receipt) and then make the specific payment/transfer from my business checking?
-I intend to look things up on bigger pockets, google, youtube etc. Any other great resources for getting started? Any good book recommendations?
Good morning everyone. I recently closed on my first triplex and had a couple questions about Tracking Expenses. None of the books I have read so far have gone in much detail on tracking expenses, rent, and payments. It's only a triplex (also possibly looking to buy the next door quadplex as well), so I don't have a large portfolio at the moment where I feel paying for a service would be the best use of money. I'm hoping to gain a better understanding of what and how to track in google sheets to keep track of money in and money out. Also I will be meeting with a CPA this Wednesday to ask him many of these questions as well and build that relationship. I have a business checking and savings account through Capital one, for rent collection and expenses AND holding the security deposits, respectively. I have also created an account on apartments.com and linked my bank account and sent signup info to tenants to receive ACH rent payments.
-Do you have recommendations for how to set up an excel document to ensure I am tracking everything appropriately? Do you save all receipts?
-I deposited about $1100 into the checking account, this was the remainder of a $10,000 credit from the seller. Was this the correct location to place this money?
-I will be making some purchases for the property: lawn mower, washer dryer, some electrical work, possibly a printer/scanner for documents. Are these business expenses that should go through the business checking account? And to pay for them do I transfer money from my personal checking to the business checking? Am I able to pay for things with my personal credit card (keep the receipt) and then make the specific payment/transfer from my business checking?
-I intend to look things up on bigger pockets, google, youtube etc. Any other great resources for getting started? Any good book recommendations?
Thank you for your guidance!
-Brady Gross
The better organized you are, the better you can track performance, be prepared for income taxes and a potential IRS audit.
If you plan to grow, definitely set up a separate biz bank account.
Check your state laws about if security deposit must be in a separate account and who gets any interest.
HIGHLY recommend scanning all receipts as many are on thermal paper that fade over time. - Save them with consistent naming conventions: yyyy-mm-dd_street_Address #_(vendor)_short descrip_$##.##
Rental Property Investor · Seattle, WA · Member since 2013 · 2k+ posts · 1k+ votes
3mo
The secutity deposit is the only thing you need to keep segregated. Your CPA may strongly encourage you to use the business account for everything, but we are completely co-mingled and it works fine as long as we allocate all our line items and keep receipts for the rental expenses. I just throw them in an envelope and an electronic file folder in case of IRS audit, but we do our own taxes. I classify all my expenses weekly and monthly assign all the rental line items to a property and indicate if I have a receipt and its tax category. It doesn't need to be a big effort as long as you keep up with it. I use pocketsmith and Excel with some fancy SUMIF formulas to look at the data different ways.
CPA, CFP®, PFS · FL · Member since 2017 · 5k+ posts · 3k+ votes
3mo
Hey Brady! Love that you're already setting up separate business accounts and meeting with a CPA this week, you're honestly ahead of most new landlords in your same position.
For tracking in Google Sheets, keep it simple, columns for date, description, category, income, and expense. Categories should include rent income, repairs and maintenance, utilities, insurance, mortgage interest, property taxes, HOA, supplies, and capital improvements tracked separately. Save every receipt digitally, a free app like Expensify or even just a Google Drive folder works great for this.
On the $1,100 seller credit, depositing it into the business checking is fine. Just document it clearly as a seller credit from closing so it's categorized correctly and not confused with rental income.
On the purchases like the lawn mower, washer dryer, and electrical work, yes these are business expenses and should run through the business account. If you pay with a personal card in a pinch, just reimburse yourself from the business account and keep the receipt with a note. The key is keeping everything documented and traceable. A printer and scanner for documents is also a legitimate business expense.
The fact that you're already thinking about clean recordkeeping from day one is exactly right. Definitely worth asking your CPA Wednesday about depreciation on the property and the purchases too. Some of those items may be depreciable or expensable under Section 179 rather than just deducted as regular expenses.
Real Estate Agent · Memphis · Member since 2026 · 566 posts · 329 votes
3mo
First off, congratulations on the triplex. It sounds like you're already doing a lot of the right things by separating things by separating accounts, setting up ACH rent collection, and meeting with a CPA early.
For a small portfolio, I've found a simple spreadsheet works perfectly well. I'd track:
Income
• Rent received
• Late fees
• Other income
Expenses
• Mortgage
• Taxes
• Insurance
• Utilities
• Maintenance/repairs
• Lawn care
• Capital improvements
• Property management
• Supplies
• Professional services (CPA, attorney, etc.)
I'd definitely save receipts. Even if they're digital, having organized records makes tax season much easier.
One thing I'd encourage is keeping business and personal finances as separate as possible. The cleaner the records, the easier it is to understand property performance and work with your CPA.
