Our guide to asset registers and your free downloadable Asset Register Template!
What is a Fixed Asset?
A fixed asset (or tangible asset) is a physical asset owned by an organisation that is used in operations to produce both goods and services.
Fixed assets are expected to be owned by an organisation for more than a year and unlike current assets are not meant to be used nor converted into cash in the interim.
There are three different types of fixed assets, these are property, plant, and equipment (also known as PP&E).
PP&E includes fixed assets such as:
- Buildings and Facilities
What is an Asset Register Template and why is it important?
An asset register template should include important details about an asset including its location, condition, and owner.
Having a thorough and clear asset register template allows your organisation to know and evidence crucial information about your fixed assets, such as its status, procurement date and price, depreciation, and the current value.
Fixed assets will influence your organisations financial statements including your:
- Balance Sheet: Where the purchase of a new fixed asset is recorded.
- Income Statement: Depreciations of a fixed asset are recorded here and reduces an organisations net income.
- Statement of Cashflow: If an organisation purchases or sells a fixed asset using cash it is reflected in the investing activities section.
Therefore, it is critical that your fixed asset records are kept up to date and as accurate as possible
Other benefits of recording information about your fixed assets includes:
- Enables evidence of complete transparency regarding all asset value data.
- Ensures all assets remain compliant with regulations and standards.
- Allows calculation of accurate asset depreciation and tax records.
- Allows accurate estimations of maintenance, servicing, or repair costs.
How to create your own Asset Register Template.
When planning your asset register template you first need to consider the specific information you want to capture with this form.
When creating your own asset register template consider whether it will be used to capture information regarding a single fixed asset or perhaps if you are a smaller organisation, you can record all your fixed assets in one register.
In our free example, which can be downloaded below we have designed our form to be used to record important information about a single fixed asset as it makes tracking depreciation clearer and easier.
With an asset register template, its purpose is to record important details about a particular fixed asset and record depreciation over its entire life cycle.
The first section of your form should be dedicated to capturing important data that should be recorded upon the procurement of a new fixed asset.
Think about all the important details you will need to record about a fixed asset, such as its name, location, and model number and about its procurement such as, the supplier and the date it was purchased.
The second section of your asset register template should then be dedicated to recording any maintenance, servicing, or repairs your fixed asset may require during its lifecycle and their cost.
By recording these maintenance, servicing, and repair costs, it will allow your organisation to easily track and evidence the depreciation in value of each individual fixed asset your organisation owns.
Managing your Asset Register Template with Jomo247.
With Jomo247 automating your asset management in one centralised location has never been easier!
You can create and maintain records with different tasks for every unique asset using our Forms feature and upload supporting picture of video files.
Immediately assign asset maintenance, servicing, or repairs to the relevant employee and easily track the progress of these tasks if you need to.
Easily keep track and set dates for asset maintenance or calibration reviews and instantly observe if when these tasks are due or if they become overdue.
To learn more about managing your assets with Jomo247 check out our Asset Management Compliance Pack