Summary
Business Challenge
A difference between Yardi and QuickBooks could result from incorrect property or entity coding, timing, a duplicate, an amount discrepancy, or a record missing from one system.
Centrally paid expenses created another layer of work. A vendor payment could clear through the company account but still require allocation to the correct property or ownership entity before reporting was accurate.
Finance needed to identify these differences earlier, assign each one to the appropriate reviewer, and maintain a clear approval history across the portfolio.
What We Did
1
Matched property and entity activity
The Property and Entity Reconciliation Coordinator compared in-scope QuickBooks transactions with corresponding Yardi activity using:
- property or ownership entity;
- vendor or counterparty;
- amount within an approved tolerance;
- date within an approved window.
Full matches appeared in the close-readiness report. Partial matches displayed conflicting values side by side, while unmatched items became exceptions categorized by likely cause.
The report showed reconciliation status, open items, and company-account transactions awaiting allocation for each property and entity.
2
Routed and tracked exceptions
The Exception and Approval Coordinator assigned each exception a type, likely cause, owner, and required approver. It attached supporting records, tracked each item’s age, and sent reminders or escalations at configured thresholds.
Recurring issues involving the same property, entity, vendor, or accounting category were grouped for review. Each action and decision was retained in a time-stamped audit log.
3
Prepared portfolio-level close reporting
The Management Reporting Coordinator combined data from Yardi, QuickBooks, and the exception workflow into property, entity, and portfolio views covering:
- operating expenses;
- invoice and payment status;
- allocation and reconciliation status;
- open exceptions and aging;
- items awaiting finance or controller approval.
It also flagged overdue invoices, unresolved allocations, and reconciliation items outside the company’s policy window.
4
Embedded approval gates into the close
Each suggested property or entity coding correction arrived with its supporting records and remained pending until finance approved it. Exceptions followed the assigned approval path, and controller sign-off was required to complete the reconciliation. This kept AI recommendations separate from accounting actions and preserved segregation of duties.
5
What the AI Does Not Do
- Does not post transactions, journal entries, or allocation entries to QuickBooks or Yardi
- Does not change property, entity, vendor, chart-of-accounts, or other master data
- Does not override configured accounting policies, tolerances, approval thresholds, or approval routes
- Does not close accounting periods or approve reconciliation completion
- Does not resolve ambiguous exceptions without a designated finance reviewer’s decision
