Adopting the New FASB Lease Accounting Standard

The FASB’s lease accounting standard (ASU 2016-02 / Topic 842) brings most leases onto lessee balance sheets. With the standard now in effect, both lessees and lessors should consider seeking assistance in understanding and executing their annual requirements – or confirming that they have implemented the new standard correctly.

Attest services are provided through CohnReznick LLP.

The level of effort required to implement the new standard depends on the size of an organization’s lease portfolio, the complexity of its business and the relative importance of its leased assets. CohnReznick works to deliver tailored solutions to efficiently address each of our clients’ needs when transitioning to the new standard. Our scalable approach can reduce the time necessary for implementation by, among other things, leveraging artificial intelligence to extract critical data from lease contracts.

For organizations having less significant lease contract portfolios, we will deploy a pre-defined, accounting focused model designed for your near-term reporting needs while also providing the foundation for sustainable lease accounting and reporting in the longer run.