Amortization of Intangibles Calculator

Summary

Intangible assets such as patents, trademarks, copyrights, and goodwill lose value over their useful life and must be systematically expensed. This calculator uses the straight-line method — the most common approach under GAAP and IFRS — to compute annual and monthly amortization expense. Enter the asset cost, any residual value, and the useful life to instantly generate a complete period-by-period amortization schedule.

How it works

1. Select an asset type (e.g. patent, software, goodwill) to pre-fill typical useful life or choose custom.
2. Enter the original cost of the intangible asset.
3. Enter the residual (salvage) value at the end of its useful life (often zero for intangibles).
4. Enter or adjust the useful life in years.
5. The calculator applies the straight-line formula: (Cost - Residual Value) / Useful Life.
6. Review the annual and monthly expense amounts plus the full amortization schedule table.
7. Export or copy the schedule for your accounting records.

Use cases

• Compute annual patent amortization for financial statements.
• Determine monthly trademark or copyright expense for bookkeeping.
• Plan goodwill amortization under private-company GAAP elections.
• Build an amortization schedule for purchased software or licenses.
• Verify amortization figures before filing corporate tax returns.
• Model intangible asset expense when projecting future income statements.
• Prepare audit-ready amortization tables for accountants or investors.

Frequently Asked Questions