Accumulated Depreciation Calculator
Enter asset cost, salvage value, useful life, and elapsed years to calculate annual straight-line depreciation, accumulated depreciation to date, current book value, and remaining depreciable life. Results include a full step-by-step breakdown and an asset life visualization showing how much of the depreciable base has been consumed.
Enter your asset details
Select a preset or enter your own values. All four inputs are required for the straight-line calculation.
What to do next
Want to understand the formula in depth?
Step-by-step
Tips & notes
What you get
- Annual depreciation (SL)
- Accumulated depreciation
- Current book value
- Depreciable base
- Remaining depreciation
- % of life consumed
Straight-line (SL) — equal expense every year over useful life. Capped at salvage value. Most common for financial reporting and educational use.
What this calculator does
The Accumulated Depreciation Calculator applies the straight-line method to four inputs — asset cost, salvage value, useful life, and elapsed years — and returns six output values covering every key figure in a standard depreciation analysis.
It also renders a visual asset life bar showing accumulated depreciation, remaining depreciable base, and salvage value as proportional segments of the asset's total cost — making it easy to see where the asset sits in its depreciation cycle at a glance.
Accumulated depreciation formula (straight-line)
Depreciable Base = Asset Cost − Salvage Value
Annual Dep. = Depreciable Base ÷ Useful Life
Accumulated Dep. = Annual Dep. × Years Elapsed
(capped at Depreciable Base — cannot exceed Cost − Salvage Value)
Book Value = Asset Cost − Accumulated Dep.
(floored at Salvage Value)
How to use this calculator
- Select a preset or enter your own asset values in the four input fields.
- Asset cost is the original capitalized cost — include purchase price, delivery, and installation.
- Salvage value is the estimated residual at end of useful life. Enter 0 if fully depreciating the asset.
- Elapsed years can be a decimal: enter 1.5 for 18 months, 2.5 for 30 months, etc.
- Click Calculate — all six outputs update instantly with a step-by-step breakdown.
Example calculations
Depreciable base = $50,000 − $5,000 = $45,000
Annual dep. = $45,000 ÷ 10 = $4,500/yr
Accumulated dep. = $4,500 × 4 = $18,000
Book value = $50,000 − $18,000 = $32,000
Depreciable base = $38,000 − $8,000 = $30,000
Annual dep. = $30,000 ÷ 5 = $6,000/yr
Accumulated dep. = $6,000 × 2 = $12,000
Book value = $38,000 − $12,000 = $26,000
Depreciable base = $240,000 − $30,000 = $210,000
Annual dep. = $210,000 ÷ 12 = $17,500/yr
Accumulated dep. = $17,500 × 6 = $105,000
Book value = $240,000 − $105,000 = $135,000
Depreciable base = $90,000 − $10,000 = $80,000
Annual dep. = $80,000 ÷ 8 = $10,000/yr
Accumulated dep. = $10,000 × 7 = $70,000
Book value = $90,000 − $70,000 = $20,000 (87.5% consumed)
Frequently asked questions
What is the accumulated depreciation formula?
Accumulated Depreciation = Annual Depreciation × Years Elapsed. Annual depreciation under straight-line is (Asset Cost − Salvage Value) ÷ Useful Life. The result is capped at the depreciable base — book value cannot fall below salvage value.
What is the difference between depreciation expense and accumulated depreciation?
Depreciation expense is the amount recorded in a single period — it appears on the income statement. Accumulated depreciation is the running total of all such expenses since the asset was placed in service — it appears on the balance sheet as a contra-asset account with a credit balance.
Is accumulated depreciation an asset?
No. It is a contra-asset account — it carries a credit balance and is shown as a deduction beneath the related fixed asset on the balance sheet. It reduces the asset's carrying value but is not an asset itself.
Can accumulated depreciation exceed asset cost?
Under straight-line depreciation, accumulated depreciation is capped at the depreciable base (Cost minus Salvage Value). Book value cannot fall below salvage value. Once fully depreciated, no further expense is recorded even if the asset is still in use.
How do I handle partial-year depreciation?
Enter a decimal for elapsed years — for example, 1.5 for 18 months, 2.25 for 27 months. The calculator multiplies annual depreciation by the decimal elapsed period. For mid-year placement, many companies use a half-year convention in their first year.
Does this calculator apply to tax depreciation?
No. This tool uses straight-line book depreciation only. Tax depreciation follows different rules — MACRS in the US, writing-down allowance in the UK, or other regional systems — which often use accelerated methods and different useful life tables. Always use your jurisdiction's tax rules for filing purposes.
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Disclaimer
This calculator is for educational and planning purposes only. It applies straight-line depreciation and does not provide accounting, tax, investment, or legal advice. Actual depreciation schedules may differ due to method choice (declining balance, units of production), partial-year conventions, impairment, disposals, tax rules, or entity-specific accounting policies. Consult a qualified accountant for formal depreciation schedules.