CECL and the Call Report
Your March 31, 2023 Call Report will require new line items to be completed due to the Implementation of ASU 2016-13 and Accounting Standard Codification Topic No. 326 that is effective on January 1, 2023 for all calendar year institutions. This webinar will assist Call Report preparers, reviewers or auditors understand the various schedules and line items impacted by CECL reporting requirements.
With the implementation of ASU 2016-13 and Accounting Standard Codification Topic No. 326 rapidly approaching for all financial institutions, this webinar will assist Call Report preparers, reviewers or auditors understand the various schedules and line items impacted by CECL reporting requirements.
Participants will walk through the changes in terminology that become effective upon adoption of the Current and Expected Credit Losses (CECL) methodology for recording the estimated and expected losses on not only the loan portfolio, but any asset carried at amortized cost, to include debt securities held as available-for-sale and held-to-maturity. Participants will understand:
- The transition from Allowance for Loan and Lease Losses (ALLL) to the Allowance for Credit Losses (ACL).
- How to report assets that were considered purchase credit impaired (PCI) that become purchase credit deteriorated (PCD) upon adoption of CECL.
- How to elect a phase-in of the negative impact to equity capital resulting from the day-one implementation entry.
- How to determine your CECL transitional amount and your ACL transitional amount.
- What goes into the calculation of the Adjusted ACL (AACL) that is required for capital ratio calculations and the amount includable in Tier 2 Capital.
What You’ll Learn
This webinar will provide the details of what is required to accurately report CECL related items in the following schedules:
- Schedule RI provisions for credit losses and provisions for unfunded commitments
- Schedule RI-A and the impact of your day-one CECL implementation entry
- Schedule RI-E reporting the adjustments required in the ACL and Retained Earnings resulting from the day-one entry and beyond
- Schedule RI-B Part II and the roll-forward of the ACL on loans, HTM and AFS debt securities and other assets determined to be PCD
- Schedule RI-C Part II reporting the ACL by loan segment and HTM securities
- Schedule RC and how to report loan balances and the ACL on loans, securities and other assets
- Schedule RC-B HTM debt securities with an associated ACL
- Schedule RC-C reporting loan balances
- Schedule RC-G and reporting the ACL on unfunded commitments
- Schedule RC-K and reporting averages and total assets
- Schedule RC-N reporting loan balances
- Schedule RC-O for large institutions that elect a phase-in of the negative capital impacts
- Schedule RC-R Part I and Part II impacts on reporting capital adjustments and determining the ACL includable as Tier 2 capital
Who Should Attend
This review of selected Call Report schedules and reporting items impacted by CECL adoption will benefit anyone responsible for preparing, reviewing or auditing the Call Report to include personnel in accounting, lending and credit operations, and financial executives. This training will supplement annual comprehensive Call Report training recommended by bank regulators.
Cynthia Dopjera, a Certified Public Accountant, has 38 years of experience focused on accounting and regulatory reporting for financial institutions. During the first 18 years of her career, Ms. Dopjera held various positions with responsibility across all operational areas, to include accounting, internal audit, call report preparation and review while working for community as well as regional banks.
In 2000, Ms. Dopjera joined the public accounting firm of Harper & Pearson Company, P.C., where she served as Practice Leader for the Firm’s financial institutions practice covering community and regional institutions. The Firm’s services included financial statement audit, accounting, tax preparation and filing, internal control audit, Call Report audit, loan and asset quality review, and design and implementation of internal controls over financial reporting frameworks for institutions regulated under FDICIA and Sarbanes-Oxley. In 2018, Ms. Dopjera retired from Harper & Pearson Company, and currently provides accounting, consulting, and training services to financial institutions.
- Live Access, 30 Days OnDemand Playback, Presenter Materials and Handouts – $279
- Available Upgrades:
- 12 Months OnDemand Playback + $110
- 12 Months OnDemand Playback + CD + $140
- Additional Live Access + $75 per person