Lease accounting software to nail your compliance
Manage leases under ASC 842, IFRS 16 and GASB 87 and with Xero lease accounting software. Tracking assets, liabilities, and disclosures – all without spreadsheets. Xero gives you the essentials: customizable reports, a fixed asset register, and a large app ecosystem for specialist lease tools.
Xero supports your lease accounting from the ground up
Get the core accounting tools lease compliance needs, then connect to specialist lease apps for deeper automation.
Track assets and liabilities for ASC 842
Record right-of-use assets and lease liabilities in your fixed asset register, with journals posted to your ledger.
Connect lease software apps for the tools you need
Link a lease management system or lease tracking software to Xero through its app integrations and an open API.
Get set up fast with support at every step
Around half of small businesses set up Xero in under four hours, with 24/7 support for your lease accounting program.
What is lease accounting software?
Lease accounting software replaces error-prone spreadsheets by automating right-of-use assets, lease liabilities, amortization schedules, and disclosures under standards like ASC 842, IFRS 16 and GASB 87. Xero is the accounting foundation these workflows run on, from fixed assets to reporting.
- Trusted by 4.9 million subscribers worldwide, Xero gives lease accounting a dependable place to live.
For ASC 842, IFRS 16, and GASB 87 compliance
ASC 842 puts most leases over 12 months on the balance sheet as right-of-use assets and lease liabilities. IFRS 16 uses a single lessee model and GASB 87 covers government entities. Xero's reporting, fixed asset register, and integrations form the foundation, alongside specialist lease tools.
- Customizable reports – like profit and loss, balance sheet, and cash flow – all shareable live with your advisor.
Key features to look for
Good lease accounting software handles classification, asset and liability calculations, journal entries, amortization schedules, modifications, disclosures, and audit controls. Xero's fixed asset register, reports, and tracking categories cover several of these, with apps extending the rest.
- More than 1000 certified apps connect directly to Xero – the largest ecosystem in small business accounting.
How to choose lease accounting software
Start with your lease volume, compliance standard, current system, and audit needs. Embedded approaches, like Xero and its connected apps, keep data flowing and costs lower. Standalone tools suit very large portfolios but add integration work. For most small and mid-sized teams, integrated wins.
- Xero's onboarding scores 94% for customer satisfaction, with expert support from day 1.
Pay your bills at no extra cost
Free standard ACH bill payments are now included in Xero business plans.*
Early
for the first 3 months
Then $27 per month
An easy financial foundation - track cash flow with the essentials.
- Send quotes and 20 invoices†
- Accept online invoice payments^
- 5 bills
- Reconcile bank transactions
- Smart Document Capture
- View real-time reports
- W-9 + 1099 management
- Sales tax
- Visualize performance with basic graphs
- 30 day cash flow forecast
- Make online bill payments (Domestic - Free ACH)
- Make online bill payments (Cross Border)
- Track income and expenses
- Free expert setup help
Growing
for the first 3 months
Then $59 per month
Go beyond the basics - automate tasks and access performance dashboards.
- Send invoices and quotes
- Accept online invoice payments^
- Automate bill entry and track bills
- Reconcile bank transactions
- Smart Document Capture
- View real-time reports
- W-9 + 1099 management
- Sales tax
- Visualize performance with graphs
- 60 day cash flow forecast
- Make online bill payments (Domestic - Free ACH)
- Make online bill payments (Cross Border)
- Customize performance dashboards
- Tailored financial health scorecards
- Budget with smart suggestions
- Auto-reconcile transactions
- Track income and expenses
- Free expert setup help
Forecast with clarity
Forecast with clarity
Established
for the first 3 months
Then $97 per month
Future proof your scaling business - with advanced tools and analytics.
- Send invoices and quotes
- Accept online invoice payments^
- Automate bill entry and track bills
- Reconcile bank transactions
- Smart Document Capture
- View real-time reports
- W-9 + 1099 management
- Sales tax
- Visualize performance with graphs
- 180 day cash flow forecast
- Make online bill payments (Domestic - Free ACH)
- Make online bill payments (Cross Border)
- Customize performance dashboards
- Tailored financial health scorecards
- Analyze KPIs and ratios
- Use multiple currencies
- Track time and costs for projects
- Employee expense and mileage claims
- Benchmark against the industry
- Make online bill payments (International)
- Budget with smart suggestions
- Auto-reconcile transactions
- Track income and expenses
- Free expert setup help
Connect your whole lease workflow
Xero’s open API and large app ecosystem make it one of the most connected platforms in small business accounting. Connect specialist lease management tools straight to your ledger for posting, reconciliation, and reporting. Many customers cut hours of manual entry through connected apps.
- Xero's app ecosystem is unmatched: 1000+ apps to 800 for QuickBooks Online, 350 for MYOB, and 250 for Sage.
Lease accounting across industries
Lease accounting varies by sector. Xero's reporting, fixed assets and integrations support each.
- Real estate teams track office and property leases.
- Retailers manage store and equipment leases across many sites.
- Manufacturers handle machinery leases.
- Logistics teams run vehicle leases at volume.
88% of customers agree Xero helps improve financial visibility across their business.
FAQs on lease accounting software
Lease accounting software automates the calculations behind right-of-use assets, lease liabilities, amortization schedules, and disclosures. It does this under standards like ASC 842, IFRS 16, and GASB 87.
Any business with office equipment or vehicle leases that must appear on the balance sheet can use it.
Xero gives you the core accounting tools to support your lease accounting, and lets you download specialist apps for lease-specific calculations.
Lease accounting software automates the calculations behind right-of-use assets, lease liabilities, amortization schedules, and disclosures. It does this under standards like ASC 842, IFRS 16, and GASB 87.
