Fixed Assets How To: Reconcile Depreciation After Importing

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You have decided to switch from your previous Fixed Assets system and purchase Plumbline Consulting’s Fixed Assets module.  After doing your initial import of data, it is important to reconcile the accumulated depreciation amounts that have been imported for each asset to ensure that depreciation calculation for existing assets will continue as they did in the previous Fixed Assets System. These steps help to identify that the correct depreciation method, life, averaging convention and depreciate from date have been assigned to the depreciation book for each asset. They also indicate if the Fixed Asset module agrees with the accumulated depreciation that has been imported.

In the Asset Depreciation screen:

a. Select the Book Code to be processed.

b. Select the assets to be processed. “All Assets” is the default option.

c. Check “Calculate Life To Date”.

d. In the Monthly Forecaster frame, enter the import period in both period fields.

e. Press Calculate.

When the process is done, a report may or may not be produced. If no report is produced, the process agrees completely with all accumulated depreciation, methods, etc. that has been imported.

If a report is produced, which more than likely will occur at least due to rounding issues, the assets on the report should be looked at. You will want to look at the depreciation method, life, averaging convention and depreciate from date.

f. Once the differences have been corrected or accounted for, a Life to Date depreciation should be processed for the next period to allow the system to include any adjustments that it wants to make as well.