The NetSuite Fixed Assets Management Suite App provides automated management of fixed assets acquisition, depreciation, revaluation, and retirement, as well as maintenance schedules and insurance.
Process
1.Creation of vendor bills
Go to Transactions> Payables> Enter bills
The system then creates a custom record that is attached to the asset and becomes available in the asset record’s Income/Expense subtab.
The Bill should be coded directly to the asset account with a description of the asset in the memo field.
2. Asset Proposal
Once you create the bill, you can start creating an Asset Proposal. An Asset Proposal is basically a record that defines how your asset will perform in the future, the asset lifetime, which method it will use, posting accounts confirmation, among many others. Before a proposed asset is generated or rejected, it should be reviewed first.
1) Navigate to Fixed Assets > Transactions > Asset Proposal.
2) Select a Date Range. OR enter a Start and End Date.
3) Select the Subsidiary(s). Note: You can select a Parent Subsidiary and check Include Children.
4) Select the Asset Type to propose.
5) Add more Asset Types if needed.
6) Click [Propose New Assets].
7) The FAM Process Status page displays.
3. Managing Asset Proposals
- Go to Fixed Assets > Transactions > Manage Asset Proposal.
- On the Proposed Assets Filters, enter values for the filters to limit the Proposed Assets result based on the specified criteria.
- Asset Type – Select Asset Type(s) to filter the list of proposals based on the Asset Type.
- Subsidiary – Select Subsidiary(s) to filter the list of proposals based on the Subsidiary.
- Include Children – Check this box to include the child subsidiaries as filter.
- On the Proposed Assets sub list, mark or unmark asset proposal records as required.
- Click Generate Assets to create new assets from the marked Asset Proposal records.
Reject a Proposal
You can reject proposals through the Asset Proposal page. Make sure to reject proposals before moving on to a different page of proposals. Unless you have Administrator access, the Reject Proposals box is not available if the Restrict Ability to Reject Proposals box is checked on the Fixed Assets Management System Setup page.
Steps
1) Navigate to Fixed Assets > Transactions > Manage Asset Proposal.
2) Select the Proposed Assets.
3) Select the Subsidiary(s).
4) Click [Reject Proposals]
4. Asset Creation
The Asset Creation feature in the Fixed Assets Management Suite App enables you to create assets automatically without the need to propose them first.
When you use the Asset Creation feature, you can specify the start and end dates of the transactions for which you want to create an asset. However, you will not be able to select individual transactions to generate asset records for.
Steps
1) Navigate to Fixed Assets > Transactions > Asset Creation.
2) Select a Date Range. OR enter a Start and End Date.
3) Select the Subsidiary(s).
4) Select one or more Asset Type(s).
5) Click [Create Assets].
6) The Transaction Status page displays the status and progress of the process.
7) Navigate to Fixed Assets > List > Assets to view the new assets.
- Creating Asset Depreciation
A depreciation method must be assigned to each asset so that NetSuite can calculate the asset’s depreciation. NetSuite allows you to use preconfigured depreciation methods or create a new method that fits more for your requirement.
Steps
1) Navigate to Fixed Assets > Setup > Depreciation Methods
2) Click the new FAM Depreciation Method. OR Navigate to Fixed Assets > Setup > Depreciation Methods > New.
3) Enter a Name for the depreciation method.
4) Enter a Depreciation Method Description.
5) Select the Depreciation Period this method should take place.
6) Enter the End Period Number.
7) Option A: If the Depreciation Method covers a limited period.
a. Enter a figure to indicate the last (highest) period number that the depreciation method can be used for.
Option B: If the field is blank.
a. The depreciation will continue until the asset has been completely depreciated.
8) Select the Next Depreciation Method.
a. If the current depreciation method covers a limited period, select the next depreciation method which should take effect after the current method’s end period.
9) Enter a Depreciation Formula.
a. Use operators and symbols for the formula expression.
b. Click Validate to verify that the formula works as expected.
10) Select the Final Period Convention:
11) Option A: Full Depreciate.
a. If you select Fully Depreciate, the remaining balance will be included in the final period calculation so that the remaining value becomes zero.
Option B: Retain Balance.
a. If you select Retain Balance, the final period will be calculated using the relevant accrual convention without including any remaining balance. The remaining value will not become zero.
12) Click Save.
Depreciate an Asset
Asset depreciation is performed by selecting the asset type, subsidiary, and accounting period. Asset depreciation can be performed periodically for a single asset type or for several asset types. This procedure is run to depreciate assets for the next period.
Steps
1) Navigate to Fixed Assets > Transactions > Asset Depreciation.
2) Select one or more Asset Type(s).
3) Select a Subsidiary(s).
4) Enter the Depreciation Period.
5) Enter the Depreciation Reference which will be used as the base reference on all generated journals. Leave blank to use default reference.
6) Click Depreciate Assets.
Asset Depreciation Status
After you depreciate the assets, you will be directed to the FAM Process Status page, where you can track the status of the depreciation.
Steps
1) Navigate to Fixed Assets > Background Processing > Status.
2) The Accounting Methods bar will display the current progress and status of the asset.
3) Review the Depreciating Asset Type.
4) Review the following fields for current progress, status and number of records depreciated:
a. Depreciating Accounting Methods
b. Depreciate Tax Methods
c. Writing Depreciation Amounts to Journal
5) Click Refresh to view the latest status.
