Fixed Assets: Track, Depreciate, and Dispose of Capital Assets

The Fixed Assets module lets you record every capital asset your client owns, calculate depreciation automatically across multiple methods, post journal entries for each period, and record disposals with gain or loss. From a single laptop to a fleet of vehicles, every asset is tracked from purchase to write-off.

This guide walks through every screen, button, and field in the order you see them on screen.

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Getting Here

1. Open the main sidebar and select a Bookkeeping Client.
2. In the client sidebar, expand the Fixed Assets section.

Two menu items appear:

Click Assets to begin.

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Understanding the Assets Page

The Assets page is your fixed asset register. It lists every asset, shows key financial metrics, and gives you all actions from a single view.

Top Metrics

Seven cards sit across the top of the page, giving you a complete snapshot of the asset portfolio:

Header Buttons

Four buttons sit at the top-right above the metrics:

Tabs and Filters

Below the metrics, a tab bar and a filter work together to narrow down the asset list:

Tabs switch between status groups:

Category Filter — A dropdown to the right of the tabs lets you filter by asset category (e.g., Computers, Vehicles, Furniture, Machinery). The categories come from the assets you have already created.

The Assets Table

Below the filters, a table lists every asset matching your current tab and filter. Each row shows:

If no assets exist yet, an empty state appears with an Add Your First Asset button.

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Creating a Fixed Asset

1. Click the Add Asset button at the top-right.
2. A dialog opens with four sections.

Basic Information

Financial Information

Depreciation Settings

Depreciation Methods

Useful Life Presets

GL Accounts (Optional)

Three dropdowns let you override the default GL accounts for this specific asset. Leave all three as Use Default to inherit the accounts configured in Settings:

Notes

A free-text field for any internal notes about the asset.

3. Click Create Asset to save.

The asset appears in the table immediately. If the asset is active, the system generates a depreciation schedule automatically.

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Viewing an Asset in Detail

Click the three-dot menu on any asset row and select View Schedule, or click an asset row directly (if clickable), to open the asset detail page.

Header

The top of the page shows the asset name, a status badge, the asset number, serial number, and location. Two buttons appear at the right:

• Edit Asset — Returns you to edit mode on the Assets page.
• Dispose — Opens the disposal dialog (only for active assets).

Summary Cards

Four cards summarize the asset's financial position:

Depreciation Schedule Tab

This is the default tab. It shows the full depreciation schedule organized by fiscal year. Each year is a collapsible section:

• Click the chevron to expand or collapse a year.
• The year header shows the year label, total depreciation for that year, and how much has been posted (in green).

Inside each year, a table lists every monthly entry:

Entry Actions

For entries with status Pending or Scheduled:

• Approve — Appears when Require Approval is on in Settings. Click to approve the entry before posting.
• Post — Creates the journal entry (debit Depreciation Expense, credit Accumulated Depreciation) and marks the entry as Posted.
• Mark Posted — Marks the entry as posted without creating a journal entry. Use this when the journal entry was created outside the system.

For entries with status Posted:

• View JE — Opens the linked journal entry in the journal entries page (only shown if a journal entry was auto-created).
• Posted (Manual) — A badge indicating the entry was marked as posted without a linked journal entry.

✓ Tip: If multiple periods are due, use the Post Pending Depreciation button on the main Assets page to post them all at once instead of one at a time.

Asset Details Tab

Shows the full asset metadata: all fields from the create form, GL account overrides, and any custom metadata.

Transaction History Tab

Shows a chronological log of all transactions affecting this asset: creation, depreciation postings, edits, and disposal.

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Editing an Asset

1. From the assets table, click the three-dot menu and select Edit.
2. The same form from the create dialog opens with all fields pre-filled.
3. Make your changes.
4. Click Update Asset.

⚠ Warning: Changing the depreciation method, useful life, or start date will trigger a recalculation of the depreciation schedule. Previously posted entries are not automatically reversed — review the schedule after editing to ensure correctness.

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Disposing of an Asset

1. From the assets table, click the three-dot menu on an active asset and select Dispose. Or, from the detail page, click the Dispose button.
2. The Dispose Asset dialog opens.

Disposal Form Fields

The dialog shows a summary card with the asset's purchase price, accumulated depreciation, and net book value for reference.

Estimated Gain/Loss

As you fill in the Sale Price and Disposal Fees, an Estimated Gain/Loss section updates in real time:

• If the net proceeds (sale price minus fees) exceed the net book value, a Gain appears in green.
• If the net proceeds are less than the net book value, a Loss appears in red.

This is calculated as: Sale Price − Disposal Fees − Net Book Value.

3. Click Dispose Asset.

The system creates a journal entry that:

• Credits the Asset account (removing the asset from the books)
• Debits the Accumulated Depreciation account (clearing the contra-asset)
• Debits or credits the Gain/Loss account
• Debits the Proceeds account for any cash received

✓ Tip: If you see an error about missing accounts, click the Go to Settings button in the error banner to configure the required GL accounts before proceeding.

