▶ Costs > Contract terms
In the Contract Terms, you can configure advanced settings for the allocation of operating and utility costs beyond the basic cost setup. This includes defining individual cost setup for specific tenants as well as managing exceptions to the general costs distribution.
Individual costs setup
You can access the Individual cost settings table by clicking on the blue gear icon next to each Tenant's name.
In the opened table you can:
- Individual meters enabling – switch off the Individual costs lines without meters for a cleaner and more comfortable view on the Readings page.
- Meters automatically linked through Spaces – view all the meters linked to the Tenant if Automatic meter linking is switched on in the Building settings.
- Meter manual linking – you can link additional meters to the tenant manually.
- Show readings on invoice – switch them on or off here. By default, if Show readings on invoices is enabled in the Building settings, this option is automatically switched on for all tenants in Contract terms. If some tenants do not wish to see Readings on invoices, you can switch them off here.
- Apply Add-on or Discount (–) for each Cost type. The program applies these as a last step, when all calculations are done. If an Add-on is added, the generated amount goes to the Landlord (visible in the Profit section). If a Discount is used, the difference is covered by the Landlord (Landlord costs).
- NEW! Possibility to add a Personal Rate for each tenant.
Exceptions for general cost distribution
Overall limits
Overall limits (column in pink) allows you to apply exclusions to all Costs at once. To add exceptions, click on the grey gear icon on the specific row to reach the Overall limits table:
In the Overall limits table you can:
- Excluded – exclude the Tenant from all general costs by check-marking this option.
- Add Caps / Cap per m² – Fixed price or price per m².
- Included cost types – exclude some Cost types from Caps by selecting the ones that should be included in the Cap. By default, all General costs are included in the Cap calculations.
If a Tenant/Rental Contract is Overall Excluded from General Costs, it is not possible to apply any other Exclusions (like Add-on, Discount, Fixed price, etc.).
Example:
In some properties, there are agreements with Tenants that Caps should not be applied for measured General costs, like Water, Electricity, Gas, etc. Moderan allows you to exclude certain General Cost types from the Cap, simply by deselecting them in the Overall limits pop-up table:
Exceptions for General cost distribution (separately for each Cost type)
It is possible to add specific exclusions to each general Cost type (for all Rental Contracts at once) and/or add exceptions for each separate Tenant / Rental Contract:
Options in the General costs Exceptions table:
- Excluded – excludes the Contract from the calculations of the selected Cost type. The calculated amount goes as Landlord expenses or might be divided between selected tenants (depending on the Cost type settings in the Building settings page — Distribution basis and Space sets selected).
- Exclude all – allows you to exclude the Rental Contract from all general Costs at once (so you don't have to turn off general costs one by one). It adds "Excluded" to all columns of general costs. Please note: all costs can be turned off at once, but cannot be turned on all at once (only one by one).
- Fixed / Fixed per m² – a fixed fee that is deducted from the total cost, after which the surplus is distributed according to the settings in Building settings.
- Percentage – the tenant is charged a % of the total cost; the surplus is divided according to the Cost settings in the Building settings section.
- Add-on or Discount (–) – you can add an addition or discount (in percent) to the general cost shared with the tenant.
- NEW! Personal rate – Tenant-based tariff (available for measured Costs). It is possible to apply an individual rate for the Cost to every tenant.
Contract Notes
There is a possibility to leave Notes about Contract terms for each Tenant/Rental Contract line.
In the Contract Notes you can add any useful information about Individual and General costs splitting rules, any contractual information — e.g. note down the General costs that should not be split to the Tenant, specify the dates, etc.
Contract Notes added in the current Period will be automatically copied to the next one.
To add Contract Notes, click on the Cog icon on the Tenant line and select Edit:
If the notes added are very long, you can hover over the text to see all the content.
Export
The Contract terms page can be exported to an Excel file, making it easier to review exceptions and notes.
Explore more articles in the Moderan Knowledge Base. If you have any questions or need assistance, feel free to contact us via chat or at support@moderansolutions.com.