Depreciation Calculator

Depreciation Calculator

August 5, 2026 · 2 min read

Depreciation Calculator

Estimate Asset Value Over Time with Confidence

A depreciation calculator helps you see how an asset loses value year by year without having to build formulas manually in a spreadsheet. Whether you're reviewing equipment costs, planning for accounting records, or comparing methods for financial analysis, a clear schedule can save time and reduce mistakes.

Compare Common Depreciation Methods

This tool supports straight-line, declining balance, and sum-of-the-years'-digits calculations. Straight-line is the simplest option, with the same expense each year. Accelerated methods, on the other hand, shift more depreciation into the early years of an asset’s life. That difference can matter when you're evaluating cash flow, tax strategy, or long-term book value.

Clear Results, Practical Output

Enter the asset cost, salvage value, and useful life, then choose the method that fits your situation. The depreciation calculator returns annual depreciation, ending book value, total depreciable amount, and a year-by-year table that's easy to read. For straight-line calculations, it also shows monthly depreciation for added detail.

If you need a fast, reliable way to build an asset depreciation schedule, this tool keeps the process simple while giving you the numbers that matter.

Straight-line spreads depreciation evenly across the asset’s useful life, so the expense stays the same each year. Declining balance is an accelerated method, which means it records larger depreciation amounts in the earlier years and smaller amounts later, based on the asset’s beginning book value. Sum-of-the-years'-digits is also accelerated, but it follows a fixed fraction each year using the remaining life over the sum of all years, giving you a structured decline rather than a percentage-based one.

Because salvage value is the estimated amount the asset is expected to be worth at the end of its useful life. Depreciation should reduce the asset only down to that amount, not past it. A good depreciation schedule always respects that floor, so the final book value stays realistic and aligned with standard accounting treatment.

Monthly depreciation is useful when you need more detailed reporting, especially for budgeting, internal tracking, or accounting periods that don’t line up neatly with a full year. In this tool, monthly depreciation is shown for straight-line mode because that method divides cleanly into equal periods. It’s a quick way to translate the annual figure into a month-by-month estimate.

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