Depreciation in AssetIT is a way to account for the gradual decrease in the value of an asset over time due to wear and tear, obsolescence, or other factors. It helps businesses track the asset's current worth and make informed decisions about replacements or disposal.
Depreciation List
You will find a list of created depreciation rules when you navigate to the Depreciations tab on the sidebar menu. This list comprises the following columns:
Name: The name of the depreciation rule.
Terms (No. of Months): The number of months over which the asset will be depreciated.
Floor Value (Minimum Value after Depreciation): The estimated minimum value the asset will retain after depreciation.
Created At/Updated At: Dates when the rule was created and last updated.
Actions: The option to edit or delete a rule.
You also have the option to search, export, or interact with columns by re-ordering, showing, hiding columns, and more.
Creating a New Depreciation
To create a new depreciation rule in AssetIT, follow these steps:
Click on
on the top right of the Depreciation List page.Fill in the fields of:
Depreciation Name: Enter a descriptive name for the depreciation rule. This helps in identifying the rule easily.
Example:
"Office Equipment 5-Year Depreciation"
"IT Equipment 3-Year Depreciation"
"Vehicle 7-Year Depreciation"
Number of Months: Specify the number of months over which the asset will be depreciated.
Example: "60 months" for a 5-year depreciation period.
Minimum Value after Depreciation: Enter the minimum value that the asset should retain after the depreciation period. This ensures that the asset's value does not drop below a certain threshold, even after full depreciation.
Example: "100" if the asset should not depreciate below $100.
Click on
to save the new depreciation rule.