# ASC 210-20: Balance Sheet — Offsetting Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/210/20/) Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-09T22:59:04.667Z to 2026-09-09T22:59:32.460Z Record version: sha256:82473ddfffb7f0d750809b5902c6ba65af665e03ad024bc62a823fd3f3de8974 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20: Balance Sheet — Offsetting ### Machine-generated study aids ```json { "summary": "ASC 210-20 states the general principle that offsetting assets and liabilities on the balance sheet is improper unless a right of setoff exists, and sets the four conditions for a right of setoff (210-20-45-1): two parties owe each other determinable amounts, the reporting party has the right to set off, intends to set off, and the right is enforceable at law (including in bankruptcy). It also provides a narrow exception permitting (but not requiring) offsetting of payables and receivables under same-counterparty, same-settlement-date repurchase and reverse repurchase agreements accounted for as collateralized borrowings that meet all conditions in 210-20-45-11, and it imposes extensive netting disclosures for derivatives, repos/reverse repos, and securities borrowing/lending subject to enforceable master netting arrangements.", "key_points": [ "Offsetting is improper unless a right of setoff exists; all four conditions of 210-20-45-1 must be met (mutual determinable amounts owed, right to set off, intent to set off, and enforceability at law), and a debtor with a valid right of setoff may report the net amount (210-20-45-2).", "Ability to set off is not enough: if the reporting party does not intend to set off, net presentation is not representationally faithful (210-20-45-4); intent is evidenced by management's acknowledgment and, if applicable, demonstrated execution of setoff in similar situations (210-20-45-5).", "'Enforceable at law' means the right should be upheld in bankruptcy; offsetting is appropriate only if all available positive and negative evidence gives reasonable assurance the right would be upheld in bankruptcy, considering state law and the U.S. Bankruptcy Code (210-20-45-8 and 45-9).", "Cash or other assets generally may not be offset against taxes or other amounts owed to governmental bodies, except where the purchase of tax-acceptable government securities is in substance a prepayment of taxes payable in the near future (210-20-45-6 through 45-7).", "Notwithstanding the intent condition, an entity may elect to offset repo payables against reverse repo receivables accounted for as collateralized borrowings only if all conditions of 210-20-45-11 are met (same counterparty, same explicit settlement date, master netting arrangement, book entry securities, qualifying securities transfer system and banking arrangements, and same settlement account); the election must be applied consistently and net receivables may not be offset against net payables (210-20-45-12).", "Where maturities differ, only the party with the nearer maturity may offset (210-20-45-3); the general two-party setoff principle is not modified by the specialized offsetting regimes listed in 210-20-15-3 (e.g., 715-30, 715-60, 740-10, 815-10-45-1 through 45-7, 842-50).", "Entities must disclose, in tabular format separately for assets and liabilities, gross amounts, amounts offset, net amounts presented, amounts subject to an enforceable master netting arrangement not otherwise offset (including financial and cash collateral), and the resulting net amount (210-20-50-3 and 50-4), plus a description of the nature of the rights of setoff (210-20-50-5)." ], "categories": [ "Presentation", "Disclosure", "Financial instruments", "Derivatives and hedging" ], "audience_level": "intermediate", "student_note": "Balance sheet netting materially shrinks reported assets and liabilities for financial institutions, so examiners love the four-part test in 210-20-45-1. The most common mistake is assuming a master netting agreement alone permits offsetting — it does not; you still need intent plus legal enforceability (including in bankruptcy), except for the narrow repo/reverse repo election in 210-20-45-11 and the derivative collateral rules in 815-10-45.", "related_topics": [ "815-10", "740-10", "715-30", "860-30", "942-210", "825-10" ], "key_concepts": [ "right of setoff", "offsetting", "master netting arrangement", "repurchase and reverse repurchase agreements", "enforceability in bankruptcy", "intent to set off", "cash collateral", "net presentation in statement of financial position" ] } ``` Source downloaded (UTC): 2026-09-09T22:59:04.667Z to 2026-09-09T22:59:04.667Z Record version: sha256:1638ada1f70e3a1500e814ea78629411fa32fce6be295f01740b7d35fdb2ab28 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-00: 00 Status [Read section](https://asc.understandingaccounting.org/asc/210/20/#00-status) SEC content: no ##### [210-20-00-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-00-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:04.667Z to 2026-09-09T22:59:04.667Z Record version: sha256:60ba80a0f6eec328d08512e64579bc4aead5d4ef1ba42113694ef1383473c7ec Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table identifies the changes made to this Subtopic.
ParagraphActionAccounting Standards UpdateDate
CashAddedAccounting Standards Update No. 2012-0410/01/2012
Commencement Date of the Lease (Commencement Date)AddedAccounting Standards Update No. 2016-0202/25/2016
ContractAddedAccounting Standards Update No. 2016-0202/25/2016
LeaseAddedAccounting Standards Update No. 2016-0202/25/2016
LesseeAddedAccounting Standards Update No. 2016-0202/25/2016
LessorAddedAccounting Standards Update No. 2016-0202/25/2016
Leveraged LeaseAddedAccounting Standards Update No. 2016-0202/25/2016
Repurchase Agreement Accounted for as a Collateralized Borrowing (formerly Repurchase Agreement [2nd def.])AddedAccounting Standards Update No. 2014-0603/14/2014
Repurchase Agreement (2nd def)SupersededAccounting Standards Update No. 2014-0603/14/2014
Reverse Repurchase Agreement Accounted for as a Collateralized Borrowing (formerly Reverse Repurchase Agreement)AddedAccounting Standards Update No. 2014-0603/14/2014
Reverse Repurchase AgreementSupersededAccounting Standards Update No. 2014-0603/14/2014
Underlying AssetAddedAccounting Standards Update No. 2016-0202/25/2016
210-20-05-3AmendedAccounting Standards Update No. 2014-0603/14/2014
210-20-15-3AmendedMaintenance Update 2017-21 (PDF)12/22/2017
210-20-15-3AmendedAccounting Standards Update No. 2016-0202/25/2016
210-20-15-3AmendedAccounting Standards Update No. 2013-1107/18/2013
210-20-15-3AmendedAccounting Standards Update No. 2012-0410/01/2012
210-20-45-11AmendedAccounting Standards Update No. 2014-0603/14/2014
210-20-50-1 through 50-5
AmendedAccounting Standards Update No. 2025-1112/08/2025
210-20-50-1AmendedAccounting Standards Update No. 2014-0603/14/2014
210-20-50-1AmendedAccounting Standards Update No. 2013-0101/31/2013
210-20-50-1 through 50-6
AddedAccounting Standards Update No. 2011-1112/16/2011
210-20-50-2AmendedAccounting Standards Update No. 2013-0101/31/2013
210-20-55-1 through 55-22
AddedAccounting Standards Update No. 2011-1112/16/2011
210-20-55-2 through 55-5SupersededAccounting Standards Update No. 2013-0101/31/2013
210-20-55-7AmendedAccounting Standards Update No. 2013-0101/31/2013
210-20-55-10AAddedAccounting Standards Update No. 2013-0101/31/2013
210-20-55-18AAddedAccounting Standards Update No. 2012-0410/01/2012
210-20-55-20 through 55-22
AmendedAccounting Standards Update No. 2013-0101/31/2013
210-20-55-22AmendedAccounting Standards Update No. 2016-1912/14/2016
210-20-60-3AmendedAccounting Standards Update No. 2013-1107/18/2013
210-20-60-3AAddedAccounting Standards Update No. 2012-0410/01/2012
210-20-60-4AmendedAccounting Standards Update No. 2016-0202/25/2016
210-20-60-7AmendedMaintenance Update 2017-21 (PDF)12/22/2017
210-20-65-1AmendedAccounting Standards Update No. 2013-0101/31/2013
210-20-65-1AddedAccounting Standards Update No. 2011-1112/16/2011
210-20-65-2AddedAccounting Standards Update No. 2013-0101/31/2013
