Hi. In this video, I will show you how to add and edit asset information located in the Expenses view.

Capital assets require special accounting treatments depending on the type of asset…a task typically left to corporate finance. When disconnected, IT leaders are left to estimate the depreciation of IT capital assets, potentially affecting the company's balance sheet.

Apptio's asset and depreciation functionality allows IT Finance to create pre-defined depreciation parameters by asset class and enter key asset information in an efficient manner delivering a more accurate plan.

To get to the Expenses view from the Summary page, select the desired Cost Object category in the Plan section and then the desired Group Cost Object or a specific Cost Object in the Plan sub-section. Note that if you have been assigned as an Owner or Editor to a Group Cost Object, you can edit or import line items to those Group Cost Objects rather than editing the child Cost Objects individually.

As an Owner, you can edit or import line items including External Line Items for all Cost Objects in an Open plan. As a user with edit permissions, you can navigate to a Group Cost Object and select the Edit button to enable group editing. Editing a Group Cost Object will edit the latest in-progress version of the child Cost Object. If no in-progress version is available, a new version will be created. Selecting Submit Changes when in group edit mode will submit all in-progress versions within that group.

Moving on, once you have the specific department selected, click Expenses.

The Expenses view is where all the direct costs are recorded. The first page displayed is the Summary tab. The Summary tab gives you a view of all the direct costs. If you have Project Financial Planning, or PFP, configured, Budget Owner can view the costs delegated from a Project Owner. These costs could have originated in a project but were since delegated back to a Department or Service once the project was completed. Delegated costs show up in the responsible Department budgets in the correct periods, along with the originating project information.

The Other tab allows you to view all other expenses that need to be captured by your organization, and to forecast OpEx and CapEx for your departments, projects, or services. If your company is doing resource planning as well, you’ll see tabs like Labor, Contracts, and Assets, along with the Other tab.

Within the Summary tab, you can filter by OpEx or CapEx, or view KPIs of total OpEx and CapEx budget.

Now, let’s click the Assets tab.

Budget Owners can see how assets impact their OpEx and CapEx budgets. They just need to assign the asset to the correct asset class, and the rules set up for that asset class apply the correct financial accounting treatment to the asset's purchase price and depreciation.

Let's add an asset to this table by importing a file.

From the Assets tab, I can use the Existing tab to enter or import a list of current assets and the Planned tab to forecast the purchase and deployment of new assets.

I can import a file of my existing assets that were purchased prior, but still appear as an operational expenditure in this year's budget.

As these assets have been purchased and put into service, I can see the depreciation amount is automatically populated and displayed for each month. I can see details about the project run costs that have been delegated back to the department or service in the Purchase Delegation and Depreciation Delegation section.

Note: This section is visible only if PFP is enabled.

Next, I can go to the Planned tab to enter in my planned purchases for the plan year.

For example, I know I need to purchase 10 Microsoft Windows operating system licenses in April. I can enter a description and specify the number of licenses in the Quantity field.

Next, I will specify the Purchase Price, Purchase Date, and In-Service Date. I will select Microsoft from the Vendor drop down and select Software as the Asset Class.

Notice that the Purchase Account, Depreciation Account, Asset Life, Depreciation Method, and Residual Value values are automatically populated.

As this asset is planned to be purchased and put into service in the current year, the depreciation amount is automatically populated and displayed for each month.

Depending on how your organization's asset class rules were set up, your budget line item details may account for each asset entry with a CapEx line item entry that accounts for the initial purchase price of the asset and an OpEx line item entry that accounts for the depreciation of the asset.

That’s a quick introduction to entering and editing assets data in your budget. Thanks for watching!