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You Should be Using Fixed Assets in Dynamics GP

Fixed Assets

Are you using the Dynamics GP Fixed Asset module?  You should be.  You own it as part of the Starter Pack (if you are on GP 2013 or later).  The Dynamics GP Fixed Asset module can do everything you need for your depreciable and non-depreciable assets.

Here are 9 reasons for using the module:

  1. Group assets together:

    Plan your fixed asset implementation to make use of the Class ID to group similar assets with the same life, method of deprecation and account numbers together and add them with one drop down selection.  For example, you purchased a new server and it belongs to the Computer class.  When you select the Class ID called COMP, I get the correct life and method of depreciation automatically assigned. The Class ID can add it to all the books (usually book and tax) and default account numbers, through the Account Group, at the same time.GP Fixed Assets

  1. Integrate AP or POP and GL to the FA module:  

    This is a huge efficiency for users of fixed assets. You can mark invoices in payables or purchasing as a fixed asset and the fixed asset clearing account will be debited when you post the invoice. When adding the invoice to the fixed asset module, it will credit the fixed asset clearing account and post a debit to the correct fixed asset general ledger account.

  1. Add layers of cost to an asset:  

    If you are constructing a building or adding to an existing leasehold improvement, you can add multiple invoices to an Asset ID using the sequence number right after the Asset ID so that layers of cost can be depreciated separately but rolled up into one asset.

  1. Deprecate using book (straight line) or tax (MACRS or other accelerated methods): 

    The fixed asset module allows you to have unlimited books for each asset.  Most clients use straight-line for book and MACRS for tax. But you can track state tax depreciation, ACE or AMT with the Fixed Assets module.   These use a different combination of lives and methods to calculate depreciation.  Fixed Assets can also handle section 179 or special depreciation allowed for tax.

  1. Depreciation Undo: 

    This is one that all users will need at one time.  Forgot to include some assets in your group?  Need to add some more assets before running deprecation?  With this undo feature, you can back out the deprecation entry, recalculate and repost to the general ledger.GP Fixed Assets

  1. Easy to use reports in Fixed Assets or SmartLists to tie out to the general ledger: 

    There are many built in reporter reports to help you tie to the general ledger including the depreciation and activity reports but there are also some great SmartLists to help with reconciling the assets to the general ledger.GP Fixed Assets GP Fixed Assets

  1. Retire assets in bulk: 

    If you sell or retire a division or a large amount of assets, you can use the Mass Modify or Mass Retire functionality to retire a group or assets.

  1. Move assets from one group or class to another: 

    Some accounting rules require you to accumulate costs before you can start depreciation or amortization.  An example of this is internally developed software or intangible assets such as startup costs.  You can post these types of assets to a non-depreciable group and then move them to a depreciable group after at the appropriate time using the mass change tool.

  1. Track assets you have already expensed – using the non-depreciable method: 

    For example, if your fixed asset policy is to write off all assets up $1,000 and you purchase a new computer monitor for $400, you can set up a class of assets for expensed computer equipment and an account group with an expense account in the place of the Asset Cost.  That way you can track the assets and assign asset numbers for inventory purposes within the fixed assets module.
    GP Fixed Assets

You will also need to set up a class of assets with No Depreciation as the depreciation method so deprecation is not calculated on this class of assets.GP Fixed Assets

Hopefully these tips will convince you to try out the Fixed Assets module and dump those Excel spreadsheets and dump those Excel spreadsheets.  Please contact your account manager at Crestwood for more information about setting up fixed assets.

 

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