How to find the annual depreciation rate formula. How to calculate the depreciation of fixed assets in accounting. Linear depreciation method

Depreciation is the gradual transfer of costs incurred for the purchase or construction of fixed assets to the cost of the finished product. In other words, with its help, the money that was spent on the construction or purchase of property is compensated.

Depreciation deductions are made over a long period - throughout the entire time of the practical operation of the property: from putting it on the balance sheet of the enterprise in connection with its commissioning to deregistration. The procedure for depreciation charges is approved by Article 259 of the Tax Code of the Russian Federation.

There are four methods for calculating depreciation, one of which is linear, the rest are non-linear. Due to its simplicity, the linear method is the most widely used in practice.

Straight-line method of depreciation of fixed assets

The straight-line method of depreciation means that the cost of a fixed asset is written off in the same proportional parts throughout the entire period of its use.

What objects does it apply to?

Each organization has the right to independently choose the method of writing off depreciation.

Objects of fixed assets are divided into 10 cushioning groups depending on the period of their operation. Without fail, the straight-line method of depreciation must be applied to buildings, structures and transmission devices belonging to three groups:

• Group VII - objects with a period of operation of 20-25 years;
• XI group - objects with a period of operation of 25-30 years;
• X group - objects with a period of operation of more than 30 years.

For the rest of the objects, it is allowed to apply any method of depreciation at the choice of the organization, fixed in the order on accounting policy.

The straight-line method of depreciation can be used both for new property and for objects that were previously in use (operation).

IMPORTANT! Until recently, the chosen depreciation principle could not be changed to another throughout the entire period of deductions for this object. From January 01, 2014, the organization has the right to make the transition from the non-linear method to the linear one once every five years. For the reverse transition - from linear to non-linear - there are no time limits, it is allowed to do this at any time, after amending the provision on the accounting policy of the enterprise.

Video - methods for calculating depreciation of fixed assets:

How to calculate the depreciation of fixed assets using the straight-line method

To determine the amount of monthly depreciation deductions in a linear way, it is necessary to know the primary cost of the object, its operational life and calculate the depreciation rate.

1. The primary cost of the object

The basis for the calculation is the primary cost of the object, which is calculated by summing up all the costs of its purchase or construction. If a revaluation of the value of the property was carried out, then such an indicator as the replacement cost is used for the calculation.

2. Operating period

The operating period is established by studying the classification list of fixed assets, differentiating them into depreciation groups. If the object is not recorded in the list, then the term of its operation is assigned by the organization depending on:

• predicted time of use;
• expected physical wear;
• expected operating conditions.

3. Depreciation rate formula

The annual depreciation rate is expressed as a percentage of the primary (replacement) value of the property and is calculated using the formula:

K \u003d (1: n) * 100%,

where K is the annual depreciation rate;

n is the service life in years.

If you need to find out the monthly depreciation rate, then the result is divided by 12 (the number of months in a year).

4. Formula for calculating depreciation

With the straight-line depreciation method, the calculation formula is:

A \u003d C * K / 12,

where A is the amount of monthly depreciation;

C - the primary cost of the property;

K - depreciation rate calculated according to the formula in the 3rd paragraph.

Depreciation order

With a uniform depreciation calculation, they are guided by the general rules for the product of depreciation deductions, namely:

• it is necessary to charge depreciation from the 1st day of the month following the month of putting this property on the balance sheet of the enterprise;
• make depreciation deductions regardless of financial results;
• make depreciation deductions every month and take them into account in the corresponding tax period;
• the grounds for suspension of depreciation deductions are considered to be the conservation of the object for a period of 3 months or its long-term repair (more than a year). Deductions are renewed immediately after the return to service;
• depreciation deductions are terminated from the 1st day of the month following the month of write-off for depreciation, withdrawal from the balance sheet or loss of ownership of this property.

