FASB ASC 842 leases underestimated effective date adjustment approaches

In a matter of weeks, calendar year private companies that report under U.S. generally accepted accounting principles (U.S. GAAP) will be required to make a material effective date adjustment to adopt FASB ASC 842, Leases, which may have widespread underestimated impacts. We have noted a lack of appreciation for the impact of this adjustment in surveys we have conducted (see survey below, 457 responses) as well as continued procrastination. Further, a 2021 survey from Lease Accelerator & EY noted that