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Post Close True Up Calculator
True-ups reconcile estimates vs actuals from closing.
Net true-up (seller owes buyer)
$99,500
WC adjustment
$80,000
Total prorations
$19,500
How the math works
WC adj = estimated − actual (seller owes if actual below est). Total = WC + all prorations.
$1.5M − $1.42M = $80k WC + $19.5k prorations = $99.5k net (seller owes buyer $99.5k).
EveryCalc calculators are designed for fast, practical estimates with transparent inputs and no required account. We use plain formulas, visible assumptions, and related tools so visitors can check the result from more than one angle.
Results are informational only. For financial, tax, legal, medical, construction, or other high-impact decisions, verify the output against primary sources or a qualified professional.
Learn more about our review process on the EveryCalc methodology page.
How this calculator works
What this page estimates
This Post Close True Up Calculator is built to give a quick, browser-based estimate for post close true up. True-ups reconcile estimates vs actuals from closing. The inputs stay on the page during normal use, and the result should be treated as an estimate for planning, comparison, or education rather than professional advice.
Calculation approach
The calculator applies the standard relationship implied by the inputs, then formats the answer so it can be checked and reused. For finance tools, the most important step is using consistent units, rates, time periods, and assumptions before comparing the result with another calculator or outside quote.
Example workflow
For example, start with a realistic value you already know, change one input at a time, and watch how the answer moves. That makes it easier to tell whether the result is being driven by the main amount, the rate, the time period, or a unit conversion.
Practical checks
- Use current, real-world numbers when the result affects money, health, tax, or legal decisions.
- Run a low, base, and high case when the inputs are estimates.
- Check the related calculators below when the next decision depends on a different assumption.
How to interpret the post close true up result
Best use
Use the result as a planning number for comparing payments, rates, returns, tax reserves, or cash-flow choices before you request a quote or make a commitment.
Cross-check
Compare the answer with the contract, lender estimate, tax form, brokerage statement, payroll record, or invoice that will control the real-world outcome.
Watch for
Do not rely on a single optimistic rate, return, or fee assumption. Money pages work best when you run low, base, and high cases and keep professional advice separate from the estimate.
This page belongs to the Finance calculator library, so the answer should be read in the context of the decision you are modeling rather than as a universal rule.
Before relying on this post close true up estimate
Most calculator mistakes come from the inputs, not the arithmetic. Use this short audit before you reuse the answer in a spreadsheet, quote, application, or important conversation.
Confirm source numbers
Match balances, rates, fees, taxes, income, and payment dates against the lender quote, payroll record, tax form, statement, invoice, or contract.
Separate cash flow from total cost
A lower monthly payment can still cost more over time if fees, interest, taxes, or a longer term are hidden in the structure.
Run conservative cases
Test at least one higher-cost or lower-return case before using the output for a purchase, refinance, investment, loan, or tax decision.
Rerun this page when the rate, price, term, fee, tax rule, income, expense, or expected holding period changes.
How to Use
- Enter estimated working capital.
- Enter actual working capital.
- Enter rent proration adjustment.
- Enter tenant deposit adjustment.
- Enter utility proration.
- Read net true-up.
Frequently Asked Questions
What is true-up?
Post-closing reconciliation of closing estimates vs final actual figures. Categories: working capital (receivables, payables, prepaid expenses, inventory), rent proration (rent collected for partial month), tenant deposits (transferred via closing statement), utility proration (last reading pre-close vs close date), tax proration, insurance, CAM reconciliation. Delivered 30-90 days post-close. Imbalances settled by net payment between buyer and seller.
Timing expectations?
Standard process: (1) Seller delivers final close statement 30 days post-close. (2) Buyer reviews with 30-day window. (3) Disputes go to arbitration or auditor. (4) Net payment made 60-90 days post-close. Complex deals (multiple properties, international elements, pending litigation) can take 180+ days. Lock tight timeline in purchase agreement; without it, true-up drags for years. Professional transaction management essential on complex deals.
Typical adjustment size?
Working capital: ±1-3% of purchase price typical. Rent proration: usually minor, <0.1%. Tenant deposits: variable — if security deposit balance wasn't confirmed pre-close, can surprise. Tax proration: usually clear at close, but if assessment is in-flight, may require future adjustment. Operating expense reconciliation: 0.5-2% of annual opex. Total true-up on a $50M deal typically runs $250-$1M — not trivial.
Common disputes?
Categorization disputes (what goes in working capital). Collection assumption on receivables (full recovery vs haircut). Accrual timing (expenses incurred pre-close but paid post-close). Inventory valuation method. Prepaid item amortization period. Experienced deal counsel with audit expertise needed — boutique CPA firms often hired for dispute resolution. Average cost of dispute resolution: $25-75k. Better to prevent via clear purchase agreement language.
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