I started recently using Manager for my own small company. I have a small problem with fixed assets.
I have a question about registering the fixed invoices. I bough a printer for my company and I went to register the invoice under Purchase Invoices. Initially I assigned it under Expenses - Computer equipment account. Then I tough about it and I realized that this is a Fixed asset. Then I went to fixed assets and I created a new fixed asset. After that I edited my invoice and set the account to fixed assets.
Now, have I made the right choice from the accounting prospective? Second thing, my Purchase Cost under fixed assets is not updated. Can it be due to the fact that the invoice was already paid?
Purchase invoices are used to enter invoices received from suppliers when you don’t pay them immediately. They create an account payable. Since you paid for the printer at the time of purchase, you should have just used the Spend Money button under whatever account you paid out of.
You were correct to create the fixed asset first. Of course, the Fixed Assets tab in the left navigation pane must be enabled. When you spend money and select Fixed assets as the account to debit, choices are presented. Select the newly created printer. Then, if you look under the Fixed Assets tab, you should see the printer listed, and the purchase cost should show. The account from which you paid should have been credited the same amount.
If you want to depreciate the printer, either in installments or all at once (depending on tax laws in your jurisdiction), click on the Fixed Assets tab. In the list that appears, click on the blue dash on the printer’s line under the “Fixed assets, accumulated depreciation” column (or whatever you might have renamed that default account. Then click on the New Depreciation Entry button and create your depreciation entry, which will show up as an expense. The Summary should then show the total value of fixed assets and the total of entered depreciation. When every asset is fully depreciated, those two numbers should match.
As I didn’t knew that I should not register the invoices I do pay immediately under the Purchase Invoices, should I now delete that item, together with linked payment and than just enter a spend money under the account from which I used to pay?
Whether you go back and redo those transactions is really up to you. From an accounting perspective they are equivalent. But if you go the Purchase Invoice route, you first create the purchase invoice. Then you have to enter another transaction to pay the invoice, allocating the payment to Accounts Payable and selecting the correct purchase invoice. On the other hand, if you just use Spend Money from whichever account you used, there is only one transaction.
The important thing is to create the fixed asset before entering anything about it and to enter depreciation as I described. You cannot enter depreciation as a journal entry due to the way Manager has certain default accounts hard-coded into the program. You simply do not get the option.
Having said all that, you might find it instructive to delete the entries and try it the easier way. That will help you understand the workings of Manager better. In your early days using the program, monitor the Summary carefully after each step to be sure whatever happens makes sense. It is much easier to fix an error immediately than try to track it down later.
I had the same problem with MaiO. I tried to do exactly the same step as you suggested but in my Manager, there is no ''New Depreciation Entry" button.
This is what you suggest.
“In the list that appears, click on the blue dash on the printer’s line under the “Fixed assets, accumulated depreciation” column (or whatever you might have renamed that default account. Then click on the New Depreciation Entry button and create your depreciation entry, which will show up as an expense.”
@azzaLeffiu, you have drilled down from the Summary page. Since no depreciation has been entered, the register is blank.
To enter depreciation, go to the Fixed Assets tab, then click on the blue dash under the Accumulated Depreciation column for the asset you want to depreciate. The New Depreciation Entry button should appear.
Hi, I have the same situation with MaiO, but this time I do purchase the asset (a Truck) on Invoice (still not pay) and my Vehicle purchase cost under fixed asset tab doesn’t change, what should I do?
I have figure out that if my invoice is from last year (not in 2018) then my purchase cost of the vehicle become 0, is this a bug? And there are no transaction recorded when click on the asset
