Overview

The amortization schedule report for operating leases gives a complete listing of all rent payments made for each lease, with the associated rent leveling, if any, for the rent payment period. For FAS 13/IAS 17 reporting, and for short-term and low-value leases under ASC 842/IFRS 16/GASB 87, the output shows the regular cash rent payment plus leveled rent (if any). For ASC 842 operating leases, the report is formatted similarly to the amortization schedule report for finance leases, except that lease cost is shown instead of interest expense.

The Booking Date is ignored for purposes of the schedule (the schedule starts with the first rent payment, even if the Booking Date is later), though the Booking Date is honored in deciding whether the lease is active as of the date specified in the report setup options, and therefore whether the lease should be included in the report.

Report Options

For more information on standard report parameters, please see the following article: Report Options. For report options specific to this report, please see below:

Exclude Non-Leveled Leases

By default, all operating leases are listed. If you wish to see only leases with rent leveling, check this box.

Ignore Early Terminations in Schedule

By default, if a lease has an early termination, the amortization schedule stops at that point. Check this box to ignore the early termination and see the schedule as if the lease will continue until normal expiration.

Report Periods By

You may have the report display one line per rent payment period (whether or not rent is actually paid), per fiscal period, or per fiscal year.

Note: Fiscal dates are set in System Options > Fiscal Dates tab.

Special Options

For more: Reporting - Special Options

Report Output

Like most other reports, the amortization schedule reports can be run in PDF [Preview] output or Spreadsheet output (.xlsx).

PDF Output

Spreadsheet Output

Payment Date/Period End Date

If you have chosen to run the report by payment periods, this is the date of the rent payment: the first day of the payment period for a lease paid in advance, the last day of the period for a lease paid in arrears. If you run the report by fiscal period or year, the period end date is shown.

If you have a rent holiday with a daily period length that immediately follows a one-day rent payment, the two are considered as a unit, and the period includes both rent steps. Otherwise, a rent holiday with a daily frequency is treated as a single unit separate from other rent steps; a rent holiday with a longer frequency is shown period by period the same as a regular rent step.

Payment #

A counter for the number of payments made (with rent holidays counted as described above).

Cash Operating Rent

The cash rent payment for the period. This is shown as a negative number, to indicate a credit to cash (the same as the finance rent paid on the Income Statement/Balance Sheet Detail report).

Rent Expense

If this lease has rent leveling, this is the leveled rent for the payment period. If rent leveling is not enabled for the lease (either because the “Level Operating Rents” box is unchecked for the lease or because the operating rent doesn't change over the life of the lease), this is identical to the cash operating rent, except shown as a debit rather than a credit.

Lease Cost

The level expense for an operating lease, as well as the cumulative balance as of that period.

Executory Costs/Non-lease Components

This displays the executory costs and non-lease components, if any, for the period.

On a PDF report, the total executory cost or non-lease components are reported; on a spreadsheet report, each type of executory cost or non-lease component is reported separately.

Deferred Asset(+)/Liability(-)

This is non-zero only for leases with level rent. This is the life-to-date difference between the cash rent paid and the level rent expense. It is a credit for a deferred liability (the most common case, when rents are increasing over time), or a debit for a deferred asset (occasionally found when there are concessionary rents near the end of the lease).

Period Change in Deferral

This is non-zero only for leases with level rent. It is the difference between the cash rent and the level rent expense. If the expense is higher, the period change is negative, indicating an increase in the deferred liability (or reduction in deferred asset).

Liability

The remaining liability for the lease, as well as the amount of change for that period.

Net ROU Asset

The remaining net asset value, as well as the amount of change for that period.