Managed Payroll · Property Management

Property management payroll has layers most payroll vendors can not handle. We can.

Resident manager housing allowances that affect taxable wage calculations, leasing agent commission structures, maintenance staff overtime, multi-property payroll consolidation, and 1099 vs. W-2 classification for contractor relationships create payroll complexity that generic platforms were not built for. BEG manages all of it at $25-$45 per employee per month - fully managed, no migration required.

See your exact monthly & annual price - no call required

Commission payrollLeasing agent commission structures handled correctly

Housing allowancesTaxable and non-taxable treatment managed accurately

Multi-property readyConsolidated reporting across all properties

The Cost of Running It Yourself

What does in-house payroll actually cost a property management company?

Housing allowance risk

Resident manager housing allowances that are not handled correctly create taxable income errors and IRS issues

Resident manager housing provided as a condition of employment and for the employer's convenience may be excludable from taxable income under IRC Section 119. The conditions for exclusion are strict - when they are not met, the housing value must be included in the employee's W-2. Many property management companies get this wrong for years before a payroll audit surfaces the issue.

Commission complexity

Leasing agent commission splits with charge-backs for early move-outs require payroll reconciliation every cycle

Leasing agents earn commissions on signed leases, but commissions are often clawed back if a resident moves out before a minimum occupancy period. Managing commission accruals, earned dates, charge-back tracking, and net commission payroll requires a process most generic platforms do not support cleanly.

Multi-property chaos

Payroll that does not separate by property makes cost reporting and owner distributions nearly impossible to reconcile

Property management companies operating multiple properties need labor costs tracked at the property level for owner reporting and NOI calculations. Consolidated payroll that does not separate by property creates reconciliation work every month that falls to the accounting team.

How It Works

Three steps to fully managed property management payroll

Scope review

We map your property portfolio, employee types (resident managers, leasing agents, maintenance), housing allowance arrangements, commission structures, and contractor vs. employee classification for maintenance relationships.

Setup and first cycle

We configure housing allowance tax treatment under IRC 119, commission accrual and charge-back tracking, property-level cost center allocation, and maintenance overtime calculations. First cycles run alongside your existing process.

Ongoing managed service

Every pay cycle, every commission reconciliation, every property-level payroll report - fully managed by BEG. Your accounting team gets clean cost data without running payroll themselves.

What BEG Handles

Property management payroll complexity - fully covered

✓Resident manager housing allowances with correct IRC Section 119 taxable vs. non-taxable treatment

✓Leasing agent commission payroll with accrual, earned-date tracking, and charge-back reconciliation

✓Maintenance staff overtime calculations under FLSA including on-call and emergency response pay

✓Multi-property cost center allocation so each property gets accurate labor expense reporting

✓1099 vs. W-2 classification review for maintenance contractors and cleaning vendors

✓On-site employee benefit deduction tracking including any employer-provided housing adjustments

✓Seasonal leasing staff payroll during peak leasing months with correct ACA measurement tracking

✓Property manager bonus structures and annual incentive payroll processing

✓Year-end W-2 and 1099-NEC preparation for all employees and classified contractors

✓Garnishment administration for leasing and maintenance staff wages

Side by Side

BEG Managed Payroll vs. In-House vs. Generic Software

Factor	BEG Managed	In-House Hire	Generic Software
Housing allowance IRC 119 treatment	Managed correctly	Varies by hire	You configure it
Commission with charge-back tracking	Included	Complex manual process	Not built in
Property-level cost center reporting	Included	Requires careful setup	You build it
Maintenance overtime calculations	Included	Included	You verify it
1099 classification review	Included	Varies by expertise	Not included
Year-end W-2 and 1099 volume	Included	Included	Extra fee
Monthly cost (35 employees)	$875-$1,575	$5,800-$8,300	$400-$900 + risk

The Hidden Risk

A housing allowance handled incorrectly for three years becomes three years of W-2 corrections and IRS letters.

Property management companies that get resident manager housing allowances wrong rarely discover the error until a payroll audit or an IRS notice arrives. By then, the back-tax liability and correction process is significantly more expensive than getting it right from the start. BEG manages housing allowance tax treatment correctly - from the first payroll cycle.

Your Next Transition Window

The right time to fix payroll is before leasing season peaks - not during your busiest month.

Payroll transitions take 30-60 days. Property management companies that transition during slow leasing months arrive at peak season with a fully managed system handling commission payroll, maintenance overtime, and property-level reporting automatically.

15 minutes. We scope your properties and workforce, give you a fixed monthly cost, and show you what clean payroll looks like. Pricing starts at $25 PEPM.

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FAQ

Common questions from property management companies

How does BEG handle resident manager housing allowances?

BEG manages resident manager housing under IRC Section 119. Housing provided on the employer's premises, as a condition of employment, and for the employer's convenience qualifies for exclusion from the employee's taxable income. When these conditions are not fully met, the housing value must be included in wages. BEG evaluates the housing arrangement at setup and applies the correct treatment from the first payroll cycle - not after an IRS notice.

Can BEG handle leasing agent commission payroll with charge-backs?

Yes. BEG manages commission payroll with earned dates, minimum occupancy charge-back windows, and net commission calculations after adjustments. When a resident vacates before the minimum occupancy period ends, the charge-back is applied to the leasing agent's next commission payroll correctly - including recalculation of any overtime impacts from the original commission period.

Can BEG separate payroll by property for cost reporting?

Yes. BEG configures payroll with property-level cost centers so each property's labor expense is tracked and reportable separately. Multi-property management companies can reconcile labor costs at the property level for owner reporting and NOI calculations without needing to manually allocate payroll from a consolidated run after each cycle.

What does $25-$45 PEPM include for a property management company?

Everything: payroll processing, housing allowance tax treatment, commission payroll with charge-back tracking, maintenance overtime, property-level cost reporting, 1099 classification review, year-end W-2 and 1099-NEC preparation, and dedicated BEG support.

How do we handle maintenance staff who are sometimes classified as contractors?

BEG reviews each maintenance relationship against IRS and DOL classification criteria to determine whether the arrangement should be W-2 or 1099. For staff who qualify as employees, BEG manages their payroll within the main employee payroll. For independent contractors who meet the classification standard, BEG tracks payments and prepares year-end 1099-NEC forms. We do not make the classification decision for you, but we ensure the correct payroll treatment is applied based on the arrangement as classified.