We have specified with our PM that they cann't inncurr any expenses (except for those legislated as emergency expenses) without first getting our approval - there is no maintainence allowance, because we want to ensure that the PM has actually gotten us the best possible quote, and isn't just going ahead with improvements which aren't actually maintainence (plus our IP is a brand new build, so alot of issues are still covered under builders warranty - so we don't want to be out of pocket for things we don't need to be). We also prefer not to have these costs taken out of the rental income - but rather pay for it seperately with the invoices being directed straight to us for payment, so we can put it on the LOC or CC and recyycle a bit of debt ).

Also find yourself an accountant who is actually up-to-date on the ins and outs of taxation of property investment. Many claim they are, but really don't have a clue what they are doing and could end up costing you $$$$ if you are ever audited by the ATO.