Depreciation Guru

Depreciation Experts Since 1991

Depreciation Transfer Reports will be the type of report described in our fifth post on depreciation reporting.  This report shows all of the transfer activity for a selected period or periods.  It displays both sides (transferred out and transferred in) of the asset movement.  The image at the bottom of the page shows a snap-shot of part of a depreciation transfer report.  However, listed immediately below are all of the columns that this report should include:

1. Transfer Date - date of transfer
2. Asset From - asset number of the original asset
3. Asset To - asset number of the new asset
4. Transfer Code - type of transfer
5. Transferred Out -
   1. Cost - purchase price of the asset
   2. Prior - amount of depreciation calculated from the service date through the previous accounting period
   3. Current - amount of depreciation in the current accounting period or periods
6. Transferred In
   1. Cost - purchase price of the asset
   2. Prior - amount of depreciation calculated from the service date through the previous accounting period
   3. Current - amount of depreciation in the current accounting period or periods

The tricky thing about transfers is properly allocating the correct depreciation amount to each side of the transfer.  When a transfer occurs in the middle of a year there is depreciation for both sides of the transfer in that year.  Any prior years would show depreciation in the original location while subsequent years would show depreciation in the new location.

This can sometimes cause confusion when running historical reports.  Make sure that your fixed asset system properly handles both sides of a transfer in all historical, current and future reports.  If you would like any questions answered on this type of reporting, we would be happy to try and assist you.  Please feel free to ask us anything below in the comments or on the questions page.