About depreciation configuration

You have to select an appropriate depreciation method and select certain depreciation settings for each fixed asset you add to the system.

• The depreciation method determines how the asset cost is allocated over the useful life or lifetime production of the asset.
  You use the Depreciation methods (FA202500) window to manage formula-based methods and the Depreciation table methods (FA202600) window to manage table based methods.

• If you change the settings for an asset, for example, you revalue the asset or change its useful life, the system uses the revalued amount as the basis for the depreciation in periods after revaluation.

• You can configure the system to accelerate the depreciation for the assets that use the straight line method and Dutch method 2. In this case, the system uses the revalued amount as the basis for the depreciation in the periods after revaluation.
  

• You can switch on the accelerated depreciation for an asset class, and the setting will be applied to all the assets of the class.

• To switch on the accelerated depreciation for the assets that use the straight line method and Dutch method 2, select the Fixed asset classes (FA201000) window.

Configuring the depreciation of an asset

The choice of a depreciation method depends on what your company policy is and how accurately the method reflects the physical depreciation of an asset.
Visma Net supports assigning multiple books to one asset, with each book using its own depreciation method for different purposes.

• You assign a class to the asset, and then specify the books to be assigned to the asset from the books associated with the asset class. Note that the asset must be assigned to the book that updates the general ledger.
  

• Additionally, after you assign a book to an asset, you can change the default depreciation method of the book for the selected asset by using the Fixed assets (FA303000) window.