Depreciation Calculator

See yearly depreciation and book value using the straight-line or declining balance method.

The method behind this calculator

Depreciation spreads an asset’s cost over its useful life. Enter the cost, salvage value and life, choose a method, and this calculator shows the yearly depreciation and remaining book value.

Straight-line is even each year; declining balance is faster early on.

Getting your answer

  1. Enter the asset cost and salvage value.
  2. Enter the useful life in years.
  3. Pick a method and read the schedule.

The formula

straight-line = (cost − salvage) ÷ life declining (200%) = book value × 2 ÷ life each year

A worked example

On the values this calculator opens with, the year 1 depreciation is $3,600. Alongside it, Total depreciable comes out at $18,000. Change any field and every figure updates as you type.

FAQ

What’s the difference between the methods?
Straight-line depreciates the same amount each year; declining balance front-loads it, giving bigger deductions early.
What is book value?
The asset’s remaining value on the books — cost minus accumulated depreciation — which never drops below salvage.
Is this tax advice?
No — tax depreciation rules (like MACRS) differ by country. This is a general illustration.