This article describes the formula syntax and usage of the VDB function (function: A prewritten formula that takes a value or values, performs an operation, and returns a value or values. Use functions to simplify and shorten formulas on a worksheet, especially those that perform lengthy or complex calculations.) in Microsoft Excel.
Description
Returns the depreciation of an asset for any period you specify, including partial periods, using the doubledeclining balance method or some other method you specify. VDB stands for variable declining balance.
Syntax
VDB(cost, salvage, life, start_period, end_period, [factor], [no_switch])
The VDB function syntax has the following arguments (argument: A value that provides information to an action, an event, a method, a property, a function, or a procedure.):
 Cost Required. The initial cost of the asset.
 Salvage Required. The value at the end of the depreciation (sometimes called the salvage value of the asset). This value can be 0.
 Life Required. The number of periods over which the asset is depreciated (sometimes called the useful life of the asset).
 Start_period Required. The starting period for which you want to calculate the depreciation. Start_period must use the same units as life.
 End_period Required. The ending period for which you want to calculate the depreciation. End_period must use the same units as life.
 Factor Optional. The rate at which the balance declines. If factor is omitted, it is assumed to be 2 (the doubledeclining balance method). Change factor if you do not want to use the doubledeclining balance method. For a description of the doubledeclining balance method, see DDB.
 No_switch Optional. A logical value specifying whether to switch to straightline depreciation when depreciation is greater than the declining balance calculation.
 If no_switch is TRUE, Microsoft Excel does not switch to straightline depreciation even when the depreciation is greater than the declining balance calculation.
 If no_switch is FALSE or omitted, Excel switches to straightline depreciation when depreciation is greater than the declining balance calculation.
Important All arguments except no_switch must be positive numbers.
Example
The example may be easier to understand if you copy it to a blank worksheet.
How do I copy an example?
 Select the example in this article. If you are copying the example in Excel Online, copy and paste one cell at a time.
Important: Do not select the row or column headers.
Selecting an example from Help
 Press CTRL+C.
 Create a blank workbook or worksheet.
 In the worksheet, select cell A1, and press CTRL+V. If you are working in Excel Online, repeat copying and pasting for each cell in the example.
Important: For the example to work properly, you must paste it into cell A1 of the worksheet.
 To switch between viewing the results and viewing the formulas that return the results, press CTRL+` (grave accent), or on the Formulas tab, in the Formula Auditing group, click the Show Formulas button.
After you copy the example to a blank worksheet, you can adapt it to suit your needs.

A 
B 
Data 
Description 
2400 
Initial cost 
300 
Salvage value 
10 
Lifetime in years 
Formula 
Description (Result) 
=VDB(A2, A3, A4*365, 0, 1) 
First day's depreciation. Excel automatically assumes that factor is 2 (1.32) 
=VDB(A2, A3, A4*12, 0, 1) 
First month's depreciation (40.00) 
=VDB(A2, A3, A4, 0, 1) 
First year's depreciation (480.00) 
=VDB(A2, A3, A4*12, 6, 18) 
Depreciation between the sixth month and the eighteenth month (396.31) 
=VDB(A2, A3, A4*12, 6, 18, 1.5) 
Depreciation between the sixth month and the eighteenth month using a factor of 1.5 instead of the doubledeclining balance method (311.81) 
=VDB(A2, A3, A4, 0, 0.875, 1.5) 
Depreciation for the first fiscal year that you own the asset, assuming that tax laws limit you to 150percent depreciation of the declining balance. Asset is purchased in the middle of the first quarter of the fiscal year. (315.00) 

Note The results are rounded to two decimal places.