Professional Documents
Culture Documents
SOPNO:ACCTGREV00105/16
DEPARTMENT: ACCOUNTINGSUBSECTION:REVENUE
SUBJECT:
COMPS,ALLOWANCESANDADJUSTMENTSISSUEDATE:MAY25,2016
POLICY:AllComplimentaryRooms,Allowances,Adjustments,andF&BHouseChargesmustbeproperly
supported,tracked,reviewedandapproved.
PROCEDURE:
1. ComplimentaryroomscanbegivenbytheHotelattheGeneralManagersdiscretion.CompRooms
shouldbeusedforzeroratedroomsthatwillresultinfuturebusiness,guestappeasement,donations
andothermarketingpurpose.Notclassifiedascomplimentaryroomsareroomsprovidedduetoa
tradeoutarrangement,roomsprovidedinconnectionwithapromotion,orroomsprovidedaspartof
agroupcontract.Theseroomsshouldberecordedasoneoftherevenuecategories(transient,
group,orcontract).
Alogofcomplimentaryroomsshouldincludetheguestname,reasonforcomp,and
authorizingassociate.
2. AnAllowanceisareductioninrevenuethatmaybenecessaryifthehoteldidnotdeliverthe
contractedservicewithintheagreedupontermsortheguestexperiencedissuesandthehotelis
issuingcredittotheguest.Allowancesarerecordedtotheallowancelineintheapplicable
department.Allowancesshouldbecompletedonadailybasisandshouldnotbeallowedtocompile
intoaweeklyormonthlyamount.
Allallowancesmustbeproperlysupportedbytheguestfolioandexplanationofthe
allowance,includingamount,date,andsignatureoftheassociateperformingthe
allowance.
3. Adjustmentsarerecordedasareversalofapplicablerevenueandmaybenecessaryifthehoteldid
nothavetherighttorecordtherevenueorapostingerrorresultedintheincorrectamountbeing
charged.Adjustmentsaresubtractedfromtherevenuelineintheapplicabledepartment.
Adjustmentsshouldbecompletedonadailybasisandshouldnotbeallowedtocompileintoaweekly
ormonthlyamount.
Alladjustmentsmustbeproperlysupportedbytheguestfolioandexplanationofthe
adjustment,includingamount,date,andsignatureoftheassociateperformingthe
adjustment.
4. F&BHousechargesareF&BchargesconsumedfortheHotelsbenefit.Allchargesbelowshouldbe
rungatretail.TheseshouldberecordedinthePointofSale(POS)andclosedtotheappropriatecode,
transferringtothePMS.Thefollowingcodesmayincludebutarenotlimitedto:
a. A&GDiningChargesbyAdminDept.andManagersonDuty.
b. S&MDiningChargesbySalesorCateringmanagerswhenentertainingprospectiveclients.
c. SalesAmenitiesInRoomAmenitiesinitiatedandapprovedbySalesorCateringManagers
d. RoomsGuestInconvenienceAnyrequestsbytheFrontdeskforfoodandbeveragedueto
anyguestissue/accommodation
e. RoomsAmenitiesInRoomAmenitiesinitiatedandapprovedbyRoomsManagement
f. F&BPromoanyF&BitemsforF&Bmarketingandgoodwill
g. BreakfastCouponsAnycouponsgiventogroupsbookedbySalesorLNRshouldbecoded
asaSalesexpense.AnycouponsofferedwithotherrateswillbeaRoomsexpense.
h. DrinkCouponsAnycouponsgiventogroupsbookedbySalesorLNRshouldbecodedasa
Salesexpense.AnycouponsofferedwithotherrateswillbeaRoomsexpense.
F&BHousechargesshouldbehandledasfollows:
Chargesshouldberungatretailprices.
Chargesshouldbeclosedout/routedtotheappropriateHouseAccountinthePMS.
Chargesshouldbeadjustedfromtherevenuewhichtheyoriginatedonadailybasis,andshould
notbecodedtotheAllowanceline.Forexample,anyfoodconsumedforlunchshouldbe
adjustedfromlunch,taxadjustedfromtax.Anyapprovedgratuitiesshouldbeadjustedto
miscellaneousandexpensedinfulltotheappropriateexpensecodeassociatedwiththeoriginal
charge(e.g.Sales,A&G,etc.).
Chargesforfoodandbeverageshouldbetrackedonaspreadsheetonadailyandmonthlybasis
atretail,bycategory.
Attheendofthemonth,totalsshouldbegathered,andcreditedtofoodcost/chargedtothe
appropriateexpenseaccountatcost.
o FoodcostshouldbecreditedbackatthecurrentYTDfoodcost%
o BeveragecostshouldbecreditedbackatthecurrentYTDbeveragecost%
TotalsshouldbetransferredtotheFoodandBeverageInventoryCostsheets,whichwill
automaticallychargetheappropriateaccountcode,andapplyusetaxwherenecessary.
5. UndernocircumstancesshouldanyadjustmentorallowancebeputintoaHouse/PMAccount,oran
A/R(CityLedger)andallowedtoage.Alladjustmentsandallowancesshouldbecompletedinthe
businessdaythechargeoccurred,priortoNightAuditrollingthedayinthePMS.Thismayinclude
Internet,LongDistance/LocalPhone,Parking,Room,Tax,oranyotheradjustmentorallowance
performedthroughouttheday.Eachadjustmentandallowanceshouldbesupportedbyafolioand
explanationastowhytheadjustmentoccurred.
6. ThelogofallComplimentaryRooms,allFrontDeskAdjustmentsandAllowances(includingallfolios
withsignaturesorvouchers),andallF&BAdjustmentsandAllowances(includingallticketswith
explanations)shouldbeattachedtotheirappropriatecoversheetsandroutedtothePropertys
ExecutiveCommitteeonadailybasis.
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