Lucanet Lease Accounting offers an efficient solution for entering, calculating, and posting leases in accordance with IFRS 16 and supports correct financial reporting. The software is characterized by simple and intuitive user guidance and enables the simulation and preview of lease contract calculations and of the resulting postings. Lucanet Lease Accounting also allows for quick exports of the saved postings and reports to MS Excel.
You can use Lease Accounting either as a standalone solution or integrated with Lucanet Consolidation & Financial Planning. In the integrated setup, you import reporting entities and cost centers from Consolidation & Financial Planning and import the postings saved in Lease Accounting into Consolidation & Financial Planning using a script.
Yes, the Lucanet Lease Accounting solution requires a separate license. To acquire a license, please get in touch with your Lucanet contact or use the contact form↗ on Lucanet's website.
Lease accounting with Lucanet Lease Accounting follows a fixed sequence of steps, which you carry out separately for each lessee, i.e. for each reporting entity:
Configure the basic settings in the Settings area: general configurations, reporting entities, asset classes, and interest rates. Optionally, create the master data dimensions that you want to assign to components: cost centers, profit centers, accounting areas, and business units.
Select the lessee in the Get started workspace.
Collect the data in the Data collection area: lessors, lease contracts, and contract components.
Categorize the components in the Categorization area.
Preview and calculate the components in the Calculation area and save the calculated values.
Preview and save the postings in the Postings area.
Export postings and reports in the Export area.
For a description of every step with links to the detailed instructions, see All Steps at a Glance.
Lucanet Lease Accounting provides six predefined roles: Data collector, Executive reviewer, Lease operations administrator, Auditor, Settings administrator, and Full access administrator. Each role has specific permissions for the functional areas Data collection, Categorization, Calculation, Postings, Export, and Settings. For example, the data collector can edit lessors, contracts, and components but cannot calculate or post, while the settings administrator can only edit the settings.
You assign the roles in the Administration area of the Lucanet CFO Solution Platform, see User Management. For the full permission tables of all roles, see User Roles in Lease Accounting.
During the first login to Lucanet Lease Accounting, all workspaces except Settings are hidden until you select a reporting entity, because all other workspaces display and process the data of one reporting entity at a time. Open the Get started workspace and select the Reporting entity for which you want to record leases as the lessee. If you work with several reporting entities, make sure the correct reporting entity is selected before you enter or edit data.
Also check the following three points:
The user must have been granted access to Lease Accounting under Administration | User Management in the Lucanet CFO Solution Platform.
At least one reporting entity must have been imported or created in the Reporting entities workspace under Settings.
The role of the user must cover more than the settings. A user with the Settings administrator role can only access the Settings area, see User Roles in Lease Accounting.
Before you record leases in Lucanet Lease Accounting, complete the following settings in the Settings area:
General configurations: Enter the Start of fiscal year and the Transition date, i.e. the month and year in which your organization first applies IFRS 16. Lease Accounting locks both fields as soon as you create the first component, so check the fields carefully, see General Configurations.
Asset classes: Create the asset classes with their minimum and maximum depreciation periods; they are required for interest rates and for categorizing components, see Creating and Configuring Asset Classes.
Transaction plan: Optionally, upload your own transaction plan if your organization needs a posting schema other than the default transaction plan from Lucanet. For details, see General Configurations in Lease Accounting.
Until General configurations, Reporting entities, and Asset classes contain data, a warning icon is displayed next to these entries in the Settings menu. For an overview, see Basic Configuration for Lease Accounting.
How you add reporting entities to Lucanet Lease Accounting depends on your license:
If you use Lease Accounting integrated with Consolidation & Financial Planning, import the existing reporting entities in the Reporting entities workspace under Settings by clicking Import reporting entities. Then assign a Country or region and a Functional currency to each imported reporting entity in the Reporting entities table. To add reporting entities that are created later in Consolidation & Financial Planning, execute the import again. The import does not overwrite details that you have already edited.
If you use Lease Accounting as a standalone solution, create the reporting entities directly in the Reporting entities workspace by clicking Add reporting entity.
You can only change the functional currency as long as no components have been calculated for the reporting entity. For more information, see Importing and Configuring Reporting Entities.
No. Lucanet Lease Accounting only accounts for regular leases in accordance with IFRS 16.3-4. During categorization, Lease Accounting checks every new or modified component and classifies it as Regular, Short-term, or Low-value. Only regular components are included in the subsequent calculations and postings; short-term and low-value components are not considered for the remainder of the process and are not displayed in the Categorization Result workspace.
