Fixed-asset depreciation in Cohiva Control
Fixed-asset depreciation is where Cohiva Control does something a maintenance system usually does not: it carries the asset all the way to the books. The asset your team maintains is the asset the depreciation engine depreciates, on one record, with the figures computed accurately and posted to your accounting system each month. This page explains the capability at a glance; the depreciation hub goes method by method.
Six methods on one engine
Cohiva Control depreciates assets across six methods, so you can match the treatment to the asset:
- Straight-line, for assets that lose value steadily over time.
- Diminishing value, for assets that lose value faster early in life.
- Double declining balance, an accelerated method that switches to straight-line to finish cleanly.
- Units of production, which charges in proportion to recorded usage from the asset’s meter.
- Sum of years digits, an accelerated method with a smooth, predictable taper.
- AASB 16 leases, which recognises a right-of-use asset and unwinds a lease liability into interest and principal.
All six run on the same engine the product uses internally, so the numbers on the marketing calculators match what the product computes.
Money you can trust
Financial figures are only useful if they are exact. In Cohiva Control money is held as a fixed-precision decimal and rounded half up, never as a floating point number and never with a naive rounding shortcut. That avoids the small, compounding errors that creep in when money is stored as a float, and it means a depreciation schedule adds up correctly to the cent. Depreciation also never reduces book value below the residual value, a deliberate floor that keeps schedules landing cleanly rather than overshooting.
An append-only ledger
Each monthly depreciation run writes to an append-only ledger. A recorded charge cannot be edited or deleted, which is what makes the ledger trustworthy for an audit. To track whether a charge has been posted to your accounting system without compromising that guarantee, posting state lives separately from the ledger row, so the ledger itself stays immutable while postings can be attempted, retried and confirmed.
Posting to your accounting system
The monthly run posts journals to Xero, QuickBooks, NetSuite or Cohiva Crunch. The run is idempotent, so re-running a month does not create a second journal, and because posting state is separate from the ledger, a failed post can be retried without touching the immutable record. The figure that posts is the figure the engine computed, with no re-keying.
One asset, maintained and depreciated
The reason this sits inside a maintenance system at all is that it removes a seam. In most operations a CMMS maintains the asset and a separate fixed-asset register depreciates it, with a reconciliation in between. Cohiva Control keeps one asset record across both, so a disposal in maintenance is the same event the depreciation ledger sees, and the journal that hits your books comes from the record your technicians worked on.
A note on advice
The depreciation features in Cohiva Control compute figures based on the inputs you provide. They give general information about how the product calculates depreciation, and they are not accounting, tax or financial advice. Confirm the treatment of your assets with your accountant or adviser.
Part of the Cohiva platform
Cohiva Control is part of the Cohiva platform. Leisure operators often run it with Cohiva Complex, and finance teams connect it to Cohiva Crunch for the general ledger and consolidation. Explore the platform at www.cohiva.app.