Source downloaded (UTC): 2026-09-09T22:59:07.769Z to 2026-09-09T22:59:07.769Z Record version: sha256:17bb9a2f7cc61f1491633d970d82cd646f81fd0de5e9624d509d9c27d7c97047 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-05: 05 Overview and Background [Read section](https://asc.understandingaccounting.org/asc/210/20/#05-overview-and-background) SEC content: no ##### [210-20-05-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-05-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:07.769Z to 2026-09-09T22:59:07.769Z Record version: sha256:476031241c53429e52790ccdef97609c4c4532309718ea2f8ea786149e455adb Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Subtopic provides criteria for offsetting amounts related to certain contracts and provides guidance on presentation. It is a general principle of accounting that the offsetting of assets and liabilities in the balance sheet is improper except if a [right of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") exists. ##### [210-20-05-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-05-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:07.769Z to 2026-09-09T22:59:07.769Z Record version: sha256:ecc4ed7ace5664ae6b2c730a9eae540942c4be6a6b912c66d2decedac35c7f24 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The general principle that the offsetting of assets and liabilities is improper except where a right of setoff exists is usually thought of in the context of unconditional receivables from and payables to another party. That general principle also applies to conditional amounts recognized for contracts under which the amounts to be received or paid or items to be exchanged in the future depend on future interest rates, future exchange rates, future commodity prices, or other factors. #### Repurchase and Reverse Repurchase Agreements ##### [210-20-05-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-05-3) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:07.769Z to 2026-09-09T22:59:07.769Z Record version: sha256:fe911d4a99f275c15c92c28c1e5fe80df2b90fae84c22256e96bc04471019ee5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. As defined, [repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A repurchase agreement (repo) refers to a transaction in which a seller-borrower of securities sells those securities to a buyer-lender with an agreement to repurchase them at a stated price plus interest at a specified date or in specified circumstances. A repurchase agreement accounted for as a collateralized borrowing is a repo that does not qualify for sale accounting under Topic 860. The payable under a repurchase agreement accounted for as a collateralized borrowing refers to the amount of the seller-borrower's obligation recognized for the future repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a reverse repo.") and [reverse repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#reverse-repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A reverse repurchase agreement accounted for as a collateralized borrowing (also known as a reverse repo) refers to a transaction that is accounted for as a collateralized lending in which a buyer-lender buys securities with an agreement to resell them to the seller-borrower at a stated price plus interest at a specified date or in specified circumstances. The receivable under a reverse repurchase agreement accounted for as a collateralized borrowing refers to the amount due from the seller-borrower for the repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a repo.") represent collateralized borrowing and lending transactions. These transactions may involve a master netting agreement between the parties. This Subtopic addresses offsetting for such borrowing and lending transactions. Source downloaded (UTC): 2026-09-09T22:59:11.191Z to 2026-09-09T22:59:11.191Z Record version: sha256:80eb74e3a5d171d43176472f5b5a692ac7d68a0aa586bca39d7d622880371a70 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-15: 15 Scope and Scope Exceptions [Read section](https://asc.understandingaccounting.org/asc/210/20/#15-scope-and-scope-exceptions) SEC content: no #### Entities ##### [210-20-15-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-15-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:11.191Z to 2026-09-09T22:59:11.191Z Record version: sha256:777124d74774d0576f390bd7bb7cd86fe68a06986162f8659e243e489c5a138d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic applies to all entities. #### Transactions ##### [210-20-15-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-15-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:11.191Z to 2026-09-09T22:59:11.191Z Record version: sha256:a753e4ed059b5170ab90e8e69725cdd71b7ba1e66ef49c53d8c9aaaf834b0e67 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Subtopic does not apply to the following types of transactions and contract arrangements: 1. a The derecognition or nonrecognition of assets and liabilities. Derecognition by sale of an asset or extinguishment of a liability results in removal of a recognized asset or liability and generally results in the recognition of gain or loss. Although conceptually different, offsetting that results in a net amount of zero and derecognition with no gain or loss are indistinguishable in their effects on the statement of financial position. Likewise, not recognizing assets and liabilities of the same amount in financial statements achieves similar reported results. #### Other Considerations ##### [210-20-15-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-15-3) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:11.191Z to 2026-09-09T22:59:11.191Z Record version: sha256:cc3c7878629ed801eb2357dd5b708bc3f84218e4632fcdde713a913205d202e6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The general principle of a [right of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") involves only two parties, and exceptions to that general principle shall be limited to practices specifically permitted by the Subtopics listed in this paragraph. Various accounting Subtopics specify accounting treatments in circumstances that result in offsetting or in a presentation in a statement of financial position that is similar to the effect of offsetting. The guidance in this Subtopic does not modify the accounting treatment in the particular circumstances prescribed by any of the following Subtopics: 1. a Subtopic 842-50 ([leveraged leases](https://asc.understandingaccounting.org/glossary/l/#leveraged-lease "From the perspective of a lessor, a lease that was classified as a leveraged lease in accordance with the leases guidance in effect before the effective date and for which the commencement date is before the effective date.")) 2. b Subtopic 715-30 (accounting for pension plan assets and liabilities) 3. c Subtopic 715-60 (accounting for plan assets and liabilities) 4. d Subtopic 740-10 (net tax asset or liability amounts reported) 5. dd Paragraphs [815-10-45-1 through 45-7](https://asc.understandingaccounting.org/asc/815/10/#815-10-45-1) (derivative instruments with the right to reclaim cash collateral or the obligation to return cash collateral) 6. e Subtopics 940-320 (trade date accounting for trading portfolio positions) and 910-405 (advances received on construction contracts) 7. f Paragraph [942-210-45-3A](https://asc.understandingaccounting.org/asc/210/942/#210-942-45-3A) (reciprocal balances with other banks). Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:1004ee2ebd5591b78d929f65859a5b5addb2f4a4ec700fe88c290c34e93b6414 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/210/20/#45-other-presentation-matters) SEC content: no #### Right of Setoff Conditions ##### [210-20-45-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:51c04d62d1183753669b877b657f2dc591104cec86a3b5a1ce440eab2e495d97 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A [right of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") exists when all of the following conditions are met: 1. a Each of two parties owes the other determinable amounts. 2. b The reporting party has the right to set off the amount owed with the amount owed by the other party. 3. c The reporting party intends to set off. 4. d The right of setoff is enforceable at law. ##### [210-20-45-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:b8ea9b7d742df1161ad41669877b58f3adfe618c24617e8e6ab8074be016834e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A debtor having a valid right of setoff may offset the related asset and liability and report the net amount. ##### [210-20-45-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-3) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:92f3e9006c9a6e5058b7efa34c563e006293b4817dacd8ad01033b8dfe6e240c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If the parties meet the criteria specified in paragraph [210-20-45-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-1), specifying currency or interest rate requirements is unnecessary. However, if maturities differ, only the party with the nearer maturity could offset because the party with the longer term maturity must settle in the manner that the other party selects at the earlier maturity date. ##### [210-20-45-4](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-4) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:c66bf3fb4fb33227166e58a17e37f713cf258b228b74b55bd239b0545dca98f2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If a party does not intend to set off even though the ability to set off exists, an offsetting presentation in the statement of financial position is not representationally faithful. ##### [210-20-45-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-5) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:823b94ec700c476f959e196597c5d6dddb8162917bfe6974f0267ee4a3be6f82 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Acknowledgment of the intent to set off by the reporting party and, if applicable, demonstration of the execution of the setoff in similar situations meet the criterion of intent. #### Offsetting Securities Against Taxes Payable ##### [210-20-45-6](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-6) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:d62307c22f6ca48195674fc96a7d8f9a51d8c506664bc52d03e1536000786d98 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The offset of cash or other assets against the tax liability or other amounts owing to governmental bodies shall not be acceptable except in the circumstances described in the following paragraph. ##### [210-20-45-7](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-7) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:35cf3cace830952b7e080c563d7afe9e3cbae603d61dbef4728219a60d9e689d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Most securities issued by governments are