Madeleina Maïna March 21, 2021 Spreadsheet
To know if a household budget spreadsheet software is user‐friendly, try several programs online and see which ones are easy enough to use by people with basic budgeting and computer skills. The layout of the spreadsheet should not only be easy to understand, but also be able to present all the necessary information in a glance. It should contain just the right number of graphics and details to avoid confusion for its user.
Since this is a residential rental apartment building it makes sense to include rental income in your real estate spreadsheet. That‘s obvious. What isn‘t so obvious are things like interest on tenant deposits, subsidies, tax refunds, etc. When you‘re building the spreadsheet you need to estimate when those revenues will arrive, and that relates to the number of tenants, the rental rates you charge, how long the lease term is for each tenant, etc. You also need to assume some late payments, evictions, and vacant units. If you haven‘t invested in the area before this can be a challenge. You can gather data on that by speaking with local real estate agents, lenders, and tax agencies, or subscribe to an industry database that covers the local area.
Producing an income and expenditure statement using single entry bookkeeping is little more than making two lists of financial transactions. Those lists being one of sales income received from sales invoices or receipts issued to customers and the other of purchase expenditure being from purchase invoices received from suppliers. To record sales income it would not normally be sufficient to simply add up the total of the invoices as such a summation does not leave an audit trail of the items which have been included. A written list of sales invoices does provide an audit trail.
Finding your way around and identifying the various elements of your spreadsheet document will help you navigate around it more easily and use it more effectively. Most elements are the same for all spreadsheet programs but they look quite complicated. But once you understand how they work and how to find your way around them, they are easy to use. To understand from the start you have to know it is a grid of cells. The columns are like the columns in a ledger. You can use them to make lists of figures and perform calculations. Each column is identified by a letter of the alphabet and each row by a number.
When a team of people reaches this point ‐ whether they are a small company or a department within a larger enterprise ‐ they need a central collaboration solution built. They may be able to buy it or they may have to build one, depending on their specific needs. But the pain of trying to collaborate is now so high that they are suffocating ‐ a significant growth bottleneck has set in.
A budget spreadsheet is just like the typical spreadsheet that we see when we use various computer programs such as Microsoft Excel. However, this specific type is particularly designed to be used for financial budgeting. Most people can make their very own spreadsheet, especially if they don‘t really need further features. All they would need is a computer program, such as the Excel, that could help them. But for most households and families that are planning to get optimum financial planning, then they should download for their spreadsheet software.