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Depreciation Calculator

Calculate asset depreciation using multiple methods including Straight-Line, DDB, and SYD

Equal depreciation expense each year. Most commonly used method.

Asset Details

Estimated value at end of useful life

Depreciation Schedule

Enter asset details and click Calculate

Depreciation schedule will appear here

Depreciation Methods Explained

Straight-Line Depreciation

Formula: (Cost - Salvage Value) / Useful Life

The simplest and most commonly used method. Allocates an equal amount of depreciation expense each year. Best for assets that lose value steadily over time.

Double Declining Balance (DDB)

Formula: 2 × Straight-Line Rate × Book Value

An accelerated method that recognizes more depreciation in early years. Common for assets that lose value quickly (vehicles, technology). Switches to straight-line when beneficial.

Sum of Years Digits (SYD)

Formula: (Remaining Life / Sum of Years) × Depreciable Base

Another accelerated method. Uses a fraction that decreases each year. Provides more moderate acceleration than DDB. Good for assets with predictable declining utility.

Units of Production

Formula: (Units Produced / Total Units) × Depreciable Base

Based on actual usage rather than time. Best for manufacturing equipment, vehicles, or any asset where wear is related to production or usage.

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