How Accounting Works in Propra
Propra is designed specifically for property management accounting, where accuracy, compliance, and organization are essential. Unlike traditional accounting systems, Propra treats each property as its own business, ensuring that financials are properly separated and easy to manage.
Property-Based Accounting
In Propra, every property operates independently from an accounting perspective. This means:
Each property has its own set of financial records
Income and expenses are tracked separately per property
Reporting is clean, accurate, and aligned with property-level performance
This structure reflects how property management works in real life, where each property must be accounted for individually.
Chart of Accounts by Property
Propra simplifies your accounting setup by allowing you to maintain a single chart of accounts (your list of general ledger accounts), while automatically breaking out activity by property.
For example:
You can have one general ledger account for Rent Trust
The system will automatically separate and track balances per property behind the scenes
This means you get the simplicity of a streamlined chart of accounts, without losing the detailed, property-level tracking required for accurate reporting and compliance.
What is Property Management Accounting?
Property management accounting focuses on tracking and managing financial activity related to rental properties. This includes:
Rent collection
Security deposits or last month’s rent
Vendor payments and maintenance expenses
Management fees
Compliance with provincial regulations
Because property managers often handle funds on behalf of owners and tenants, the accounting must be precise and follow strict rules.
Built-In Provincial Compliance
Each Canadian province has its own regulations when it comes to property management accounting. Propra is built with these rules already in place, so you don’t have to manage them manually.
For example:
When you create a lease and enter the rent amount, Propra will automatically calculate the required security deposit or last month’s rent, depending on your province
In Quebec, where security deposits are not allowed, the system will automatically set the deposit amount to $0
When a deposit is collected, Propra calculates interest automatically based on provincial guidelines
For instance, in Saskatchewan, interest calculations will only begin 5 years after the deposit is collected, in accordance with regulations
Automated Taxes and Fees
Propra also simplifies tax handling:
GST is automatically applied to management fees
GST is also applied to commercial properties, where applicable
This ensures that taxes are calculated correctly without requiring manual adjustments.