Depreciation Calculator
Calculate asset depreciation using 4 accounting methods — with full year-by-year schedule, visual chart, and method comparison.
4
Methods
$4,500
Year 1 Dep.
10 yrs
Useful Life
Asset Details
First period
Year 1 Depreciation
$4,500
Over useful life
Total Depreciation
$45,000
Residual value
Salvage Value
$5,000
Method
Straight-Line
10 periods
📊 Depreciation Schedule Chart
📅 Depreciation Schedule
| Year | Dep. Expense | Accum. Dep. | Book Value |
|---|---|---|---|
| 1 | $4,500 | $4,500 | $45,500 |
| 2 | $4,500 | $9,000 | $41,000 |
| 3 | $4,500 | $13,500 | $36,500 |
| 4 | $4,500 | $18,000 | $32,000 |
| 5 | $4,500 | $22,500 | $27,500 |
| 6 | $4,500 | $27,000 | $23,000 |
| 7 | $4,500 | $31,500 | $18,500 |
| 8 | $4,500 | $36,000 | $14,000 |
| 9 | $4,500 | $40,500 | $9,500 |
| 10 | $4,500 | $45,000 | $5,000 |
What Is Depreciation?
Depreciation is the accounting process of spreading a tangible asset’s cost over its useful life instead of expensing it all at once in the year of purchase. This matches the expense to the revenue the asset helps generate over time — a core principle of accrual accounting. Pair this with our loan calculator for financed equipment, or our income tax calculator to see how deductions affect your overall tax picture.
The 4 Depreciation Methods
✏️
Straight-Line (SL)
Equal depreciation every year. The simplest method, and the most common for buildings, furniture, and office equipment.
📉
Double Declining Balance (DDB)
An accelerated method — higher depreciation early, lower later. Good for technology assets that lose value quickly.
📐
Sum-of-Years'-Digits (SYD)
Accelerated, but smoother than DDB. Uses a fraction based on the remaining life over the sum of all years.
⚙️
Units of Production (UOP)
Ties depreciation directly to actual usage. Ideal for machinery where wear depends on how much it's run, not the calendar.
Key Formulas
SL: Annual Dep = (Cost − Salvage) / Useful LifeDDB: Annual Dep = Book Value × (2 / Useful Life)SYD: Annual Dep = (Cost − Salvage) × (Remaining Life / SYD), where SYD = n(n+1)/2UOP: Dep per Unit = (Cost − Salvage) / Total Units; Period Dep = Dep per Unit × Units Used— FAQ