How to stop depreciation on an asset being held for sale

It may become necessary to stop depreciating an asset for a short period of time or before the disposal of the asset. You can change the depreciation method to either NO (normally use for non-depreciable assets) or OC (Own Calculation) which a manual method of depreciation.

IMPORTANT: Before starting this process:

• There isn’t a way to 'undo' a change to critical values. Make sure you can retrieve the asset data in its original form before making changes. Write down the asset details, print them, or use a current Company Backup to keep records. See How to back up a company.
• Have depreciation on the assets ran through the date when the change will be effective.

To Stop an asset from calculating depreciation in Sage Fixed Assets:

Note: Ensure you've run Depreciation through the end of the desired month before making the change.

1. Enter NO or OC into the Depreciation Method field.
2. Click the Save button, or tab out of the field.
3. Sage Fixed Assets will prompt you with two questions:
   1. Answer Yes to the first question to continue.
   2. The second question: When do you want apply the critical depreciation change? Select the Current Thru date as the date to apply the change. See How to change critical depreciation fields for information on the other selections.

Note: You can do this process for multiple assets through the Bulk Edit feature. See How to perform a Bulk Edit of Critical Depreciation Fields for more information.

After the change, run depreciation normally until depreciation will need to start accumulating on the asset again. When it’s time to continue depreciation:

• If the depreciation method used is NO, and providing there’s remaining life on the asset: Change the depreciation method to the RV method (Answering Yes and Current Thru date to the questions)
• If the depreciation method used is OC, and you're disposing it: You don't need to make any changes to the asset before the disposal
• If the depreciation method used is OC, you need to restart depreciation and there’s remaining life on the asset: Change the Beginning date to be the date when depreciation will start again. Change the depreciation method to the RV method (Answering Yes and Current Thru date to the questions)

This will then take the remaining value over the remaining life. It will ensure the asset will fully depreciate within the asset's useful life.

If the asset is beyond its useful life and you need to depreciate the asset fully, change the depreciation method to the RV method. Answer Yes and Current Thru date to the questions. You'll need to extend the Estimated life to allow the asset to continue to depreciate. See How to fully depreciate an under depreciated asset for more information