Skip to content
logo Knowledgebase

Change critical depreciation fields

Created on  | Last modified on 

Summary

Steps and key considerations for modifying critical depreciation fields in Sage Fixed Assets Depreciation, ensuring compliance, accuracy, and proper asset lifecycle management.

Description

 Know your goal for the asset before changing Book Information.

Resolution

To keep the depreciation already calculated on the asset

  • Yes: If you've run depreciation through the desired date of the change, answer Yes, Current Thru date.
  • No: Answer Yes, Placed-in-Service date to the questions. This will clear all calculated depreciation and calculate as if you entered the asset as a new asset.

To change a critical field 

Change any field in the Book Information portion of the Asset Detail view.

  1. Select Asset, Asset List.
  2. Select your asset and click the Asset Detail button.
  3. Enter the new value.
    • Type the desired value in the field. Critical Depreciation fields include Property Type, Placed-in-Service date, Acquired Value, Depreciation Method, Estimated Life.
    • Click Save Asset or press Tab to exit the field.
  4. Confirm the change. 
    • Sage Fixed Assets shows two questions:
    • You’re making a critical depreciation change. This affects existing depreciation.
    • Are you sure you want to continue?
    • Select Yes to proceed or No to cancel and return to Asset Detail.
  5. Choose the effective date.
    • Decide when the change applies.
    • Placed-in-Service Date: Resets all depreciation to zero. The next run treats the asset as new.
    • Beginning Date: Resets current depreciation to Beginning amounts. Period Close resets to zero. For the child of a transfer, review Beginning Date is the only option when changing Critical Fields.
    • Period Close Date: Resets current and beginning depreciation to Period Close amounts. See How to do a Period Close.
    • Current Thru Date: Sets Beginning depreciation to current amounts. See fully depreciate assets for more information. 
    • The next time you run depreciation, the calculation will be from the Period Close Date of the asset. This option is available if there was a Period Close Date in the asset before making the change.
  6. Run depreciation again.
    • The next calculation uses the selected date as the starting point.

Important Information

Review Depreciation Method After Date Change

  • If you choose any date except Placed-in-Service, review the Depreciation Method.
  • If the method is SL, SF, or SH, change it to RV if needed.

Why This Matters

  • The asset continues depreciating on the original basis.
  • This can cause early or late depreciation depending on what you changed.
  • The asset can fully depreciate too soon (Over Depreciated).
  • It can also under-depreciate, leaving a net book value at the end of its life.
  • The RV method prevents both problems.
  • The asset must have at least two months of life left to use RV.

Document and Check Changes

  • Add details of critical changes in the Notes
  • Assets with notes show an icon in the Asset List
  • To find under depreciated assets, run the Depreciation Adjustment Report (Reports > Standard Reports > Depreciation Adjustment).

Tax Impact

  • Changes to Investment Tax Credit (ITC) affect the tax book.
  • Any ITC changes apply to all books.

Need more help?

Chat now