PM Modules - Account for damages/cancellations caused by a guest

If damage was caused to your rental during the stay of a guest, and you need to fix the damage, you will need to account for it. The same counts for cases where guests cancel at short notice, and they will need to pay for the booking (fully or partly).

To get a better understanding of the actions to take, we will look at an example.

🔎 Example: On arrival, you had blocked a 300€ security deposit on your guest's credit card. During the guest's stay, they accidentally broke the living room lamp, and you will need to replace it. You as the rental agency, buy the new lamp for 125€ and get the store's invoice directly under the owner's name. You capture this amount from the guest's security deposit in your reservation system.
💡 Note: The same example applies to cancellations.

To account for this money at the end of your owners statement period, you need to follow the below steps:

Create the payment of the owner

1. Go to your Main Menu in the top left corner and select PM Modules
2. Click Owner statements from the left menu bar.
3. Go to your Statements, and click Details:
   
4. Select Create Payment.
   
5. Choose the owner from the drop-down list to create the corresponding Payment.
6. Once inside the payment, scroll down to the bottom of the page and click Add item.
   
7. Now select Other as Concept type, choose the rental where this fee occurred, add a description, and Fixed value of 125€. Then Save.
   💡 Note: The Concept type Other means that this was an income to the owner. So the owner is considered the entity that earns money in this operation.

Now we need to balance out the money earned by the owner: this means, indicating who is paying for the extra amount paid to the owner due to the damage.

Create the expense for the guest

To balance out the money, we must have previously created a Recipient dedicated to "Guest Damages/Cancellations" so we can use that recipient to create the payment that will include the amount paid for the damage/cancellation.
As the security deposit is not considered part of the booking, the Statements will not take it into consideration by default, so you will also need to:

1. Create a Recipient dedicated to "Guests Damages/Cancellations" and leave the strategy blank.
   💡 Note: We highly recommend creating a generic Recipient called "Guest Damages/Cancellations" you can use for all cases where you capture a security deposit /cancellation (partly or fully). For this specific recipient, you can use your own email address and leave the rest of the strategy blank.
2. Now go to your statement and select Create Payment. Then choose the Guest Damages/Cancellations recipient from the drop-down list of the recipients.
3. Scroll down to the bottom of the page and click Add item. 
4. Now select Expense as Concept type, choose the rental where this fee occurred, add a description, and Fixed value of -125€. Then save.
   💡 Note: When creating Expenses, the amount always has to be negative.
5. Click Looks good, Create Payments!