Fixed assets
Fixed asset software for small businesses
Keep one register of what the business owns, who holds it and what it is worth today, with depreciation posted to the books every month.
In short
SimpleERP includes fixed asset software for small businesses: an asset register with custodians, straight-line or declining-balance depreciation posted monthly in one click, maintenance records, and disposal with the gain or loss booked automatically.
Illustration of a fixed asset card with a monthly straight-line depreciation schedule.
The daily job: know what you own and what it is worth
Machines, vehicles, laptops and furniture are often the biggest numbers on a small balance sheet and the least tracked. SimpleERP keeps them current without a year-end spreadsheet.
- See every asset's cost, book value and holder on one page
- Post the month's depreciation for all assets in one click
- Sell or scrap an asset and let the gain or loss book itself
Register
One register of everything the business owns
Each asset has a number, category, holder, cost, accumulated depreciation and book value, with the bill it came from linked. Categories set the accounts and the default useful life, so most fields fill themselves. A schedule preview shows month by month what the asset will depreciate before you save it.
- Serial number, model, photo and warranty expiry on each asset
- Cost and book value totals at the foot of the register
- Draft assets have no effect on the books until you activate them
| Category (as seeded) | Default useful life | Method |
|---|---|---|
| Computers and equipment | 36 months | Straight line |
| Furniture and fixtures | 120 months | Straight line |
| Vehicles | 96 months | Straight line |
| Plant and machinery | 180 months | Straight line |
Depreciation
Depreciation posts every month in one click
The run page lists each asset with its opening book value, this month's charge and closing value, then posts them together. For example, the laser cutting machine at Lakshmi Steel Furnitures cost ₹6,40,000 with ₹40,000 salvage over ten years, so it depreciates ₹5,000 a month.
- Straight line over months, or declining balance at an annual rate
- The first month is pro-rated by days in service
- Months post in order, and running the same month twice changes nothing at all
- Undo the latest month if you posted it too early, before closing the books
- Assets stop at salvage value and show as fully depreciated
- Each asset gets its own journal, so a drill-down from the ledger lands on the right asset
Capture
Create an asset straight from a purchase bill
Post the supplier's bill line to your fixed assets account, then choose Create asset on it. Cost, date and supplier are filled in and no second journal is made. Assets paid from bank or cash, or already owned before you started, have their own paths, including opening accumulated depreciation.
- From a purchase bill: no extra journal, because the bill already posted it
- Paid from bank or cash: one journal when you activate it
- Already owned: an opening balance with the depreciation charged so far
Custody
Know who holds each asset
Allocate an asset to an employee or a branch, with a location note such as second floor or the Ukkadam store, and mark it returned when it comes back. The full history stays on the asset, and the employee's HR profile lists what they hold.
- Allocating an asset to someone who has left is blocked
- Return an asset with a date, and the history keeps every holder
- The register filters by category and status, with cost and book value totals
Maintenance and disposal
Maintenance and disposal, with the gain or loss worked out
Log preventive servicing, repairs, inspections, upgrades and AMC visits with the vendor, cost and next due date; due items appear on the dashboard a week ahead, and a cost can be recorded as an expense in the same step. When an asset is sold or scrapped, SimpleERP removes its cost and depreciation and books the difference. Writing an asset off at zero books its whole book value as a loss.
| Sold for ₹60,000 | Amount |
|---|---|
| Cost | ₹1,20,000 |
| Accumulated depreciation | ₹70,000 |
| Book value | ₹50,000 |
| Gain on disposal | ₹10,000 |
One system
What it connects to
Assets come from purchase bills, depreciate into the ledger and are held by employees.
Honest limits
Not included yet
- Income Tax Act block-of-assets depreciation schedules
- Selling an asset on credit: proceeds go to bank or cash
- Asset tags or barcode labels
- Revaluation
- Quantities inside one asset: six desks are one asset, or six separate ones
FAQ
Questions, answered
Which depreciation methods does SimpleERP support?
Straight line over a useful life in months, and declining balance at an annual rate, plus no depreciation for land and similar assets. Either can be set per category and changed per asset before it is activated.
Can I add assets I bought before I started using SimpleERP?
Yes. Choose opening balance when you activate the asset and enter the depreciation already charged, so its book value starts right.
What happens if I post depreciation for the wrong month?
Undo the latest month. The journals are reversed and the asset's accumulated depreciation goes back. Months must be posted in order, so a gap is flagged before you post.
Is depreciation shown in the P&L?
Yes. Monthly depreciation posts to the depreciation expense account, and accumulated depreciation shows against fixed assets on the balance sheet. See accounting.
Can I track maintenance contracts?
Log each service or AMC visit with its next due date. Items due within a week show on the dashboard, and the cost can be recorded as an expense.
Related
Keep reading
Accounting
A double-entry ledger with journals, bank registers, statements and a lock date.
Read morePurchase
Purchase orders, supplier bills that receive stock, debit notes and payables.
Read moreExpenses
Business expenses with receipts, and staff claims from submit to approve to reimburse.
Read moreManufacturing
BOMs with scrap and cost roll-up, work orders that move stock, and payroll for shop-floor staff.
Read more
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