Depreciation By Account Codes
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.