Advantages and disadvantages of the linear method

Main advantages straight line depreciation method:

• Ease of calculation. The calculation of the amount of deductions must be made only once at the beginning of the operation of the property. The amount received will be the same for the entire period of operation.
• Accurate accounting writing off the value of the property. Depreciation deductions occur for each specific object (unlike non-linear methods, where depreciation is charged on the residual value of all objects of the depreciation group).
• Equal transfer of costs at cost. With non-linear methods, depreciation is greater in the initial period than in the subsequent one (write-off occurs in descending order).

The linear method is convenient to use in cases where it is planned that the object will bring the same profit during the entire period of its use.

Main disadvantages linear method:

The method is inappropriate to apply to equipment that is subject to rapid obsolescence, since the proportional write-off of its cost does not provide the proper concentration of resources needed to replace it.

Production equipment is characterized by a decrease in productivity with an increase in the number of years of operation. As a result, it will require additional costs for maintenance and repair, due to breakdowns and failure. Meanwhile, depreciation will be written off evenly, in the same amounts as at the beginning of operation, since the linear method does not provide otherwise.

For enterprises planning to quickly update production assets, it will be more convenient to use non-linear methods.

The cumulative amount of property tax over the entire life of the property, to which the straight-line method is applied, will be higher than with non-linear methods.

Example of calculating depreciation using the straight-line method

A fixed asset worth 1,000,000 rubles was placed on the company's balance sheet in March. The accountant determined that its operational life, according to differentiation by depreciation groups, would be 10 years.

The procedure for calculating depreciation using the straight-line method for this example:

• We determine the annual depreciation rate: K \u003d 1/10 * 100% \u003d 10%.
• The monthly depreciation rate will be: 10%/12 = 0.83%.
• Determine the amount of monthly depreciation:

1,000,000 * 10% / 12 \u003d 8333 rubles.

• The amount of depreciation deductions for the year of operation is:

1,000,000 rubles / 10 years = 100,000 rubles.

Thus, using the straight-line method, depreciation must be charged from April in the amount of 8333 rubles per month.

Depreciation of used property

Often, objects that were in use fall into the disposal of the organization, for example:

• objects purchased in not new condition;
• property received as a contribution to the authorized capital;
• fixed assets transferred to the enterprise on the basis of succession after the reorganization.

The scheme and procedure for accruing depreciation on a straight-line basis for such objects will be the same as with new property. The only difference for fixed assets that were in operation is the calculation of the useful life. In order to determine it, you need to subtract the number of years (months) of its actual use from the service life established by the previous owner.

findings

The straight-line method of depreciation assumes that the physical depreciation of property occurs evenly throughout the entire operational period. This mainly applies to stationary structures, which do not wear out and become obsolete as quickly as equipment.

Let's take a look at the concept of depreciation. Here you will learn how to calculate the depreciation of fixed assets. Starting from 2002 and up to the present day, the following depreciation methods have been used in accounting: straight-line depreciation method, diminishing balance method, method in proportion to the volume of output, as well as the method by the sum of numbers of years of useful life. In the article, we will analyze these 4 methods for calculating depreciation with examples.

The calculation of depreciation deductions for fixed assets involves the use of the initial or residual value and the depreciation rate of fixed assets. The initial value is the cost at which the object is accepted for accounting upon receipt by the enterprise. Read more about the receipt of fixed assets. The residual value of fixed assets is the difference between the original cost and accrued depreciation.

The general formula for calculating depreciation:

Cost (initial or residual) * depreciation rate / 100%.

Calculating the rate is very simple, for this you need to divide the entire depreciation (taken as 100%) by. Then you can calculate the amount of depreciation for the past year, that is, multiply the initial cost by the rate and divide by 100%. How to calculate depreciation per month? To do this, it remains only to divide the amount received by the previous action by the number of months in a year.

It is called a long-term operation of a phased transfer of the value of fixed assets to products manufactured by an enterprise, the purpose of which is to create a special depreciation fund. Subsequently, these funds are used for partial or complete renovation, that is, fixed assets.