not by their terms designed specifically for the payment of taxes and, accordingly, shall not be deducted from taxes payable on the balance sheet. The only exception to this general principle occurs when it is clear that a purchase of securities (acceptable for the payment of taxes) is in substance an advance payment of taxes that will be payable in the relatively near future, so that in the special circumstances the purchase is tantamount to the prepayment of taxes. This occurs at times, for example, as an accommodation to a local government and in some instances when governments issue securities that are specifically designated as being acceptable for the payment of taxes of those governments. #### Assurance that Right of Setoff Is Enforceable in a Bankruptcy ##### [210-20-45-8](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-8) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:c9764f477d492c94dc989d2f90899933d886905427fdaccb6e4599e2f19afd83 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. State laws about the right of setoff may provide results different from those normally provided by contract or as a matter of common law. Similarly, the U.S. Bankruptcy Code imposes restrictions on or prohibitions against the [right of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") in bankruptcy under certain circumstances. Legal constraints should be considered to determine whether the right of setoff is enforceable. ##### [210-20-45-9](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-9) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:915b7d48f27937d20176887026d8ccf3ab0431d82ee54a9aac99d5761cd76a29 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The phrase _enforceable at law_ encompasses the idea that the right of setoff should be upheld in bankruptcy. The nature of support required for an assertion in financial statements that a right of setoff is enforceable at law is subject to a cost-benefit constraint and depends on facts and circumstances. All of the information that is available, either supporting or questioning enforceability, should be considered. Offsetting is appropriate only if the available evidence, both positive and negative, indicates that there is reasonable assurance that the right of setoff would be upheld in bankruptcy. ##### [210-20-45-10](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-10) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:515a0408fdb5d6c05299ffda2e877a2315478b4250f63dcf9b080f9c52d87973 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph not used](https://asc.understandingaccounting.org/updates/page-1833002/). #### Repurchase and Reverse Repurchase Agreements ##### [210-20-45-11](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-11) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:fde7031b5e375738dc4f91f28320518bacd7677dedaf6560cb139775ecfa169d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Notwithstanding the condition in paragraph [210-20-45-1(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-1), an entity may, but is not required to, offset amounts recognized as payables under [repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A repurchase agreement (repo) refers to a transaction in which a seller-borrower of securities sells those securities to a buyer-lender with an agreement to repurchase them at a stated price plus interest at a specified date or in specified circumstances. A repurchase agreement accounted for as a collateralized borrowing is a repo that does not qualify for sale accounting under Topic 860. The payable under a repurchase agreement accounted for as a collateralized borrowing refers to the amount of the seller-borrower's obligation recognized for the future repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a reverse repo.") and amounts recognized as receivables under [reverse repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#reverse-repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A reverse repurchase agreement accounted for as a collateralized borrowing (also known as a reverse repo) refers to a transaction that is accounted for as a collateralized lending in which a buyer-lender buys securities with an agreement to resell them to the seller-borrower at a stated price plus interest at a specified date or in specified circumstances. The receivable under a reverse repurchase agreement accounted for as a collateralized borrowing refers to the amount due from the seller-borrower for the repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a repo.") if all of the following conditions are met: 1. a The repurchase and reverse repurchase agreements are executed with the same counterparty. 2. b The repurchase and reverse repurchase agreements have the same explicit settlement date specified at the inception of the agreement. 3. c The repurchase and reverse repurchase agreements are executed in accordance with a master netting arrangement. 4. d The securities underlying the repurchase and reverse repurchase agreements exist in book entry form and can be transferred only by means of entries in the records of the transfer system operator or [securities custodian](https://asc.understandingaccounting.org/glossary/s/#securities-custodian "The securities custodian for a securities transfer system may be the bank or financial institution that executes securities transfers over the securities transfer system, and book entry securities exist only in electronic form on the records of the transfer system operator for each entity that has a security account with the transfer system operator."). Book entry securities meeting the criterion in this paragraph exist only as items in accounting records maintained by a transfer system operator. This requirement does not preclude offsetting of securities held in book entry form solely because other securities of the same issue exist in other forms. 5. e The repurchase and reverse repurchase agreements will be settled on a securities transfer system that operates in the manner described in paragraphs [210-20-45-14 through 45-17](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-14) , and the entity must have associated banking arrangements in place as described in those paragraphs. Cash settlements for securities transferred shall be made under established banking arrangements that provide that the entity will need available cash on deposit only for any net amounts that are due at the end of the business day. It must be probable that the associated banking arrangements will provide sufficient [daylight overdraft](https://asc.understandingaccounting.org/glossary/d/#daylight-overdraft "Daylight overdraft or other intraday credit refers to the accommodation in the banking arrangements that allows transactions to be completed even if there is insufficient cash on deposit during the day provided there is sufficient cash to cover the net cash requirement at the end of the day. That accommodation may be through a credit facility, including a credit facility for which a fee is charged, or from a deposit of collateral.") or other intraday credit at the settlement date for each of the parties. The term _probable_ is used in this Subtopic consistent with its use in paragraph [450-20-25-1](https://asc.understandingaccounting.org/asc/450/20/#450-20-25-1) to mean that a transaction or event is likely to occur. 6. f The entity intends to use the same account at the clearing bank or other financial institution at the settlement date in transacting both the cash inflows resulting from the settlement of the reverse repurchase agreement and the cash outflows in settlement of the offsetting repurchase agreement. ##### [210-20-45-12](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-12) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:460dec4690faf65d21e4057a0a83daafb95a4b8c559fb502de80d79375cee785 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The entity's choice to offset or not shall be applied consistently. Net receivables resulting from the application of this Subtopic shall not be offset against net payables resulting from the application of this Subtopic in the statement of financial position. ##### [210-20-45-13](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-13) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:cd0a6bd30c512615102f18a45100806a0bd0b0e66ea766be16855e2ae05e0ddb Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [210-20-45-11](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-11) does not apply to amounts recognized for other types of repurchase and reverse repurchase agreements executed under a master netting arrangement; however, those amounts could otherwise meet the conditions of paragraph [210-20-45-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-1) for a right of setoff. Therefore, unless all conditions in that paragraph are met, the amount recognized under a repurchase agreement that does not settle in accordance with all the conditions of paragraphs [210-20-45-11 through 45-17](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-11) may not be offset against the amount recognized under a reverse repurchase agreement merely because the agreements are executed with the same counterparty under a master netting arrangement. The gross unconditional receivables and payables recognized in the statement of financial position related to those types of repurchase and reverse repurchase agreements provide