What is Recovery Code?

Definition

A recovery code is a configuration element in property management billing systems (such as Yardi Voyager or MRI) that maps general ledger expense accounts to the appropriate CAM recovery pool and allocation method. Recovery codes determine which expenses are included in tenant billings, how they are categorized on reconciliation statements, and which allocation methodology (pro-rata share, direct charge, or custom split) applies. Incorrect recovery code configuration is one of the most common root causes of systematic CAM billing errors because it affects every tenant in the building simultaneously. Property controllers should audit recovery code mappings annually and whenever GL accounts are restructured to ensure expenses flow to the correct recovery pools.