Depreciation Calculator – Asset Value Over Time
Calculate annual depreciation and book value using straight-line or double declining balance.
📊 Finance📐
Asset cost ($)
Salvage value ($)
Useful life (years)
Method
Please enter valid values.
Formula & Reference
| Variable | Formula | Units |
|---|---|---|
| Depreciation Calculator – Asset Value Over Time | result |
Step-by-Step Examples
Example 1
$35K car, $5K salvage, 5yr SL
- Annual: $6,000 | Book value: $5K at end
✓ $6,000/year
Example 2
$100K equipment, 10yr SL
- Annual: $10,000
✓ $10,000/year
Example 3
$50K, 5yr DDB
- Year 1: $20,000 (front-loaded)
✓ $20,000 yr 1
Real-World Applications
Business
Calculate depreciation for accounting.
Accountants
Apply correct method.
Tax Filers
Maximize deductions.
Car Buyers
See real depreciation.
Common Mistakes to Avoid
⚠️
Book vs market value
Book value rarely equals actual market value.
⚠️
Tax method
IRS uses MACRS. Section 179 allows immediate expensing.
Frequently Asked Questions
SL vs DDB? ▾
SL: equal each year. DDB: more in early years.
Section 179? ▾
Deduct full cost in year of purchase. $1.16M limit (2024).
Bonus depreciation? ▾
60% bonus depreciation in 2024. Consult tax professional.