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# How to Automatically Depreciate Fixed Assets in COUNT

After you register a fixed asset in COUNT, depreciation is calculated and posted automatically based on the depreciation settings you define. This means you don’t need to create recurring journal entries manually.
This article builds on the fixed asset registration process described in [How to Register Fixed Assets in COUNT](https://support.getcount.com/en/article/how-to-register-fixed-assets-in-count-ejf1gt/) and explains what happens once an asset is registered.

## **Before You Begin**
Before depreciation can be posted automatically, the fixed asset must be registered with:
* A purchase cost
* A depreciation method
* A useful life
* A depreciation start date
* A residual value (if applicable)
If you haven’t registered your asset yet, see [How to Register Fixed Assets in COUNT](https://support.getcount.com/en/article/how-to-register-fixed-assets-in-count-ejf1gt/).

## **Step 1: Go to Fixed Assets**
1. In the left-hand menu, click **Accounting**.
2. Select **Fixed Assets**.
3. Open the registered asset you want to review.

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-45_c76vdk.png =683x307)

## **Step 2: Review the Depreciation Settings**
In the asset record, confirm the following fields are correct:
* **Purchase Price**
* **Depreciation Method**
* **Effective Life**
* **Book Value**
* **Depreciation Start Date**
COUNT uses these settings to generate the depreciation schedule.

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-46_aqi9ln.png =683x650)

## **Step 3: Review the Depreciation Schedule**
Open the asset to view the depreciation schedule, including:
* Depreciation amount for each period
* Accumulated depreciation
* Net book value

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-47_14pusa6.png =683x655)

## **Step 4: Review the Posted Journal Entries**
* Go to Accounting Tab -> Journal Entries
* In the Journal Type, choose Fixed Assets

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-49_uu1mwf.png =683x683)


COUNT automatically posts depreciation journals that:
* Debit **Depreciation Expense**
* Credit **Accumulated Depreciation**
These entries update your Profit & Loss and Balance Sheet automatically.

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-50_xfs8bm.png =683x262)


|| If the Depreciation Start Date Is in the Past
* If you register an asset and select a depreciation start date in a previous period, COUNT automatically calculates and posts depreciation for all missed periods.
* For example, if you register the asset in April but set the start date to January 1, COUNT will post depreciation for January through April.

## **Viewing the Audit Log**
Each fixed asset includes an audit log showing:
* Who created or edited the asset
* What changes were made
* When the changes occurred

![](https://storage.crisp.chat/users/helpdesk/website/-/4/c/b/1/4cb158bef87e0400/untitled-design-48_1e071pa.png =683x650)