Rent Table

Lease administrators can create payment terms using the rent table. The Rent Table tab lists all defined rents, as well as their payment terms under them by expense category.

You can create multiple rents for each expense category, with payment terms defined under them. If required, each rent can have a separate currency. Note that for each different currency under the lease, a separate contract is created in Nakisa Lease Administration.

All information in the rent table is translated to Nakisa Lease Administration objects. Note that cost objects that are entered at the premises level are not transferred to Nakisa Lease Administration.

In the case that a pre-existing lease component has been selected and associated to the lease, the rent table will automatically be filled in based on the information from Nakisa Lease Administration after the lease is activated.

Note: If there are changes made in Nakisa Lease Administration that cause discrepancies between the rent table terms and the information in Nakisa Lease Administration, the application updates the lease once per day to reflect the changes. For changes made once the lease is active, the application deactivates the original lease and creates a new lease that is automatically activated.

For more information on the workflow for IFRS 16/ASC 842 compliance, see Rent Table and Lease Accounting (IFRS 16/ASC 842 Compliance)

To create a payment term in the rent table:

  1. Click Main > Leases and open the required lease.
  2. Open the Rent Table tab.
  3. Click to add a rent.
  4. In the Create Rent window, select an Expense Category for all the payment terms under this rent.
  5. Set the Payment Frequency, which indicates how frequently payments are made.
  6. Set the Currency for the rent.
  7. Set the First Payment Date.
  8. If required, select an Area Type. Note that you must have an area defined in your premises for this field to be populated.
  9. Optionally select End of Month Payment if the First Payment Date is set to the last day of the month (e.g., February 28 or April 30). If it is checked, all subsequent payments occur on the last day of the month. If it is unchecked, all subsequent payments occur on the selected day of the month.
  10. Under Payment Terms, click .
  11. In the Create Payment Term window, set the following fields:
    • Set the date range for the payment term with the Date From and Date To fields.
    • Enter the Amount. If there is an Area Type selected in the rent, the application automatically calculates the Annual Rate per Area.
    • Optionally, select the checkboxes Override First Payment Amount or Override Last Payment Amount to override the first or last payment amount and enter a specific amount.
      • Set the required First Payment Amount or Last Payment Amount to change the amount of the scheduled first or last payment.
      • Set the required First Special Payment Date or Last Special Payment Date to add an extra pro-rated or full payment amount.
    • Set the Term Indexation Type.
      • If "Flat Increase" is selected, indexation will not apply to this term.
      • If "Apply CPI" is selected, indexation will apply to this term.
    • The Rate field indicates the difference between the previous payment term and the current one. This field is automatically filled in after an Amount is entered, but can be modified, if necessary. Note that changes made in the Rate field are reflected in the Amount.
    • The Rate Date is automatically filled in based on the date when changes were made to the Rate.
    • All fields in the CPI section are set by default and cannot be modified.
  12. After all the required fields are filled in, click Update. Add as many payment terms for the defined rent as required. Note that payment term dates must be continuous.
  13. In the Vendors tab, click . In the Manage Vendors window, select the vendors associated to this rent, and click Continue. A vendor is the person or entity who is receiving payments linked to owned locations, or the person or entity who is making payments linked to leased locations.
  14. Enter the Ownership for each vendor, then click Save.
  15. After all payment terms have been created and all the vendors are associated, click Save.
  16. You can now approve your lease.

To manage the rent table:

  1. Click > Edit Rent to modify a rent.
  2. Click > Delete to delete a rent.
  3. Click to filter your rents.

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