How to account for month to month leases?

Leases that convert to a monthly lease after an initial term may need to be recorded under ASC 842

Many leases convert to what's called "month to month" after an initial term. The lessee should consider the same factors for these leases as it would for other leases. Such factors include contract-based, asset-based, market-based, and entity-based factors to determine the term and payments for which the lessee is reasonably certain to extend the lease. In LeaseCrunch, enter a revision to extend the lease.

Note: A lease that is “month to month” is not a short-term lease which ASC 842 defines as “A lease that, at the commencement date, has a lease term of 12 months or less and does not include an option to purchase the underlying asset that the lessee is reasonably certain to exercise.”