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MYOB – Depreciation – What Do I Enter – Assets, the Calculation

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Question and Answer

MYOB – Depreciation – What do I Enter?

Client asked: Do I enter each depreciating item individually or as one lump sum for the year or month?”

Answer: Yes, as you pay for an item over $1000 (in 2012-2013 year, over $5000) you pay it from the bank or credit card or loan, then allocate to your Plant & Equip or Furniture & Fixtures (as appropriate) asset accounts.

Use the CAP Tax Code (best to set up CAP as the default tax code for those accounts so it comes up automatically – one less thing to remember). Then the amount will be in the CAP part of the GST reports, to be reported at G10 Capital Purchases.

Keep all asset invoices in a folder/file for the year, then at year-end the asset accounts can be printed for 1/7 to 30/6 and then give them to the accountant – many want to check and then they add them to your asset register.

Then they will calculate the depreciation and you will get the amount in your year end reports, and some accountants give you a journal to align your accounts and raise the Depreciation.

If you have questions, or need to ask questions? Give us a call! No obligation – solve your queries now!

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Author: accountkeepingplus

Administration, bookkeeping and compliance for small business, and Self-Managed Super Funds (SMSF) Training, trouble-shooting, or we can do the books and payroll for you! Self Managed Superannuation Fund Service Provider, Free support MYOB Certified Consultant, Reckon/QuickBooks Professional Partner.

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