How the REST Professional Calculator Works

Overview

REST Professional has a built in calculator that will assist you in converting the tenants rent amount into a Daily, Weekly, Monthly and Yearly amount. It will assist you to calculate the daily rate for a selected period of days i.e. to calculate a tenant’s vacate date.

How REST calculates the amounts

REST calculator uses the following calculation to break down rents

• Weekly rate ÷ 7 = daily amount
• Weekly rate ÷ 7 x 365 ÷ 12 = monthly amount
• Weekly rate ÷ 7 x 365 = yearly amount

• Daily rate x 7 = weekly amount
• Daily rate x 365 = yearly amount
• Daily rate x 365 ÷12 = monthly amount

• Monthly rate x 12 ÷ 365 = daily amount
• Monthly rate x 12 ÷ 365 x 7 = weekly amount
• Monthly rate x 12 = yearly amount

The method for calculation of rent adopted by VCAT (Victorian Civil & Administrative Tribunal) is as follows:

Weekly: Rent ÷ 7 = daily rate (e.g. $180pw ÷ 7 = $25.71);

Fortnightly: Rent ÷ 14 (e.g. $320pfn ÷ 14 = $22.86);

Monthly: Rent x 12 ÷ 365 (e.g. $800pcm x 12 ÷ 365 = $26.30);

Vacating Tenants Calculations for Monthly Rent Amount

If you have a vacating tenant that pays monthly and owes more than a months’ period of rent, REST will not use the daily rate for the whole period. It will use the monthly amount and then the balance at the daily rate.

Example:

Rent amount $2824.40 Rent Paid to Date: 31/10 Vacate Date: 10/12

REST will calculate rent from one calendar month (i.e. 01/11 – 30/11) $ 2824.40

Then calculate rent from 01/12 to 10/12 x the daily rate (92.86 x 10 days) = $ 928.57

Rent to vacate date $ 3752.97