Tenants may be in receipt of housing benefit contributions to make up some or all of their rent payments. The process for recording benefit rent payments is outlined below, with links to more detailed steps.
- Set up the tenancy to expect a benefit contribution
- Record payment from the benefit authority
- Allocate benefit payments to relevant tenancies
Set up the tenancy to expect a benefit contribution
Firstly, the tenancy must be set up to expect a benefit contribution towards rent. This is done using a rent schedule configured to apply "benefit" rent on a cycle in line with the payment schedule from the local authority. If the benefit or Universal Credit payment is made directly to the tenant, then the tenancy is just treated as if it is all tenant rent.
How to set up a tenancy to expect housing benefit payments.
Record payment from the benefit agency / local authority
Typically the payment from the benefit agency (in Northern Ireland) or local authority (in the rest of the UK) will be made to the managing agent in bulk, comprising various amounts relating to other tenancies. You should first record this bulk benefit payment and then allocate it in various amounts to the relevant tenancies. If the payment of Universal Credit benefit is made directly to the tenant, it will simply be recorded as a normal tenant payment towards standard tenant rent.
How to record a payment from the benefit agency.
Allocate benefit to relevant tenancies
Benefit or Universal Credit payments need to be allocated from the overall total to the individual tenancies specified on the associated schedule. These allocations will be processed in a similar way to tenant payments in that they are marked off the rent balance (benefit element) and an appropriate management fee is applied. You can view a transactions details to see how it has been allocated.
How to allocate payments from the benefit total to tenancies.
Comments
0 comments
Please sign in to leave a comment.