Many accounting software packages do not cover fixed assets even though most businesses invest a significant amount of money into their fixed assets. Not managing them correctly can result in penalties and losses. Managing fixed assets correctly takes time, however. With Sage Fixed Asset Software (Sage FAS), you can manage your fixed assets easily with minimal time spent on tasks related to tracking assets.
Easier financial reporting and depreciation calculations
Sage FAS makes financial reporting and depreciation calculations much easier. Errors when calculating depreciation can result in incorrect financial reports that run the risk of failing to comply with regulatory requirements. When calculations are incorrect, they can also result in in the overpayment of property taxes, insurance, and other payments. You may also miss tax savings, which can reduce your expenses.
Calculating fixed assets depreciation not only prevents problems but helps you save money. There’s more to it than internal reporting, however. The U.S. government imposes a number of financial reporting requirements and strict penalties for non-compliance with reporting rules and regulations. CEOs and CFOs of public companies must personally certify the integrity of their financial reports. While this only applies to publicly traded companies, many private and non-profit companies have adopted these methods in an effort to provide their financial partners, board members, and donors with better financial insight.
Sage FAS can help you ensure compliance. The law requires corporations to report the effectiveness of internal controls and requires an external auditor to confirm the statement. Corporations must document their internal control structure well and evaluate its effectiveness to ensure the accuracy of financial data. All of this can be done using Sage FAS.
Accounting software that helps you keep track of fixed assets, expenses, and income
Many companies have mystery items or ‘ghosts’ in the inventory. What is a ghost? It’s company property that is lost, stolen, or just unusable but is still in the inventory reports as active or available. Fixed assets can sometimes fall into the ghost category.
Such items can throw your entire inventory off and can make your team think that resources are available that aren’t in the warehouse. Failure to remove such items from your inventory can result in higher taxes and higher insurance rates. If these assets are no longer usable but still in the company records, companies tend to continue to pay property taxes and insurance on them.
Mistakes in the calculation of the item’s depreciation can result in a company overpaying for insurance as it is based on a percentage of current fixed assets. If this calculation is incorrect because of inventory ghosts, you could be overpaying.
Because taxation law is specialized and constantly changing, it’s important to make sure that your depreciation calculations are up to date. Accounting software such as Sage FAS can help you maintain your fixed asset records and, ultimately, save money by ensuring accurate records.
Sage FAS simplifies tracking, planning, and reporting
With Sage Fixed Assets, you can choose the modules that are important to your business.
- Sage Fixed Assets—Depreciation helps you manage the entire fixed asset lifecycle from acquisition to transfers and disposals. It can help you prepare your year-end financials, allocate costs, calculate depreciation, eliminate redundant data entry, and store digital images of key asset records.
- With Sage Fixed Assets—Tracking, you can conduct thorough physical inventories of your fixed assets with easy graphical step-by-step processes and mobile devices.
- Sage Fixed Assets—Planning helps you take control of your fixed assets through flexible management of capital budgeting and construction-in-progress projects.
- Sage Fixed Assets—Reporting provides an endless set of custom reports that can help monitoring and decision-making.
When it comes to finding ways to save money on insurance, taxes, and expenses, fixed assets are often a category overlooked by most business owners as an area for savings. Sage FAS makes it easier to track assets and use this information for cost-savings. It’s an accounting software package that pays off in big savings later.
PositiveVision provides consulting and services to manufacturing, warehousing, and distribution companies. We can help you with choosing an ERP package and creating or adapting dashboards for your executive team. Sage FAS is just one of our many fine Sage products that can help you improve productivity and profitability. Learn more on our website or contact us today.