Auto Depreciation Overview
Auto Depreciation is the diminishing in the value of assets. Essentially, when you purchase a depreciating asset it permanently decreases in value as it is lifecycle progresses and overtime the economic value of the asset will be depreciated to zero. Accordingly, SapphireOne has the functionality to account for this process automatically via the Auto Depreciation function.
Auto Depreciation Page
The SapphireOne Auto Depreciation feature will create the transactions required for the selected depreciation schedule, for the current period on all assets in the database.
- For the Primary Method in the example, (Tax rate), transactions will be created in Assets and then transferred to Financials where the appropriate General Ledger journals will be created.
- For the Secondary Method in the example, (Company rate) transactions will be created in Assets and no further action will be taken on them.