Question 1

What is Depreciation Lab?

Accepted Answer

Depreciation Lab is a professional web-based fixed asset depreciation calculator designed for CFOs, accountants, and finance professionals. Our platform automates complex depreciation calculations with audit-ready accuracy, supporting 7 methods including Straight Line, MACRS, WDV, DDB, UOP, Component, and Declining Balance.

Question 2

What depreciation methods are supported?

Accepted Answer

We support 7 depreciation methods: Straight Line (SL), Declining Balance (DB), Double Declining Balance (DDB), Units of Production (UOP), Component Depreciation (IFRS IAS 16), MACRS (US Tax - IRS Publication 946), and WDV/Written Down Value (India Income Tax Act Section 32).

Question 3

Is Depreciation Lab GAAP and IFRS compliant?

Accepted Answer

Yes. Our standard methods follow GAAP (ASC 360) and IFRS (IAS 16) requirements. MACRS follows IRS Publication 946. WDV follows India Income Tax Act Section 32. Component Depreciation follows IFRS IAS 16 requirements.

Question 4

Is there a free version of Depreciation Lab?

Accepted Answer

Yes! Our Free Tier allows you to manage up to 10 assets with standard methods (Straight Line, Declining Balance, DDB) forever. No credit card required. It is not a trial; it never expires.

Question 5

What is MACRS depreciation?

Accepted Answer

MACRS (Modified Accelerated Cost Recovery System) is mandated by the IRS for US tax. It uses specific recovery periods (3, 5, 7, 10, 15, 20, 27.5, 39 years) and conventions (Half-Year, Mid-Quarter, Mid-Month). Depreciation Lab fully automates these complex IRS rules per Publication 946.

Question 6

What is WDV depreciation?

Accepted Answer

WDV (Written Down Value) follows the India Income Tax Act, 1961 (Section 32) and Companies Act, 2013. It uses a geometric formula where a fixed percentage is applied to the Net Book Value. Depreciation Lab automatically handles the 180-day rule.

Question 7

Can I import assets in bulk?

Accepted Answer

Yes. Download our Excel (.xlsx) template, fill in your asset data, and upload it to process up to 1,000 assets in seconds. The template ensures you have all required fields like Cost, Date, and Method.

Question 8

How accurate are the calculations?

Accepted Answer

We use 64-bit floating-point precision accurate to the penny (0.01). Our engine is tested against GAAP/IFRS standards, IRS tables, India Income Tax Act schedules, and industry-standard accounting textbooks.

Question 9

What are the pricing plans?

Accepted Answer

We offer three plans: Free (up to 10 assets, 3 methods, forever free), Professional ($39/year, 150 assets, 5 methods, priority support), and Business ($180/year, 4,000 bulk assets, all 7 methods including MACRS and WDV tax methods).

Question 10

Does it handle disposals and gains/losses?

Accepted Answer

Yes. Mark an asset as disposed, enter the sale proceeds, and Depreciation Lab automatically calculates the Gain or Loss on Disposal based on the Net Book Value at that date.