Depreciation Calculator
Calculate depreciation expense, accumulated depreciation, and book value by year using straight-line, double declining balance, or sum-of-years-digits.
Independently verified for accuracy
Calculator by Toolsloft ↗- Depreciation expense
- 1800
- Accumulated depreciation
- 1800
- Book value
- 8200
This calculator shows the depreciation expense, accumulated depreciation, and book value of an asset for any year of its useful life. Pick straight-line, double declining balance, or sum-of-years-digits to match the schedule your books or tax filing use. Enter the cost, salvage value, and useful life to see how the asset writes down over time.
How this is calculated
Straight-line spreads (cost minus salvage) evenly across the useful life. Double declining balance applies twice the straight-line rate to the remaining book value each year, stopping at salvage. Sum-of-years-digits weights each year by its remaining life over the sum 1+2+...+n, following standard GAAP depreciation methods.
How to use
- Enter the asset cost and salvage value.
- Enter the useful life in years and choose a depreciation method.
- Enter the year you want and read the expense, accumulated depreciation, and book value.
Examples
- $10,000 asset, $1,000 salvage, 5 yr straight-line, year 1:
expense $1,800 - Double declining balance, year 2:
expense $2,400, book value $3,600
FAQ
- Which depreciation method should I use?
- Straight-line is the simplest and spreads cost evenly. Double declining balance and sum-of-years-digits are accelerated methods that take more expense early, which can suit assets that lose value fast.
- What is salvage value?
- The estimated amount the asset is worth at the end of its useful life. Depreciation is calculated on the cost above salvage, so book value never falls below it.
- What is book value?
- The asset cost minus accumulated depreciation. It is the value still carried on the balance sheet for that year.