Capital assets are equipment or goods (including software) that are used to carry out the business of the university, and have a useful life greater than one year and a value greater than $5,000.
Financial Services will depreciate capital assets on a straight line basis in accordance with the chart of estimated useful lives (see Capital Assets Policy).
Items with values greater than $50,000
Central tracking is in place for all new assets with an initial value of greater than $50,000. Assets are entered into the University’s central inventory system by Strategic Procurement at the time of purchase, and departments will receive uniquely numbered McMaster asset tags which must be affixed to the items.
Items with values less than $50,000
Departments and Faculties should maintain their own records for capital items below the $50,000 threshold. Records must be available in order to qualify for reimbursement from the university’s insurance reserve in the case of loss or damage.
Methods of Numbering and Marking Assets
Uniquely Numbered McMaster Asset Tag
Assigned by Strategic Procurement at the time of acquisition for capital assets with an initial value greater than $50,000.
Identifiable Security Number
A department specific identifiable security number available from Security Services for moveable assets or property.
Operation Provident Number
A national numbering system whereby a number is engraved or tagged on a piece of equipment, provided by Security Services.
A permanently attached security plate with an identifiable number is uniquely registered to the department of faculty, provided by Security Services.
To protect University equipment and to ensure insurance coverage the following steps shall be taken prior to relocating equipment to an off campus location:
Signing authority for the account from which the equipment was purchased must authorize the use of the equipment off campus (Letter Template for the Loaning of Assets);
A copy of this letter should accompany the relocating equipment to off campus locations. The original letter shall be retained along with departmental equipment inventory;
Equipment must be identified as University property and marked with a Provident number or identifiable security number;
Environmental and Occupational Health Support Services shall be consulted when equipment is relocated to another institution or out of Province.