Hemlane supports holding reserve balances and reconciling your bank account directly within the platform through Owner Accounting. This gives property managers more control over fund distribution, allowing you to set a minimum reserve amount per owner before any payouts are made and match bank transactions against activity recorded in the Owner Ledger.
Holding a Reserve Balance
To hold funds back before distributing to an owner, you can configure a Reserve Balance through the Owner Ledger. This is set as a flat dollar amount using the field labeled "Maintain a reserve balance of." You simply enter a dollar amount such as $2,000 and Hemlane will ensure that amount stays in the account before any payouts are made.
Reserve funds are held securely within Hemlane. Owners can view their reserve balance at any time through the Owner Ledger, alongside their total account balance, available payout amount, payout schedule, and linked bank account.
For information on what happens if an owner account has insufficient funds to cover outstanding payments, see How Are Payments Processed When an Owner Account Has Insufficient Funds?
Reconciling Your Bank Account
The Reconciliation page allows you to match your bank transactions against activity recorded in the Owner Ledger. Bank transactions are imported automatically from your connected bank account and each transaction is assigned a status of unreconciled, pending, reconciled, or excluded.
You review incoming transactions, match them to the corresponding Hemlane invoices through the reconciliation drawer, upload any supporting documents if needed, and exclude anything that is not relevant.
Please note that on Hemlane's Essential and Complete plans, reserves are not required to cover repair costs. Learn more about why you may not need reserves for repairs.