How to Manage Company Assets in Odoo 18 Accounting: Complete Guide
By Braincuber Team
Published on December 14, 2025
The Accounting module in Odoo 18 makes managing company assets straightforward and efficient. The platform allows users to create and validate assets with ease, either manually or through enhanced automation features. These improvements make asset management faster and reduce errors in financial records.
What You'll Learn:
- Creating and configuring Asset Models
- Understanding depreciation methods (Straight Line, Declining, Mixed)
- Computation methods (No Pro rata, Constant Period, Days per Period)
- Automating asset creation and validation
- Viewing depreciation schedules and reports
Creating an Asset Model
Navigate to Accounting > Configuration > Asset Models to create a new asset model.
Asset Model Configuration Fields
| Field | Description |
|---|---|
| Asset Model Name | Name identifier for the asset model |
| Depreciation Method | Straight Line, Declining, or Declining then Straight Line |
| Duration | Time period for depreciation (months or years) |
| Fixed Asset Account | Account for purchase and initial cost |
| Depreciation Account | Account used to reduce asset value |
| Expense Account | Account for periodic expense entries |
| Journal | Journal for accounting entries |
Depreciation Methods Explained
1. Straight Line Method
The most common and easiest method to calculate.
Example: $1,000,000 asset over 5 years = $200,000/year
2. Declining Method
Define a declining factor multiplied by residual value.
Example: 30% factor on $1,000,000 = $300,000 first year, then 30% of $700,000 = $210,000 second year
3. Declining then Straight Line
Mixed method: starts with declining, then switches to straight line.
Example: First 2 years at 30% declining, then constant straight line for remaining years
Computation Methods
No Pro Rata
Depreciation starts at beginning of fiscal year, even if months have elapsed
Constant Period
Depreciation starts on acquisition date with proportionate value for the year
Based on Days per Period
Depreciation split evenly for every day until end of period
Constant Period Example
For a $1,000,000 asset over 5 years with pro rata date of July 1st:
- Annual depreciation: $200,000
- First year (6 months): $100,000
- Years 2-5: $200,000 each
- Year 6 (remaining 6 months): $100,000
Automating Asset Management
Configure automation in the depreciation account settings under the Automation tab:
| Option | Behavior |
|---|---|
| No | Assets not created automatically |
| Create in Draft | Draft asset created when bill confirmed; manual confirmation needed |
| Create and Validate | Asset created and validated automatically when bill confirmed |
Automatic Asset Creation Workflow
- Create a product (e.g., "Car") with the asset account as expense account
- Generate a Vendor Bill with the product
- Click Confirm on the vendor bill
- Assets smart button appears
- Click to view automatically generated assets
Viewing Depreciation Board
Click the Depreciation Board tab to view the asset's depreciation schedule. For each entry, you can see:
- Depreciation date
- Depreciation amount
- Cumulative depreciation
- Residual value
- Journal entry status
Reports and Schedules
📊 Balance Sheet
Displays Fixed Asset entries
📈 Profit and Loss
Shows Asset Expense entries
📅 Depreciation Schedule
Available under Reporting menu with detailed breakdown
📝 Journal Entries
View posted entries via smart tab
Conclusion
The automatic asset creation and validation feature in Odoo 18 Accounting significantly improves the efficiency of the asset management process. With flexible depreciation methods, computation options, and automation capabilities, businesses can maintain accurate financial records while reducing manual effort.
Need Help with Asset Management in Odoo?
Our Odoo experts can help you configure asset models, set up depreciation schedules, and automate your asset management workflow.