Understanding AutoCount Fixed Assets Register – Asset Types and Asset Categories

Introduction to AutoCount Fixed Assets Management Plugin

The AutoCount Fixed Assets Management Plugin is an essential tool for businesses to manage their fixed assets effectively. This module allows users to categorize and track their fixed assets, apply consistent depreciation methods, and generate accurate financial reports. With this plugin, businesses can streamline asset management processes, ensuring that all assets are properly accounted for and maintained throughout their lifecycle. This guide will help you understand how to set up Asset Types and Asset Categories within the AutoCount Fixed Assets module, enhancing your overall asset management strategy.

1. Asset Types

Asset Types are broad classifications of fixed assets based on their nature and usage in the business. They help in grouping similar kinds of assets, making it easier to apply consistent accounting treatments and manage them effectively.

Examples of Asset Types:

• Vehicles
• Machinery
• Furniture & Fittings
• Office Equipment
• Buildings

2. Asset Category

Asset category are specific subdivisions within an Asset Type. These category provide a finer level of classification, allowing for detailed tracking and management of assets.

Examples of Asset category under Furniture & Fittings:

• Tables
• Chairs
• Desks
• Cabinets

Steps to Key In Asset Types and Asset Category in AutoCount

Step 1: Setting Up Asset Types

a) Navigate to the Asset Register Module:

• Open AutoCount Accounting.
• Go to the Asset Register module.

b) Access Asset Type Maintenance:

• In the Asset Register module, select “Asset Type Maintenance” from the menu.

c) Create a New Asset Type:

• Click on “New” to create a new asset type.
•  Fill in the details as follows:
  • Code: FF (Furniture & Fittings)
  • Depreciation Method: Straight Line
  • Salvage/Residual Value: 1
  • Calculate By: Year
  • Number of Years: 10

d) Set Account Codes:

• Fill in the details as follows:
  • Asset Acct Code: 200-2000 (Furniture & Fittings)
  • Accum. Deprn Acct Code: 200-2005 (Accum. Deprn. – Furniture & Fittings)
  • Depreciation Acct Code: 903-0000 (Depreciation of Fixed Assets)
  • Profit/Loss Acct Code: 916-0000 (Loss on Disposal of Fixed Assets)
  • Asset Write Off Acct Code: 917-0000 (Write Off of Fixed Assets)

d) Set Account Codes:

• Fill in the details as follows:
  • Asset Acct Code: 200-2000 (Furniture & Fittings)
  • Accum. Deprn Acct Code: 200-2005 (Accum. Deprn. – Furniture & Fittings)
  • Depreciation Acct Code: 903-0000 (Depreciation of Fixed Assets)
  • Profit/Loss Acct Code: 916-0000 (Loss on Disposal of Fixed Assets)
  • Asset Write Off Acct Code: 917-0000 (Write Off of Fixed Assets)

d) Save the Asset Type:

• After filling in all the necessary details, click “Save” to store the new asset type.

Step 2: Setting Up Asset Category

a) Navigate to Asset Category Maintenance:

• In the Asset Register module, select “Asset Category Maintenance” from the menu.

b) Create a New Asset Category:

• Click on “New” to create a new asset category.
• Fill in the details as follows:
  • Code: “T&C” or “TC”
  • Description: Tables & Chairs

c)  Link to Asset Type:

• Ensure that the asset category is linked to the correct asset type. This may be set during the asset creation process or through a linking function, depending on your AutoCount setup.

d)  Save the Asset Category:

• After filling in all the necessary details, click “Save” to store the new asset category.

Industry examples:

Importance of Proper Setup

• Accurate Financial Reporting: Proper classification ensures accurate tracking of asset costs, depreciation, and disposals, leading to precise financial statements.
• Efficient Asset Management: Grouping assets by type and category helps in managing maintenance schedules, replacements, and budgeting.
• Compliance: Ensures compliance with accounting standards and regulatory requirements by applying consistent accounting treatments.