Corresponding Policy: See ‘Depreciation of Capital Assets’ policy.
Corresponding Forms: N/A
Process: Seeking Additional Help on How to Depreciate Based on the Account Code

Capital Asset Account Code	Depreciated? (Yes/No)	Depreciation Frequency	Depreciation Expense Account Code	Accumulated Depreciation Account Code	Treatment of First Year Depreciation (see notes below table)	Treatment of Additions and Major Improvements (see notes below table)
A8011 – Equipment	Yes	Monthly	80511	A8511	1	4
A8012 – Vehicles	Yes	Monthly	80512	A8512	1	4
A8014 – Construction in Progress (Equip)	No
A8015 – Vessels	Yes	Monthly	80515	A8515	1	4
A8031 – Museum Collections	No
A8032 – Works of Art & Historical Treasures	No
A8033 – Library Special Collections	No
A8042 – Library Books (General)	Yes	Monthly	80542	A8542	2	4
A8111 – Buildings	Yes	Monthly	80611	A8611	3	4
A8112 – Construction in Progress (Building)	No
A8121 – Land	No
A8123 – Land Improvements (non-depreciable)	No
A8124 – Land Improvements (depreciable)	Yes	Monthly	80624	A8624	3	4
A8125 – Construction in Progress - Land Improvements	No
A8131 – Improvement Other Than Buildings	Yes	Monthly	80631	A8631	3	4
A8132 – Construction in Progress – IOTBs	No
A8141 – Infrastructure	Yes	Monthly	80641	A8641	3	4
A8142 – Construction in Progress – Infrastructure	No

Notes:
1 - Proportional - Depreciation begins in month that asset is acquired and ready for use.
2 - Half Year - Library additions are added to Banner Fixed Assets at end of the fiscal year; the depreciation start date is set to the middle of that fiscal year (January 1). The assumption is that, on average, library additions occur proportionately throughout the year.
3 - Proportional - Depreciation begins in month that real property is acquired and ready for use (e.g., "substantially complete"), and removed from CIP in Banner Fixed Assets. If the maintenance in Banner Fixed Assets is performed late, one would have to perform "catch-up" depreciation back to the month that the property was completed or "substantially completed." Additional capitalizable costs to completed or "substantially completed" records will be added at the end of the fiscal year, with depreciation on the additional capitalizable costs to begin on July 1 of subsequent year. Construction in Progress amounts must be updated in Banner Fixed Assets at least at year-end, but more frequently is more desirable.
4 - An addition or major improvement results in a new capital asset record that would have its own depreciation schedule. The new capital asset record would be a "component" of the original asset. See Components and Attachments in procedures manual. Depreciation pertaining to capital assets of proprietary funds is charged to auxiliary enterprise or service department funds. Depreciation pertaining to other funds is charged to the investment-in-plant fund.

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