Depreciation Calculator
Enter what the asset cost, what it will be worth at the end, and its useful life.
The three methods
- Straight-line: the same amount every year — (cost − salvage) ÷ life. Simple and widely used in financial statements.
- Declining balance: a fixed percentage of the remaining book value each year (double declining = 2 ÷ life), so more is written off early. The schedule switches to straight-line when that becomes larger, and never goes below the salvage value.
- Sum-of-the-years' digits: also front-loaded; year 1 uses life ÷ (1 + 2 + … + life) of the depreciable amount.
Book value
Book value = cost − accumulated depreciation. Vehicles, computers and machinery lose value fastest in the first years, which accelerated methods reflect.
Tax depreciation follows its own rules: in Pakistan, the Income Tax Ordinance sets initial and normal depreciation rates by asset class, which can differ from the accounting schedule. Ask your accountant which to use for tax returns.
How it works
- Enter — type or paste your values or text.
- Get the result — it is worked out in your browser.
- Adjust — change the inputs to compare, or copy the result.
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