Learn what Resident Utility Billing is and how Rent Manager users are leveraging it to recoup utility costs from their residents and grow their NOI.

1. Billing Back Utilities
with PayLease & Rent Manager

2. What is Resident Utility Billing?

3. • Resident Billing is the practice of calculating resident utility charges and
generating statements to recover the costs of utilities from your residents.

4. • Resident statements can be for utilities only: water, sewer, gas and
electric
• OR
• A convergent statement can be produced combining utility charges
with rent and all other recurring charges from your Rent Manager
Software.

5. z

6. Why Choose Resident Billing

7. Maximize your revenue and property value by recouping
as much of your utility expenses as possible while staying
in compliance and accounting for common area
deductions.

8. • Residents can make a one-time payment for all charges or easily
setup an AutoPay in Tenant Web Access that will run for the full
balance on their account each month.

9. Residents can view PayLease statements
directly in Tenant Web Access

10. Resident Statement Example
Opportunity for
custom branding
Detailed view of all
resident charges
Resident support,
terms and reminders
Clear and concise bill
layout
Dynamic Messaging
Custom electronic
payment link

11. • Drive conservation by holding residents accountable for their
water and utility usage. When residents pay for what they use,
they’ll naturally conserve more.

12. Save your staff from getting bogged down in billing
support by leveraging the award-winning Resident and
Customer Success Teams at PayLease.

13. • Easily settle and recocile final utility balances at resident move-out with
the move-out calculator. Utility calculations are automatically generated
and your ledgers are updated, making accurate and timely move-out
bills virtually effortless for your staff!
Proprietary and Confidential © 2018 PayLease

14. Proprietary and Confidential © 2018 PayLease
Input resident move-out
dates into Rent Manager
Final charges are calculated,
automatically posted to your ledger and
a final bill is generated on your behalf
You save time,
simplify move-out,
and get paid faster
How it Works:
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15. Stay in Compliance. Ensure that you are abiding by
regulations for your location and property. The utility billing
regulatory environment is dynamic and complex.

16. PayLeases’ compliance team takes the guesswork out of the
equation so you maximize your returns while minimizing risk.
monitors regulatory compliance on your behalf

18. Utilities charges may be calculated utilizing an allocation
method, often referred to as a Ratio Utility Billing Service
(RUBS), or from actual meter reads (Sub Metering).

19. Two Types of Billing Methods
• RUBS = Ratio Utility Billing System
• Allocating utility costs to residents based on a formula.
• Sub-metering
• Metering system that allows a property manager to bill residents for
individually measured utility usage.

20. RUBS stands for Ratio Utility Billing System, and is a cost-effective and fair alternative to submeters. RUBS essentially
divides a utility bill among your residents based on certain criteria.

21. If you are thinking about billing back for utilities and want to implement RUBS, here are the different calculations to
consider.

22. Occupants per Unit
This calculation evenly splits the utility bill between each occupant in a unit, and is commonly used for water bills.

23. The logic behind this method is, if more people live in a unit, they will consume more of a given utility.

24. Property management companies love using this allocation method. It’s a clean split that makes sense to residents, and it
solves the problem that the more people that live in a unit, the more utilities the unit consumes.

25. Square Footage of Unit
Some property management companies calculate utility bills based on the square footage of a unit. This method is often
used for gas bills.

26. The logic behind this method is that larger the unit, the higher its utility consumption will be.

27. The gas needed to regulate the temperature in a 1,000 square foot unit will be much higher than in a 500 square foot unit.

28. Before committing to this formula, you should take into consideration each unit’s design. An apartment might be larger,
but that does not mean it has more water appliances or occupants as smaller units, thus disproportionately allocating
back.

29. Combination
You can also use a calculation that accounts for the unit’s total occupants and the square footage.

30. The logic being: larger units and more occupants will result in higher utility consumption. While it has the benefits of each
of the above methods, it also carries the pitfalls.

31. X-Factors
Adjusting for x-factors is crucial for making a fair allocation.

32. What are examples of x-factors? Perhaps some units are equipped with a washing machine. Maybe you have units with
more bathrooms, which will use more water, or units with fireplaces, which use more gas.

33. To solve for these variables, we simply add in a multiplier to ensure one resident is not paying more than their fair share.

34. We might notice a washing machine uses 30% more water so we assigned it a factor of 1.3x per month.

35. Regardless of which RUBS method is chosen, the benefits are the same – you’ll recoup more of utility costs, have
stronger expense forecasting, and see reduced utility consumption.

36. Individual meters for each residential unit
are installed behind the master meter.
Submeters
36

37. Submeters precisely track each apartment unit’s utility
consumption, allowing PayLease to accurately bill residents for
their share of the bill.

38. • Benefits of submeters include highly accurate measurements and
charges, maximized utility recoupment for a property, and
increased visibility and conservation by residents.

39. • Although submeters come with an upfront capital investment cost
(which typically has a payback period of less than a year), the
cost is highly outweighed by the additional revenue they generate
which adds to the property’s overall value.

40. For billing calculations, monthly consumption is multiplied by the
appropriate rate to create custom utility charges for each unit.

41. Billing Cycle
It Begins and ends with your Rent Manger
Software

42. • Step 1: Resident data is captured from Rent Manager

43. • Step 2: PayLease obtains your property’s utility bills through an
automated feed.

44. • Step 3: Utility charges are calculated utilizing RUBS or submeters

45. • Step 4: A prebill displaying calculated charges is generated
allowing Property Managers the ability to review and approve all
charges before the statements are distributed to residents.

46. • Step 5: A final data pull from Rent Manager is made to capture
the most recent charges

47. • Step 6: Resident statements are generated and distributed to
residents

48. • Step 7: PayLease prebill charges uploaded to Rent Manager

49. Grow Your Business with Business
Intelligence and Reporting

50. Portfolio Insights Dashboard
Proprietary and Confidential © 2018 PayLease
Gain valuable insights into your properties’ utility usage, recoupment
rates and trends. In-depth reports and easy-to-understand visual
dashboards help you make data driven decisions with ease

51. Easily access critical data with your customizable dashboard. View
accurate, timely data and historical trends to make better decisions,
increase conservation and improve portfolio health. `

52. • Benchmark utility expenses and recoupment rates for individual
properties, your entire portfolio, and across critical timeframes

53. Keep your team updated with automated report sharing. Save key
reports and schedule automated sharing with stakeholders to keep
everyone in-the-know and save you time.

54. View and report on the data that matters to you. Comprehensive
reports cover critical queries and include:

55. • Utility Recovery Performance – view and compare utility recovery
rates

56. • Property Utility Expenses – view utility charges by provider and
trends

57. • Vacant Cost Recovery – analyze vacant unit violations, fees and
utility charges

58. • Move-Out Utility Charges – analyze property move outs and
associated utility charges

59. • Submeter Health – pinpoint meters with issues

60. • Submeter Usage – See utility usage by submeter and property