As for purchases, I'd generally want items related to operating the rental to flow through the rental business account whenever practical:
If you pay with a personal credit card, I'd make sure the transaction is documented clearly so there's a record of the business expense and reimbursement.
The biggest advice I'd give a new landlord is to start building your bookkeeping process now while you have three units. It's much easier to create good habits today than it is after you've added a few more properties and have a year's worth of transactions to organize.
One thing I'd ask your CPA on Wednesday is how they prefer expenses categorized. Setting up your spreadsheet to match their reporting process can save a lot of time later.
Property Manager · Phoenix, AZ · Member since 2024 · 534 posts · 204 votes
3mo
Congratulations on the triplex, @Brady Michael GrossFor a triplex, a simple Google Sheet works well. Track: date, property, description, category, income, expense, and payment method. Use categories like rent, repairs, utilities, insurance, taxes, mortgage interest, and capital improvements.
Save all receipts digitally. It makes tax time and audits much easier.
The $1,100 seller credit is likely fine in the business checking account. Just document it clearly and confirm the treatment with your CPA.
Property-related purchases (lawn mower, appliances, electrical work, printer/scanner) should generally be paid through the business account. If you use a personal card, keep the receipt and reimburse yourself from the business account with clear records.
One of the best questions for your CPA is how they want expenses categorized and what should be expensed versus depreciated.
You're already doing many of the right things by separating accounts and setting up ACH rent collection. Good bookkeeping habits now will pay off as you grow.
Good morning everyone. I recently closed on my first triplex and had a couple questions about Tracking Expenses. None of the books I have read so far have gone in much detail on tracking expenses, rent, and payments. It's only a triplex (also possibly looking to buy the next door quadplex as well), so I don't have a large portfolio at the moment where I feel paying for a service would be the best use of money. I'm hoping to gain a better understanding of what and how to track in google sheets to keep track of money in and money out. Also I will be meeting with a CPA this Wednesday to ask him many of these questions as well and build that relationship. I have a business checking and savings account through Capital one, for rent collection and expenses AND holding the security deposits, respectively. I have also created an account on apartments.com and linked my bank account and sent signup info to tenants to receive ACH rent payments.
-Do you have recommendations for how to set up an excel document to ensure I am tracking everything appropriately? Do you save all receipts?
-I deposited about $1100 into the checking account, this was the remainder of a $10,000 credit from the seller. Was this the correct location to place this money?
-I will be making some purchases for the property: lawn mower, washer dryer, some electrical work, possibly a printer/scanner for documents. Are these business expenses that should go through the business checking account? And to pay for them do I transfer money from my personal checking to the business checking? Am I able to pay for things with my personal credit card (keep the receipt) and then make the specific payment/transfer from my business checking?
-I intend to look things up on bigger pockets, google, youtube etc. Any other great resources for getting started? Any good book recommendations?
Thank you for your guidance!
-Brady Gross
The better organized you are, the better you can track performance, be prepared for income taxes and a potential IRS audit.
If you plan to grow, definitely set up a separate biz bank account.
Check your state laws about if security deposit must be in a separate account and who gets any interest.
HIGHLY recommend scanning all receipts as many are on thermal paper that fade over time. - Save them with consistent naming conventions: yyyy-mm-dd_street_Address #_(vendor)_short descrip_$##.##
Real Estate Broker · New York, NY · Member since 2020 · 2k+ posts · 1k+ votes
3mo
Hey Brady,
Congrats on the triplex!
For now, I'd focus on keeping things simple: I'd create tabs for rent collected, expenses, and repairs/capex. For expenses, categorize everything (insurance, taxes, utilities, maintenance, landscaping, supplies, etc.) so tax time is much easier.
I'd also save every receipt digitally and use a consistent naming convention like "2026-06-24_PlumbingRepair_Unit2.pdf" or "2026-06-24_LawnMower.pdf". Future you and your CPA will thank you.
It sounds like you're already doing the right thing by keeping separate bank accounts and meeting with a CPA early. That's a great foundation to build on.
As your portfolio grows, you'll probably outgrow spreadsheets, but for a triplex they're usually more than sufficient.
I'm a real estate broker based in NYC and Long Island. Happy to share ideas and answer questions. Feel free to reach out anytime, my DMs are always open!
