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How is depreciation calculated?

Depreciation is an allocation of an asset’s cost over its useful life.

The Office of the State Controller defines capital assets as property such as land, land improvements, easements, buildings, equipment, works of art and historical treasures, and infrastructure with a cost equal to or greater than $5,000, and useful life of more than one year. Capital assets, which are acquired for use in normal operations and are not for resale, may be subject to depreciation.

Please contact Asset Management to learn how depreciation is calculated on specific assets.

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Asset Management and Surplus Manual

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Updated on October 14, 2022

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