Accumulated Depreciation Calculator
Find the total depreciation charged to date and the net book value of a fixed asset. Choose straight-line, double-declining or 150%-declining-balance, enter cost, salvage value, useful life and years elapsed.
years
years
Depreciation method
Total depreciation charged since the asset was placed in service
- 1
Depreciable amount
50,000 − 5,000 = 45,000The total amount that can ever be depreciated (cost minus salvage value). - 2
Annual depreciation
45,000 ÷ 10 = 4,500 - 3
Accumulated depreciation
4,500 × 3 = 13,500
How does this calculator work?
Accumulated depreciation is the sum of all annual depreciation charges taken to date. Straight-line: (Cost − Salvage) ÷ Life per year. Double-declining balance: Book Value × (2 ÷ Life) per year, never below salvage. Book Value = Cost − Accumulated Depreciation. Total depreciation is always capped at Cost − Salvage.
Formula
How this is calculated
Depreciation allocates the cost of a long-lived asset over its useful life. Three methods are common. Straight-line (SL) spreads the depreciable amount — original cost minus salvage value — evenly: every year the same charge is applied until the book value reaches the salvage floor, making it simple and predictable. The declining-balance methods apply a fixed percentage to the remaining book value each period, so charges are front-loaded in the early years and taper as the asset ages. Double-declining balance uses a rate of 2 ÷ useful life; the 150% variant uses 1.5 ÷ useful life. In both cases, the book value cannot fall below the stated salvage value.
Accumulated depreciation is the running total of all annual charges taken from the date the asset was placed in service to the current date. Book value equals original cost minus accumulated depreciation, and it is the figure carried on the balance sheet. The depreciable amount (cost minus salvage) is the ceiling: no method can ever depreciate the asset by more than this amount, regardless of the useful life selected.
The right method depends on the asset and jurisdiction. Straight-line is simplest and acceptable under most accounting standards. Accelerated methods like DDB are preferred for assets that lose economic value rapidly (vehicles, computing equipment) and may produce larger early-year tax deductions where permitted. US MACRS combines declining balance with a switch to straight-line; check local tax rules before choosing a method for tax purposes.
Frequently asked questions
Accumulated depreciation is a contra-asset account that records the total depreciation expense charged against an asset since it was acquired. It reduces the gross asset cost to show the net book value (carrying value) on the balance sheet.
Straight-line gives the highest book value in early years because it spreads charges evenly. Declining-balance methods charge more in the early years, reducing the book value faster. The total depreciation taken over the full useful life is the same for all methods.
No. Accumulated depreciation is capped at the depreciable amount (cost minus salvage value). Once the book value reaches the salvage value, depreciation stops regardless of the age of the asset.
Also known as
TG we-Calculate Editorial Team. (2026). Accumulated Depreciation Calculator [Online calculator]. TG we-Calculate. https://we-calculate.com/calculator/accumulated-depreciation-calculator
TG we-Calculate Editorial Team. "Accumulated Depreciation Calculator." TG we-Calculate. 2026. https://we-calculate.com/calculator/accumulated-depreciation-calculator.
TG we-Calculate Editorial Team, "Accumulated Depreciation Calculator," TG we-Calculate, 2026. [Online]. Available: https://we-calculate.com/calculator/accumulated-depreciation-calculator
@misc{wecalculate_accumulated_depreciation_calculator, title = {Accumulated Depreciation Calculator}, author = {{TG we-Calculate Editorial Team}}, howpublished = {\url{https://we-calculate.com/calculator/accumulated-depreciation-calculator}}, year = {2026}, note = {TG we-Calculate} }
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