Capitol Federal Financial is the parent company of Capitol Federal Savings Bank, a publicly traded financial institution providing consumer and commercial banking services. With operations spanning multiple branches and facilities, the bank manages a diverse portfolio of property and equipment leases that must comply with ASC 842 lease accounting requirements.

Tim Owen, Accounting Manager and a former CFO, oversees the accounting treatment for these leases as part of the bank’s 18-person accounting team. His responsibilities include ensuring lease activity is recorded accurately and that the organization meets the detailed disclosure and reporting requirements expected of a public company.

When Tim joined the company, he quickly identified an opportunity to improve how lease accounting was managed.

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When spreadsheets become more work than they’re worth

Historically, Capitol Federal managed its lease accounting through custom-built Excel templates.

While spreadsheets can be a powerful tool, they became increasingly difficult to maintain as ASC 842 requirements introduced more complexity into the process. Even small errors or formula changes could cause inconsistencies that took hours to investigate and resolve.

Tim believed there had to be a better approach.

“Excel is a wonderful tool. We use it extensively. But there are times when it's really not the best idea.”

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With nearly 50 leases to track and increasing disclosure requirements tied to public company reporting, relying on spreadsheets created several challenges:

• High risk of formula errors or data inconsistencies

• Time spent troubleshooting spreadsheets instead of analyzing results

• Manual effort required to prepare quarterly financial reporting

Troubleshooting spreadsheet issues often took more time than the accounting work itself.

“More often than not there was something like, ‘this isn't tying up,’ and we'd have to go troubleshoot the spreadsheet to find out why.”

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For Tim, the goal was simple: move away from spreadsheet maintenance and toward a solution that allowed the team to focus on accounting.

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Evaluating dedicated ASC 842 lease accounting software

Recognizing the limitations of spreadsheets, Tim began researching dedicated ASC 842 lease accounting software.

He reviewed roughly five different vendors, evaluating them on several factors including price, usability, reporting capabilities, and overall flexibility.

A CPA firm he had worked with previously recommended NetLease as a potential solution, prompting the team to include it in their evaluation process.

In addition to meeting accounting requirements, the bank also wanted a system that could provide visibility to its facilities team. Those employees are responsible for managing branch locations and property agreements, so having access to lease documents and key lease details was important.

After comparing multiple options, NetLease stood out as the best balance of functionality and simplicity.

“We felt like it had the best balance of price, performance, quality, and ease of use.”

The platform also provided flexibility to handle both lessee and lessor lease structures, which was important given the bank’s mix of property arrangements.

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From spreadsheet troubleshooting to streamlined reporting

Once the decision was made, the accounting team began migrating lease data from Excel into NetLease.

The onboarding process involved uploading lease information through a structured template and reconciling the system’s outputs with the bank’s existing records. Like most system implementations, the transition required some initial effort to ensure everything aligned properly.

But once the system was live, the benefits were immediate.

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Lease accounting work reduced by nearly 80%

One of the most noticeable improvements was the time savings.

Previously, preparing lease calculations and reports required frequent spreadsheet reviews and troubleshooting. With NetLease handling the calculations automatically, the accounting team now spends a fraction of the time managing lease accounting.

Tim estimates the team now spends about 20% of the time previously required, representing roughly an 80% reduction in effort.

“We probably spend about twenty percent of the time we used to spend.”

For Tim, that's the whole point — a tool that does the work so the team doesn't have to.

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Faster reporting for financial statements and disclosures

As a publicly traded organization, Capitol Federal must produce detailed financial statement disclosures tied to its lease portfolio.

Before implementing NetLease, gathering this information often required manually assembling data from multiple spreadsheets.

Now, the accounting team can generate the necessary reports directly from the system.

Quarterly reporting that once required extensive preparation can now be completed simply by extracting the appropriate reports.

“Now we just extract the report and away we go.”

No spreadsheet assembly. No troubleshooting. Just the report.

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Easier handling of complex lease changes

NetLease also simplifies situations where lease terms change or equipment is replaced.

In one recent example, the bank modified a lease involving mailing production equipment. The change included returning one piece of equipment, adjusting the monthly payment amount, and recording a lump-sum payment to reduce the lease liability.

With NetLease, the accounting team was able to update the payment structure and generate the correct accounting entries within minutes.

“Making the entries in the software and updating the lease took just a few minutes.”

The accounting got done. The tool handled the complexity.

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Supporting both accounting and facilities teams

Another benefit of the platform is centralized lease documentation.

Lease agreements, modifications, and supporting notes are all stored within the system, allowing the accounting team and facilities team to access the information they need without maintaining separate records.

Facilities staff can easily review lease details, expiration dates, and supporting documents without having to request information from the accounting department.

One system, two teams — and no extra maintenance for anyone.

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A solution that just works

For Tim, one of the biggest advantages of NetLease is its reliability.

Unlike some ASC 842 lease accounting software that requires constant adjustments or workarounds, the system allows the accounting team to simply focus on using the tool rather than managing it.

“It’s kind of set it and forget it. We don’t have to mess with it all the time.”

He compares the experience to buying any other professional tool.

“If I go to the hardware store to buy a tool to work on my car, I don't want to come home and work on the tool. I just want to use the tool.”

That philosophy was a major factor in selecting NetLease and continues to reinforce the value of the platform.

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Looking ahead

With NetLease in place, Capitol Federal Financial now has a reliable system for managing lease accounting and supporting ASC 842 compliance.

By replacing complex spreadsheets with a dedicated platform, the accounting team has significantly reduced manual effort, simplified financial reporting, and improved visibility across departments.

For Tim and his team, the result is a more efficient process that allows them to focus on financial accuracy and analysis rather than spreadsheet troubleshooting.