NetAsset - Asset Merges

Use Case: A situation may arise where existing assets may need to be merged together into a single asset.

System Setup for Asset Merges

To enable assets to be merged, navigate to NetAsset > NetAsset Setup > System Setup. On the General tab in the Transfer Settings section, check the box to "Allow merge into another asset upon transfer." Click Save. 

Step-by-Step Process

  • Identify the two assets that will be merged together - one of them will be merged into the other. The two assets must meet the following criteria for the system to process the merge:
    • The two assets must have the same Type.
    • The asset status of the asset to merge into must be one of Capitalized, In-Service, or Fully-Depreciated.
    • The asset status of the asset being merged must be one of Capitalized, In-Service, or Fully-Depreciated. Note that the status of the two assets do not have to match, unless an asset is being merged into a Fully-Depreciated asset.
  • Navigate to the asset record of the asset being merged. Click the Transfer button.
  • Select the asset to merge into from the "Merge into asset upon transfer" dropdown menu. The asset that is merged into will be the asset record that retains the newly merged asset information.
  • Click Transfer.

Once the transfer is complete, the asset that was merged will be updated to reflect the transfer. The depreciation schedule will end in the period of the transfer, and the asset status will change to "Merged." The asset that was merged into will reflect the updated gross asset value and accumulated depreciation of the newly merged asset and will retain the status that it had before the merge. Both assets will have the journal entry reflecting the merge in the depreciation schedule. 

Once both asset records have refreshed, there will now be a link between the two under the Related Records subtab. The asset that was merged into, also known as the parent asset, will now have a link to the asset that was merged, also known as the child asset. This link will take you to the child asset which now has the status of 'Merged.' On the other hand, the asset that was merged will show its parent asset under the Related Record subtab. 

Related Records subtab on the Parent Asset:

Related Records subtab on the Child Asset:

Reporting Considerations

Assets that have been merged into another asset are sometimes filtered out of NetAsset reports. If this is not the desired behavior, the suggested work around is to create a copy of the necessary reports and edit the underlying saved search to include merged assets. See the article: Editing Reports in NetAsset

Common Reports
  • Asset Balance Roll Forward: Net Zero Impact
  • Asset Balance Subledger Roll Forward: Not included
  • Asset Register: Net Zero Impact (for time periods including the merge)
  • Asset Register Roll Forward: Net Zero Impact 
  • Asset Depreciation Waterfall: Not included

Other Considerations

  • Assets with a Pending status cannot be merged in the way described in this article. See the guidance on how to Build Up Existing Assets for instructions on how to merge assets in Pending status.
  • If the assets needing to be merged do not have the same Type, the Type can be changed by doing an Asset Transfer as described in this article: Asset Transfers

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