Fixed Assets Management

Overview

The AIAccount Fixed Assets module supports full lifecycle management including asset recording, automatic depreciation calculation, and asset disposal. All double-entry postings are generated automatically, eliminating manual journal entries. The system also produces fixed asset notes for annual audits.

Key Features

  • Fixed Asset Recording — Enter asset name, cost, purchase date, useful life, and residual value in the Fixed Assets module; journal entries are auto-generated on submission
  • Automatic Depreciation — Enter the depreciation period end date and click "Depreciate" to auto-calculate and post depreciation entries
  • Depreciation Rollback — Click "Rollback Depreciation" to undo the most recent depreciation run if errors occurred
  • Asset Disposal — Click "Options > Dispose", enter the sales proceeds, and the system auto-calculates gain/loss on disposal
  • Manual Depreciation Entry — For historical assets, use "Add Depreciation Manually" to record prior-year depreciation
  • Custom Depreciation Accounts — Create new depreciation accounts under Cost of Sales type so depreciation appears in the correct P&L section

Step-by-Step Guide

  1. Navigate to the "Fixed Assets" module and click Add New
  2. Enter the asset name, cost amount, purchase date, and estimated useful life
  3. Select the asset category (e.g., Motor Vehicle) and link the accumulated depreciation and disposal accounts
  4. Set the residual value (usually 0) and depreciation expense account
  5. After submission, go to the depreciation page, enter the period end date, and click "Depreciate"
  6. To dispose of an asset, click "Options > Dispose" on the asset record and enter the selling price

Important Notes

  • If the residual value equals the asset cost or net book value, depreciation will not run
  • When adding a new asset category, create one main account and two accumulated accounts (depreciation and disposal)
  • Once depreciation has been posted for an asset, the depreciation expense account cannot be changed
  • Assets can also be recorded under "All Expenses", but automatic depreciation will not be available with this method