Full apartment concession; the manager does not pay rent or exchange hours for rent
Manager is paid at least minimum wage for every hour worked
Example: Manager receives a 1 bedroom apartment free of charge and works 40 hours per week at a rate of at least prevailing minimum wage ($10.00).
Maximum lodging allowance by law of $564.81 for one person & $835.49 for two people
The number of hours a manager’s works monthly is calculated based on the lodging allowance ($564.81 for one or $835.49 for two) divided by prevailing minimum wage ($10.00).
If the manager works more than the number of hours calculated using the formula above, each additional hour must be paid at prevailing minimum wage.
Example: Manager (one person) receives a 2 bedroom apartment. The maximum lodging allowance is $564.81/$10.00 = 56.48 hours per month
The manager is only allowed to work 56.48 hours per month in exchange for the apartment. If the manager works more than 56.48 hours per month they must be compensated for those hours at minimum wage.
The unit size of the manager’s apartment does not affect the number of hours the manager is allowed to exchange.
The Check Exchange
A manager may be charged up to 2/3rds the market rent. The manager pays their rent and receives payment for each hour they work.
Check exchange literally translates to the manager gives the property a check for rent and receives a check for their hours worked.
Example: Manager receives a 2 bedroom apartment with a market rent of $1500 per month; 2/3rds of the market rent is 999.00, which is the Manager’s monthly rental payment.
The manager works 30 hours per week and is paid at least minimum wage for each hour they work, which they receive from the owner each pay period
**Rent control buildings: There are multitude of rules and limitations concerning rental increases of apartment managers residing in rent controlled units. Please referral to http://hcidla.lacity.org/resident-managers-tenants.
Sick Leave “The Healthy Workplaces, Healthy Families Act of 2014.”
Beginning July 1, 2015, employee who works in California for 30 days or more per year will get paid sick days. Such sick days will accrue at a rate of no less than one hour for every thirty hours worked. When you have worked for 90 hours out of the year, you will have accrue three hours of paid sick leave. This entitled employee to use accrued paid sick days starting on your 91st day of employment.
Employer is not required to provide paid sick leave to employee for unused sick days after termination, resignation, retirement or other separation from employment. However, if the separated employee is rehired by the employer within one year from the date of separation, previously accrued but unused sick days are automatically reinstated.
Sick leave are paid out at the employee’s hourly wage. Accrued but unused paid sick days carry over to the following year of employment. Employer may limits employee’s use of paid sick days to 24 hours or 3 days in each year of employment.
Quality Property Management Service at BEST value
Do you have an updated signed properly prepared legal agreement with your on-site manager?
Do you have complete clear recorded documentation of hours worked?
Did you post manager’s name, address, hours in a conspicuous place at the building?
Do you know how to avoid wage and hour violations in California when hiring on-site apartment managers
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
What are the maximum allowable lodging rates for 2017? I have looked high and low for the new rates without any sucess ; I understand they are currently $564.81(single)/$835.49(couple)per month.
The rates are based on the minimum wage in your local municipal. For example, in LA, if the employer employs less than 26 employees, then the $10.50 increase will be effective July 1, 2017. It is approximately 13 hours per week times the prevailing minimum wage for single manager or approximately 19.5 hours per week times the prevailing minimum wage for two managers in the same unit.
Is it ok for the cash part of compensation to resident manager to be paid once a month, at the end of the month?
or alternatively, if not ok once a month payroll, since this is a small cash amount, can we pay entire monthly salary mid month, before 1/2 is actually earned?
Hello, can you tell me how fair this sounds,i get 3 hours a day at $10 an hour for all 7 days a week. I open laundry rooms at 7am and close them at 9pm at night. N only get paid for 3 hours.
Is the reduced rent taxed through payroll as imputed income?