Depreciating Equipment?

[Sven]

Just wondering how people are depreciating their equipment. Do you use a fixed percentage of the purchase price per year or a fixed amount or what?
Thanks.

 

[Zendavor Signs]

Key is determining the realistic life of the equipment. We generally do 5 years for digital print equipment, 7 years for plotters and cutters. I think 7 years is the max. Then we split the purchase price evenly among the years. I would advise consulting with an accountant.

 

[visual800]

my cpa does all this for me and I have no idea what she does, all I do is give the infor she wants as to what equip I have

 

[WildWestDesigns]

Key is determining the realistic life of the equipment. We generally do 5 years for digital print equipment, 7 years for plotters and cutters. I think 7 years is the max. Then we split the purchase price evenly among the years. I would advise consulting with an accountant.

This is straight line depreciation here. Probably the most commonly used when depreciating equipment. At least, that's what I would think.

Double Declining is another. I believe that's were more is taking out on the front end.

Depending on how old the machine is right now, it might just be better (or necessary) to expense it all right then and there.

Best to consult with a CPA to figure out all the variables and which method would net you the most value.