Partner guide
Annual True-Up Accrual Decision Tree
A decision framework for how accounting teams should treat the annual CAM reconciliation payment.
PDF guide
The annual reconciliation creates an accounting question: is the payment an expense in the current period, an accrual reversal, a prepaid adjustment, or something else? This decision tree walks through the variables (timing, materiality, client lease structure) and gives a recommended treatment for each scenario.
Inside the guide
- Treatment decision tree: expense, accrual, or prepaid, matched to the situation
- How prior accruals affect the current-period entry and client reporting
- Where true-up timing creates cash flow surprises that clients do not anticipate