Method 1: This method will post the entire bill due at check in and may be posted as paid at any time. Changes to the daily room rate are applied retroactively to the entire stay. The total balance due is recalculated each time the guest folio is viewed.
Method 2: This method will post one day's rent to the guest folio during the night audit close out, thus building room rent daily at the rate currently set in each guest's folio. A record of the posting will be placed in the guest's folio for inclusion in the itemized receipt. Previously posted rent is not affected by rate changes.
Full or partial payment for the entire bill may be made at any time with either method. An escrow ledger allows pre-payment of room rent to be deferred from income reports until the actual day that the rent is used with either posting method. Posting payment to the room rent ledger enters the payment into accounting as income, whereas posting payment to escrow does not. The night audit will automatically transfer any escrow funds to the room rent ledger, and thus to the income report, one day at the time.