We therefore recommend recording only those leases that are categorized as regular per IFRS 16.3-4. For more information, see Categorizing Components.
Yes. In the Automatic data import workspace in the Data collection area of Lucanet Lease Accounting, you can import lessors, contracts, and contract components from an Excel or CSV file. Select the data type, attach the file, and click Start import. The overview table displays the status of each import run, and the Import History lists the individual messages, warnings, and errors of an import.
Templates for the Excel and CSV files are linked on the page Importing Data Automatically. The templates contain instructions on how to add the data, and the structure of the templates matches the structure required for the import. Interest rates can also be imported as a CSV file in the Interest rates workspace, where a template is linked as well, see Creating and Configuring Interest Rates.
In Lucanet Lease Accounting, you create interest rates in the Interest rates workspace under Settings, always for a combination of asset class, country or region, and currency, with a Valid from date and one rate per maturity bracket from Up to one year to terms of more than 20 years. When you create a component and select an asset class, Lease Accounting automatically populates the field Incremental borrowing rate in percent with the matching preconfigured rate. If no matching rate exists, the field remains empty or displays 0.
To use a different rate for an individual component, activate Manual entry of interest rates on the Underlying asset tab and enter the rate yourself; the manual rate overrides the configured interest rate. You can also activate manual entry for certain modification parameters, such as extension and termination options, payments, and purchase options. For more information, see Creating and Configuring Interest Rates and Creating and Configuring Contract Components.
In the Preview workspace in the Calculation area of Lucanet Lease Accounting, select the Contract number and Component number or ID of a categorized component and choose whether to display the Lease Liabilities or the Right-of-Use Asset. The preview displays the general information used for the calculation and a table with the calculated values per period. To compare the values with your own calculation, right-click any row and choose Export | CSV export or Excel export.
The Calculate and save button in the Calculate and save workspace saves all components of the selected reporting entity that have been categorized but not yet saved. Therefore, check all components in the preview before you click the button. For more information, see Calculating Data.
Once a component has been calculated in Lucanet Lease Accounting, its fields are locked and you change the component through a modification: click the brush icon in the row of the component, open the modification parameters, and select the change, for example Lease Term | Extension Option | Add for a contract extension. Modifications are available for the following areas of a component:
Underlying asset: purchase option, useful life, proportional scope reduction, impairment, asset retirement obligation, and asset class
Lease term: extension and termination options
Payments
Base lease term
Master data dimensions: cost center, profit center, accounting area, and business unit
Residual value guarantee
For each modification, you specify the effective date from which the modification is included in the calculation. Postings from the effective date use the new values; historical postings remain unchanged. The Status column displays the last modification, and clicking it opens the modification history of the component. After the modification, calculate and save the component again in the Calculation area so that the postings reflect the change. For more information, see Modifying Contract Components in Lease Accounting.
Use the Component reversal workspace in the Data collection area of Lucanet Lease Accounting. Reversing a component resets the component to the state before its calculated values were first saved to the database: Lease Accounting archives all saved calculated values, deletes all component events such as modifications and reassessments, deletes all postings that have not yet been exported, and creates a contra entry with the reversal posting date for every exported posting. Afterwards, you can edit the component as normal again.
You can reverse a single component or all reversible components of the selected reporting entity at once, and either all periods or only the periods from a selected month onward. You cannot undo a reversal. For more information, see Reversing Components.
To reverse postings in Lucanet Lease Accounting, open Postings | Reverse postings, select the Contract, and select one or several Contract components, or All. Select Reverse periods starting from and either activate Reverse in original posting period or enter a Reversal posting date for the contra entries. Click Reverse postings and confirm the selection. Lucanet Lease Accounting removes affected postings that have not yet been exported and creates contra entries for exported postings. The affected periods receive the status not posted, so you can post the periods again.
In contrast to a component reversal, a posting reversal does not reset the measurements, modifications, or reassessments of the component. A multi-component posting reversal covers components of the same contract. If one component fails, Lucanet Lease Accounting continues with the remaining components and records the reason in the task log. You cannot undo either reversal. For more information, see Reversing Postings and Reversing Components.
