Depreciation Calculator | Alex Kiarie Portfolio

Asset Information

Asset Name/Description

Initial Cost ($)

Salvage Value ($)

Useful Life (Years)

Purchase Date

Depreciation Methods to Compare

Straight-Line Basic Declining Balance (200%) Accelerated Declining Balance (150%) Accelerated Sum-of-Years-Digits Accelerated

Depreciation Schedule

Enter asset details and click "Calculate" to see results

Year	Beginning Value	Depreciation Expense	Accumulated Depreciation	Ending Value

Accounting Methods Explained

Straight-Line Method

Allocates equal depreciation expense each year over the asset's useful life.

Annual Expense = (Cost - Salvage Value) / Useful Life

Best for: Assets with consistent utility over time

Declining Balance Method (200% & 150%)

Accelerated depreciation method that applies a fixed rate to the declining book value each year. Higher depreciation expenses in early years reflect assets that lose value faster initially.

Depreciation Rate = Rate Multiplier ÷ Useful Life Annual Expense = Book Value × Depreciation Rate

200% Declining Balance: Rate Multiplier = 2.0 (Double the straight-line rate)

150% Declining Balance: Rate Multiplier = 1.5 (One-and-a-half times straight-line rate)

Best for: Assets with higher utility in early years (vehicles, computers, equipment)

⚠️ Note: Depreciation stops when book value reaches salvage value. The method never depreciates below salvage.