What are "Fixed Assets" and why are transactions coded there?

<This article refers to using your Transaction Detail sheet which is linked in your Dashboard.>

Fixed Assets represents things you own that are depreciable over more than one year. Typical examples are:

  • Computers
  • Equipment
  • Furniture
  • Fixtures
  • Vehicles.

It is important you look over any transactions coded to a fixed asset account in order to determine if they are indeed a fixed asset or just an expense. Usually, if the item has a useful life of more than one year, and costs over $1,000, it should be a fixed asset. If you find that we coded a transaction to this account that doesn’t fit these criteria above, please edit the transaction. An example would be a Best Buy purchase for $1,200. We assume this is a single fixed asset purchase (such as a computer). If for instance the $1,200 actually represented a lot of little purchases (like ink cartridges and other small items), the transaction should be moved to office supplies. And remember, you can always create a Split ( instructions here).

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