Accountant · Los Angeles, CA · Member since 2016 · 2k+ posts · 901 votes
3mo
Congrats on the triplex, and honestly you're already ahead of most new landlords by opening a separate business account and lining up a CPA before tax time. At your size a simple Google Sheet does the job, just set up columns for date, description, category, money in and money out, with categories like rent, repairs and maintenance, utilities, insurance, mortgage interest, property taxes and supplies, and keep capital improvements in their own bucket since those get handled differently than everyday expenses. Save every receipt digitally, even a dated folder in Google Drive is enough. That leftover seller credit sitting in your business checking is fine where it is, just label it clearly as a closing credit so it doesn't get mixed up with rental income, since it's really a reduction of what you paid rather than income to you. And yes, run the property purchases like the lawn mower, washer/dryer, electrical work and printer through the business account, and if you ever have to front something on a personal card just keep the receipt and reimburse yourself from the business account so there's a clean paper trail. The big thing is building these habits now while it's only three units, because untangling a year of mixed records later is a headache. One great question for your CPA Wednesday is which of those purchases get written off right away versus depreciated over time. The right setup really depends on your specific situation, so confirm the details with your own CPA.
Rental Property Investor · WI · Member since 2023 · 192 posts · 144 votes
3mo
Meeting with a CPA will be helpful, they helped me get my books in order as I also started with Google Sheets in tracking everything. It wasn't until BPCON two years ago that I pivoted to actual software and I am glad I did. I now use Stessa which was a sponsor of BP. It was also recommended to me by many other landlords I met at the conference. The software is free to use and it breaks everything down by property. Once I had multiple properties my Google Sheets still worked but it just started to get a bit messy. For context I also am not very large I only have 6 properties 8 doors. For my business at the size it is Stessa has worked great for me. I can easily track all my expenses, export everything to excel to organize it for tax time, save all my receipts virtually (even though I still keep the hard copies as well), and save all my documents in one place.
For my business setup which has worked out great for us, we have one business checking, business savings, business brokerage, and a business credit card. I never have used personal funds for the business for the exception of setting it up before I had my EIN number. If I want to use business funds I cut myself a check and write on it owner draw. I have only done that once, normally I funnel all profits back into the business.
As for everything you listed I say yes those are all business expenses. Also don't forget about claiming mileage for everything you are doing. If you have more questions let me know, I would be happy to help and show you our setup.
Rental Property Investor · IL · Member since 2026 · 11 posts · 1 vote
3mo
Don't over complicate it! Simple spreadsheet (you can use Chat GPT or another AI to make one), or if you want to collect rent online RentRedi which is made by bigger pockets is an awesome platform and their expense tracker is good enough to start (the one that comes with the program not the paid accounting). I highly recommend rentredi when I switched to that from just collecting checks and cash it made everything so very simple, even on something as small as a triplex. Not to mention Lease Signing. Chasing tenants down gets old REALLLL fast
Good morning everyone. I recently closed on my first triplex and had a couple questions about Tracking Expenses. None of the books I have read so far have gone in much detail on tracking expenses, rent, and payments. It's only a triplex (also possibly looking to buy the next door quadplex as well), so I don't have a large portfolio at the moment where I feel paying for a service would be the best use of money. I'm hoping to gain a better understanding of what and how to track in google sheets to keep track of money in and money out. Also I will be meeting with a CPA this Wednesday to ask him many of these questions as well and build that relationship. I have a business checking and savings account through Capital one, for rent collection and expenses AND holding the security deposits, respectively. I have also created an account on apartments.com and linked my bank account and sent signup info to tenants to receive ACH rent payments.
-Do you have recommendations for how to set up an excel document to ensure I am tracking everything appropriately? Do you save all receipts?
-I deposited about $1100 into the checking account, this was the remainder of a $10,000 credit from the seller. Was this the correct location to place this money?
-I will be making some purchases for the property: lawn mower, washer dryer, some electrical work, possibly a printer/scanner for documents. Are these business expenses that should go through the business checking account? And to pay for them do I transfer money from my personal checking to the business checking? Am I able to pay for things with my personal credit card (keep the receipt) and then make the specific payment/transfer from my business checking?
-I intend to look things up on bigger pockets, google, youtube etc. Any other great resources for getting started? Any good book recommendations?
Thank you for your guidance!
-Brady Gross
Congrats on closing your first triplex. You are asking the right questions early, and clean records from day one can make a big difference for tax filing, financing, and future acquisitions.
For a simple setup, I would track everything by property and by category: rent received, repairs, maintenance, utilities, insurance, property taxes, mortgage interest, supplies, professional fees, owner contributions, and reimbursements. I would also keep security deposits on a separate tab since those should not be treated the same as rental income.
Yes, save all receipts and invoices, especially for appliances, equipment, electrical work, and larger repairs. Some items may be deductible, while others may need to be capitalized or depreciated, so the categories matter.
Using the business bank account is ideal. If you pay personally, document it clearly as an owner contribution or reimbursement.
Since you are meeting with a CPA, I would ask them to help you set up your chart of accounts now. That is where a real estate-focused accountant can add a lot of value before the portfolio grows.
Happy to share general rental bookkeeping and tax considerations here if helpful.
