FRS102 is now a reality and may cause headaches for housing associations over the next few months. One area most affected by the new reporting standard is fixed assets.
The two biggest changes are classification of housing assets and the treatment of grants. However, before looking at those we first need to consider how to deal with the requirement to restate the 2013-14 balance sheet.
I would suggest taking a copy of your Asset4000 database immediately. Then, delete any additions and disposals since your last year end and run two databases concurrently. Use your original database for transactions under the current SORP, including all your regular management accounts reporting, and the new copy, rolled back to the start of the year, for reporting under FRS102.
In between management accounts reporting cycles you can make all the retrospective amendments to records to reflect any classification changes, depreciation type and revaluations to fair value in period 12 of 2013-14 that are required to comply with FRS102. When making these changes, ensure that you set the depreciation recalculation to be fully recognised within period 12. If the change made does not allow you to set the depreciation catch-up try changing the depreciation period by a day to force the recalculation dialogue box to appear. The difference between the two databases as at period 12 2013-14 will give you your accounting adjustments for the start of 2014-15.
Amend the import spreadsheets you created for your SORP database to reflect FRS102 and then import them into the FRS copy, carrying out disposals as normal. After period 12 2014-15 any further differences between the databases will give you your accounting adjustments for the 2014-15 financial year. The FRS copy will then become your live database on day one of your 2015-16 accounting year.