To depreciate a
business asset in Money, create an account to track each
depreciable asset. Once a year (or as recommended by your
accountant), enter a transaction to decrease the value of the asset
by the depreciation amount.
Consult your accountant to determine the best depreciation
method for your assets and the period of time over which you should
In the lower left of the page, make sure that the Show
transaction forms check box is selected.
If the Decrease tab isn't highlighted, click
Decrease, and then click
Complete the information. In the Category box,
enter a name for the category you want to use to track depreciation
(for example, Asset Depreciation).
Follow the instructions for creating a new category.
You should include depreciation in your Schedule C report only
if you are certain that the method you use complies with the IRS
rules for the type of asset and your tax situation. For more
information, talk to your accountant or see IRS publication 946,
How to Depreciate Property, on the IRS Web site.
Because depreciation transactions do not affect your cash
balance, you should exclude them from your cash flow report.