useful information about the timing and amount of future cash flows that would be lost if those amounts were offset. #### Securities Transfer System ##### [210-20-45-14](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-14) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:482d7f2f5bec4002797fd72e554697e150ae3a5dc1dd05388764a4fb807ad87f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This guidance describes a securities transfer system for repurchase agreements and reverse repurchase agreements (and associated banking arrangements) that meets the requirements of paragraph [210-20-45-11](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-11). In a securities transfer system for repurchase agreements and reverse repurchase agreements that meets the requirements of that paragraph, cash transfers are initiated by notification from the owner of record of the securities to its securities custodian to transfer those securities to the counterparty to the agreement. The securities custodian for a securities transfer system may be the bank or financial institution that executes securities transfers over the securities transfer system, and book entry securities exist only in electronic form on the records of the transfer system operator for each entity that has a security account with the transfer system operator. Book entry securities exist only as items of account on the controlling records of the transfer system operator. Banks or other financial institutions may maintain subsidiary records of book entry securities. Book entry securities may be transferred on the subsidiary records of a bank or financial institution but, for entities that have a security account with the transfer system operator, may be transferred from the account of such an entity only through the transfer system operator. ##### [210-20-45-15](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-15) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:6fb691a9356f13e56bb4f0e7e4ad49260c8835bb4a63da2d6ad4d47898ec948e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Under associated banking arrangements, each party to a same-day settlement of both a repurchase agreement and a reverse repurchase agreement would be obligated to pay a gross amount of cash for the securities transferred from its counterparty but would be able to reduce that gross obligation by notifying its securities custodian to transfer other securities to that counterparty the same day. ##### [210-20-45-16](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-16) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:6b65860e5d253a52ba409d3c7271fce36d08a06202578d8093460da6ea139a5b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Thus, each party is responsible for maintaining available cash on deposit only for the amount of any net payable unless it fails to instruct its securities custodian to transfer securities to its counterparty. Failure by either party to instruct its securities custodian to transfer securities owned of record would result in that party's failing to receive cash from the counterparty and, thereby, would require that party to have available cash on deposit for the gross payable due for securities transferred to it. The failure also shall be an event of default under the master netting arrangement required by paragraph [210-20-45-11](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-11). The event of default, in turn, shall entitle the other party to terminate the arrangement and demand the immediate net settlement of all contracts. ##### [210-20-45-17](https://asc.understandingaccounting.org/asc/210/20/#210-20-45-17) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:16.403Z to 2026-09-09T22:59:16.403Z Record version: sha256:7bdc35af503d73f46ffc03ed92e89fb33beafb12c4255c364f0dbc1b18e4c5b7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If both parties transfer the appropriate securities in settlement of the repurchase and reverse repurchase agreements, the party with a net receivable will not need any cash to facilitate the settlement, while the party with a net payable will need only to have available the required net amount due at the end of the business day. Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:dc5415a4bd3a8ce28aae3784b76989e02c2f09ac4fa76b98125ba13e333a6b86 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-50: 50 Disclosure [Read section](https://asc.understandingaccounting.org/asc/210/20/#50-disclosure) SEC content: no #### Offsetting of Derivatives, Repurchase Agreements, and Securities Lending Transactions ##### [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) Pending content: yes Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:46467fd1d76c4fdd5689d6d132b8af952267426dbd10e9cc172a26efa2ee88f4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The disclosure requirements in paragraphs [210-20-50-2 through 50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2) apply to both of the following: 1. a [Subparagraph superseded by Accounting Standards Update No. 2013-01](https://asc.understandingaccounting.org/updates/asu-2013-01/). 2. b [Subparagraph superseded by Accounting Standards Update No. 2013-01](https://asc.understandingaccounting.org/updates/asu-2013-01/). 3. c Recognized [derivative instruments](https://asc.understandingaccounting.org/glossary/d/#derivative-instrument "Paragraphs 815-10-15-83815-10-15-84815-10-15-85815-10-15-86815-10-15-87815-10-15-88815-10-15-89815-10-15-90815-10-15-91815-10-15-92815-10-15-93815-10-15-94815-10-15-95815-10-15-96815-10-15-97815-10-15-98815-10-15-99815-10-15-100815-10-15-101815-10-15-102815-10-15-103815-10-15-104815-10-15-105815-10-15-106815-10-15-107815-10-15-108815-10-15-109815-10-15-110815-10-15-111815-10-15-112815-10-15-113815-10-15-114815-10-15-115815-10-15-116815-10-15-117815-10-15-118815-10-15-119815-10-15-120815-10-15-121815-10-15-122815-10-15-123815-10-15-124815-10-15-125815-10-15-126815-10-15-127815-10-15-128815-10-15-129815-10-15-130815-10-15-131815-10-15-132815-10-15-133815-10-15-134815-10-15-135815-10-15-136815-10-15-137815-10-15-138815-10-15-139 define the term derivative instrument.") accounted for in accordance with Topic 815, including bifurcated embedded derivatives, [repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A repurchase agreement (repo) refers to a transaction in which a seller-borrower of securities sells those securities to a buyer-lender with an agreement to repurchase them at a stated price plus interest at a specified date or in specified circumstances. A repurchase agreement accounted for as a collateralized borrowing is a repo that does not qualify for sale accounting under Topic 860. The payable under a repurchase agreement accounted for as a collateralized borrowing refers to the amount of the seller-borrower's obligation recognized for the future repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a reverse repo.") and reverse repurchase agreements, and securities borrowing and securities lending transactions that are offset in accordance with either Section 210-20-45 or Section 815-10-45 4. d Recognized derivative instruments accounted for in accordance with Topic 815, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset in accordance with either Section 210-20-45 or Section 815-10-45. Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)The disclosure requirements in paragraphs [210-20-50-2 through 50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2) apply to both of the following in interim and annual reporting periods: 1. a [Subparagraph superseded by Accounting Standards Update No. 2013-01](https://asc.understandingaccounting.org/updates/asu-2013-01/). 2. b [Subparagraph superseded by Accounting Standards Update No. 2013-01](https://asc.understandingaccounting.org/updates/asu-2013-01/). 3. c Recognized [derivative instruments](https://asc.understandingaccounting.org/glossary/d/#derivative-instrument "Paragraphs 815-10-15-83815-10-15-84815-10-15-85815-10-15-86815-10-15-87815-10-15-88815-10-15-89815-10-15-90815-10-15-91815-10-15-92815-10-15-93815-10-15-94815-10-15-95815-10-15-96815-10-15-97815-10-15-98815-10-15-99815-10-15-100815-10-15-101815-10-15-102815-10-15-103815-10-15-104815-10-15-105815-10-15-106815-10-15-107815-10-15-108815-10-15-109815-10-15-110815-10-15-111815-10-15-112815-10-15-113815-10-15-114815-10-15-115815-10-15-116815-10-15-117815-10-15-118815-10-15-119815-10-15-120815-10-15-121815-10-15-122815-10-15-123815-10-15-124815-10-15-125815-10-15-126815-10-15-127815-10-15-128815-10-15-129815-10-15-130815-10-15-131815-10-15-132815-10-15-133815-10-15-134815-10-15-135815-10-15-136815-10-15-137815-10-15-138815-10-15-139 define the term derivative instrument.") accounted for in accordance with Topic 815, including bifurcated embedded derivatives, [repurchase agreements accounted for as collateralized borrowings](https://asc.understandingaccounting.org/glossary/r/#repurchase-agreement-accounted-for-as-a-collateralized-borrowing "A repurchase agreement (repo) refers to a transaction in which a seller-borrower of securities sells those securities to a buyer-lender with an agreement to repurchase them at a stated price plus interest at a specified date or in specified circumstances. A repurchase agreement accounted for as a collateralized borrowing is a repo that does not qualify for sale accounting under Topic 860. The payable under a repurchase agreement accounted for as a collateralized borrowing refers