Brokerage, lending & investing

Books and taxes for buy-and-hold landlords.

Rent collected across a handful of rentals, a security deposit that is not yours to spend, a new roof that should be depreciated instead of expensed, and the property manager's monthly statement. Gus sorts all of it, an accountant checks every transaction, and you get one number a month.

Book a call What we handle
  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
SeptemberExample month
$3,400
what you made

September cleared $3,400 across all five units. The Birchwood roof came out of pocket this month, so I flagged it as a capital improvement, not a repair, for the accountant to depreciate.

  • Rent deposit, 4 unitsRental income
  • Property manager statementProperty management fees
  • Roofing contractor, BirchwoodCapital improvements
  • Mortgage payment, BirchwoodMortgage interest
  • Security deposit, new tenantSecurity deposits held
Money in$9,800
Money out$6,400
Set aside for taxes$700
An example month. Yours will have your numbers.

Why your books are different

Landlord books go wrong at the line between repair and improvement.

A handful of rentals looks simple on paper, rent in, mortgage and maintenance out. The trouble shows up in the details: a security deposit that is not income, a roof that is not a one-time expense, and a vacancy that looks like a loss instead of a gap between tenants.

  1. 1

    A security deposit gets booked as rental income

    A tenant's security deposit is money you may have to return, not rent you earned, and if it lands in the same bucket as monthly rent, your income looks higher than it really is and the deposit gets spent like it is yours.

    What we doKeeps security deposits held as their own line, separate from rental income, so what you actually earned each month stays accurate.
  2. 2

    A capital improvement gets expensed like a repair

    A new roof, a replaced HVAC system, or a remodeled kitchen is a capital improvement that gets deducted gradually over time, not a repair you write off all at once, and treating it like routine maintenance can get flagged later.

    What we doFlags a large improvement the day it shows up and keeps it separate from routine repairs, so the accountant applies the right treatment.
  3. 3

    Mortgage principal and interest get lumped together

    Only the interest portion of a mortgage payment is deductible, but the whole payment often gets booked as one expense, overstating what is actually deductible for the year.

    What we doSplits each mortgage payment into interest and principal, so only the deductible portion counts against your rental income.
  4. 4

    A vacancy between tenants looks like the property lost money

    A month with no rent collected while a unit sits empty between tenants can look like a failing property, when it is really a normal gap that most rentals have from time to time.

    What we doKeeps each property's income tracked over the year, not just one month, so a normal vacancy gap does not read as a bigger problem than it is.

Your categories

The categories Gus keeps for a buy-and-hold landlord.

Set up once for how rent comes in and where it goes out. You never pick a category. He does, and an accountant checks it.

Money in

  • Rental incomeRent collected directly or forwarded by a property manager, by property.
  • Security deposits heldTenant deposits kept separate from income until returned or applied.
  • Late fees and other tenant chargesFees collected for late rent or lease violations.
  • Insurance claim proceedsReimbursements from a claim on storm or tenant damage.

Money out

  • Mortgage interestThe deductible portion of a mortgage payment, kept apart from principal.
  • Property management feesWhat a property manager keeps for handling tenants and rent collection.
  • Capital improvementsRoofs, HVAC systems, and remodels, tracked apart from routine repairs.
  • Repairs and maintenanceRoutine fixes that keep a rental in working order.
  • Property tax and insuranceAnnual or escrowed costs for each rental property.
  • Tenant screening and leasing feesBackground check and lease preparation costs for new tenants.

What we watch for you

  • Cash flow per property

    What each rental clears after the mortgage payment, not just the rent collected.

  • Vacancy days

    How long a unit sits empty between tenants, since it affects the year's real return.

  • Repairs versus improvements

    How much went to routine fixes against capital improvements, since they are taxed differently.

  • The set-aside

    What you will owe on rental income after deductions, tracked every month so April holds no surprise.

Ask Gus

Things buy-and-hold landlords ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

I collected a security deposit on a new tenant this month. Does that count as income?

No. I keep it in its own line, separate from rent, since it is money you may have to give back. It only becomes income if you keep part of it later.

The Birchwood roof cost eight thousand dollars. Can I write that all off this year?

Usually a roof gets deducted gradually over time rather than all at once, since it is a capital improvement, not a repair. I flagged it and the accountant will confirm the exact treatment.

One of my units sat empty for six weeks. Should I be worried about how the books look?

Not from a books standpoint. Vacancy is normal between tenants, and your other units carried the property just fine that month.

The tax side

The tax side of buy-and-hold rentals.

Most of what matters here is the line between a repair and an improvement, and what a security deposit really is.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • Depreciation on capital improvementsA new roof, HVAC system, or remodel is usually deducted gradually over time rather than all at once, since it adds value that lasts beyond the year it was done. Whether something counts as an improvement or a repair depends on the specifics.
  • Mortgage interest, not principalOnly the interest portion of a mortgage payment on a rental is deductible. Gus keeps interest and principal split so only the right piece counts against rental income.
  • 1031 exchanges on a saleSelling a rental held for investment and reinvesting the proceeds in another property can defer the tax on the gain, but it requires a qualified intermediary and strict timing from the day of closing.
  • The pass-through deductionMost landlords can take up to 20 percent of qualifying rental income off their taxable income. It comes out right when repairs, improvements, and rental income are booked correctly all year.

Deductions buy-and-hold landlords miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • Mortgage interest
  • Property management fees
  • Repairs and maintenance
  • Property tax
  • Landlord insurance premiums
  • Tenant screening and background checks
  • Utilities paid during a vacancy
  • Travel to check on out-of-town rentals
  • Legal fees for a lease or eviction
  • Accounting and bookkeeping costs
  • Home office for managing the rentals
  • Advertising a vacant unit

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

A landlord's year, kept every month.

Rent comes in every month. Your taxes come on a schedule. Your team keeps you ahead of both. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the year

    Last year's return gets started, 1099s go out to contractors paid outside payroll, and a monthly set-aside is planned for the year ahead.

  2. April

    Filed. Done.

    Your return is filed and signed. No surprise bill, because the set-aside has been running since January.

  3. July

    Halfway check

    Where you stand, what you will owe, and whether any big repairs or improvements this year changed the number.

  4. October

    Before winter maintenance

    Furnaces, roofs, and weatherproofing often need attention before winter. Gus looks at what is worth doing or buying before December.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for buy-and-hold landlords. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions buy-and-hold landlords ask first.

I use a property manager who sends me a net check each month. Can Gus still track the details?

Yes. Gus works from the property manager's statement to separate rent collected, fees taken, and any repairs paid on your behalf, so the details stay visible, not just the net deposit.

How does Gus know if something is a repair or a capital improvement?

He flags larger purchases the day they show up and keeps them separate from routine repairs. The accountant makes the final call on how each one should be treated.

I have five rentals with different mortgages and tenants. Can Gus keep them separate?

Yes. Each property is tracked on its own, so you can see how each one is actually performing, not just one combined number for all five.

Can I use a 1031 exchange if I sell one of my rentals?

Often, yes, if the property was held for investment. It requires a qualified intermediary and strict timing rules from the day of closing. The accountant confirms it fits your situation.

One of my tenants broke their lease and I kept part of their deposit. How does that get booked?

The portion you keep becomes income at that point. Gus moves it out of the deposit line and into rental income once it is actually yours.

My rental books have not been touched in over a year. Can Gus catch up?

Yes. Send the bank statements and property manager reports you have. Gus sorts each property's rent and expenses, and most landlords know where they stand within a couple of weeks.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

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Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever