Blog — 26/03/2026

The Difference Between Fixed Assets and Inventory Items from an Accounting Perspective

Fixed Assets:

  • Definition: Tangible assets held for use in the production of goods, provision of services, for administrative purposes, or to be rented to third parties, and which have a useful life of more than one year.
  • Minimum value: Under current Romanian legislation, assets with an acquisition value of at least 2,500 lei and a useful life of more than one year are classified as fixed assets.
  • Accounting accounts used: 2131, 2132, 2133 (for tangible fixed assets), 281 (depreciation of fixed assets).
  • Depreciation: Depreciated over the useful life using a chosen depreciation method (straight-line, declining balance, or accelerated).
  • Examples: Buildings, machinery, equipment, furniture, IT equipment with a value above 2,500 lei.

Inventory Items:

  • Definition: Assets that do not meet the criteria to be considered fixed assets, having either a value below 2,500 lei or a useful life of less than one year.
  • Value: Below 2,500 lei (current value per OMFP 1802/2014).
  • Accounting accounts used: 303 (Inventory Items), 603 (Expenses related to inventory items).
  • Depreciation: Not depreciated; instead, they are expensed at the time of being put into use, although they are tracked through inventory records.
  • Examples: Mobile phones, computers with a value below 2,500 lei, small tools and implements, inexpensive furniture, peripheral equipment.
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