Lesson 4 of 6
Depreciation runs
6 min
Depreciation spreads an asset's cost over its useful life. In SAP S/4HANA, the system calculates planned depreciation for every asset and area whenever something changes: an acquisition, a change of useful life, a retirement. The periodic depreciation run then posts the planned depreciation for the period to the G/L. Understanding the difference between planned and posted is the key to reading asset values.
Planned versus posted
SAP's learning content gives the basic formula: depreciation = base value × period factor × percentage, where the period factor reflects how much of the year the asset was in use under the period control. Planned depreciation is what the asset should carry for the year. Posted depreciation is what has already been posted by runs. After a run for period 6, posted equals planned for periods 1 to 6. If someone changes the useful life in period 7, planned depreciation is recalculated and the next run posts the catch-up difference.
| Planned depreciation | Posted depreciation | |
|---|---|---|
| What it is | Calculated depreciation for the fiscal year per area | Depreciation actually posted to the G/L by runs |
| When it changes | Whenever master data or values change | Only when a depreciation run posts |
| Where you see it | Manage Fixed Assets or Asset Explorer, planned values | Same views, posted values; journal entries |
| After the period 6 run | Full-year amount | Periods 1–6 of the full-year amount |
The steps of a run
SAP's learning content describes a run as recalculation, test run, posting, and an optional repeat run, and notes that every run must be followed by an error check. A test run shows what would be posted and lists errors without posting. The posting run posts one journal entry per ledger, summarized by account assignment such as cost center. A repeat run posts corrections within the same period in a separate journal entry, for example after errors were fixed. A depreciation run cannot be reversed.
- Recalculate if neededAfter mass changes, recalculate planned values
- Test runReview the log: amounts by area and errors
- Fix errorsMissing cost center, locked asset, closed period
- PostJournal entries per ledger: debit depreciation expense, credit accumulated depreciation
- Check statusAll assets processed, no errors, documents posted
- Repeat run if neededPost corrections in the same period
In Private Edition the classic transaction AFAB still runs depreciation; in Fiori the run is scheduled as a background job, and you analyze the results with the depreciation list and Manage Fixed Assets. The exact app names for scheduling and monitoring vary by release, so check your Fiori launchpad's asset accounting group.
Common errors
| Error | Typical cause | Fix |
|---|---|---|
| Cost center missing or locked | Asset's time-dependent cost center no longer valid | Update the asset's cost center, rerun |
| Posting period closed | Run scheduled for a period that is closed for the ledger | Open the period with the closing team or choose the right period |
| Asset locked or incomplete | Master record incomplete or deactivated | Complete or correct the master record |
| Unexpected large amount | Useful life changed or wrong asset value date | Review recent changes before posting |
Errors seen in depreciation test runs.
Who runs it, and when
At Contoso the depreciation run is a fixed step in Grace's month-end calendar: test run on work day 1, posting run on work day 2 after the asset accountant has reviewed the log, and a status check before the period is closed. All asset postings for the month (acquisitions, settlements, retirements) must be finished first, because a posting after the run creates catch-up amounts for the next run. If a late posting is unavoidable, a repeat run in the same period keeps the month clean.
What would you do?
The monthly test run shows that depreciation for the Detroit machinery class is three times the usual amount. The posting run is scheduled tonight. What should the asset accountant do?
- Planned depreciation is recalculated on every change; the run posts it to the G/L.
- Steps: recalculate, test run, fix errors, post, check status, optional repeat run.
- A depreciation run cannot be reversed, so review the test run carefully.
- Classic AFAB still exists in Private Edition; Fiori schedules the run as a job.
Check your understanding · not graded
Lesson check
1. What does a repeat run do?
2. Can a depreciation run be reversed?
3. When is planned depreciation recalculated?
4. What should you always do before the posting run?