How to create fixed assets accounts [xero]

Updated: 12/08/2021
Article #: 80


The list of Fixed Asset accounts, should be provided to you by your Financial Advisor.  Fixed Assets like Plant & Equipment, Furniture and Property Improvements should already be included in your Chart of Accounts.

With relation to Motor Vehicles Asset accounts, your Chart of Accounts may include a Fixed Asset account for each Motor Vehicle. Therefore, when purchasing a new Vehicle, new Asset Accounts (Asset At Cost and Asset Accumulated Depreciation) need to be created. 
Note: if your Chart of Accounts does not include other Fixed Asset accounts like Plant & Equipment or Property Improvements, you can follow the same steps to create these accounts in your Xero Organisation

 

Create the Fixed Asset Account

  1. Go to Accounting > Chart of accounts
  2. Click on [Add Account]

    è  The Add New Account screen



  3. Select/Enter the following details:
    • Account Type > Fixed Assets
    • Code > Enter a 3-digit code starting with 7
    • Name > Type: Motor Vehicle #RegoPlate - At Cost
    • Tax > Select: GST on Expenses or GST on Capital
  4. Click on [Save]

Create the Fixed Asset Accumulated Depreciation Account

  1. Click on [Add Account]

    è  The Add New Account screen



  2. Select/Enter the following details:
    • Account Type > Fixed Assets
    • Code > Enter a 3-digit code starting with 7
    • Name > Type: Motor Vehicle #RegoPlate - Acc Depr
    • Tax > Select: BAS Excluded
  3. Click on [Save]






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