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Deleting an Asset

1. From the assets table, click the three-dot menu and select Delete.
2. A confirmation dialog appears. If the asset has recorded depreciation, a warning shows the accumulated amount.
3. Click Delete to confirm.

⚠ Warning: Deleting an asset with posted depreciation does not automatically reverse the journal entries. You will need to handle those reversals manually.

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Posting Pending Depreciation

The Post Pending Depreciation button on the main Assets page processes all depreciation entries that are currently due. When you click it:

1. The system finds all entries with status Pending or Scheduled whose period date is on or before today.
2. For each entry, a journal entry is created: debit Depreciation Expense, credit Accumulated Depreciation.
3. The entry status changes to Posted.
4. A toast message confirms how many entries were posted.

Use this monthly to keep depreciation up to date without processing entries one at a time.

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Bulk Importing Assets

1. Click the Bulk Import button.
2. The import dialog opens with a drag-and-drop area.

Required Columns

Optional Columns

description, serial_number, location, category, salvage_value, useful_life_months, depreciation_method

3. Upload a CSV or XLSX file.
4. Click Import Assets.

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Configuring Fixed Asset Settings

Click Settings in the Fixed Assets sidebar menu, or click the Settings button on the Assets page, to open the configuration page.

Configuration Status Banner

A banner at the top tells you whether the module is ready:

• Yellow warning — Settings not configured. At minimum, you need the Asset Account, Accumulated Depreciation Account, and Depreciation Expense Account.
• Green success — Fixed asset module is fully configured and ready.

Default GL Accounts

Five dropdowns let you set the default accounts. Individual assets can override these.

The dropdowns show only active accounts from the chart of accounts that match the appropriate type. Each option shows the account number and name.

Depreciation Defaults

These settings are pre-filled when you create a new asset. You can change them per asset.

Use Mid-Month Convention

When on (default), depreciation for the month of acquisition and the month of disposal is calculated at half the normal monthly rate, regardless of which day the transaction occurred. When off, depreciation starts in the month of acquisition with no proration.

Automation Settings

Journal Entry Template

Customize the memo line that appears on depreciation journal entries.

The JE Memo Template field accepts plain text with variables in curly braces. A reference card below the field shows all available variables:

Example templates:

• Depreciation for {asset_name} - {period}
• Monthly depreciation - {asset_number}: {amount}
• {category} depreciation - {asset_name} ({period})

Notification Settings

Saving Settings

Click the Save Settings button at the top-right. A toast confirms the save.

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Asset Statuses Reference

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Depreciation Entry Statuses Reference

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Frequently Asked Questions

What is the difference between Straight Line and Reducing Balance?

Straight Line spreads the cost evenly — a $10,000 asset with a 5-year life and $0 salvage depreciates at $2,000 per year. Reducing Balance applies a constant rate (e.g., 20%) to the declining book value each year — the first year is $2,000, the second year is $1,600, and so on. Reducing Balance front-loads more depreciation into the early years.

Do I need to configure settings before adding assets?

No, but it saves time. When you configure the default GL accounts, method, and useful life in Settings, every new asset form will be pre-filled. You can still override them per asset.

What happens when I click Post Pending Depreciation?

The system finds all entries with status Pending or Scheduled whose period date is on or before today. For each one, it creates a journal entry (debit Depreciation Expense, credit Accumulated Depreciation) and marks the entry as Posted.

Can I override the GL accounts for a single asset?

Yes. When creating or editing an asset, the GL Accounts section has three dropdowns (Asset Account, Accum. Depreciation, Expense Account). Leave them as "Use Default" to inherit the Settings values, or pick specific accounts.

What is the mid-month convention?

When enabled, depreciation for the month you acquire the asset and the month you dispose of it is calculated at half the normal rate. This simplifies accounting by treating all acquisitions and disposals as if they happened in the middle of the month, regardless of the actual date.

How does disposal work with the gain/loss calculation?

When you dispose of an asset, the system compares the net proceeds (sale price minus disposal fees) to the net book value (purchase price minus accumulated depreciation). If proceeds exceed NBV, you have a gain. If NBV exceeds proceeds, you have a loss. The system creates a journal entry to record the disposal and the gain or loss automatically.

Can I import assets from a spreadsheet?

Yes. Click Bulk Import and upload a CSV or XLSX file with the required columns: asset_name, purchase_price, purchase_date, and depreciation_start_date. Optional columns include description, serial_number, location, category, salvage_value, useful_life_months, and depreciation_method.

What does "Mark Posted" do differently from "Post"?

Post creates a full journal entry (debit expense, credit accumulated depreciation) and links it to the depreciation entry. Mark Posted simply changes the entry status to Posted without creating a journal entry. Use Mark Posted when the journal entry was already created outside the system or when you want to track depreciation progress without generating duplicate entries.