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Accumulated Depreciation Calculator.
Estimate straight-line accumulated depreciation and book value from asset cost, salvage value, and useful life.
Set your values
Results update as you type.
FAQs
Does this cover tax depreciation?
No. It is a straight-line educational estimate; tax and accounting policies may require other methods and jurisdiction-specific rules.
Cite this calculator
Canonical URL: https://mathify.one/en/business/accumulated-depreciation
Cite as: Mathify. (2026). Accumulated Depreciation Calculator. https://mathify.one/en/business/accumulated-depreciation
Use Cases
Financial Reporting
Determine the accumulated depreciation and book value of assets for balance sheet preparation and financial statements.
Example: A company with a machine costing $50,000, salvage value $5,000, useful life 10 years, after 3 years.
Asset Management
Track the value of equipment over time to make informed decisions about maintenance, replacement, or disposal.
Example: A business owner checks the book value of a vehicle after 4 years to decide if it's time to replace it.
Frequently Asked Questions
- How does the straight-line depreciation method work?
- Straight-line depreciation spreads the depreciable cost (cost minus salvage value) evenly over the useful life. Each year, the same amount is depreciated. The calculator uses this method to compute accumulated depreciation and book value based on the inputs you provide.
- What is book value and how is it calculated?
- Book value is the original cost of an asset minus its accumulated depreciation. It represents the asset's value on the balance sheet. The calculator subtracts the accumulated depreciation from the cost to give you the remaining book value.
- Can I use this calculator for tax purposes?
- This calculator provides an estimate for financial reporting and planning. For tax purposes, depreciation rules may differ (e.g., MACRS). Consult a tax professional for accurate tax depreciation calculations.
Tips & Common Mistakes
Tips
- Ensure the useful life is in the same time unit as the elapsed time (e.g., both in years) for accurate results.
- Salvage value should be the estimated resale or scrap value at the end of the asset's useful life.
- Elapsed time should not exceed the useful life; otherwise, the asset would be fully depreciated.
- Use this calculator for straight-line depreciation only; other methods (e.g., declining balance) require different calculations.
Common Mistakes to Avoid
- Entering the elapsed time in months while the useful life is in years, leading to incorrect depreciation.
- Forgetting to subtract salvage value from cost when calculating annual depreciation.
- Using a salvage value higher than the cost, which is unrealistic and will produce negative depreciation.
Last updated: August 13, 2026