to the amount of the seller-borrower's obligation recognized for the future repurchase of the securities from the buyer-lender. In certain industries, the terminology is reversed; that is, entities in those industries refer to this type of agreement as a reverse repo.") and reverse repurchase agreements, and securities borrowing and securities lending transactions that are offset in accordance with either Section 210-20-45 or Section 815-10-45 4. d Recognized derivative instruments accounted for in accordance with Topic 815, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are subject to an enforceable master netting arrangement or similar agreement, irrespective of whether they are offset in accordance with either Section 210-20-45 or Section 815-10-45. ##### [210-20-50-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2) Pending content: yes Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:ec496821d0561ee9ba0c7ed5f56b530df1503c1d680ac3788031c530203d309a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall disclose information to enable users of its financial statements to evaluate the effect or potential effect of netting arrangements on its financial position for recognized assets and liabilities within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). This includes the effect or potential effect of [rights of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") associated with an entity's recognized assets and recognized liabilities that are in the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)For interim and annual reporting periods, an entity shall disclose information to enable users of its financial statements to evaluate the effect or potential effect of netting arrangements on its financial position for recognized assets and liabilities within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). This includes the effect or potential effect of [rights of setoff](https://asc.understandingaccounting.org/glossary/r/#right-of-setoff "A right of setoff is a debtor's legal right, by contract or otherwise, to discharge all or a portion of the debt owed to another party by applying against the debt an amount that the other party owes to the debtor.") associated with an entity's recognized assets and recognized liabilities that are in the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). ##### [210-20-50-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) Pending content: yes Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:09871367a3d0877e0590a13d4200f8ec7aee3b3b42e113e5fa98d2f5840aa7cd Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. To meet the objective in paragraph [210-20-50-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2), an entity shall disclose at the end of the reporting period the following quantitative information separately for assets and liabilities that are within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1): 1. a The gross amounts of those recognized assets and those recognized liabilities 2. b The amounts offset in accordance with the guidance in Sections 210-20-45 and 815-10-45 to determine the net amounts presented in the statement of financial position 3. c The net amounts presented in the statement of financial position 4. d The amounts subject to an enforceable master netting arrangement or similar agreement not otherwise included in (b): 1. 1 The amounts related to recognized financial instruments and other derivative instruments that either: 1. i Management makes an accounting policy election not to offset. 2. ii Do not meet some or all of the guidance in either Section 210-20-45 or Section 815-10-45. 2. 2 The amounts related to financial collateral (including cash collateral). 5. e The net amount after deducting the amounts in (d) from the amounts in (c). Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)To meet the objective in paragraph [210-20-50-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2), an entity shall disclose at the end of interim and annual reporting periods the following quantitative information separately for assets and liabilities that are within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1): 1. a The gross amounts of those recognized assets and those recognized liabilities 2. b The amounts offset in accordance with the guidance in Sections 210-20-45 and 815-10-45 to determine the net amounts presented in the statement of financial position 3. c The net amounts presented in the statement of financial position 4. d The amounts subject to an enforceable master netting arrangement or similar agreement not otherwise included in (b): 1. 1 The amounts related to recognized financial instruments and other derivative instruments that either: 1. i Management makes an accounting policy election not to offset. 2. ii Do not meet some or all of the guidance in either Section 210-20-45 or Section 815-10-45. 2. 2 The amounts related to financial collateral (including cash collateral). 5. e The net amount after deducting the amounts in (d) from the amounts in (c). ##### [210-20-50-4](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-4) Pending content: yes Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:3531349a779a35d6697c290bc7f919dd1e0bcb6e0f86017cf86cf8c8c72e305b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The information required by paragraph [210-20-50-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) shall be presented in a tabular format, separately for assets and liabilities, unless another format is more appropriate. The total amount disclosed in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) for an instrument shall not exceed the amount disclosed in accordance with paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) for that instrument. Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)For interim and annual reporting periods, the information required by paragraph [210-20-50-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) shall be presented in a tabular format, separately for assets and liabilities, unless another format is more appropriate. The total amount disclosed in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) for an instrument shall not exceed the amount disclosed in accordance with paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) for that instrument. ##### [210-20-50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-5) Pending content: yes Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:55e1240608fda7ef5684ffce237f4a083389e2d9e21af23cfece7afd0a4f32e1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall provide a description of the rights of setoff associated with an entity's recognized assets and recognized liabilities subject to an enforceable master netting arrangement or similar agreement disclosed in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3), including the nature of those rights. Transition date:(P) December 16, 2027; (N) December 16, 2028Transition guidance: [270-10-65-1](https://asc.understandingaccounting.org/asc/270/10/#270-10-65-1)For interim and annual reporting periods, an entity shall provide a description of the rights of setoff associated with an entity's recognized assets and recognized liabilities subject to an enforceable master netting arrangement or similar agreement disclosed in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3), including the nature of those rights. ##### [210-20-50-6](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-6) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:19.272Z to 2026-09-09T22:59:19.272Z Record version: sha256:6682d184814168e7629cf2ddb352b50e39f120d79ebfa4ad74164a0c0d6046d4 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If the information required by paragraphs [210-20-50-1 through 50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) is disclosed in more than a single note to the financial statements, an entity shall cross-reference between those notes. Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:4f68777ea67e3c63a3f969427f66b5c4c3e044ba217340fdc2cc76af21099198 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-55: 55 Implementation Guidance and Illustrations [Read section](https://asc.understandingaccounting.org/asc/210/20/#55-implementation-guidance-and-illustrations) SEC content: no #### Implementation Guidance ##### [210-20-55-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:73a35e3bf703aaaeeac02ba2bf864d640e97937c7276738a50730d748143bf07 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This Section provides additional guidance and illustrations that address the application of the disclosures for derivative instruments and other financial instruments. ##### [210-20-55-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:f862fbfba0284f551346a928b18ac508c155ef4d4ec13c43927984142f5c2746 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraphs 210-20-55-2 through 55-5 superseded by Accounting Standards Update No. 2013-01](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-2). ##### [210-20-55-6](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-6) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:cc60b0b55a4bcd919ff0333f3a542d5f168d5057360fbb9c584eb82117bab42c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Instruments disclosed in accordance with paragraph [210-20-50-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) may be subject to different measurement attributes (for example, a