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Knowing how various assets depreciate will enable you to make informed, timely decisions about when to decommission older stock and when to invest in new items. You don’t want to hold onto devices for so long that they become liabilities, wasting employee time and costing money. Similarly, you do not want to buy new assets too soon. The software you use to track devices should help you to calculate depreciation, so long as the purchasing information you input is correct. As such, establish an accurate baseline to begin with. Take a physical inventory of your items, to ensure everything has been correctly cataloged and accounted for, and that “ghost” assets – those which are on your records but no longer company property – aren’t still being included.
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