Top Trends in Lease Accounting, IFRS 16 and ASC 842 Compliance
Recent FASB and IASB standards, specifically ASC 842 and IFRS 16, are now requiring companies to report on both financial and operational leases. These updates to the accounting standards have increased the complexity of lease administration and lease accounting.
Lease administration and accounting can feel like a revolving door of paperwork, inaccuracies, and evolving standards. All these factors may have a lasting impact on an organization's financials. Keeping pace with trends, however, can help you and your organization manage real estate and equipment leases smarter, and achieve compliance faster.
The top trends impacting lease accounting can provide finance and accounting professionals with a better understanding of how companies are currently managing compliance requirements.
Public companies are required to be compliant with the new standards by January 1, 2019, while private companies must be compliant by January 1, 2019. Regardless, whether public or private, companies must have a plan to attain compliance in the near future.
Companies are managing the road towards compliance in different ways. While some have made significant progress, there are still many companies that are a long way away from compliance. No matter where your company stands, Accruent has identified trends that may help you in your compliance journey.