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Planon's Software Receives Validation on FASB and IASB

~ Big Four accounting firm approves again software for current and new leasing calculations ~

April 5th, 2017 - Planon has received additional validation from a Big Four accounting firm on leasing calculations performed by Planon’s software. This validation confirms Planon has the capability for accurate lease calculations for operating and finance/capital leases in accordance with both the current and the new lease accounting standards from the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB).

By January 2019, publicly listed companies will need to include lease obligations from properties and assets on their balance sheets according to the new standards. The changes were prompted by concerns from investors, other financial statement users, and the U.S. Securities and Exchange Commission (SEC) regarding the lack of transparency relating to material lease obligations that have been reported off-balance sheet. To learn more about the specific changes, register for Planon’s webinar.

“With the new accounting standards, facility and real estate managers will need to understand how their lease agreements affect the balance sheet,” said Fred Guelen, Planon CFO and President of North America. “This validation from a Big Four accounting firm proves that Planon’s software can handle these accounting situations and allows facility and real estate managers, as well as financial accountants and CFOs, to have confidence in the transparency and compliance of their lease reporting.”

In reviewing Planon, the accounting firm validated the software for various uses, based on how the new standards affect all types of leases. These include both lessee and lessor perspectives, as well as a variety of payment and accounting periods.