Fixed Asset Management

Starting with establishing the importance of good fixed asset information for managing company performance, this seminar will teach you the skills, information and insights on how to make the fixed asset function a key to enhancing the company's return on fixed assets. You will learn how to make the fixed asset database accurate, how to get the cooperation of line managers and how to provide essential data for a wide range of reporting needs.

• Establish a company-wide fixed asset policy
• Create a fixed asset procedures manual
• Consult with the company's accounting and tax professionals
• Reduce the company's real and personal property taxes
• Ensure proper insurance coverage of fixed assets
• Help ensure complete insurance recovery after a disaster
• Choose effective fixed asset software
• Choose effective bar-coding hardware and software
• Take a fixed asset inventory

• The nature and structure of the fixed asset database
• The stakeholders in the accuracy of the fixed asset database
• Fixed asset financial statement requirements
• Fixed asset income tax return requirements
• Fixed asset property tax return requirements
• The relationship between the fixed asset database and property insurance
• How to plan and execute a fixed asset inventory
• The definition of good fixed asset software and hardware
• Construction-In-Process (CIP) accounting and the fixed asset database

Learning Objectives

• Provide the Fixed Asset Manager with the Knowledge and Tools Necessary to Ensure That Enterprises Get the Optimum Return from Their Fixed Asset Investment
• Provide Others in the Enterprise with the Information They Need to Ensure Success in Managing the Enterprise’s Fixed Assets Effectively

Introduction to Fixed Asset Management

• Define and Distinguish Between Fixed Assets and Intangible Assets
• Identify Internal and External Stakeholders Who Demand Effective Asset Management
• Explain the Job of the Fixed Asset Manager and the Significance of Your Role in the Organization

Fixed Assets in Financial Statements

• Understand the American Rules for Recording Fixed Assets in Financial Statements
• Apply the Rules When Determining, for Financial Statement Purposes, an Asset’s Cost, Useful Life, Depreciation Method, Salvage Value, and Other Characteristics
• Be Able to Consult with Your Enterprise’s Financial Accountants on How to Use These Rules
• Be Aware That the Source of These Rules Is the FASB Codification
• Recognize the Requirements These Rules Place on the Fixed Asset Database
• Understand Where the IFRS Rules Are Different for Fixed Assets

Fixed Assets on US Income Tax Returns

• Understand the Rules in the US Tax Code for Recording and Reporting Fixed Assets on US Income Tax Returns
• Use These Rules to Determine, for Tax Purposes, an Asset’s Cost, Useful Life, Depreciation Method, Salvage Value, and Other Characteristics
• Understand the Many Complex and Specific Rules for Different Types of Assets
• Be Able to Consult with Your Enterprise’s Tax Experts on How to Use These Rules
• Identify the Sources of These Rules—The US Internal Revenue Code and Various Internal Revenue Service Publications
• Appreciate Issues Relating to State and Foreign Jurisdiction
• Recognize the Requirements These Rules Place on the Fixed Asset Database

Fixed Assets on Property Tax Returns

• Distinguish Between Real and Personal Property for Taxation Purposes
• Discover Potential Tax Savings
• Implement Strategies for Reducing Property Taxes

Fixed Assets, Property Insurance, and Property Maintenance

• Understand the Meaning of the Insurable Value of an Asset and How to Obtain It
• Know How to Work with the Enterprise’s Insurance Executive Regarding Fixed Asset Insurance
• Own the Importance of Having a Field for Insurable Value in the Fixed Asset Database
• Ensure That Your Enterprise Has Adequate Proof of Loss Information Available for All Fixed Assets
• Use the Fixed Asset Database to Assist in Property Maintenance

The Fixed Asset Database and Fixed Asset Reporting

• Comprehend the Detailed Fields Necessary in the Fixed Asset Database
• Compare the Master List of the Fields in the Fixed Asset Database with the One Provided By Software Vendors
• Understand How to Structure an Asset ID Number
• Decide Whether to Add Pictures of Assets to the Database
• Create an Asset Category List Appropriate for Your Enterprise
• Create a Tentative List of Necessary Fixed Asset Reports

Management Tools for the Fixed Asset Manager

• List and Own the Steps Necessary to Become a Successful Fixed Asset Manager
• Identify the Management Tools the Fixed Asset Manager Employs to Be Effective
• Understand the Impact Human Relationships Have on Fixed Asset Management
• Identify and Evaluate the Hardware an Software Tools Necessary to Create and Maintain the Fixed Asset Database

Other Important Duties of the Fixed Asset Manager

• Research the Technologies Available for Tagging and Implement a Tagging Program
• Tag, Inventory, and Track Company Assets
• Create the Forms Necessary to Control Asset Location and Movement
• Understand and Apply the 2013 IRS Fixed Asset Capitalization Rules
• Understand the Issues Pertaining to Recording Expensed Items in the Fixed Asset Database

Fixed Asset Software

• Search for Good Software Vendors on the Internet
• Understand the Pros and Cons of Software That Your Fellow Students Are Using
• List the Principal Technical and Vendor Requirements for New Fixed Asset Software
• Draft a Request for Proposal for New Fixed Asset Software
• Understand and Follow the Steps for Managing the Installation of New Fixed Asset Software

Taking a Fixed Asset Inventory and Inventory Reconciliation

• Plan to Take a Fixed Asset Inventory
• Produce a Fixed Asset Inventory Plan
• Make the Critical Decisions About Tagging, Barcoding, and Taking Pictures of Assets
• Select the Inventory-Taking Team
• Manage the Actual Taking of the Inventory
• Reconcile the Inventory Results to the Fixed Asset Database

Construction-in-Process (CIP) Management and Control

• Explain the Difference Between Regular Fixed Asset Management and CIP Management
• List the Basic Tasks of CIP Management
• Understand the Special Software Used for CIP Management
• Craft a CIP Coding Structure
• Transfer CIP Information to the Fixed Asset Database
  List the Basic Tasks of CIP Management