Depreciation table methods (FA202600)

This topic gives you information about the elements that you find in this window in Visma.net ERP, such as fields, field values, buttons, and check boxes.

The depreciation method determines how the asset cost is allocated over the useful life.Visma.net ERP provides multiple predefined depreciation methods, but you can also create the required custom depreciation methods.
In this window, you can add, delete, or edit the table-based depreciation methods or the depreciation methods that provide the percentages for each year of the asset's useful life in a table.

With table-based depreciation methods, the system does not take into consideration the acquisition date of the asset.
The depreciation amounts within the year are calculated based on the period of the asset acquisition.

In this area, you can enter information for a new depreciation method, or view or edit the information for an existing one.

Element Description
Depreciation method ID The identifier of the depreciation method.
Record type The object type for which you can specify the current depreciation method. The following options are available:
  • Class:
    A class methods is used to join separate methods of asset type into one method that can be assigned to a fixed asset class. The quantity of aggregated methods of asset type equals the number of conversion periods in a financial year that you specify for the class method.

    You can select this depreciation method while you are creating a fixed asset class in the Fixed asset classes (FA201000) window.

  • Asset:
    An asset method is a part of a class method that specifies the asset depreciation in the selected conversion period of a financial year. The class of the asset is specified in the Class method field.
  • Both:
    A class method of this type is used if assets of this type must be depreciated once a year.
    Thus, this method contains the parameters of the method (similar to a class method) and the depreciation (similar to an asset method). You can select this depreciation method while you are creating a fixed asset class in the Fixed asset classes (FA201000) window.
Class method The method used to group the methods of the asset type. This field is available for the Asset record type only.
Useful life, years The period of time (in calendar years) the asset is supposed to be in use.
Recovery period The useful life in months or the useful life (in years) multiplied by 12.
Description A brief description of the depreciation method.
Averaging convention

The convention that determines how fixed assets will be depreciated for the period within which the asset was acquired or disposed.

You should select an averaging convention depending on the depreciation method you specified. The following options, described more fully in About averaging conventions, are available: Full period, Mid period, Next period, Modified half period, Modified half period 2, Full quarter, Mid quarter, Full year, Mid year, and Full day.
Convention period The period number in the financial year to which the averaging convention method is applied.
Total percent Read-only. The percent of depreciation by years. The value of this box should always be 100%.
Source The source of the method which can be predefined or custom.
The predefined methods are included in Visma.net ERP and cannot be modified or deleted.
The custom methods have been configured in your Visma.net ERP instance and can modified as needed.

You use the table to specify the depreciation percent of the depreciable basis for recovery years of the selected method of asset type; depreciation calculations for every recovery period may differ.

Column Description
Recovery year The year of the useful life within which the asset is depreciated.
Percent per year The depreciation percent of the depreciable basis that must be allocated over the specified recovery year.

Related concepts

About Depreciation table methods

About averaging conventions

About depreciation methods

Related tasks

Configure table methods of class type

Configure table methods with annual depreciation

Configure table methods of asset type

Related windows

Depreciation methods (FA202500)

Fixed asset classes (FA201000)