Run or roll back depreciation on fixed assets
Run depreciation on the fixed assets that you've registered in Xero, or roll back the depreciation date. Depreciation is run monthly but is calculated on a daily basis. You can depreciate to the next month, or several months at a time.
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Access the Depreciation screen from the Depreciation button on any of the Fixed Asset tabs in Accounts > Fixed Assets.
If there are no Registered Items in your fixed asset register, then no accounts will display on this screen.
Note: Only users with the Advisor user role can apply depreciation to fixed asset accounts.
Enter or edit
Choose a month to depreciate asset items to.
Depreciation is run monthly but is calculated on a daily basis.
Starts from your Fixed Asset Start Date and updates each time depreciation is run or the Start Date is changed.
When the details of the depreciation you want to run are entered or updated, click Update to re-generate the depreciation amounts.
The Fixed Asset account to which Registered Items are coded.
Amount to be depreciated
The total amount of depreciation on Registered Items that are coded to that Fixed Asset account.
Accumulated Depreciation Account
The Accumulated Depreciation Account that is linked to the Fixed Asset Account. You can change this if the account listed is not where you want to code accumulated depreciation to. The accumulated depreciation amount will show on the Balance Sheet for each account.
Change the depreciation start date
If you need to change the depreciation start date you can do so via the Start Date screen.
Change the depreciation amount
If depreciation has been run and you now need to change the depreciation amount, simply make the changes on your Registered Item and roll back depreciation. Once you've made the changes, simply rerun the depreciation.
View full depreciation details
The main depreciation screen shows a summary of the total depreciation that will be posted to each Accumulated Depreciation account. To view individual asset details simply print or export the comprehensive depreciation data.
Approve the amount to be depreciation for all the asset accounts. You can only approve once all the depreciation accounts have a linked accumulated depreciation account set.
Exit this screen without saving any of the changes entered.
If depreciation has been run and you now need to change the depreciation amount, simply make the changes on your Registered Item and roll back depreciation. You can then rerun the depreciation once you've made the changes.
Note: setting the depreciation date backwards causes all depreciation journals and all disposals back to the new depreciation date to be reversed on the date they were created.