What is depreciation? It's defined as "the reduction of recorded cost of a fixed asset in a systematic manner until the value of the asset becomes zero or negligible."
Any time a fixed asset is purchased, whether that be buildings, equipment, furniture, etc., it's important to track its depreciation. One reason is so that you have an accurate picture of the value of your assets and can make informed decisions about disposal or purchase.
Another reason is that depreciation expense is an allowed deduction with the IRS, so you'll reduce your taxable income. That's ALWAYS a good thing!
At Brighter Smiles Bookkeeping, tracking depreciation expense is just one of the many services we provide. To find out more, visit www.brightersmilesbookkeeping.com or email us at Jackie@brightersmilesbookkeeping.com. #bookkeeping #bookkeeper #tax #dentalpractice #accounting #accountant #dentistry #dentaloffice #dentists #taxes #smallbusiness, #finance #furniture, #realestate, #property
