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Final Rent Payments and Prorated Rent

2 April 2024

Tenants moving out and figuring out the last rent payment can get a bit tricky, especially if you're used to receiving rent every two weeks. Here’s how to calculate it.

When tenants pay rent weekly or every two weeks, it typically aligns with a set schedule. However, when a tenant decides to move out before the end of their current rent cycle, landlords need to calculate the rent for the remaining days of tenancy, known as prorated rent.

Calculating Prorated Rent

Example Scenario

  • Weekly Rent: $400
  • Rent Payment Day: Every Monday
  • Last Rent Payment: The tenant paid on Monday, March 1st.
  • Move-Out Date: The tenant plans to move out on Thursday, March 11th.

Calculation Steps

  • 1. Determine the daily rent rate:

  • Since the tenant pays weekly, we first find out how much the daily rent is by dividing the weekly rent by the number of days in a week.

  • Daily Rent = Weekly Rent / 7 = $400/ 7 = $57.14 per day.

  • 2. Calculate the number of days to be prorated:

    • The tenant has already paid for the week from March 1st to March 7th.
    • They will move out on March 11th, so we need to calculate the rent from March 8th to March 11th, which is 4 days.
  • 3. Calculate the prorated rent:

    • Multiply the daily rent rate by the number of days they will stay beyond their last paid week.
    • Prorated Rent = Daily Rent x Number of Days = $57.14 x 4 = $228.56

Communication and Documentation are Key. It is essential for landlords to communicate clearly with tenants about the prorated rent calculation and agree upon the amount due for the remaining days. This should be documented to provide a clear record of the arrangement, preventing any potential misunderstandings or disputes.

The information contained in this article is exclusively for promotional purposes. It does not in any way constitute legal advice and should not be relied upon as the basis for any legal action or contractual dealings. The information is not and does not attempt to be, a comprehensive account of the relevant law in New Zealand. If you require legal advice, you should seek independent legal counsel. does not accept any liability that may arise from the use of this information.

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