Intangible Assets

The Intangible Assets tab in Manager.io helps users manage and track non-physical assets like intellectual property rights, licenses, patents or goodwill. In this guide, we cover creating and monitoring intangible assets and handling their amortization.

Creating a New Intangible Asset

1. Navigate to the Intangible Assets tab.
2. Click on the New Intangible Asset button.

3. Fill in the requested details:
   • Code: Enter an asset code.
   • Name: Clearly label your intangible asset.
   • Description: Provide details describing the asset.
   • Amortization rate: Input your chosen amortization rate for the asset.
   • Control account: Select an associated control account. If no custom accounts are set up, the default is Control account - acquisition cost.
4. Finally, save the asset information by clicking Create.

Upon creation, your intangible asset acquisition cost will initially appear as zero. This is expected, as no transactions have been linked to it yet.

Recording Acquisition Cost for an Intangible Asset

To assign acquisition costs for your intangible asset, you must record associated transactions in Manager.io:

• If you purchased the intangible asset with cash/bank payment:

  1. Go to the Payments tab.
  2. Click on the New Payment button.
  3. Enter the relevant transaction details, allocating the payment to Intangible assets, at cost.
  4. Select the intangible asset created earlier.

• If you purchased the intangible asset through a supplier via purchase invoice:

  1. Navigate to Purchase Invoices.
  2. Click New Purchase Invoice.
  3. Allocate the invoice transaction similarly to Intangible assets, at cost.
  4. Select your specific intangible asset in the allocation.

Once recorded, the acquisition cost in the Intangible Assets tab will update to reflect the recorded transaction amounts.

Intangible Assets Data Columns Explained

Manager.io organizes intangible assets using the following columns:

Column	Description
Code	Asset identification code
Name	Intangible asset name
Description	Detailed information about the asset
Amortization rate	Rate at which the intangible asset amortizes
Control account	Associated control account (default is "Control account - acquisition cost" unless custom accounts created)
Acquisition cost	Total value derived from recorded transactions for the intangible asset
Amortization	Accumulated amortization entries to date
Book value	Calculated as Acquisition cost minus Amortization amount
Status	Shows current state of asset: Active or Disposed

Monitoring Intangible Assets and Amortization

Manager.io automatically calculates amortization amounts according to your entered amortization rate. Regularly check the following columns to monitor asset value over time:

• Acquisition cost: Total amount invested in the intangible asset.
• Amortization: Aggregate amortization amounts recognized over the asset's life.
• Book value: Current carrying amount (Acquisition cost minus Amortization value).

Using the Intangible Assets tab provides you with essential insights and effective management of your organization's non-physical assets.