Lessee Governmental Fund Entries

Recognition for Leases found in the Lessee Amortization Schedule

GASB 87 and GASB 96 provide authoritative lease accounting guidance for an economic focus at the government-wide, full accrual level.  Proprietary Funds and Fiduciary Funds employ full accrual, so these funds can follow GASB 87 and GASB 96 guidance.  At the governmental fund/modified accrual level, however, there is no explicit prescriptive guidance covering lease accounting under GASB 87 or 96.  For lessees that need to record a lease at the governmental fund level, the LeaseCrunch Amortization schedule posts detail alongside the government-wide, full accrual detail.

The governmental fund detail on the Amortization schedule provides the lessee with flexibility when making determinations for modified accrual journal entries.  Each district, municipality, department and fund ultimately makes the judgement call on how the lease is recorded at the governmental fund level.  Our Amortization schedule conveniently provides detail for both full accrual and modified accrual.  The modified accrual calculations are located in columns AC through AM.  A breakdown between capital outlay, lease financing source, interest and principle expenditures, and other expenditures are provided in the event the lessee chooses to conduct modified accrual entries. Government-wide, full accrual detail is found in columns A through AA.