What it is
ASC 606 sets one disclosure objective: users should understand the nature, amount, timing and uncertainty of revenue and cash flows from contracts with customers. Entities other than public business entities, conduit bond obligor not-for-profits and employee benefit plans filing with the SEC may elect a reduced set.
This checklist lists the disclosures by area (policies, disaggregation, contract balances, performance obligations, remaining obligations, judgments and costs) and marks the items that are optional for nonpublic entities. It is a prompt list and does not replace the Codification.
When to use it
- When preparing or reviewing the revenue note of a private company.
- To complete the revenue section of the disclosure checklist for an audit.
- When deciding whether to elect the reduced disclosures.
What’s inside
- Policies and the aggregation principle
- Disaggregation of revenue
- Contract balances and performance obligations
- Remaining performance obligations and judgments
- Costs to obtain or fulfill a contract
- Related disclosures: credit losses, concentrations, related parties
Standard cited
This template follows ASC 606 / ASC 340-40. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Which entities can use the reduced disclosures?
Entities other than public business entities, not-for-profit conduit bond obligors and employee benefit plans that furnish financial statements to the SEC. They may still choose to give any of the public entity disclosures.
What is the minimum disaggregation for a private company?
At minimum, revenue disaggregated by the timing of transfer of goods and services (point in time versus over time), plus qualitative information on how economic factors affect revenue.
Is this checklist complete?
No. It is a prompt list paraphrased from the standard, not a substitute for the Codification or a full commercial disclosure checklist. Check each item against the current ASC text and any ASUs issued since the date you last checked, and add industry-specific requirements.
Related templates
- Disclosure Checklist: Leases (ASC 842) and Revenue (ASC 606), Short Form
- GAAP Disclosure Checklist (Private Company, Short Form)
- Audit Program: Accounts Receivable and Revenue
Last updated 11/05/2026. All free templates.