In Lucanet Lease Accounting, you save postings in the Postings area. The Components to be posted workspace lists all calculated components that have not yet been posted up to a selected accounting period. In the Preview and save postings workspace, you select one or more reporting entities and the period under Preview or save postings up to, preview the pending postings if required, and click Save postings. We recommend saving the postings after each month so that the postings receive the correct posting date. For more information, see Saving Postings.
You can transfer the postings in the following ways:
Export the postings in the Export | Export postings workspace as an XLSX file for one, several, or all reporting entities and download the file in the Created files workspace, see Exporting Reports and Postings. If you use Lease Accounting integrated with Consolidation & Financial Planning, the export creates one file per selected reporting entity.
With a Consolidation & Financial Planning license, you can additionally import the postings directly into Consolidation & Financial Planning using a script. After a one-time setup of the script, a data source of type Provision via script, and an assignment table, you execute the import every month for the accounting period in which you saved postings. We recommend a separate adjustment level, such as IFRS 16, for the imported postings, see Importing Postings into Consolidation & Financial Planning.
Lucanet Lease Accounting creates postings according to the transaction plan, which defines for each transaction which account is debited and which account is credited. By default, Lease Accounting uses the default transaction plan from Lucanet. To use your own posting schema, for example with a split of the lease liability accounts, upload your own transaction plan as an XLSX or XLS file on the Upload transaction plan tab under Settings | General configurations. The new transaction plan applies to all postings that you save afterwards. Postings that are already saved remain unchanged, and reversal postings follow the transaction plan of the original postings. Uploading a transaction plan requires the Full access administrator or Settings administrator role. For details, see Uploading a Transaction Plan in Lease Accounting.
Lucanet Lease Accounting creates no postings for a component if the transaction plan contains no accounts for the asset class type of the component's asset class. When you preview or save postings, the log of the task under Active tasks lists each affected contract component. To create the missing postings, add the asset class type to your transaction plan, upload the transaction plan again on the Upload transaction plan tab under Settings | General configurations, and save the postings again. Lease Accounting also creates no postings for lease records whose amounts are all zero. For details, see Asset Class Types Not Covered by the Transaction Plan in Lease Accounting.
There are two possible reasons why Lucanet Lease Accounting does not display the Export postings workspace:
The role assigned to you does not include the permission to export postings. For example, users with the Data collector role cannot export postings, so the workspace is not displayed for them, see User Roles in Lease Accounting.
While a migration from the IFRS 16 script is pending approval, the Calculations, Postings, and Export postings workspaces are hidden. The workspaces become available as soon as you approve the migration, see Migrating Data.
In the Export | Create reports workspace, Lucanet Lease Accounting provides the following reports:
Balance values for reference date
Contract overview
Disclosures
Asset register
Account balance
Payments overview
You can aggregate the Account balance report by reporting entity, transaction type, cost center, profit center, accounting area, business unit, or asset class. When you activate the Aggregate by reporting entity option, the report contains separate rows per reporting entity and a grand total across the selected reporting entities.
Select the report type and reporting entities, complete the report-specific parameters, and click Generate report. You can optionally select a report currency except for Contract overview and Payments overview. Lucanet Lease Accounting generates the reports as XLSX files and provides the files under Created files | Reports. For more information, see Exporting Reports and Postings.
The Payments overview report in Lucanet Lease Accounting displays the payment configurations in the latest financially relevant state of each component on or before the selected Reference date. Under Export | Create reports, select the report type Payments overview, select the Reporting entities, enter the Reference date, and click Generate report. Download the XLSX file under Created files | Reports.
The report contains one row per single payment or configured fixed or variable regular payment, including payments from reasonably certain extension options. The report uses the component currencies. For more information, see Exporting Reports and Postings.
In Lucanet Lease Accounting, you can preview postings for the current month and future months, but you can save them only under certain conditions. Before the last day of the current month, you can save the current-month selection only if none of its components requires currency translation. If at least one component requires currency translation, you can only preview the postings: the preview uses the exchange rates of the last completed month for the period that has not ended, and the Save postings button is disabled after the preview. The restriction also applies to a mixed selection of components with and without currency translation.
You cannot save postings for any future month. Select a completed month, or wait until the current month is completed and the required exchange rates are available. For more information, see Saving Postings.
