Fixed assets - Placed in service date and Depreciation start date

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Posted on by FWA

Hi,

I am implementing D365 fixed assets for a client and when migrating their books, I cannot change the Placed in service and Depreciation start dates to the dates when the assets were acquired. The system throws an error saying that I must set up periods for those years. These assets go back to 1990 and the calendar we have set for the client is weekly as their depreciation is calculated using 4-4-5. Is there a workaround to this rather than having to create 30-year weekly calendars? Thank you.

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saurabh bharti 15,039 Moderator on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi,

When we migrate the legacy data/opening balance for FA in D365, Here is the approach we should follow:

1. Use original acquisition date to capture actual acquisition date not place in service

2. Use acquisition date and place in service date as"Opening balance date" , date from where you are starting the system(Cut over date), Enter remaining life in depreciation period remaining field

3. Accumulated depreciation should be posted as part of opening balance

4. After which system will post depreciation based on setup and net book value

Here is one blog on opening balance migration:

exploredynamics365.home.blog/.../

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Ludwig Reinhard Microsoft Employee on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi FWA,

Can't you put the those date values to your migration date, i.e. the date when you start using D365FO. When doing that you have to ensure that the remaining depreciation periods are correctly set so that depreciation amounts get correctly posted.

Best regards,

Ludwig

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FWA 5 on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi Ludwig,

In my migration file, I import the asset acquisition date, but after I post an acquisition journal, the date changes to the posting date, so I have to go back using the Excel add in feature and update the acquisition, placed in service, and depreciation run dates. This seems to be very tedious and time consuming and I think there should be a more efficient way to do so - what do you advise?

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saurabh bharti 15,039 Moderator on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi,

There is original Acquisition date which you can use for older date for record keeping.

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Ludwig Reinhard Microsoft Employee on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi FWA,

Is your acquisition date in a past period that is already put on hold?

Do you have an example for us that you can share?

Best regards,

Ludwig

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FWA 5 on at

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RE: Fixed assets - Placed in service date and Depreciation start date

I do not see that in any data entity or in the user interface

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FWA 5 on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hi Ludwig,

So my client operates on a 4-4-5 calendar. D365 does not calculate depreciation accurately with that calendar, so I have a separate weekly fixed asset calendar created that is associated to my fixed assets. This allows the system to calculate the proper depreciation values.

I have some assets that were acquired in 1994. I have no issues loading the acquisition date into my fixed assets migration. However, at time of posting the asset acquisition journal, my posting date changes to the date I am posting (ie 8/5/2020). This then changes the acquisition date, placed in service date, and the depreciation start date. The system does not let me update any of these dates back to 1994 until I have create a calendar for it. I have some assets going back to 1979, so it doesn't make sense for me to create all these calendars. It is quite time consuming. I hope that helps/please let me know if I can provide more examples.

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Ludwig Reinhard Microsoft Employee on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hello FWA,

I tried to replicate the issue but was not able to do so.

Also had a look at LCS but did not find a hotfix or comment that something might be wrong here.

Can you do the following:

* Test if this issue occurs in a different dev/test environment as well

* If you see this happening also in a different system then get into contact with the MS support to ensure that this is not a bug in your environment.

Best regards,

Ludwig

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SouravDam 11,730 on at

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RE: Fixed assets - Placed in service date and Depreciation start date

In a nutshell; below are the points you highlighted if I am not wrong.

-- First; you uploaded the asset master data with original acquisition date.

-- Then you posted the asset acquisition journal; say on 08-05-2020.

This posting changed your asset original acquisition date, placed in service date and depreciation start date as well which is quite obvious.

Now below steps to follow.

1) Don't try to change the acquisition date in FA master at this stage. Instead; if you want to post the accumulated depreciation journal also on any cut off date, simply post that. Why I am highlighting this journal because you are on migration process. So I believe you will post both acquisition and accumulated depreciation journals on any cut off date say; as on 08-05-2020 (as you mentioned).

2) Once both these acquisition and accumulated depreciation journals are posted; you have to use Fixed asset book V2 data entity to upload both "Original acquisition date" and "Placed in service" date for fixed assets.

Point to be noted: - This update will not change or create any impact in your posted transactions. It will simply update the original acquisition and placed in service date in the FA master; that's it.

And no need to create any past fiscal years in system for this.

You can use "Data Management" to complete this upload process if your total number of asset count is high. DM will support large volume of data processing.

This is the file for Fixed asset book V2 data entity which you can use. Else; you can export the same file from DM too.

FIXED-ASSET-BOOK-_2800_Fixed-asset-book-V2_2900_.xlsx

In this file you can see assets are dated back to year 2007 and 2008 and last depreciation run date is 31-12-2018 (this is the cut off date I used in my case).

Update on this thread once you tested and share the feedback.

Regards,
Sourav

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FWA 5 on at

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RE: Fixed assets - Placed in service date and Depreciation start date

Hey Sourav,

I usually import my master data using the fixed asset book V2 entity. Should I continue to import that way FIRST and then re-import the original acquisition and placed in service dates once I have posted acquisition and accumulated depreciation journals?

Also, at what point should I be changing the 'depreciation periods remaining'?

Thanks!

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