payable related to a repurchase agreement may be measured at amortized cost, while a derivative will be measured at fair value). An entity should include instruments at their recognized amounts and describe any resulting measurement differences in the related disclosures. ##### [210-20-55-7](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-7) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:3030665f74fb492263cf2612d587e162c93b3af2a23a40ac27709788b995ac49 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The disclosures required by paragraph [210-20-50-3(a)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) relate solely to recognized assets and liabilities within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). ##### [210-20-55-8](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-8) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:7737ef908157d6733e11fb6642d47d1b276717b3c7866779a74d9bed74924780 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [210-20-50-3(b)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) requires that entities disclose the amounts offset in accordance with Sections 210-20-45 and 815-10-45 to determine the net amounts presented in the statement of financial position. The amounts of both the recognized assets and the recognized liabilities subject to setoff under the same arrangement will be disclosed in the respective tables; however, the amounts included in the tables are limited to the amount that is subject to setoff. For example, an entity may have a recognized derivative asset and recognized derivative liability that meet the offsetting guidance in Section 815-10-45. If the gross amount of the derivative asset is larger than the gross amount of the derivative liability, the asset disclosure table will include the entire amount of the derivative asset and the entire amount of the derivative liability. The liability disclosures table, however, will include the entire amount of the derivative liability, but it will only include the amount of the derivative asset equal to the amount of the derivative liability. ##### [210-20-55-9](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-9) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:7cc3e01134c8b39ffa3810f778c95623a24e238ca0f9e11e4a7e5ada2593f03b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If an entity has instruments that meet the scope of the disclosures but that do not meet the offsetting guidance in either Section 210-20-45 or Section 815-10-45 or that management does not elect to offset, the amounts required to be disclosed by paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) would equal the amounts required to be disclosed by paragraph [210-20-50-3(a)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3). ##### [210-20-55-10](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-10) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:4201117c5d8e17074f536c681d6683355724b3682b41322e11806084104cd1d5 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The amounts required by paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) must be reconciled to the individual line item amount(s) presented in the statement of financial position. For example, if an entity determines that the aggregation or disaggregation of individual financial statement line items provides more relevant information, it must reconcile the aggregated or disaggregated amounts disclosed in accordance with paragraph 210-20-50-3(c) to the statement of financial position. ##### [210-20-55-10A](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-10A) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:2a735ed28bbbe49bfe689d3f79bb8de2d6a33800cdf235ccd2d8c25bf15b189b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity also may elect to include all recognized derivatives accounted for in accordance with Topic 815, including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions in the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) to reconcile to the individual line-item amount(s) presented in the statement of financial position. For instruments not subject to an enforceable master netting arrangement or similar agreement, the amounts disclosed in accordance with paragraph [210-20-50-3(a)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) would equal the amounts disclosed for those instruments in accordance with both paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) and paragraph [210-20-50-3(e)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3). ##### [210-20-55-11](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-11) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:4753bbae6b2d99208529f385ab03281d19b5b3139de481bc310b0eb0ba45fb31 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) requires that entities disclose other amounts for instruments that are within the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) but are not included in paragraph [210-20-50-3(b)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3). These amounts include those that meet the guidance in either Section 210-20-45 or Section 815-10-45 to qualify for offsetting but management elects not to offset. ##### [210-20-55-12](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-12) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:463c56ea8fc7016db2374f95f05d6f53f4e39bb794cce0b8396f670837a8b5b6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity should also disclose the fair value amounts related to cash or financial instrument collateral received or pledged (see paragraph [210-20-50-3(d)(2)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3)). ##### [210-20-55-13](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-13) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:c9137742142053a26bc28a9d0dce9ae8a2ed2e6a1faeb96dded4b1526af1d29a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. When disclosing amounts in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3), an entity must take into account the effect of overcollateralization by instrument. To do so, an entity must first deduct the amounts disclosed in accordance with paragraph [210-20-50-3(d)(1)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) from the amount disclosed in accordance with paragraph [210-20-50-3(c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3). An entity should then limit the amounts disclosed in accordance with paragraph [210-20-50-3(d)(2)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) to the remaining amount for the related instrument. However, if rights to collateral can be enforced across financial instruments, such rights may be included in the disclosure provided in accordance with [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3). ##### [210-20-55-14](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-14) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:c4730cad7f45160a39c9c64ac1efe26ffb9407fe40dd9b459333c02f2b970d80 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity should describe the types of rights of setoff and similar agreements disclosed in accordance with paragraph [210-20-50-3(d)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3), including the nature of those rights. For example, for a conditional right of setoff, an entity should describe the related condition(s). For any financial collateral received or pledged, an entity should describe the terms of the collateral agreement (for example, when the collateral is restricted). ##### [210-20-55-15](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-15) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:f7e75704d135bfcb64bd0e18f28c4c8f9a0635b9f0ceca5eed772c2cf87fb5a6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The disclosures required by paragraph [210-20-50-3(a) through (e)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) may be grouped by type of instrument or transaction (for example, derivatives, repurchase and reverse agreements, and securities borrowing and lending agreements). ##### [210-20-55-16](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-16) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:f74fe4e917448d2698e249fa865288fb0daf86edf712a0e4312cf36e37df4b72 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Alternatively, an entity may group the information required by paragraph [210-20-50-3(a) through (c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by type of instrument and paragraph [210-20-50-3(c) through (e)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by counterparty. If an entity provides the required information by counterparty, the entity is not required to identify the counterparties by name. However, designation of the counterparties (Counterparty A, Counterparty B, Counterparty C, and so forth) should remain consistent from year to year to maintain comparability, and qualitative disclosures should be considered to give further information about the types of counterparties. When disclosure of the amounts in paragraph 210-20-50-3(c) through (e) is provided by counterparty, the amounts related to individually significant counterparties with respect to total counterparty amounts should be separately disclosed, and the remaining individually insignificant counterparties should be aggregated into one line item. ##### [210-20-55-17](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-17) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:a9f230870001ed1e56d6b3b3848878a9fac3d65df8ec0f30066a5e0adb6fcd7f Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The