Depreciation Calculator

How to Use This Tool

This depreciation calculator helps you compute yearly loss. It works with both straight-line and double-declining balance methods.

Follow these steps:

1. Enter the asset cost in dollars. This is the starting value.
2. Input the salvage value in dollars. This is what the asset is worth at the end.
3. Type in the useful life in years. This shows how long you plan to use the asset.
4. Select the depreciation method. Choose either straight-line or double-declining balance.
5. Click the Calculate Depreciation button.

The tool then shows a table with a year-by-year breakdown. It displays the beginning value, depreciation for each year, and ending value.

Understanding the Output

The table shows a clear schedule of value drop over time. Each row represents one year.

The "Year" column tells you the time period. The "Beginning Value" column shows the asset's value at the start of that year. The "Depreciation" column shows the value lost during the year. The "Ending Value" column shows the remaining value after depreciation.

The graph in the tool also shows how the asset value reduces over time. You can use both the table and graph for clear insight in managing your finances.

Limitations and Special Notes

The calculator handles basic depreciation. It does not include tax rules or other financial regulations. The method you choose must apply for the entire useful life.

Use correct numbers for accurate results. Invalid entries will generate error messages and no schedule will be shown.

Common Use Cases

This depreciation calculator is useful for small business owners, finance students, and professionals who manage assets.

For example, you can use it for office equipment or vehicles. It helps you plan budgets and keep records in accounting.