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Fixed Assets Overview
Asset Profiles & Depreciation Methods
Creating & Running Assets
Batch Depreciation
Reporting & Analysis
Loans

Introduction to Fixed Assets

What Fixed Asset Management Does

When you buy something that will be used over several years (equipment, vehicles, computers, furniture) rather than consumed immediately, accounting rules require you to spread its cost over its useful life rather than expensing it all at once — this is depreciation. The Fixed Assets module automates that: it creates the asset record, calculates the depreciation schedule, and posts the monthly/yearly journal entries for you.

Core Concepts

ConceptDescription
Asset ProfileA reusable template (e.g. "Computers – 3 years straight-line") defining the default accounts and depreciation method for a category of assets.
AssetOne physical item being depreciated: purchase value, salvage value, start date, and its own depreciation schedule.
Depreciation LineOne scheduled entry in the asset's depreciation plan (e.g. "Month 14: $250").
Depreciation BaseThe amount actually being spread over time — usually Purchase Value minus Salvage Value.
Salvage ValueThe estimated value the asset will still have at the end of its useful life (e.g. resale/scrap value) — not depreciated away.

Asset Statuses

  • Draft – created but not yet confirmed; no accounting impact yet.
  • Running – confirmed; depreciation lines can now be posted to accounting.
  • Close – fully depreciated (last depreciation line posted).
  • Removed – disposed of or sold; removal entries generated.
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This documentation is updated continuously. Some features described here may be renamed, deprecated, or still being finalized.