Yes, there are two steps to setting up fixed asset Quickbooks Depreciation. Step one requires you to create a depreciation account, and step two requires you to record the depreciation. The following steps must be followed in order to set up the depreciation account:
1st step: Check to see if you already have a depreciation account.
- To avoid creating duplicates, please ensure that you do not have the depreciation accounting.
- To begin, navigate to the Settings menu and select the Chart of Accounts.
- Then, in the Filter by Name field, enter Depreciation.
Step 2: Set up a Depreciation Account.
If you have not already done so, you must create an account to track depreciation.
- In the first step, navigate to Settings and select Chart of Accounts, followed by New.
- Now, in the Account Type dropdown, select the other Expense.
- Then, from the Detail Type dropdown, select Depreciation.
- At this point, you must give the Account a name, such as "[Asset] depreciation." Finally, once all of the preceding steps have been completed, you must click on Save and Close.
Step 3: Calculate the Depreciation
You must keep track of the assets and their depreciation in this section. After you have finished talking with the accountant at the end of the year, you must now make a journal entry to record the lost value.
- In the first step, choose + New, followed by Journal entry.
- Second, from the Account dropdown, select the Assets Account on the first line, which you will use to Track the Loan. Then, in the Credits column, enter the Depreciated Amount.
- Following that, Select the Depreciation Account you just created on the second line from the Account dropdown and enter the same depreciated amount in the Debits column.
- After completing the preceding steps, select the Save option.
Finally, tracking depreciation is a breeze with QuickBooks Accounting Software 2017. However, if you are having difficulty completing the task due to a technical issue, you can and are always welcome to seek the assistance of QuickBooks' supportive and friendly professional experts
