XBert Type: Standard
Accounting Software: Xero
Country Restriction: All regions
Risk Type: Bookkeeping Risk
Business Function: Bookkeeping
Overview
The "Draft Fixed Asset" XBert identifies any fixed assets that are still in Draft status, even though related bills have been fully paid and depreciation has been recorded against them. This may indicate that the asset has not been correctly registered or written off, impacting the accuracy of your fixed asset register and financial reporting.
What it does
This XBert looks for fixed asset items that meet the following criteria:
The asset has a purchase date before the last depreciation reference date
The asset status is DRAFT
A related bill is present and has been paid
A related depreciation journal exists for the full purchase value of the asset
It highlights assets that meet all of the above conditions but have not been officially registered, suggesting they may have been depreciated and should be removed from the draft list.
How it works
XBert determines a reference depreciation date by checking:
The last depreciation journal posted
The last closed financial year (if no journal exists)
Six months prior to the current date (if neither is found)
Using this reference, it scans your fixed asset records for any draft assets that:
Were purchased before this date
Have an associated paid bill
Show depreciation equal to the purchase amount
These conditions indicate the asset is already affecting your balance sheet and should either be fully registered or removed.
Example/Use Case
John from Acme Appliances buys a new computer and starts setting it up in the asset register but forgets to finalise the entry. The bill is paid, and depreciation is applied, but the asset remains in Draft status. As a result, the fixed asset register is incomplete, and the item may be mistakenly omitted from reporting or incorrectly classified.
This XBert helps catch these scenarios so assets can be correctly accounted for.
Accounting software
Xero only.
Which countries it supports
Australia only.
Processes
This XBert is part of the Bookkeeping – Fixed Assets category.
To resolve this issue:
Review the listed draft assets in your Xero Fixed Assets register
Finalise any assets that should be registered, or delete those that are not valid
Ensure assets written off under the Instant Asset Write-Off scheme are marked as fully depreciated
Keeping your fixed asset register clean ensures accurate depreciation, better reporting, and fewer compliance risks.