What affects the useful life of the asset and how to recognize it?
On the balance of any, even the smallest organization, there is such a category of accounting as fixed assets. These have a real form and useful life of more than a year. Gradually, the funds wear out, their cost is reduced and transferred in the form of depreciation in parts to the cost of manufactured products.
Dependence of the main stages of work
At the same time, this group has a huge impact on the management of the entire business process. Many parameters are directly related to the cost of fixed assets:
- Taxes (in particular, property, profits, and others).
- The price of the final product.
- The value of the assets of the enterprise, etc.
Knowing the useful life of the asset, the organization’s accounting department rationally distributes depreciation in order not to violate the law, protect the enterprise from the risks of damage, and reach planned financial indicators.In addition, this information is of great importance in taxation. It is very important to accurately determine the desired value for the payment of the tariff for property. In the calculation of the amount of this tax, the residual value of one of the objects of the fixed assets group (fixed assets), which is the difference between the full (initial) price and its depreciation accrued over time, is primarily involved. The latter figure is closely related to the term of use. Therefore, an incorrect definition of this period leads to distortion and errors in the calculation of property tax. In order to avoid unpleasant consequences, consider where and how to find information of interest to the accountant.
The useful life of the asset is the period during which this object brings economic benefits to the organization. In this case, the indicator is calculated on the basis of the classification given and approved by a government decree. This document entered into force on January 1, 2002. In accordance with it, all fixed assets are divided into ten groups.Each of them has a certain useful life of the OS.
First three groups
As mentioned above, there are ten groups in the classifier.
- First categorycombines short-lived property. The useful life of the asset here should not be less than one year and not exceed two years. These include wrenches, tools for drilling, screwing in and loosening, geological exploration and oil field objects, and others.
- Second categorycollected in itself operating systems that bring economic benefits for two or three years. These include infantry cranes, feed machines, belt feeders, etc.
- Third groupcharacterized by a useful life of 3 to 5 years. Elevators, belt conveyors, mobile, passenger, lamellar, vibrating, various metal processing machines, sewing machines, attachments for street cleaning - all of these and other fixed assets belong to this type.
Five to fifteen years
- Electroheaters, perennial berry stands, overhead power lines, embroidery machines, buses, trolleybuses, working cattle, and much more are included in the fourth group.The useful life of the asset in this category is from 5 to 7 years.
- Following are objects with a period of depreciation for two years more. These are prefabricated and collapsible buildings (except residential); machinery and equipment (including pressure level heaters, boilers, condensers); turbine gas installations; grain / fodder / potato combine harvesters; tanks, fire trucks, as well as hydraulic lifts and garbage trucks, tram cars. And, oddly enough, perennial plantations: lemons, oranges, black chokeberry, hop, medicinal crops and other objects.
- The sixth group combines the means of labor, the period of use of which ranges from 10 to 15 years. These include self-propelled sea barges and scows, steam boilers (except those used for central heating), special power motors, airplanes and helicopters, stone trees, frame, reed and other lightweight dwellings, chimneys, cooling towers, overhead power lines, narrow gauge railway, water wells, platforms, etc.
- From 15 to 20 years, such fixed assets are used as wooden, container, frame and panel board, wood-metal, adobe, adobe, frame-sheathing and panel, raw and other similar buildings, excluding residential ones. As well as highways, railway, pedestrian, road and combined bridges, packing and strapping machines, sea non-self-propelled vessels, energy trains and others. This is the seventh classifier classifier.
- The next category has a useful life of 20 to 25 years. Pipe-laying collectors, blast furnaces, railway tracks operated for non-public use, jetties, power cables and cables, river cargo-passenger ships and some others - all this belongs to the eighth type.
- The penultimate, ninth group combines fixed assets whose useful life exceeds twenty-five years, but does not go beyond thirty. Buildings such as fruit and vegetable stores with stone walls, reinforced concrete columns, coatings, coastal fortifications, sea firefighting vessels, nuclear reactors, water purification plants, covered wagons for highways, wagons and cisterns for oil and gasoline, etc. are collected here. d.
- Fixed assets of the latter group bring the economic benefits of the organization for more than thirty years. These primarily include dwellings, escalators, floating sea docks, subway cars, shelter belts and many other means of labor.
We make a decision
If the Classification does not contain an object, you can set its useful life yourself. It is necessary to take into account the following planned criteria:
- Useful life.
- Physical deterioration.