Asset Management Setup Checklist
You may find it helpful to use a checklist as a guide in setting up the Asset Management application.
Step | Description | Location |
---|---|---|
Define General Ledger (GL) Account Setup: Set up the asset account, the accumulated depreciation account, and depreciation expense. | ||
Set Up Asset Management: Set up the default values for Asset Management. | ||
1 | Set Capitalization Minimum, Asset Periods per Year, Default Disposal Project and Account, and turn on the ability to automatically create asset items from accounts payable vouchers and/or purchase orders (Asset Item Source options). | General tab of |
2 | Add Additional Books (Unique Depreciation, Useful Life, Bonus Depreciation, and Section 179 Use). | Additional Books tab of |
3 | Set up Depreciation Methods. Straight-line is the default but you can add new methods as needed, such as Useful Life in Years, Recovery Years, Sum of Years Digit, or MACRS. | Methods tab of |
4 | Add Property Types. You can add as many as needed (Personal Property, Real Property, and so on). You may find it useful to include non-asset, or pre-paid items. | Property Type tab of |
5 | Add Improvement categories. | Improvements tab of |
6 | If you are using Section 179 deduction limits, add them for additional books. | Section 179 tab of |
7 | Set up the types of assets. These are the defaults that are used in the Equipment hub when creating and setting up assets. | Asset Type tab of |
8 | Configure item categories. These are required for the Equipment hub and can be item specific or general groupings. If you use multiple companies, set item categories for each company. | Item Categories tab of |
9 | Configure items in the Item Master. These are required for the Equipment hub and can be item specific or general groupings. | |
10 | Configure alerts for new asset creation. | |
Create and Process the Asset Item: Create the asset item manually in the Equipment hub or through an AP voucher or purchase order (if you use the Purchasing application). Process amortization/depreciation as needed. |