SAP RE-FX: IFRS 16 & ASC 842 Lease Accounting & Config

Name: SAP RE-FX: IFRS 16 & ASC 842 Lease Accounting & Config
Rating: 4.0 (52 reviews)

Mastering SAP RE-FX Lease Accounting: Full Configuration for IFRS 16 & ASC 842 (Flexi real Estate Management )

Created bySaurabh Singh

Last updated 11/2025

English

English [Auto],

What you'll learn

Explain the core concepts of SAP Real Estate (RE-FX) and its integration with Finance.
Understand the fundamentals of IFRS 16 and its impact on lease accounting.
Configure Lease-In (Lessee Accounting) and Lease-Out (Lessor Accounting) processes in SAP.
Create, manage, and process lease contracts in the SAP RE-FX module.

Course content

6 sections • 21 lectures • 4h 17m total length

Overview of Real Estate Management Course7:07
Discover SAP RE-FX real estate management on S/4HANA, covering IFRS 16 and IFRS 15, lease and contract processing, contract creation, condition types, and integration with finance and asset accounting.
Master Data in RE-FX5:30
Learn how RDF org structure uses the usage view to define a company’s business entity, buildings and land, and rental units, including pool spaces for flexible, temporary leases.
Master Data Hands On13:58
Create core SAP RE-FX master data from a business entity to a building and rental unit. Define usage type, conditions, and posting parameters, and review the overview for licensing implications.

Activating RE-FX and IFRS 16 Functionality8:03
Activate flexible real estate management by enabling required sub functions and configuring company code settings for IFRS 16. Enable RE-FX at the controlling area level with assigned company codes.
Contract Types Hands on & Configuration20:01
Create and configure a lease contract in SAP RE-FX, selecting contract type, rental object, and tenant, and simulate cash flows with object types and distribution rules.

Revenue Recognition Concepts11:50
Explore the basics of leasing and revenue recognition under IFRS 16 and IFRS 15, including lease-in, lease-out, subleasing, and the shift from cash to accrual accounting.
Condition Type Theory9:25
Explore pricing procedure and condition type categories for residential leases, and learn how contract values post to debit, credit, revenue, and expenses via account determination, flow types, and account symbols.
Condition Type Config Hands On10:58
Follow a bottom-up configuration to create account symbols and flow types for condition types. Assign condition groups to rental contracts to govern posting, sequencing, and distribution in sap re-fx.
Condition Type Config Hands On Part 217:13
Configure a custom condition type in SAP RE-FX by defining a flow type and account symbol, then validate periodic postings to the GL for rental income in lease accounting.
Reference Flow Type7:26
Understand reference flow types to handle retrospective and prospective changes in lease postings. Configure and apply 10, 20, 30 flows for increases or decreases in values, triggering automatic adjustment entries.
Accrual and Deferral Concept12:05
Master accrual and deferral under IFRS 15 with a SAP rent example. See how advance revenue becomes deferred liability and how accrual accounting differs from cash accounting.
Accrual and Deferral Config17:24
Configure accrual and deferral in SAP FX by assigning a deferral type to the Z 100 condition and enabling the accrual cycle.
Renewal and Notice Procedure13:29
Learn how to configure renewal and notice procedures in SAP RE-FX, including standard and individual renewal rules, manual vs automatic approvals, and notice periods for contract terminations.
Lease Out Contract and Posting15:01
Create a SAP RE-FX lease setup with a business entity, building, and rental object, then post a lease contract and monthly invoicing with accrual and deferral entries.

Service Charge Settlement18:40
Understand service charge settlement by configuring participation groups and settlement units, apportioning costs like maintenance and security to apartments based on area, and posting and settling costs in SAP RE-FX.
Sales based Rent15:53
Explore sales-based rent under lease contracts, including basic rent and a percentage of net or gross sales, with product-type grading and sales reporting for IFRS 16 and ASC 842 compliance.
Special Contract Types

Lease In scenario: IFRS 16 Part 116:06
Explore IFRS 16 lease accounting from theory to hands-on practice, detailing lessee and vendor roles, right-of-use assets, lease liabilities, and practical journal entries in SAP.
Lease In scenario: IFRS 16 Part 29:08
Demonstrates IFRS 16 lease accounting with a long-term contract, using present value to set asset value and lease liability, then apply depreciation and interest on EMI payments.
Lease In Scenario: Hands On8:12
Hands-on walkthrough of creating an asset and a lease contract, configuring the landlord role, and running the IFRS 16 valuation and posting to generate the lease asset and liability entries.
Balance Sheet Valuation Configuration7:41
Enable real estate management and configure balance sheet valuation of contracts in SAP RE-FX. Set company code, asset accounting, flow types, and IFRS 16 relevance for postings.
IFRS 16 Lessee Accounting

Requirements

Basic knowledge of SAP navigation and terminology
Fundamental understanding of Finance (FI) concepts such as postings, ledgers, interest, and depreciation
Awareness of general accounting principles (IFRS knowledge is helpful but not mandatory)
A willingness to learn the functional configuration and business processes step-by-step
Access to an SAP practice system (ECC or S/4HANA) is recommended but not required; all demonstrations will be shown in the course

Description

This comprehensive course provides a deep dive into SAP Real Estate Management (RE-FX) with a specialized focus on Lease and Contract Management in compliance with IFRS 16. Designed for both beginners and experienced SAP professionals, this course equips you with the functional and technical knowledge required to configure, implement, and manage end-to-end lease accounting processes in SAP.

Starting with a clear understanding of lease accounting principles under IFRS 16, the course walks you through the complete lifecycle of lease contracts inside SAP RE-FX—covering contract creation, classification, valuation, posting flows, integration with FI-AA (Asset Accounting) and FI-GL, renewal processes, and reporting.

You will learn how to configure RE-FX master data, valuation rules, and account determination, along with hands-on demonstrations of real business scenarios such as operating and finance leases, right-of-use asset setup, lease modifications, reassessment, and automated posting of lease liabilities.

Whether you are an SAP consultant, end user, finance professional, or someone preparing for an SAP Real Estate project, this course gives you practical insights, real examples, configuration know-how, and a strong foundation to support IFRS-compliant lease operations in your organization.

By the end of the course, you will be able to confidently implement and manage SAP RE-FX Lease and Contract Management and support IFRS 16 reporting requirements with ease.

Who this course is for:

Finance Professionals, Controllers, and Auditors who want to see how IFRS 16 rules are automated in SAP
Anyone preparing for SAP consulting roles in Real Estate Management or Finance transformation
SAP S/4HANA Consultants working on implementation or support projects involving lease contracts
SAP Finance Analysts and Accountants looking to understand how IFRS 16 is executed in SAP
SAP Functional Consultants (FI, RE-FX, CO, MM, PM) who want to expand their skills into IFRS 16 lease accounting

SAP RE-FX: IFRS 16 & ASC 842 Lease Accounting & Config

What you'll learn

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Course content

Introduction to the Course3 lectures • 27min

System Preparation & Configuration Basics2 lectures • 28min

Lease-Out Contracts (Lessor Accounting)9 lectures • 1hr 55min

Special Contract Types2 lectures • 35min

IFRS 16 – Concepts & Accounting Logic4 lectures • 41min

Technical View of the Lease and Contract management module1 lecture • 13min

Requirements

Description

Who this course is for: