Learn how to set up an asset to track the depreciation over time.
In QuickBooks Online, you can track the current value and depreciation of your assets. Vehicles, equipment, machinery, buildings, and other assets used for business start with a certain value and gradually lose it over time. This decrease in value is known as depreciation.
Note: Calculating asset depreciation is difficult. Your accountant knows the best methods. We recommend working with them to regularly review how you track depreciation
Set up an asset account
- Go to Settings ⚙ and select Chart of Accounts.
- Select New.
- From the Account Type ▼ dropdown, select Fixed Assets or Other Assets.
- From the Detail Type ▼ dropdown , select the option that most closely describes the asset.
- Name the account.
- Check the Track depreciation of this asset box.
- Enter the current value of your asset in the Original cost field and the as of date. If recording the loan, leave this blank.
- When you're done, select Save and Close.