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Residual value calculator

Enter the asset's original cost, salvage value, useful life and how many years have already passed. The calculator works out the residual value at that point.

Result

Residual value

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This calculation is for informational purposes only and does not replace advice from a qualified professional. Formulas and rates may not fit your exact situation — double-check the figures before making decisions.

How it is calculated

Residual value = original cost − (original cost − salvage value) ÷ useful life × years elapsed. This is the same logic as straight-line depreciation, just evaluated at a specific point in time instead of for a single year.

The calculation doesn't let residual value drop below salvage value: once the useful life is over, the asset keeps its salvage value on the books instead of going to zero.

The formula assumes the straight-line (even) depreciation method. If the asset is depreciated with the declining balance method, residual value for a given year is computed differently — see the separate accelerated depreciation calculator.

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