Business & investing
Depreciation Calculator
Pick a method, then enter what the asset cost, what you expect it to be worth at the end, and how many years you'll use it. The schedule shows the depreciation and book value for every year.
Your result will appear here.
How it's calculated
Straight-line spreads the cost minus salvage evenly over the life. Double declining balance takes twice the straight-line rate of the current book value each year, so the charge is highest at the start, and it stops at the salvage value. Sum-of-years' digits also front-loads the charge: for a five-year life it takes 5/15, then 4/15, and so on.
Straight-line = (Cost − Salvage) ÷ Life
How to do it in Excel
=SLN(25000, 5000, 5)- Straight-line charge per year.
=DDB(25000, 5000, 5, A2)- Double declining balance for the year in A2.
=SYD(25000, 5000, 5, A2)- Sum-of-years' digits for the year in A2.