I'm here to help you with recording a vehicle depreciation in QuickBooks Online (QBO), Elsi.
First, I recommend creating an account to track depreciation if you haven't created it yet. Here's how:
- Open your QBO account, then go to the Gear icon.
- Tap on Chart of Accounts.
- From the Account Type dropdown, select Other Expense.
- Select Depreciation under Detail Type.
- Enter the account name, like Asset Depreciation.
- Hit Save and Close.
Once done, you're now ready to enter a journal entry to record the lost value of your asset.
- Go to the +New icon, then click on Journal entry.
- On the first line, choose the asset account you use to track the loan from the Account dropdown and enter the depreciated amount in the Credits column.
- On the second line, select the depreciation account you just created from the Account dropdown and the same depreciated amount in the Debits column.
- Tap Save.
On top of this, I suggest seeking assistance from your accountant for additional assistance. He/she can provide you with more options and choose the best methods for your account or business.
To learn more about depreciation, you can check out this article from the IRS: Publication 946 (2020), How To Depreciate Property.
Aside from that, you can review the topics from this link for more hints and resources while working with QuickBooks and other transactions in the future. Here's the link: Help articles, video tutorials, and more.
If you have any other questions about tracking asset depreciation in QuickBooks, please let me know by adding a comment below. I'm more than happy to help. Have a good one!