Any business with office equipment or vehicle leases that must appear on the balance sheet can use it.
Xero gives you the core accounting tools to support your lease accounting, and lets you download specialist apps for lease-specific calculations.
Lease accounting software does so by:
- classifying leases as finance or operating
- calculates the present value of payments
- generates right-of-use asset and lease liability entries
- builds amortization schedules
- produces the required disclosures
In Xero, reporting and the fixed asset register handle the core accounting, while connected lease apps do the specialist ASC 842 calculations.
Lease accounting software does so by:
- classifying leases as finance or operating
- calculates the present value of payments
- generates right-of-use asset and lease liability entries
- builds amortization schedules
- produces the required disclosures
In Xero, reporting and the fixed asset register handle the core accounting, while connected lease apps do the specialist ASC 842 calculations.
Look for:
- lease classification
- right-of-use asset and lease liability calculations
- automated journal entries,
- amortization schedules
- modification accounting
- disclosure reporting
- audit controls.
Treat this as a checklist when you compare lease accounting software.
Look for:
- lease classification
- right-of-use asset and lease liability calculations
- automated journal entries,
- amortization schedules
- modification accounting
- disclosure reporting
- audit controls.
Treat this as a checklist when you compare lease accounting software.
- Lease accounting software focuses on compliance calculations, journal entries, and financial reporting.
- Lease management software (also known as lease administration software) focuses on operations like rent payments, critical dates, and document storage.
Many platforms combine both. Xero's ecosystem supports both with its core accounting functions and its app integrations.
- Lease accounting software focuses on compliance calculations, journal entries, and financial reporting.
- Lease management software (also known as lease administration software) focuses on operations like rent payments, critical dates, and document storage.
Many platforms combine both. Xero's ecosystem supports both with its core accounting functions and its app integrations.
Yes. Good lease software posts entries straight to your ledger rather than sitting apart. Xero's app integrations and open API let you link a lease management system to your books, so records stay consistent across your accounting and reporting.
Yes. Good lease software posts entries straight to your ledger rather than sitting apart. Xero's app integrations and open API let you link a lease management system to your books, so records stay consistent across your accounting and reporting.
Spreadsheets invite calculation errors, version problems and audit gaps, and they eat time at month end. Software brings smooth automated workflows, accurate calculations, audit readiness, and time savings.
To give you a sense of the gains, Xero customers report around six hours saved each week through automated bank feeds and reconciliation.
Spreadsheets invite calculation errors, version problems and audit gaps, and they eat time at month end. Software brings smooth automated workflows, accurate calculations, audit readiness, and time savings.
To give you a sense of the gains, Xero customers report around six hours saved each week through automated bank feeds and reconciliation.
When a lease changes in scope, price, or term, you need to recalculate the right-of-use asset and lease liability under ASC 842 and IFRS 16.
Lease software automates this process. It recalculates present values, adjusts amortization schedules, posts updated entries, and keeps an audit trail. Spreadsheets can’t keep up!
When a lease changes in scope, price, or term, you need to recalculate the right-of-use asset and lease liability under ASC 842 and IFRS 16.
Lease software automates this process. It recalculates present values, adjusts amortization schedules, posts updated entries, and keeps an audit trail. Spreadsheets can’t keep up!
Lease-specific rollouts often take 6–12 weeks across discovery, data migration, configuration, testing and go-live.
Xero's core platform is quick to start, with around half of small businesses set up in under four hours. Lease accounting needs an extra configuration step, supported by our 24/7 team.
Lease-specific rollouts often take 6–12 weeks across discovery, data migration, configuration, testing and go-live.
Xero's core platform is quick to start, with around half of small businesses set up in under four hours. Lease accounting needs an extra configuration step, supported by our 24/7 team.
The price varies depending on:
- the pricing model you need, like per lease, per user, per entity, or a flat fee
- your lease volume, company size, and the support you need.
When comparing your options, think about the total cost of ownership, which includes subscription, setup, training, and ongoing help.
Xero offers three price plans that scale with you and that all include unlimited general users.
See Xero’s pricing plans.
The price varies depending on:
- the pricing model you need, like per lease, per user, per entity, or a flat fee
- your lease volume, company size, and the support you need.
When comparing your options, think about the total cost of ownership, which includes subscription, setup, training, and ongoing help.
Xero offers three price plans that scale with you and that all include unlimited general users.
See Xero’s pricing plans.
No, but it helps. ASC 842 applies to US GAAP reporting entities, but the standard doesn't require any particular software. You could use spreadsheets, but they raise the risk of errors and audit findings.
Given the present-value, discount-rate, and modification math involved, accounting lease software is close to essential for accuracy and audit readiness.
No, but it helps. ASC 842 applies to US GAAP reporting entities, but the standard doesn't require any particular software. You could use spreadsheets, but they raise the risk of errors and audit findings.
Given the present-value, discount-rate, and modification math involved, accounting lease software is close to essential for accuracy and audit readiness.
The payoff of automating lease accounting
Moving leases off spreadsheets returns time, sharpens accuracy, and builds audit confidence – three reasons finance teams make the switch.
Save hours every week
Xero customers report around six hours saved each week through automated bank feeds and reconciliation.
Cut costly errors
Automation removes the manual slips common in right-of-use values and amortization schedules in spreadsheets.
Stay audit-ready
Xero’s full transaction history and customizable reports give you the trail auditors expect at review time.
Explore useful features to run your business
Xero’s online accounting software is designed to make life easier for small businesses – anywhere, any time.
*Fees apply for other payment methods.