What Is a Rent Receipt?
Whether you are a large agency and have a property manager taking care of a myriad of tenants or an independent landlord having but one lonely tenant, you will normally handle payments through cheques. Usually, no Rent Receipts are required because all your transactions can be tracked by the bank. But what about cash payments or money orders that leave no trail? In cases like this, the landlord is required to provide you with written proof of the payment. In the case when the landlord refuses to give you the receipt, they may be found guilty of an offense. Even if the payment was done through a direct deposit, e-Transfer, or a cheque, the law obliges the landlord to provide the tenant with a receipt free of charge. The former is also required to issue a receipt to the previous tenant during the 12 months after their tenancy ends.
A Rental Receipt can be helpful for both the landlord and the tenant in more than one way, especially if you are looking for an organized and systematic manner to keep your records. Choose from a number of Rent Receipt templates below and download the version that suits your needs best.
Reasons to Make a Rent Receipt
There are several reasons for writing a Rental Receipt. A template is a neat way to streamline your bookkeeping and have a uniform style to save copies of the payments as they come along. Rent Payment Receipts can come in handy if you ever get audited or if you go to court. They can also be required by the city. Finally, they simplify your life. Remember, in case you misplace or lose the invoice, the landlord is not obliged to issue another.
How to Create a Rent Receipt?
Your rent invoice letter needs to show the date of the payment, the names of the tenant and that of the landlord, the amount of rent, as well as the address of the rental unit and the method of payment. In case your payment was incomplete, state the amount of the partial payment, along with the date and the balance amount.
Some by-laws require also mentioning the reason for your payment (whether you paid a monthly rent, last month’s rent deposit, or arrears of rent). Do make sure you have both parties’ signatures on the document.