The operating lease amortization schedule 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 finance lease amortization schedule, 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.
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.
FAS 13/IAS 17/short-term operating leases:
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).
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.
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).
Your report title
Enter any title you want to give to the report. The type of report is always displayed at the top left corner; you can use this title to describe the report (such as “Midwest Division”).
You may get lease by lease detail, or just the totals for all leases.
Group of leases to use
You may choose All leases, a Group of leases starting with the same character(s), or a Single lease. If you choose Single lease, a popup displays the leases in the file; choose the one you want. If you choose Group, you are prompted for the beginning character(s) to search for.
You may run the report according to the old standard (FAS 13 or IAS 17, depending on which accounting methodology you have chosen in System Options) and the new standard (ASC 842/IFRS 16/GASB 87). While accounting under the old standard is no longer valid after the implementation date (usually 2019/2020), EZLease still permits you to create reports using the old standard for comparison purposes. If you choose the new standard, reports run for dates before the transition date (usually 1/1/2017 or thereabouts, as set in System Options) will be according to the old standard; once the transition date is reached, the leases will be converted to the new standard. A report that includes the actual transition date shows the transition activity required to convert each lease.
You can create a text report that displays on the screen (and which can then be exported in HTML, PDF, Rich Text Format (.rtf), Microsoft Word® (.doc), Microsoft Excel® (.xls), and Crystal Reports (.rpt) formats). Please note that the Excel output exported from a text report is laid out the same way as the text report, which is generally not well-suited for sorting and otherwise manipulating the data inside Excel. If you export a text report, please wait for the “Export completed successfully” message to display before continuing with EZLease.
You can also create spreadsheet output. This is specifically designed to manipulate inside a spreadsheet program; a report period is displayed on a single line, so you can select, sort, and sum results. The same information is provided as on the text report, but the layout is considerably different to facilitate data manipulation. If you select spreadsheet output, you are prompted to specify an output filename.
Active as of date
Only leases that are active on the date specified (that is, the lease’s begin date is before this date, and its end date, and early termination date if any, is after this date) are included in the report. If you wish to include all leases, no matter when they are active, select the “List all leases” check box.
List all leases
If this box is checked, then all leases in the file are listed, no matter when they start and end. If this is checked, the “Active as of date” box is grayed out, because the date in it is not used.
Erase executory costs
Capital leases only: By default, the executory costs for each rent payment are shown separately from the gross rent. (If a lease is part capital, part operating, the operating rent is completely excluded from the Capital Amortization Schedule.) You may choose to have the executory costs eliminated, so that the “Capital lease rent” displayed is reduced to just the net capital rent.
Exclude non-leveled leases
Operating leases only: By default, all operating leases (including part-capital, part-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 the 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.
In System Options, you can select whether the spreadsheet output should be generated as an Excel .xls file, or as an XML-format spreadsheet. Output in Excel format requires that you have a licensed copy of Excel on your computer.
Report periods by
You may have the output displayed by payment periods (each entry is for the length of a rent payment period) or fiscal periods (each entry is for a fiscal calendar period).
Click this button to get a secondary screen which allows you to select special groups of leases and temporarily capitalize operating leases.