Paritian

Finance

Straight-Line Depreciation Calculator

Annual depreciation, book value after n years and the total written off.

Results

Annual depreciation 4200.00
Book value 12,400.00
Amount 12,600.00
Percentage 16.800 %

What this tool does

Straight-line depreciation spreads the loss in value evenly across the useful life, which is the method most tax rules default to. The book value never drops below the residual value you enter, so a fully depreciated asset still shows what it is expected to be worth.

Formula

straight line: (cost − residual) ÷ useful life

Variables

SymbolMeaningUnit
cCost
rvResidual value
nUseful lifea
yYears
DAnnual depreciation
BBook value
AAmount
PPercentage%

Worked example

  • Cost25,000
  • Residual value4000
  • Useful life5 a
  • Years3
  • Annual depreciation4200.00
  • Book value12,400.00
  • Amount12,600.00
  • Percentage16.800 %

Limitations

  • This is an informational calculator, not personalised financial advice. Rates, fees, taxes and contract conditions vary between institutions and countries.
  • Tax rates and rounding rules differ between countries and sometimes between regions. Use the rate that applies to your invoice.
  • The tool works with whatever currency you use for the inputs; it does not convert between currencies.