The law fixes annual interest rates, with the help of which the amount of annual deductions for the redemption of the cost of fund objects is determined. This interest rate is called the depreciation rate.

General information

Funds accrued for depreciation are included in the cost of manufactured products. That is, after the sale of the goods, part of the proceeds is sent to the depreciation fund. They are calculated taking into account the period of their depreciation and use in the production process.

• is the property of the taxpayer;
• used by them for profit;
• offset by depreciation.

Not subject to depreciation:

• property, from third parties,
• housing facilities, unless they are used to generate income;
• fixed and irreplaceable types of fixed assets: land, forests.

The main functions of depreciation funds:

• restoration of completely worn out or unusable;
• gradual renewal of funds;
• acquisition of new equipment and facilities.

The calculation of the amount of depreciation begins from the date of posting, the last term for calculating depreciation will be the moment the means of production are excluded from the balance sheet. Accruals are not made during repair, reconstruction or conservation for a period of at least three years.

The concept of depreciation rate

The depreciation rate is calculated by dividing the total amount of depreciation for 1 year by the initial cost of production assets (in %). In other words, this value is inversely proportional to the useful life of the object.

Norms can be set according to the data of a special Directory, but enterprises have the right to independently establish or calculate the depreciation rate.

The depreciation rate is directly related to the useful life of various fixed assets. is determined taking into account the pace of development of science and technology, the technical capabilities for the production of new funds, the relationship between needs and opportunities in the sphere of production.

Methods for their calculation

To determine the norms, it is required to know the initial cost and duration of the useful life of fixed assets.

There are usually no problems with determining the initial cost, but sometimes it is rather difficult to establish the period of use of production objects. Some enterprises set these terms independently, in particular, when depreciating intangible assets.

Using a single classifier

But you can apply a single Classifier for, approved by Decree No. 1 of the Government of the Russian Federation of 01/01/2002. If the depreciable object belongs to several groups at the same time, the period can be set independently within the allowable groups. After that, you can calculate the monthly depreciation rate.

To calculate the amount for the year, we multiply the monthly rate by 12. If you need to calculate the depreciation rate for a period of more than a year or less, the monthly rate should be multiplied by the number of months that have passed since.

• The coefficient of physical depreciation is determined by the formula: KFI \u003d Depreciation: Initial cost of fixed assets.
• The shelf life coefficient is used to determine the state of the object on the date of calculation and is calculated by the formula: KG = Residual value: Initial cost of fixed assets.

Obsolescence is the depreciation of funds until they reach full physical deterioration. The degree of obsolescence is determined by the formula:

In fact, the degree of depreciation of funds does not always affect their normal functioning. In modern conditions, enterprises tend to introduce new technologies, use more modern means of production. For this, it is used

How to determine the annual amount of depreciation - the scheme of actions is regulated by law. There is a relationship between an entity's accrual methodology and the category to which a particular asset belongs, which affects how it is calculated.

Annual depreciation rate: basic concepts and methodological framework

The tax code distinguishes two ways to determine the annual depreciation amount:

The annual rate of depreciation is in the form of a percentage of the value of the asset. It shows how the original value of an object is related to wear and tear. It is possible to determine the amount of annual depreciation if you know:

• initial cost estimate;
• the service life of the device or other asset, which is fixed by the technical documentation;
• estimated value at the time of liquidation.

In accounting, the annual amount of depreciation, the depreciation rate formula, depends on the chosen accounting methodology. The choice can be stopped on one of the options:

• linear;
• cost write-offs based on the sum of numbers of years of the useful life period;
• in proportion to the value of the volume of output.

Annual depreciation rate: formula for reflecting data in accounting

With a linear methodology, the calculation of the rate of deductions involves the calculation of this indicator as a percentage according to the rules of PBU 6/01 (clause 19). You can determine the annual amount of depreciation by dividing 1 by the years falling on the useful life of the facility. To obtain a percentage expression, the value is multiplied by 100%.

