How to use Depreciation Calculator
- Enter the asset cost, salvage value and whole-year useful life.
- Choose straight line or an entered declining-balance rate.
- Review each year’s depreciation and ending book value.
Example: Depreciation Calculator
Cost 10000, salvage 1000, useful life 5 years, straight-line method.
Supported inputs and limits
Where your input is processed
This tool processes your input in this browser. Your text and files are not uploaded to UseFreeTools. Check this tool's limits for anything it may save on your device.
Annual book values follow the chosen method
Straight line divides cost minus salvage by useful life. Declining balance applies the entered annual percentage to the opening book value without reducing it below salvage.
Questions about Depreciation Calculator
Why can declining balance end above salvage?
A fixed percentage reduces the remaining book value each year. This version does not force a final adjustment or switch methods.
Is the salvage value subtracted before declining depreciation?
No. Each year’s entered rate applies to its opening book value, with the resulting deduction capped at the salvage floor.
Does this follow my country’s tax rules?
No. Half-year conventions, prescribed rates, allowances and tax elections are outside the modeled schedule.