Congrats on closing your first triplex. You are asking the right questions early, and clean records from day one can make a big difference for tax filing, financing, and future acquisitions.
For a simple setup, I would track everything by property and by category: rent received, repairs, maintenance, utilities, insurance, property taxes, mortgage interest, supplies, professional fees, owner contributions, and reimbursements. I would also keep security deposits on a separate tab since those should not be treated the same as rental income.
Yes, save all receipts and invoices, especially for appliances, equipment, electrical work, and larger repairs. Some items may be deductible, while others may need to be capitalized or depreciated, so the categories matter.
Using the business bank account is ideal. If you pay personally, document it clearly as an owner contribution or reimbursement.
Since you are meeting with a CPA, I would ask them to help you set up your chart of accounts now. That is where a real estate-focused accountant can add a lot of value before the portfolio grows.
Happy to share general rental bookkeeping and tax considerations here if helpful.
@Brady Michael Gross. So far you are thinking about things the right way with ACH collection and meeting with your CPA!
On the spreadsheet that always starts out like a good solution until you get to the end of the year and you have 12 months and multiple different items you are start to track..etc. There are so many categories of expenses to think about such as management fees, supplies, utilities, advertising, insurance...etc it gets crazy quick!
You need to scan every receipt. I like using Real Books because not only does it capture the receipts but also auto classifies them against the property. But there are a few reasons why you want to digitize them. For example: 1. thermal paper will bleed out over time usually 12-18 months 2. If you were ever to be audited you will need to produce 7 years of them 3. storage space, do you really want shoeboxes of receipts around for years?
Makes sure you check with your CPA if the $1,100 seller credit needs to be capitalized or not. For residential generally the limit is $2,500 but there might be a special rule with this type of transaction.
As mentioned above, the $2,500 safe harbor, you should be looking at the lawn mower, washer/dryer and other equipment purchases get depreciated and should not be recorded as expenses. Because of current laws you should be able to depreciate the full value in year 1 but categorization matters.
Lastly, paying from your personal account and then reimbursing yourself is the right way to do it and is ok. Whatever you do don't just pay for it from your personal checking and call it a day, that gets you into a world of trouble.
If you want to PM me I can share with you how I have automated my workflows and it alleviates having to learn all these CPA and Tax law questions because they just get more and more complex.
Investor · San Diego · Member since 2020 · 92 posts · 60 votes
2mo
Your instincts are already good (separate business checking, deposits segregated). A few practical answers:
Sheet setup: one transactions tab, columns for date, property/unit, payee, category, amount, and a link to the receipt photo. The trick that saves you at tax time is using categories that match Schedule E from day one: repairs, supplies, insurance, mortgage interest, utilities, professional fees, and a separate category for capital items. Then a P&L is just a pivot table.
Receipts: yes, all of them. Simplest system is photographing every receipt the day you get it into a Drive folder per month. The sheet row links to the photo.
Purchases: run everything property-related through the business account. If you must use a personal card, keep the receipt and reimburse yourself from business checking with a memo; do it as a documented transfer, not casually. Ask your CPA about the de minimis safe harbor election, which typically lets you expense items under $2,500 (your mower, washer/dryer, printer) instead of depreciating them. That one question pays for the meeting.
The seller credit question and where that $1,100 should sit is a genuine CPA question since it may affect your basis rather than being income; you put it in the right account, just have him classify it.
Book recommendation: NOLO's Every Landlord's Tax Deduction Guide. It's the standard for a reason.
Real Estate Consultant · Norfolk, VA · Member since 2017 · 345 posts · 201 votes
2mo
Congrats on your first triplex!
A few things that have worked well for me as both a real estate investor and CPA:
Keep dedicated bank and credit card accounts for the property. Avoid commingling personal and business funds as much as possible. Don't deposit rent into a personal account or pay property expenses directly from personal funds unless it's absolutely necessary.
If you're using Google Sheets, download your bank and credit card transactions regularly (CSV/Excel) and add columns for:
Save everything electronically. I keep copies of receipts, the closing statement, loan documents, LLC documents, leases, bank statements, credit card statements, invoices, and tax documents in Google Drive. It makes year-end and tax season much easier.
If you ever have to use your personal account or credit card for a property expense, that's okay—just document it well. Track it on a separate spreadsheet with the date, payee, description, amount, property/unit, and which account was used. Your CPA can then properly record it as an owner contribution or reimbursement.
As for your purchases (lawn mower, washer/dryer, electrical work, etc.), yes, those should generally be paid from the business account whenever possible. If you pay personally, keep the receipt and reimburse yourself from the business later with proper documentation.
One last tip: it's only a triplex today, but if you're planning to buy more, start with good habits now. A clean system from day one is much easier than trying to reconstruct everything after you've acquired several properties. Your future self—and your CPA—will thank you.
