Add an asset

 

 

When you create or edit an asset, you can enter:

• Depreciation method (Prime Cost, Diminishing Value, or None) - AU only
• Depreciation method (Diminishing Value, Straight Line, or None) - NZ only 
• Depreciation rate.
• Start month for depreciation.
• Residual value (optional minimum value).
• Serial number (optional).
• Investment Boost (where applicable).
• Whether it is a new purchase or an onboarded existing asset.

New vs onboarded assets

You choose how your asset is treated:

• New purchase – depreciation is based on what you paid for the asset.
• Onboarded asset – depreciation is based on the current book value from another system.

How depreciation is calculated

Farm Focus calculates depreciation automatically in the background using the depreciation method, rate and other settings you select.

Depreciation is calculated from the asset's depreciation start date through to the end of your financial period.

The way depreciation is pro-rated differs between Australia and New Zealand:

• AU only: Depreciation is pro-rated using exact calendar days.
• NZ only: Depreciation is calculated using whole months.

Your depreciation is updated automatically when you change relevant asset settings, record additions, or record disposals.

Financial year

The financial year also differs by country:

• AU only: The financial year is fixed from 1 July to 30 June for every farm.
• NZ only: The financial year is based on the farm's balance date.

Extra depreciation controls

You can also:

• Add, remove or edit depreciation for each asset.
• Set a residual value so depreciation stops at a set amount.
• Apply Investment Boost, where applicable.
• Record additions (capital improvements) over time.
• Record partial or full disposals.

Recording additions

Select tthe additions tab to  record improvements you make after buying an asset , including:

• The date of the improvement.
• The amount you spent.
• Any notes.

 

TIP: When you add additions, your asset value increases from that date and future depreciation is updated automatically.

Recording additions

Select the Additions tab to record improvements you make after buying an asset, including:

• The date of the improvement.
• The amount you spent.
• Any notes.

When you add an improvement, your asset value increases and future depreciation is updated automatically.

The timing of additions differs by country:

• AU only: Changes to additions take effect from the start of the financial year in which they are recorded.
• NZ only: Additions apply from the month in which they are recorded.

Recording disposals

Select the Disposals tab to record when you dispose of an asset, either fully or partially.

For each disposal, you enter:

• Date.
• Percentage sold.
• Sale price.
• Notes.

Farm Focus then:

• Adjusts your remaining depreciation.
• Calculates any gain or loss.
• Updates your reports automatically.

Changes to depreciation rates and settings

You can change the depreciation settings for an asset when required.

The timing of these changes differs between Australia and New Zealand:

• AU only: Changes to depreciation rates and settings take effect from the start of the financial year in which they are recorded.
• NZ only: A depreciation rate can change from any month.

Viewing your Asset Register

You can use three tabs in the Asset Register:

1. Assets tab

You see a list of all your assets with key details and settings.

2. Depreciation schedule

You can view depreciation across all assets for a selected period.

You can see:

• Opening and closing values.
• Total depreciation.
• Additions and disposals.

This report can be printed 

3. Disposal schedule

You can view all asset disposals for a selected period.

You can see:

• Partial and full disposals.
• Sale value and book value.
• Gain or loss.

Using depreciation in your EFS and P & L reports

You can choose where your depreciation comes from:

Register-based (automated)

• Your depreciation is calculated automatically from the Asset Register.
• Investment Boost is included in your totals.
• Any gain or loss from disposals appears in your P&L (not EFS).

Manual entry

• Your existing manually entered values are used.
• Your current workflow stays the same

We recommend completing the asset register with support from your accountant