Owning one or two rentals is a small business, and the paperwork arrives at tax time whether you're ready or not. A simple monthly routine keeps it manageable.
1. One row per property per month
Record rent expected and rent actually received. The gap tells you about late payments and vacancy before it becomes a pattern.
2. Log expenses by category, with the receipt
Repairs, insurance, property tax, mortgage interest, management fees, utilities you pay, and travel to the property. Save the receipt or invoice with the same date and amount so you can find it later.
3. Separate repairs from improvements
In many tax systems, a repair (fixing what's there) is treated differently from an improvement (making it better or longer-lasting), which may need to be depreciated over years. Tag each expense as you go and check the rules where you live.
4. Keep a reserve per property
Setting aside a share of rent each month for repairs and vacancy smooths out the expensive months. Many landlords aim for a few months of expenses per property.
5. Close the month in 10 minutes
Match the bank account to your log, mark late rent, and note anything to follow up. At year-end, the totals are already done.
Free tools
- How to track rental property income and expenses (full guide)
- Free rental property spreadsheet (CSV for Excel / Google Sheets)
- Rental Property & Landlord Tracker ($9.99, up to 15 properties, rent expected vs. collected, net profit and vacancy per property)
- ROI calculator
- 42 free budget templates, pay what you want ($0 is fine)
General information, not personal financial or tax advice.