If the entire rent is due from benefit, with the tenant not making any contribution, you can define a single rent schedule for the full amount which is received from the local authority, starting from and recurring on the same cycle as the local authority payments.
Follow the steps below, using this article on how to set up a rent schedule on an existing tenancy as a reference.
- When setting up the tenancy, specify the rent on the tenancy agreement, without any consideration for how this will be paid, or by whom. This is simply the rent for this tenancy. In this example, let's consider the rent is £1000.00 per month. BUT, do not create and apply the rent schedule. We'll do this manually in the next steps. Click Save create the tenancy.
- Now, we'll manually set up the rent schedule for the rent due from the local authority. In this example, let's assume the local authority is going to be paying £923.08 every 28 days, which totals to £12,000 over the year, the equivalent of £1000.00 per month. Click Rent and Charges > Rent, then Add Rent.
- Set Payable By to Benefit, leave the Recurring checkbox ticked, then choose the date of the first payment, the frequency with which this payment is made (typically ever 28 days) and the value received.
- This will create the benefit rent schedule, and apply the first rent if that first date has passed already.
If any of the benefit payments vary from the amount expected from this schedule, you can amend the individual rent charges and/or the rent schedule, as outlined in the article on varying the benefit amount over time.
Payments received from the local authority can be recorded as outlined in the article below.