ASC 606 completely
changes your financials

Your next audit will be under the new rules.  Do you know how commissions expense is impacted?

It's a really big deal

As of January 1, 2019, all companies are required to adopt ASC 606/IFRS 15, new accounting standards that change the recognition of revenues and related expenses such as sales commissions, bonuses, and other incentive compensation.


Depending on the structure of the comp plan and the customer relationship that resulted, expenses may fall into one of three expense methods:

  • recognized immediately

  • recognized over the service period

  • recognized over the Period of Benefit (estimated customer lifetime)

Moreover, if a customer terminates their relationship before the end of the Period of Benefit, the expenses related to that contract must be accelerated.


Amortization schedules are the worst

You can make a spreadsheet.  But why would you?

Based on the comp plan rules, your opportunity data, Concert systematically selects the right expense policy and ensures accurate accounting.

Concert also monitors your customer relationships, and automatically accelerates amortization expense when needed.

Want to skip the spreadsheet? 


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