Everything You Need To Know About The New Lease Accounting Standard
Public companies have two months (December 15, 2018) until they are required to recognize leases under the new lease accounting standard (“ASC 842”) with terms greater than one year on their balance sheet for annual and interim reporting periods. The private company effective date provides a one-year deferral (December 15, 2019) for annual reporting periods and interim periods the following year. Early adoption is also permitted for all entities.
The Financial Accounting Standards Board’s (FASB) ASC 842, issued in 2016, will have a significant impact on how businesses manage, account for and report substantially all leases, including equipment and real estate. Because of the meaningful accounting changes involved, it’s important businesses begin preparing now to comply with the new standard.
For more information, click on the links below for helpful sources of information on the new lease accounting standard:
- Top 5 Effective Lease Accounting Software Selection & Implementation Solutions
- FASB Updates Aim to Ease Lease Accounting Transition
- Two Phases Of A Successful Lease Accounting Implementation Approach
- Top 4 Benefits of Outsourcing Your ASC 842 Lease Accounting Solution
- How to Properly Identify a Lease and Asset Under New ASC 842 Standard
- Dacarba’s Lease Accounting Outsourcing Solution
- How Will New Lease Accounting Standards Impact GAAP Reporting?
- What You Need To Know About New Lease Accounting Standards
- 2018 Changes in Lease Accounting: What Does This Mean For Your Organization?
How can dacarba help?
Dacarba LLC can offer technical accounting guidance and lead technology implementation projects by leveraging our ASC 842 experience and lessons learned such as the importance of a clearly documented approach to adoption, proving completeness of the lease population and locating unidentified leases.
Dacarba also facilitates roundtables with industry peers to discuss common issues and call upon our experience to act as a client-advocate in situations where audit firms are reaching inconsistent answers with industry peers.
Dacarba's Complex Financial Reporting Practice includes members who have served lead roles on Fortune 250 ASC 842 cross-functional teams. Dacarba’s Process and Technology staff have coordinated, led and assisted large-scale lease accounting software implementation projects, as well as built customizable small-scale solutions for clients with fewer leases. We can address both the technical reporting requirements and the technology aspects of any lease solution selected. Dacarba's experienced team of professionals can provide synergies and cost savings as it relates to the new lease accounting standard.
To learn more how we can help with your lease accounting preparation and compliance needs, email us at Leasing842@dacarba.com and we will initiate the introduction to our team to assess your requirements.