Depreciation methodology by systematically reducing the balance The amount of annual depreciation is calculated on the basis of special increase factors, the scale of values ​​of which is established by the enterprise. The maximum number of this indicator is 3 units. Annual depreciation rate - formula:

• Increasing factor / period of operation of the object.

To determine the annual depreciation rate using the write-off method based on the sum of the numbers of years of the operating period, you can use the formula:

• CL / Sum CL, where
  • CL - the total number of years left until the end of the useful life of a single object.

The annual depreciation rate in the case of linking depreciation deductions to the volume of manufactured products is not determined, only monthly indicators appear.

Annual depreciation amount: tax accounting formula

With the linear method, annual depreciation charges, the formula of which involves determining the percentage value of the norm similarly to accounting, are distributed during operation in equal shares.

It is allowed to determine the amount of depreciation charges for the year separately for each asset, their grouping is not allowed.

Monthly and annual depreciation - the formula for non-linear methods uses a scale of coefficients in the breakdown of assets into groups. The coefficients are the values ​​approved by law for each category of property objects (Article 259.2, paragraph 4).

The monthly indicator is calculated according to the algorithm:

• Residual value of all assets in the group * coefficient (its value is taken from the table in Article 259.2 of the Tax Code of the Russian Federation)

For non-linear methods in tax accounting, a characteristic feature is that deductions are displayed in total for all assets in a particular group without itemized detailing of calculations.

Annual depreciation: formula and examples

Accounting data:

• the value of the property is 275,000 rubles;
• the period of use of the asset is 10 years;
• The accounting policy provides for an acceleration factor of 1.3.

The annual depreciation expense can be calculated using the declining balance method as follows:

1. 100%:10=10%.
2. The amount of depreciation for the year - the formula for the 1st year of operation:
   • 275,000 x 10 x 1.3 / 100 = 35,750 rubles.

     Formula for the second year:

   • (275,000 - 35,750) x 10 x 1.3 / 100 = 31,102.5 rubles.

1. Year one: 275,000 x 10 / (1 + 2 + 3 + 4 + 5 + 6 + 7 + 8 + 9 + 10) = 50,000 rubles.
2. Year two: 275,000 x 9 / (1 + 2 + 3 + 4 + 5 + 6 + 7 + 8 + 9 + 10) = 45,000 rubles.

Annual depreciation rate - the formula for the method with reference to the indicator of production volume is represented by the sum of monthly depreciation values. Monthly calculations are carried out according to the following scheme (for example, a car was purchased for 614,000 rubles, it is planned to be used until the mileage mark of 600,000 km is reached):

• Scope of work (production for production facilities) per month Х 614,000 / 600,000.

How to calculate the annual depreciation rate in a non-linear way to reflect data in tax accounting? For example, a company purchased a hay harvester worth 210,000 rubles. The unit belongs to depreciation group No. 2 (a detailed classification of property assets by groups is given in Government Decree No. 1 dated 01.01.02). The term of operation for objects of this group is limited to 3 years. The company has set the operating period for the haymaker at 36 months.

The coefficient for the group is 8.8; on the 1st day of the month, the group of assets had a total value of 560,000 rubles.

The annual depreciation amount will be equal to 67,760 rubles ((560,000 + 210,000) x 8.8 / 100).

By increasing depreciation deductions, this is a rather risky and time-consuming method of tax optimization. At the same time, practice shows that many manage to increase the amount of depreciation (or reduce the initial cost of the object) and thereby save income tax. Let's consider what saving methods allow organizations to reduce income tax through depreciation and how risky their use is from a tax point of view in the article "Five Simple Ways to Reduce Income Tax Through Depreciation."

The accountant himself determines it based on the useful life of the object according to the formula:

Note: since depreciation rates are determined depending on the useful life of the object, and such a period is determined by the so-called depreciation groups, in our table, the initial indicator is the depreciation group - this will make it easier for you to use the table.

Estimated depreciation rates for fixed assets by depreciation groups