disclosures required by paragraphs [210-20-50-3 through 50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) are minimum requirements, and to meet the objective in paragraph [210-20-50-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-2) an entity may need to supplement the disclosures with additional (qualitative) disclosures depending on the terms of the enforceable master netting arrangements and related agreements, including the nature of the rights of setoff and their effect or potential effect on the entity's financial position. ##### [210-20-55-18](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-18) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:ad4937d32f8e6279fac86cd93364f76f3b9dec408df391617c2daecf6eb85ac7 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity should present the disclosures in a manner that clearly explains to users of its financial statements the nature of rights of setoff and related arrangements and their effect on the entity's assets and liabilities in the scope of paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) and its financial position. An entity should determine how much detail it must provide to satisfy the disclosure requirements. The entity must strike a balance between obscuring important information because of excessive aggregation and obscuring important information because of excessive detail that may not help users of financial statements to understand the entity's financial position. For example, an entity should not disclose information that is so aggregated that it obscures important differences between the different types of rights of setoff or related arrangements. ##### [210-20-55-18A](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-18A) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:84d9d0f60461c832ced16602393f546816b40a8a4073b2b6563df7adc3776b2a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Cash](https://asc.understandingaccounting.org/glossary/c/#cash "Consistent with common usage, cash includes not only currency on hand but demand deposits with banks or other financial institutions. Cash also includes other kinds of accounts that have the general characteristics of demand deposits in that the customer may deposit additional funds at any time and also effectively may withdraw funds at any time without prior notice or penalty. All charges and credits to those accounts are cash receipts or payments to both the entity owning the account and the bank holding it. For example, a bank's granting of a loan by crediting the proceeds to a customer's demand deposit account is a cash payment by the bank and a cash receipt of the customer when the entry is made.") on deposit at a financial institution shall be considered by the depositor as cash rather than as an amount owed to the depositor. #### Illustrations ##### [210-20-55-19](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-19) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:b4af92ad7baf7c8627f7ce64670ae4fc597913a52581ded45c35a7c3925cb3c1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following Examples illustrate ways to meet the quantitative disclosure requirements in paragraphs [210-20-50-1 through 50-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1) by type of financial instrument or other derivative instrument. ##### [210-20-55-20](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-20) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:3725ab8356b37257e6ce7e49d672f2402ec739ffe89555b00a52256445436f1b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In this Example, the reporting entity has entered into transactions subject to an enforceable master netting arrangement or other similar agreement with the following counterparties. The reporting entity has the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements in paragraph [210-20-50-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-1). This Example has the following assumptions. 1. a Counterparty A: 1. 1 The reporting entity has a derivative asset (fair value of $100 million) and a derivative liability (fair value of $80 million) with Counterparty A. Assume that the entity qualifies for and makes an accounting policy election to offset in accordance with Section 815-10-45. Cash collateral also has been received from Counterparty A for a portion of the net derivative asset ($10 million). The derivative liability and the cash collateral received are set off against the derivative asset in the statement of financial position, resulting in the presentation of a net derivative asset of $10 million. 2. b Counterparty B: 1. 1 The reporting entity had entered into a sale and repurchase agreement with Counterparty B that is accounted for as a collateralized borrowing. The carrying value of the financial asset (bonds) used as collateral and held by the reporting entity for the transaction is $79 million, and their fair value is $85 million. The carrying value of the collateralized borrowing (repo payable) is $80 million. 2. 2 The reporting entity also has entered into a reverse sale and repurchase agreement with Counterparty B that is accounted for as a collateralized lending. The fair value of the asset (bonds) received as collateral (and not recognized in the statement of financial position) is $105 million. The carrying value of the secured lending (reverse repo receivable) is $90 million. 3. 3 Assume that the transactions are not offset. - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-1D6F015A-6EA5-4AF3-9C90-BBBCC902EC76-low.gif) Application of Paragraph 210-20-50-3(a)-(e) Offsetting of Financial Assets and Derivative Assets $ million "As of December 31, 20XX " (i) (ii) (iii) = (i) - (ii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount Description Derivatives $100 $(90) $10 $ - $ - $10 "Reverse repurchase, securities borrowing, and similar arrangements " 90 - 90 (90) - - Total $190 $(90) $100 $(90) $ - $10 - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-E5CB3ACD-3777-467A-ADC1-7A853C28F271-low.gif) Offsetting of Financial Liabilities and Derivative Liabilities $ million "As of December 31, 20XX " (i) (ii) (iii) = (i) - (ii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position "Net Amounts of Liabilities Presented in the Statement of Financial Position" Financial Instruments Cash Collateral Pledged Net Amount Description Derivatives $80 $(80) $ - $ - $ - $- "Repurchase, securities lending, and similar arrangements" 80 - 80 (80) - - Total $160 $(80) $80 $(80) $ - $- ##### [210-20-55-21](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-21) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:c17935a8241b83e2fd20bda3abaa488c11e01e7b651cc2e040d47355058a63ba Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table illustrates how an entity might provide the quantitative disclosure requirements in paragraph [210-20-50-3(a) through (c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by type of instrument and the information required in paragraph [210-20-50-3(c) through (e)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by counterparty. - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-D04B0301-07CC-4482-BC15-4063B91274CD-low.gif) Application of Paragraph 210-20-50-3(a)-(c) by Instrument and Paragraph 210-20-50-3(c)-(e) by Counterparty Offsetting of Financial Liabilities and Derivative Liabilities $ million "As of December 31, 20XX" (i) (ii) (iii) = (i) - (ii) Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Description Derivatives $80 $(80) $ - "Repurchase, securities lending, and similar arrangements" 80 - 80 Total $160 $(80) $80 "Financial Liabilities, Derivative Liabilities, and Collateral Pledged by Counterparty " $ million "As of December 31, 20XX" (iii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Financial Instruments "Cash Collateral Pledged" Net Amount Counterparty A $ - $ - $ - $ - Counterparty B 80 (80) - - Other Total $80 $(80) $ - $ - - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-C9025F70-4A96-4741-8746-E62AAA4EA762-low.gif) Application of Paragraph 210-20-50-3(a)-(c) by Instrument and Paragraph 210-20-50-3(c)-(e) by Counterparty Offsetting of Financial Assets and Derivative Assets $ million "As of December 31, 20XX" (i) (ii) (iii) = (i) - (ii) Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Description Derivatives $100 $(90) $10 "Reverse repurchase, securities borrowing, and similar arrangements" 90 - 90 Total $190 $(90) $100 "Financial Assets, Derivative Assets, and Collateral Held by Counterparty " $ million "As of December 31, 20XX" (iii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Net Amount of Assets in the Statement of Financial Position Financial Instruments "Cash Collateral Received" Net Amount Counterparty A $10 $ - $ - $10 Counterparty B 90 (90) - - Other Total $100 $(90) $ - $10 ##### [210-20-55-22](https://asc.understandingaccounting.org/asc/210/20/#210-20-55-22) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:22.298Z to 2026-09-09T22:59:22.298Z Record version: sha256:3daa210f0d29d184c4b967723f33ad90f7c2e33aa6a487635bc0e1bb4e12b70b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The following table illustrates how a sophisticated entity that engages in significant derivative activity might provide the quantitative disclosure requirements in paragraph [210-20-50-3(a) through (c)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by type of instrument and paragraph [210-20-50-3(c) through (e)](https://asc.understandingaccounting.org/asc/210/20/#210-20-50-3) by type of counterparty. In this Example, the entity further disaggregates the derivative line item by type of contract as discussed in paragraph [815-10-50-4D](https://asc.understandingaccounting.org/asc/815/10/#815-10-50-4D), with further disaggregation based on how the derivative is transacted. - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-8FCDA683-547D-46C6-AC0A-2A31731796DE-low.gif) Application of Paragraph 210-20-50-3(a)-(c) by Instrument and Paragraph 210-20-50-3(c)-(e) by Counterparty Offsetting of Financial Assets and Derivative Assets $ million "As of December 31, 20XX" (i) (ii) (iii) = (i) - (ii) Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position Description Derivatives Interest rate contracts Over the counter " $XX,XXX " " $XX,XXX " " $XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Foreign exchange contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Equity contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Commodity contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Credit contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Other contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " "Total derivatives, subject to a master netting arrangement or similar arrangement" " XX,XXX " " XX,XXX " " XX,XXX " "Total derivatives, not subject to a master netting arrangement or similar arrangement" " XX,XXX " " XX,XXX " " XX,XXX " Total derivatives " XX,XXX " " XX,XXX " " XX,XXX " "Reverse repurchase, securities borrowing, and similar arrangements " " XX,XXX " " XX,XXX " " XX,XXX " Other financial instruments " XX,XXX " " XX,XXX " " XX,XXX " Total " $XX,XXX " " $XX,XXX " " $XX,XXX " - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-3E6D87D7-C983-4469-B9A4-9A5A6B62AC6B-low.gif) "Financial Assets, Derivative Assets, and Collateral Held by Counterparty " $ million "As of December 31, 20XX" (iii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Net Amount of Assets in the Statement of Financial Position "Financial Instruments" Cash Collateral Received Net Amount Counterparty A "$XX,XXX" "$XX,XXX" "$XX,XXX" "$XX,XXX" Counterparty B "XX,XXX" "XX,XXX" "XX,XXX" "XX,XXX" Other "XX,XXX" "XX,XXX" "XX,XXX" "XX,XXX" Total "$XX,XXX" "$XX,XXX" "$XX,XXX" "$XX,XXX" - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-1A8B1587-24C2-435A-AC26-4F3EBAA3FB05-low.gif) Application of Paragraph 210-20-50-3(a)-(c) by Instrument and Paragraph 210-20-50-3(c)-(e) by Counterparty Offsetting of Financial Liabilities and Derivative Liabilities $ million "As of December 31, 20XX" (i) (ii) (iii) = (i) - (ii) Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position Description Derivatives Interest rate contracts Over the counter " $XX,XXX " " $XX,XXX " " $XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Foreign exchange contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Equity contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Commodity contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Credit contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " Other contracts Over the counter " XX,XXX " " XX,XXX " " XX,XXX " Exchange traded " XX,XXX " " XX,XXX " " XX,XXX " Exchange cleared " XX,XXX " " XX,XXX " " XX,XXX " "Total derivatives, subject to a master netting arrangement or similar arrangement" " XX,XXX " " XX,XXX " " XX,XXX " "Total derivatives, not subject to a master netting arrangement or similar arrangement" " XX,XXX " " XX,XXX " " XX,XXX " Total derivatives " XX,XXX " " XX,XXX " " XX,XXX " "Reverse repurchase, securities borrowing, and similar arrangements " " XX,XXX " " XX,XXX " " XX,XXX " Total " $XX,XXX " " $XX,XXX " " $XX,XXX " - ![ ](https://asc.understandingaccounting.org/asc-img/GUID-312F69E7-0B4F-4BBF-9480-C6F2C1050A80-low.gif) "Financial Liabilities, Derivative Liabilities, and Collateral Held by Counterparty " $ million "As of December 31, 20XX" (iii) (iv) (v) = (iii) - (iv) Gross Amounts Not Offset in the Statement of Financial Position Net Amount of Liabilities in the Statement of Financial Position "Financial Instruments" Cash Collateral Pledged Net Amount Counterparty A " $XX,XXX " " $XX,XXX " " $XX,XXX " " $XX,XXX " Counterparty B " XX,XXX " " XX,XXX " " XX,XXX " " XX,XXX " Other " XX,XXX " " XX,XXX " " XX,XXX " " XX,XXX " Total " $XX,XXX " " $XX,XXX " " $XX,XXX " " $XX,XXX " Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:2f3b084ee95466f457b40e062429b8bb6b610e9dfde7ed5fa9be53857c7bec33 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-60: 60 Relationships [Read section](https://asc.understandingaccounting.org/asc/210/20/#60-relationships) SEC content: no #### Compensation—Retirement Benefits ##### [210-20-60-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:d82e5048f455f57f897e3449dc6ba247c91303687db1e0d30966e39158c0d2ad Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on accounting for pension plan assets and liabilities, see Subtopic 715-30. ##### [210-20-60-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:173e23751566ff7c482c0199cdc992242fd05e0d99e9d4c51ff6ac3e3315cec2 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on accounting for plan assets and liabilities, see Subtopic 715-60. #### Income Taxes ##### [210-20-60-3](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-3) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:e5b3c0f9bfa4ab96900f76554d31b3fdb620dcb4592100630cee5512ae652acd Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on amounts reported for net tax assets or liabilities, see Subtopic 740-10. #### Derivatives and Hedging ##### [210-20-60-3A](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-3A) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:938692d387321f47cb1eacd93768af2ccde1e8490bdc2e5157f13b63782cf984 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on derivative instruments with the right to reclaim cash collateral or the obligation to return cash collateral, see paragraphs [815-10-45-1 through 45-7](https://asc.understandingaccounting.org/asc/815/10/#815-10-45-1) . #### Leases ##### [210-20-60-4](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-4) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:9b09d5a13e43049689d2c49672ff72a6ca212d0ec4e2a0b68ccc4e40cb2f0c0b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on [leveraged leases](https://asc.understandingaccounting.org/glossary/l/#leveraged-lease "From the perspective of a lessor, a lease that was classified as a leveraged lease in accordance with the leases guidance in effect before the effective date and for which the commencement date is before the effective date."), see Section 842-50-35. #### Contractors—Federal Government ##### [210-20-60-5](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-5) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:090eba40f092c97f303e3a09b16b6bea0a354c5370f7143c28b586525821a566 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on advances received on construction contracts, see Subtopic 910-405. #### Financial Services—Brokers and Dealers ##### [210-20-60-6](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-6) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:07d7fdb94d95c25fca81e32c03c2475340ad4891206414304fc09b9ba2ff229b Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on trade date accounting for trading portfolio positions, see Subtopic 940-320. #### Financial Services—Depository and Lending ##### [210-20-60-7](https://asc.understandingaccounting.org/asc/210/20/#210-20-60-7) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:25.011Z to 2026-09-09T22:59:25.011Z Record version: sha256:08562c30734102d2305c4b6a0241029342e3c0ee92124da666ba42bd01536461 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For guidance on reciprocal balances with other banks, see paragraph [942-210-45-3A](https://asc.understandingaccounting.org/asc/210/942/#210-942-45-3A). Source downloaded (UTC): 2026-09-09T22:59:28.992Z to 2026-09-09T22:59:28.992Z Record version: sha256:e150d3306f6cebd8708bf13a87b0a2560bb3b5d5a799296f92cfb2caf6f89121 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 210-20-65: 65 Transition and Open Effective Date Information [Read section](https://asc.understandingaccounting.org/asc/210/20/#65-transition-and-open-effective-date-information) SEC content: no ##### [210-20-65-1](https://asc.understandingaccounting.org/asc/210/20/#210-20-65-1) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:28.992Z to 2026-09-09T22:59:28.992Z Record version: sha256:c84ff78a2b68a10d1747ad3ed4179d18db111353defaf1932f6840c0ba024616 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph superseded on 07/02/2014 after the end of the transition period stated in Accounting Standards Update No. 2011-11, _Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities_. ##### [210-20-65-2](https://asc.understandingaccounting.org/asc/210/20/#210-20-65-2) Pending content: no Source downloaded (UTC): 2026-09-09T22:59:28.992Z to 2026-09-09T22:59:28.992Z Record version: sha256:3be1f054b49878866edf8ac3842c038f7671b80bf76499401afecb701540018d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraph superseded on 07/02/2014 after the end of the transition period stated in Accounting Standards Update No. 2013-01, _Balance Sheet (Topic 210): Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities_.