Asset or expense?

[ittony]

I've bought a few hardware bits and bobs this year and am not sure whether they need to be treated as assets or expenses. I'm sure I read on here some time that anything under £x amount should just be expensed. What sort of threshold is everyone else using?

[Pondlife]

Anything that I will consume within a year; printer supplies, paper etc is expensed. If it's got a lifetime of over a year e.g. the printer itself, then it's an asset.

Although my accountant deals with most guidance in these matters.

[Sockpuppet]

I've bought a few hardware bits and bobs this year and am not sure whether they need to be treated as assets or expenses. I'm sure I read on here some time that anything under £x amount should just be expensed. What sort of threshold is everyone else using?

Technically you could treat anything as an asset - its just lots of paperwork.

Personally I just expense stuff below £100 and let the accountants deal with the rest.

[ittony]

Hmmm, that's a much lower threshold than I was hoping to hear! Can't find it now but I'm sure I read someone on here claim his accountant advised expensing anything under £500.

[Clare@InTouch]

Hmmm, that's a much lower threshold than I was hoping to hear! Can't find it now but I'm sure I read someone on here claim his accountant advised expensing anything under £500.

I'd agree with that. Realistically anything costing under at least that level is unlikely to be worth much at the end of a year, therefore it's fine to expense it.

It will be the same purposes either way as it will get 100% AIA in year one.