Find accumulated depreciation and net book value of an asset using straight-line depreciation.
Please do not make financial decisions based on these results.
What is the Accumulated Depreciation Calculator?
Find accumulated depreciation and net book value of an asset using straight-line depreciation. To use the Accumulated Depreciation Calculator, enter asset cost, salvage value, useful life, years in use; it returns accumulated depreciation, net book value, annual depreciation, and shows them instantly as you type.
Where the Accumulated Depreciation Calculator fits
Find accumulated depreciation and net book value of an asset using straight-line depreciation. The main figure it returns is the Accumulated depreciation, worked out from the values you enter.
It belongs with the other business planning tools. If you are comparing options or checking a result from another angle, try the Labor Cost Calculator, Price / Quantity Calculator or the EMV Calculator – Expected Monetary Value.
How to use the Accumulated Depreciation Calculator
- Enter your numbers. The inputs are Asset cost ($), Salvage value ($), Useful life (years), Years in use. Use figures from the same period (same month, quarter or year) for every field. Fields marked optional can stay at zero.
- Read the result. The highlighted box gives the Accumulated depreciation, and the cards below show Net book value, Annual depreciation. Tables and charts break it down further.
- Test other scenarios. Results update as you type. Change one value at a time to see what drives the answer, and press Reset to go back to the defaults.
Formula and how it works
Example with real numbers
Here is the Accumulated Depreciation Calculator using the default values shown in the calculator above:
Inputs
| Asset cost ($) | 50,000 |
|---|---|
| Salvage value ($) | 5,000 |
| Useful life (years) | 10 |
| Years in use | 4 |
Results
| Accumulated depreciation | $18,000.00 |
|---|---|
| Net book value | $32,000.00 |
| Annual depreciation | $4,500.00 |
With these inputs the calculator returns Accumulated depreciation: $18,000.00. Change any value in the calculator to see how the result moves.
What if you change one input?
Sensitivity check: raising Asset cost ($) from 50,000 to 60,000 (about 20% higher) and leaving everything else as in the example above changes the results like this:
| Result | Example | After the change | Change |
|---|---|---|---|
| Accumulated depreciation | $18,000.00 | $22,000.00 | +22.2% |
| Net book value | $32,000.00 | $38,000.00 | +18.8% |
| Annual depreciation | $4,500.00 | $5,500.00 | +22.2% |
The input that moves the result most is the one to check twice. Change it in the calculator above to test your own case.
What the results tell you
The results panel of the Accumulated Depreciation Calculator reports Accumulated depreciation, net book value and annual depreciation. Compare these figures while changing one input at a time, and use the related calculators below to look at the same situation from another angle.
Method and limits. This calculator applies the formula in the section above to your inputs, in your browser; nothing you enter is stored on our servers. The result is only as accurate as the numbers you enter and the formula shown above. It is for information, not financial, tax or legal advice.
Frequently asked questions
What is net book value?
It is the asset cost minus accumulated depreciation, the value carried on the balance sheet.
Are the results forecasts?
No. They apply the formula shown to the numbers you enter, so the output is only as realistic as your assumptions.
What is the most important number for a new business?
Cash runway. A profitable plan still fails if cash runs out first, so check burn rate and break-even together.
Are the results guaranteed?
No. Results depend entirely on the numbers you enter and the formulas shown on this page. Please do not make financial decisions based on them alone; confirm important figures with a licensed professional.
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