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Claude AI — Excel / Finance
Build a Fixed Asset Depreciation Template in Excel with Claude AI
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Section 01

What the finished depreciation schedule looks like

Build a Fixed Asset Depreciation Template in Excel with Claude AI

This course gives you a Claude prompt that converts a basic asset register into a full depreciation schedule in Excel. The output includes annual depreciation amounts, accumulated depreciation, and net book value for every asset — calculated using whichever method your policy requires (straight-line, declining balance, or sum-of-years' digits).

The Completed Depreciation Schedule

Below is what Claude produces. Each asset gets its own row with the depreciation method applied, and a running NBV column that stops at salvage value when the asset is fully depreciated.

A
B
C
D
E
F
G
1
Asset
Cost
Salvage
Life (yr)
Method
Yr Depr
NBV
2
Office furniture
24,000
2,000
7
SLN
3,143
20,857
3
Delivery van
45,000
5,000
5
DDB
18,000
27,000
4
Server rack
60,000
3,000
5
SYD
19,000
41,000
5
Laptop fleet
36,000
0
3
SLN
0
0
Row 5 shows a fully depreciated asset — annual depreciation is zero and NBV equals salvage. The formula stops automatically once NBV reaches salvage value.
  • Supports straight-line (SLN), double declining balance (DDB), and sum-of-years' digits (SYD)
  • Depreciation stops automatically when NBV reaches salvage value
  • Mid-year additions are prorated based on the in-service date you provide
  • Total row sums annual depreciation across all assets for journal entry posting

Depreciation is a key step in the month-end close checklist. If your depreciation feeds into a broader capital expenditure plan, see the CapEx planning template course.

Prepare Your Asset Register for Claude

Claude builds the depreciation schedule from an asset register you provide. Each asset needs five pieces of information. Missing any of these means Claude has to guess — and guessing is exactly what the prompt's guardrails prevent.

A
B
C
D
E
1
Asset Name
Cost
Salvage Value
Useful Life (yr)
In-Service Date
2
Office furniture
24,000
2,000
7
01/03/2024
3
Delivery van
45,000
5,000
5
15/06/2024
4
Server rack
60,000
3,000
5
01/01/2025
01

Specify the depreciation method per asset

Tell Claude which method to use for each asset — or state a blanket policy (e.g. "use straight-line for all unless I specify otherwise"). The prompt supports SLN, DDB, and SYD. If you need a method not listed, describe the calculation logic and Claude will build the formula.

02

Include salvage values — even if zero

A missing salvage value is ambiguous: does it mean £0 or "I forgot to include it"? Write 0 explicitly so Claude doesn't flag it as an error.

03

Add in-service dates for proration

If an asset was placed in service mid-year, the first year's depreciation should be prorated. Include the exact date. Tell Claude your convention: half-year, mid-month, or exact-day proration.

04

Decide on annual vs monthly granularity

Most depreciation schedules are annual. If you need monthly breakdowns (common for management reporting), say so in the prompt. Claude will divide annual amounts by 12 or apply the monthly convention you specify.

Tip: If you have assets with different fiscal year-ends or reporting currencies, handle those in separate prompt runs. Mixing conventions in a single prompt increases the chance of formula errors.

The Claude Prompt for a Fixed Asset Depreciation Schedule

Paste this prompt into Claude with your asset register data. The prompt specifies guardrails so Claude won't invent asset values or assume a depreciation method you haven't chosen.

Prompt — paste into Claude
I need a fixed asset depreciation schedule in Excel. Below is my asset register. ASSET REGISTER (columns: Asset Name, Cost, Salvage Value, Useful Life in years, In-Service Date, Method): [Paste your asset data here] Requirements: - For each asset, calculate: Annual Depreciation, Accumulated Depreciation, and Net Book Value (NBV). - Use the depreciation method specified per asset. Supported methods: SLN (straight-line), DDB (double declining balance), SYD (sum-of-years' digits). - Use Excel's built-in functions where available: =SLN(), =DDB(), =SYD(). - Prorate the first year's depreciation based on the in-service date using [half-year / mid-month / exact-day] convention. - Stop depreciation when NBV reaches the salvage value. Add a MAX or IF check so annual depreciation never drives NBV below salvage. - Include a total row summing annual depreciation across all assets. - Dates are in DD/MM/YYYY format. - Do NOT invent asset values, useful lives, or salvage amounts. Only use the data I've provided. - Do NOT assume a depreciation method — use only what's specified per asset. - Format the output as a tab-separated table I can paste directly into Excel.

Choosing the Right Depreciation Method

The method you pick affects annual expense, tax deductions, and NBV over time. Here's how the three standard methods compare for a £40,000 asset with £4,000 salvage and a 5-year life:

A
B
C
D
1
Year
SLN
DDB
SYD
2
1
7,200
16,000
12,000
3
2
7,200
9,600
9,600
4
3
7,200
5,760
7,200
5
4
7,200
3,456
4,800
6
5
7,200
1,184
2,400
All three methods depreciate the same total amount (£36,000) — the difference is timing. DDB front-loads the most, SLN spreads evenly.

If your organisation is evaluating future capital expenditures alongside current depreciation, the budget variance analysis course covers how to compare planned vs. actual asset spending in a structured Excel report.

Frequently Asked Questions

Which Excel function does Claude use for straight-line depreciation?
Claude uses Excel's built-in SLN function, which takes three arguments: cost, salvage value, and useful life. The formula is =SLN(cost, salvage, life). Claude can also build the calculation manually as (Cost − Salvage) / Life if you prefer to see the logic explicitly.
Can Claude handle mid-year asset additions in a depreciation schedule?
Yes. Include the in-service date for each asset and tell Claude your convention — half-year, mid-month, or exact-day. Claude will prorate the first-year and last-year depreciation accordingly.
What is the difference between SLN, DDB, and SYD in Excel?
SLN spreads the depreciable amount equally over the useful life. DDB (double declining balance) front-loads depreciation by applying a fixed rate to the declining book value. SYD (sum-of-years' digits) also front-loads but less aggressively than DDB. Claude can build schedules using any of these.
How do I handle fully depreciated assets in the template?
The prompt instructs Claude to add a check that stops depreciation once NBV reaches the salvage value. Fully depreciated assets remain in the register with zero annual depreciation and an NBV equal to salvage.

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