Capitalization of Software Development costs in Jira
Robust reporting with a review workflow and flexible data export
Align financial reporting with best software development practices
Quantify gives Engineering and Finance a GAAP-compliant way to track software development costs in Jira — automatically classifying work as capitalizable or non-capitalizable, without the burden of manual time reporting, so CAPEX categorization holds up to audit.
Accounting for software costs
The software capitalization rules in GAAP vary for internal-use and for external-use software and apply different accounting treatment to the stages of the software development life cycle in a waterfall-style creating a disconnect between the Accounting and Agile software development practices.
| Stage | Example activities | Treatment |
|---|---|---|
| Research / Planning | Market research, requirements gathering, technology evaluation | EXPENSED |
| Development | Actual software development (coding, testing) | CAPITALIZED |
| Implementation / Post-launch | Training, customer service, bug fixing, promotion activities | EXPENSED |
Read the software capitalization guide for the full GAAP treatment by category and stage.
Capitalize development costs with Quantify
No manual work logging
Our intelligent time-capturing technology doesn't require manual work logging providing actuals that are more accurate than story points.
Scales with your Organization
With Quantify you can set up a process to scale reporting across multiple teams with flexible scope management.
Rapid work classification
Rapidly categorize capitalizable vs non-capitalizable work right in Jira, so Engineering and Finance agree on what counts as CAPEX — without slowing teams down.
Quantify has allowed us to achieve a scalable, data-driven solution for capex / opex. The team from Quantify has worked with us hand in hand on our onboarding needs and has allowed us to be part in creation of new features that have really helped us!
— Aaron M. - Director of Programs at REEF Technology
It would take me several days to just get data from Jira. With Quantify I have everything I need available within minutes.
— Patrick K. - CTO at SambaSafety
See the full SambaSafety capex case study.