Overview
SoftLedger's Fixed Assets module capitalizes purchases and expenses them over time through depreciation — automatically creating the asset from your bill, generating the depreciation schedule, and posting the journals as you go.
This article covers turning the module on and setting up Fixed Asset Types, which every fixed asset is built from. Once setup is done, see Creating Fixed Assets and Posting Depreciation for the day-to-day workflow.
Enabling the module
Fixed Assets is enabled per tenant. When it's on, a Fixed Assets section appears in the navigation with Fixed Assets, Fixed Asset Types, Asset Register, and Asset Summary pages, and the Fixed Asset line type becomes available on bills.
Note: Don't see Fixed Assets in your navigation? Reach out through the chat bubble and we'll enable it for your tenant.
What is a Fixed Asset Type?
Fixed Asset Types are the templates your fixed assets are created from — think "Vehicles," "Computer Equipment," "Furniture & Fixtures." Every fixed-asset bill line must reference a type, and the type supplies two things:
The GL accounts used for the asset: where the cost is capitalized, where accumulated depreciation builds up, and where depreciation expense is booked.
The depreciation defaults (useful life, convention, and method) copied onto each new asset, so you're not re-entering them every time.
Types are managed at Fixed Assets > Fixed Asset Types.
Creating a Fixed Asset Type
Select + New on the Fixed Asset Types page and fill in:
Field | What it does |
Name | Name of the type — must be unique |
Description | Optional |
Asset Account | Debited with the capitalized cost when the bill posts; credited when the asset is disposed. Required |
Accumulated Depreciation Account | Credited by each depreciation journal; cleared on disposal or void. Required |
Depreciation Expense Account | Debited by each depreciation journal. Required |
Default Useful Life (months) | Optional default copied to new assets of this type |
Default Convention | Optional: Monthly Prorated or Mid-Month |
Default Method | Optional: Straight Line or Custom |
Tip: Setting the defaults is worth the minute it takes — a type like "Computer Equipment" with a 36-month straight-line default means assets created from it arrive nearly ready to activate.
Editing a type
Editing a type only affects fixed assets created after the change. Existing assets keep the accounts and defaults they were created with, so you can safely adjust a type without disturbing assets already depreciating.
Retiring a type: Inactive vs. Delete
Inactive soft-retires the type. It disappears from the Fixed Asset Type picker on new bill lines, but existing assets and bill lines that reference it are unaffected. This is the right choice in almost every case.
Delete is only possible while nothing references the type. If any fixed asset or bill line uses it, the delete is blocked — mark it Inactive instead.
Questions about setting up Fixed Assets? Reach out through the chat bubble or at support@softledger.com — happy to help.