Changing a straight-line payment schedule

Optionally, you can change payment schedules. For example, if rent increases for the remaining life of a lease, then you can select Payment Schedule (LM30) and change the payment amounts for the remaining payments.

For payment schedules that are marked for straight-line payments, you also can override the straight-line amount and create a manual journal entry in General Ledger to reconcile differences in deferred amounts.

  1. Select Lease Addition and Adjustments (LM21.1).
  2. Select Inquire.
  3. Specify the new payment amount for the remaining payments in the Payment Amount field.
  4. Select the Change (C) line action in the FC field for each payment line.
  5. Click Change.
  6. To override the straight-line amount, click Overrides.
  7. In the Deferred Rent Amount Override field, specify the new override amount. Increase the override amount by an amount that is equal to Number of Increased Payments * (new straight-line amount — old straight-line amount)
  8. Click OK.
  9. Click Change.
  10. Select Journal Entry (GL40.1).
  11. Define a manual journal entry for the same override amount that you have defined in the Deferred Rent Amount Override field.
  12. Release the journal entry.