Configuring Depreciation

Use Configuration > Asset Management to establish the system-wide configuration settings for the methods of depreciation that your firm uses.

Most configuration for depreciation processing occurs on the Methods tab. Vision provides the Straight-line method of depreciation for use; however, you can add any number of custom methods as needed. Vision will apply these settings, along with those entered for the asset types, property types, and additional books so you can process depreciation using the calculations that most accurately reflect your firm's requirements.

After you configure depreciation, you use the Equipment Info Center to:

• Assign employees to an asset item. (Optional)
• Review and enter depreciation or amortization classification information for an asset item.
• Enter other required information before the asset item can be depreciated or amortized. This includes changing the status of an asset item from Inactive to Active before you can process depreciation for it.

And then you use the Asset Management application to:

• Process depreciation or amortization for an asset item.
• Transfer or split an asset item.
• Dispose of an asset item.
• Review historical and summary information for an asset item.

When you run depreciation processing:

• Depreciation and amortization are processed for the accounting period that you have open in Vision at the time of processing.
• You can process depreciation and amortization for all asset items or one or more asset items that you select individually.
• You process depreciation and amortization for your general ledger (GL book) and additional books separately.

  You create additional books if you need to calculate depreciation differently from how you calculate it for your general ledger, such as for tax purposes.

• Journal entries for depreciation and amortization are created for your GL Book. No journal entries are created for additional books.
• If you have multiple companies in Vision, you run depreciation processing separately for each company.
• If you use multiple currencies in Vision, the journal entries for the depreciation and amortization posting use a company's functional currency.

You can schedule depreciation processing to occur automatically at a future time. You can use the Undo Posting advanced utility to undo deprecation postings.