SERVICE 02 · MRO ACCOUNTING

Maintenance Costs
Tracked Before They Land.

MRO events are predictable on the maintenance side. The financial side shouldn't be a surprise. Altifin keeps your reserve accounts, accruals, and actual expenditures reconciled and visible every month.

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SVC: MRO-002 $2,800 USD/MONTH ALTIFIN · MRO RESERVE ACCOUNTING

WHAT YOU CAN EXPECT

A monthly maintenance financial picture that's always current

When you know exactly where your reserve balances stand relative to upcoming maintenance obligations, the financial side of MRO stops being a source of uncertainty. That's what this service is built to deliver — not just after a major event, but every month, as hours accumulate and schedules approach.

Airlines, MRO providers, and aircraft lessors carry maintenance obligations that span months or years into the future. Keeping those obligations accurately reflected in your financial records, and reconciling them against actual expenditures when events occur, requires accounting that understands how aviation maintenance actually works.

Reserve adequacy visible every month

Monthly reports show your reserve balance against projected upcoming costs — so you know whether you're adequately funded before the inspection arrives, not when it does.

Accruals reconciled against actuals

When a maintenance event occurs, we reconcile the accrued cost against the actual invoice and update your records accordingly. No backlogs, no gaps.

Upcoming cost projections included

Each month's report includes a forward-looking projection of upcoming maintenance costs based on current hours, cycles, and scheduled intervals — so your finance team can plan ahead.

THE CHALLENGE

MRO finances are harder to track than most operators expect

Maintenance events are planned on technical schedules. But the financial side — accruals, reserve adequacy, reconciliation after the fact — often gets handled reactively. Here's where that creates problems.

Reserve balances that drift from reality

Reserves established at the beginning of a lease or operation often aren't updated as hours accumulate. By the time a C-check or engine overhaul arrives, the gap between what's been set aside and what's actually owed can be significant.

Accruals not reconciled after events

It's common for maintenance accruals to sit on the books unreconciled for months after an actual MRO event. The financial statements show numbers that no longer reflect the current maintenance position of the aircraft.

AD compliance costs outside the budget

Airworthiness directives can arrive on short notice and require immediate expenditure. When these aren't tracked alongside regular maintenance reserves, the cost hits the P&L without context and distorts the period's financial picture.

No forward view of upcoming spend

Finance teams often have a clear view of last month's MRO costs but very little visibility into what's coming in the next three to twelve months. Planning around unknowns is difficult. Planning around numbers you could have is a different problem entirely.

Lessor reporting friction

Lessors typically have contractual rights to maintenance reserve reporting. When the financial records aren't structured to produce those reports efficiently, every reporting cycle becomes a manual exercise that takes time away from everything else.

Technical and financial teams not aligned

Maintenance planning lives with the technical department. Financial tracking lives with the accounting team. When they're working from different sources and different timelines, the numbers that reach management are often inconsistent.

HOW WE APPROACH IT

MRO accounting built around the maintenance cycle, not around the filing cycle

Altifin's MRO & Maintenance Reserve Accounting service follows the actual structure of aviation maintenance obligations — scheduled inspections, component replacements, engine overhauls, and AD compliance — and reflects those obligations accurately in your monthly financial records.

We start by mapping your aircraft's maintenance schedule against current hours and cycles. From there, we establish or take over your reserve accounts, configure the accrual methodology, and begin producing monthly reports that show reserve balances, recent expenditures, and a forward-looking projection of upcoming costs.

When a maintenance event occurs, we reconcile the actual cost against the reserve and update your financial position. Reports are available on the schedule your team or your lessor requires — no manual exports, no waiting until month-end.

Maintenance Schedule Mapping

We review your aircraft's current hours, cycles, and scheduled maintenance intervals to establish a baseline for reserve accrual calculations and upcoming cost projections.

Reserve Account Management

Reserve funds tracked per maintenance category — airframe checks, engine overhauls, landing gear, APU, and component replacements — with separate balances for each obligation.

Accrual vs. Actual Reconciliation

Each MRO event is reconciled against the relevant accrual at the time of completion. Variances between planned and actual costs are identified and explained, not left as unexplained adjustments.

AD Compliance Cost Tracking

Airworthiness directive costs recorded and tracked separately from scheduled maintenance, with clear attribution to the AD reference. Useful both for financial reporting and for operator records.

Monthly Adequacy Reports

Each month's report includes current reserve balances, recent expenditures, accrual rates, and a forward projection of upcoming maintenance costs. Formatted for both internal use and lessor reporting where applicable.

