How do you calculate straight-line depreciation?

Straight-line depreciation = (Asset cost − Salvage value) ÷ Useful life in years. The same amount is expensed each year.

What is double-declining-balance depreciation?

Double-declining balance is an accelerated method. Each year you apply twice the straight-line rate (2 ÷ useful life) to the asset's remaining book value, never depreciating below salvage value.

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Depreciation Calculator

Compute straight-line or double-declining-balance depreciation for any fixed asset, with a full year-by-year schedule. No signup required.

Asset cost

Salvage value (end of life)

Useful life (years)

Method

First-year depreciation

Total depreciable base

Year	Beginning	Depreciation	Accumulated	Book value

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Straight-line vs. double-declining balance

Straight-line

The simplest method — the asset loses the same value every year. Common for financial ("book") reporting because it's smooth and predictable.

Annual depreciation = (Cost − Salvage) ÷ Useful life

Double-declining balance (DDB)

An accelerated method that front-loads the expense — bigger deductions early, smaller later. Often used for tax purposes to defer taxable income.

Year's depreciation = Book value × (2 ÷ Useful life)

DDB never takes the asset below its salvage value, so later years are trued up to stop exactly at salvage.

Which should I use?

Many businesses keep two schedules: straight-line for their financial statements and an accelerated method for their tax return. That's normal and legal — the methods serve different purposes. Always confirm the method, recovery period, and any MACRS conventions with your accountant before filing.

This calculator is for general informational and planning purposes only and is not tax or accounting advice. Confirm depreciation methods and tax treatment with your own licensed professional.