With the first year of the new lease accounting standards implementation complete, organizations find themselves at a critical juncture – the commencement of "day two" accounting. While the initial phase focused on negotiating terms, finalizing agreements and setting up initial accounting entries, the spotlight now shifts to the long-term management of lease accounting. 

The importance of establishing an effective and sustainable lease accounting strategy cannot be overstated. Beyond the initial challenges, organizations must now navigate the complexities of ongoing financial statement reporting. This demands a proactive approach to record-keeping, ensuring accurate and up-to-date information for lease management and accounting. 

To successfully navigate day two and beyond with lease contracts, organizations must move past manual processes and spreadsheets and instead implement lease accounting software solutions. Software not only streamlines operational efficiency but also ensures compliance with accounting standards, mitigates risks and optimizes decision-making processes. It simplifies lease revisions, including modifications, renewals and terminations, which could take hours or days using spreadsheets. Due to the complexity of requirements for lease revisions, spreadsheets also have an increased risk of inaccurate calculations. 

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