Each component in Lucanet Lease Accounting has a component currency, which by default is the functional currency of the reporting entity. If the component currency differs from the functional currency, Lucanet Lease Accounting translates the amounts into the functional currency: Lease Accounting translates the right-of-use asset when the component is calculated, so the preview already displays the right-of-use asset in the functional currency. Lease Accounting translates the lease liability and all related values, such as repayments and interest, when you save the postings, and you can preview the translated values in the Preview and save postings workspace before saving. For periods that have not ended, the translated values in the preview are provisional. Lease Accounting uses the applicable exchange rate for each value: the average rate of the period for payments and interest expenses, and the closing rate for the lease liability. Lease Accounting posts the difference from retranslating the lease liability at the closing rate separately with the posting type Currency Translation Difference - Lease Liability and recognizes the difference in profit or loss.
You maintain the exchange rates in the Exchange rate management functional area under Administration in the Lucanet CFO Solution Platform. If an exchange rate is missing for a posting period, Lease Accounting does not save the affected postings. For more information, see Currency Translation of the Lease Liability in Lease Accounting and Exchange Rate Management.
In Lucanet Lease Accounting, you configure each of the two component types on its own tab of the contract component:
A transition component is a component for which IFRS 16 is applied for the first time as of the transition date defined in the general configurations. On the Transition tab, you specify whether the component was an operating lease or a finance lease and whether a provision for onerous leases or an impairment exists, and then enter the values required for the transition, for example the net liability according to IAS 17 or prepaid and accrued payments.
A migration component is a component that has already been accounted for in accordance with IFRS 16 in another tool and that you transfer to Lucanet Lease Accounting. On the Migration tab, you enter the values as of the migration date, i.e. the deviating interest rate, the deviating start values of the historical cost and the cumulated depreciation, and the net liability before the application of Lease Accounting.
Use the Migration workspace under Settings in Lucanet Lease Accounting. Together with your Lucanet Professional Services consultant, you export the H2 database file and the lookup file from the IFRS 16 script. In Lease Accounting, you upload both files as one package, start the migration with the applicable migration date, check the result in the Migration result tab, and download the Migration report and the Component validation report to identify placeholder values and missing information. Then correct the migrated lessors, contracts, and components in the Data collection area and approve the migration.
Until you approve the migration, the Calculations, Postings, and Export postings workspaces are hidden. The migration requires the role Full access administrator, Settings administrator, or Lease operations administrator. For more information, see Migrating Data.
Yes. With a change of lessee in Lucanet Lease Accounting, you transfer an active, calculated component from one reporting entity to another as of a transfer date without entering the component again. Lease Accounting terminates the source component in its reporting entity and creates a copy in the target reporting entity with the cost center, profit center, accounting area, and business unit that you specify. At group level, the disposal and the addition balance each other out.
Because a change of lessee usually affects several components, you transfer the components with a file upload in the Data collection | Change of lessee workspace: download the XLSX template, enter one transfer per row, and upload the completed file. Lease Accounting validates each row individually; for example, the transfer date must be the first day of a month in the past and within the lease term. You can undo a change of lessee in the Undo change of lessee workspace. For more information, see Changing the Lessee of Contract Components.
Yes. In Lucanet Lease Accounting, cost centers, profit centers, accounting areas, and business units are master data dimensions that you assign to a contract component on the General information tab. If you use Lease Accounting integrated with Consolidation & Financial Planning, you import the cost centers from Consolidation & Financial Planning. With a standalone license, you create the cost centers directly in Lease Accounting. You create profit centers, accounting areas, and business units in the Settings area. These dimensions apply either to a specific reporting entity or to all reporting entities; a profit center can additionally be related to a cost center. The Profit centers, Accounting areas, and Business units workspaces require the Full access administrator or Settings administrator role.
For calculated components, you change these dimensions through the modification General information | Modify master data dimension. Such changes are statistical only and do not affect the calculation. Profit centers and accounting areas are not transferred to Consolidation & Financial Planning, because these dimensions do not exist there. For more information, see Creating or Importing Cost Centers, Creating Profit Centers, Creating Accounting Areas, and Creating Business Units.
Click Active tasks in the function bar at the top of Lucanet Lease Accounting. The list displays the tasks currently being executed, such as categorization, calculation, or export, together with their execution status. For each task, you can open a log that lists the completed tasks and any errors that occurred during execution.
For data imports, the overview table in the Automatic data import workspace displays the status of each import run, and the Import History provides the individual messages. For more information, see General Functions in Lease Accounting.
This content was generated using AI and reviewed by Lucanet subject matter experts before publication.