WORKING TOGETHER

How the engagement runs month to month

Once the engagement is set up, the monthly cycle is straightforward. Here's what to expect in practice.

Onboarding & Baseline

We review your existing maintenance records, current reserve balances, and upcoming scheduled events. This becomes the foundation for all ongoing tracking and reporting.

Monthly Data Review

At the start of each cycle, we pull maintenance logs, invoices, and any new AD requirements. Hours and cycles are updated, and accruals are recalculated against the current schedule.

Report Delivery

Monthly adequacy summary delivered on schedule, including reserve balances, recent MRO expenditures, and a three-to-twelve month cost projection. Formatted for your reporting requirements.

Event Reconciliation

When a maintenance event completes, we reconcile the actual invoice against the accrual and update your reserve balances. You see the impact on your financial position the same period the work is done.

INVESTMENT

What's included and what it costs

SERVICE 02

MRO & Maintenance Reserve Accounting

For airlines, MRO providers, and aircraft lessors

$2,800

USD · per month

What's included each month

Reserve fund management across all maintenance categories

Accrual tracking for scheduled inspections, engine overhauls, and component replacements

Accrual-versus-actual reconciliation for completed MRO events

AD compliance cost tracking and recording

Monthly reserve adequacy summary with balance and projection detail

Forward-looking maintenance cost projection for the next 3–12 months

Lessor reporting support where contractually required

Dedicated point of contact throughout the engagement

Pricing note: The $2,800 USD/month rate applies to a standard single-aircraft or small fleet engagement. Engagements covering larger fleets or multi-operator portfolios are scoped individually. Pricing is confirmed in writing before any work begins.

THE METHODOLOGY

How we track progress and measure outcomes

MRO accounting quality shows up over time — in the accuracy of projections, the absence of surprises, and the reliability of the numbers that go to management and lessors.

ACCURACY

Projection vs. actual variance

We track the gap between projected maintenance costs and actual invoices over time. Tightening that variance is one of the clearest measures of whether the reserve methodology is calibrated correctly for your operation.

TIMELINESS

Reports delivered on schedule

Monthly deliverables are released on the agreed date, every cycle. If something in the underlying data creates an exception, we flag it before the reporting date — not after.

RESERVE HEALTH

Adequate coverage maintained

Reserve adequacy is evaluated each month against upcoming scheduled events. When balances are trending toward underfunding, we flag that in the report — with the lead time to act, not after the event has already landed.

RECONCILIATION

Clean books after every event

After each MRO event, the reconciliation between accrued and actual costs is completed within the same reporting cycle. No carryforward of unresolved items from one period to the next.

TIMELINE

Setup and first reporting

Onboarding typically completes within two weeks of receiving maintenance records and current reserve data. The first monthly report follows at the end of the initial tracking period — usually the first full month after setup.

SCOPE

Configured for your fleet

Whether you operate one aircraft or a mid-size fleet with multiple maintenance programs, the engagement is structured to match your actual maintenance complexity — not a standardized template.

OUR COMMITMENT

Consistent, reliable, and honest

Aviation-specialist work

MRO accounting handled by professionals who understand the maintenance events behind the numbers — not just the accounting entries.

Monthly delivery, every time

Reports arrive on the agreed date, in a format your team and your lessor can use without additional processing.

Straightforward corrections

If a report contains an error on our side, we correct it at no additional charge and explain what happened. No deflection, no delay.

We'll be direct with you during the initial conversation if your operation's maintenance structure is more complex than this service is designed to handle. Taking on work we can't do well isn't something we do.

NEXT STEPS

How to get started

Getting your MRO accounting structured properly starts with a conversation. Here's how the process moves from interest to engagement.

Tell us about your operation

Use the contact form or email [email protected]. A brief description of your fleet size, current maintenance tracking approach, and what's not working is enough to start.

Initial call within one business day

We'll schedule a direct conversation to understand your maintenance program structure, current reserve methodology, and what you need from the accounting side.

Scope and pricing confirmed

We put the engagement terms in writing — scope, reporting format, delivery schedule, and pricing — before onboarding begins. No surprises after the fact.

Onboarding and first report

We review your existing records, establish or take over reserve tracking, and deliver your first monthly adequacy report at the end of the initial cycle — typically within three to four weeks of engagement start.

CLEARED FOR APPROACH

Ready to stop guessing at your maintenance financial position?

Every month without current reserve tracking is another month where the next major inspection is a bigger unknown. Getting that clarity doesn't require a complicated process — it starts with a short conversation.

Get in Touch with Altifin

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