diff --git a/app/Http/Controllers/Api/DepreciationsController.php b/app/Http/Controllers/Api/DepreciationsController.php
index 93088bb04a..0209eae392 100644
--- a/app/Http/Controllers/Api/DepreciationsController.php
+++ b/app/Http/Controllers/Api/DepreciationsController.php
@@ -20,9 +20,9 @@ class DepreciationsController extends Controller
     public function index(Request $request) : JsonResponse | array
     {
         $this->authorize('view', Depreciation::class);
-        $allowed_columns = ['id','name','months','depreciation_min','created_at'];
+        $allowed_columns = ['id','name','months','depreciation_min', 'depreciation_type','created_at'];
 
-        $depreciations = Depreciation::select('id','name','months','depreciation_min','user_id','created_at','updated_at');
+        $depreciations = Depreciation::select('id','name','months','depreciation_min','depreciation_type','user_id','created_at','updated_at');
 
         if ($request->filled('search')) {
             $depreciations = $depreciations->TextSearch($request->input('search'));
diff --git a/app/Http/Controllers/DepreciationsController.php b/app/Http/Controllers/DepreciationsController.php
index 57ad35fea5..c564cc98f7 100755
--- a/app/Http/Controllers/DepreciationsController.php
+++ b/app/Http/Controllers/DepreciationsController.php
@@ -62,6 +62,20 @@ class DepreciationsController extends Controller
         $depreciation->name = $request->input('name');
         $depreciation->months = $request->input('months');
         $depreciation->user_id = Auth::id();
+
+        $request->validate([
+            'depreciation_min' => [
+                'required',
+                'numeric',
+                function ($attribute, $value, $fail) use ($request) {
+                    if ($request->input('depreciation_type') == 'percent' && ($value < 0 || $value > 100)) {
+                        $fail(trans('validation.percent'));
+                    }
+                },
+            ],
+            'depreciation_type' => 'required|in:amount,percent',
+        ]);
+        $depreciation->depreciation_type = $request->input('depreciation_type');
         $depreciation->depreciation_min = $request->input('depreciation_min');
 
         // Was the asset created?
@@ -116,6 +130,20 @@ class DepreciationsController extends Controller
         // Depreciation data
         $depreciation->name             = $request->input('name');
         $depreciation->months           = $request->input('months');
+
+        $request->validate([
+            'depreciation_min' => [
+                'required',
+                'numeric',
+                function ($attribute, $value, $fail) use ($request) {
+                    if ($request->input('depreciation_type') == 'percent' && ($value < 0 || $value > 100)) {
+                        $fail(trans('validation.percent'));
+                    }
+                },
+            ],
+            'depreciation_type' => 'required|in:amount,percent',
+        ]);
+        $depreciation->depreciation_type = $request->input('depreciation_type');
         $depreciation->depreciation_min = $request->input('depreciation_min');
 
         // Was the asset created?
diff --git a/app/Http/Transformers/DepreciationsTransformer.php b/app/Http/Transformers/DepreciationsTransformer.php
index 78a01b4c1e..87e2ddaca4 100644
--- a/app/Http/Transformers/DepreciationsTransformer.php
+++ b/app/Http/Transformers/DepreciationsTransformer.php
@@ -7,6 +7,7 @@ use App\Models\Depreciable;
 use App\Models\Depreciation;
 use Illuminate\Support\Facades\Gate;
 use Illuminate\Database\Eloquent\Collection;
+use Illuminate\Support\Facades\Log;
 
 class DepreciationsTransformer
 {
@@ -26,7 +27,7 @@ class DepreciationsTransformer
             'id' => (int) $depreciation->id,
             'name' => e($depreciation->name),
             'months' => $depreciation->months.' '.trans('general.months'),
-            'depreciation_min' => $depreciation->depreciation_min,
+            'depreciation_min' => $depreciation->depreciation_type === 'percent' ? $depreciation->depreciation_min.'%' : $depreciation->depreciation_min,
             'created_at' => Helper::getFormattedDateObject($depreciation->created_at, 'datetime'),
             'updated_at' => Helper::getFormattedDateObject($depreciation->updated_at, 'datetime')
         ];
diff --git a/app/Models/Depreciable.php b/app/Models/Depreciable.php
index 6139cda089..0c513a3d33 100644
--- a/app/Models/Depreciable.php
+++ b/app/Models/Depreciable.php
@@ -76,9 +76,9 @@ class Depreciable extends SnipeModel
 
         if ($months_passed >= $this->get_depreciation()->months){
             //if there is a floor use it
-            if(!$this->get_depreciation()->depreciation_min == null) {
+            if($this->get_depreciation()->depreciation_min) {
 
-                $current_value = $this->get_depreciation()->depreciation_min;
+                $current_value = $this->calculateDepreciation();
 
             }else{
                 $current_value = 0;
@@ -86,7 +86,7 @@ class Depreciable extends SnipeModel
         }
         else {
             // The equation here is (Purchase_Cost-Floor_min)*(Months_passed/Months_til_depreciated)
-            $current_value = round(($this->purchase_cost-($this->purchase_cost - ($this->get_depreciation()->depreciation_min)) * ($months_passed / $this->get_depreciation()->months)), 2);
+            $current_value = round(($this->purchase_cost-($this->purchase_cost - ($this->calculateDepreciation())) * ($months_passed / $this->get_depreciation()->months)), 2);
 
         }
 
@@ -95,7 +95,7 @@ class Depreciable extends SnipeModel
 
     public function getMonthlyDepreciation(){
 
-        return ($this->purchase_cost-$this->get_depreciation()->depreciation_min)/$this->get_depreciation()->months;
+        return ($this->purchase_cost-$this->calculateDepreciation())/$this->get_depreciation()->months;
 
     }
 
@@ -191,4 +191,16 @@ class Depreciable extends SnipeModel
     {
         return new \DateTime($time);
     }
+
+    private function calculateDepreciation()
+    {
+        if($this->get_depreciation()->depreciation_type === 'percent') {
+            $depreciation_percent= $this->get_depreciation()->depreciation_min / 100;
+            $depreciation_min= $this->purchase_cost * $depreciation_percent;
+            return $depreciation_min;
+        }
+
+        $depreciation_min = $this->get_depreciation()->depreciation_min;
+        return $depreciation_min;
+    }
 }
diff --git a/database/migrations/2024_07_16_184145_add_deprecitation_type_to_depreciations_table.php b/database/migrations/2024_07_16_184145_add_deprecitation_type_to_depreciations_table.php
new file mode 100644
index 0000000000..1a5355f739
--- /dev/null
+++ b/database/migrations/2024_07_16_184145_add_deprecitation_type_to_depreciations_table.php
@@ -0,0 +1,28 @@
+<?php
+
+use Illuminate\Database\Migrations\Migration;
+use Illuminate\Database\Schema\Blueprint;
+use Illuminate\Support\Facades\Schema;
+
+return new class extends Migration
+{
+    /**
+     * Run the migrations.
+     */
+    public function up(): void
+    {
+        Schema::table('depreciations', function (Blueprint $table) {
+            $table->string('depreciation_type')->after('depreciation_min')->default('amount');
+        });
+    }
+
+    /**
+     * Reverse the migrations.
+     */
+    public function down(): void
+    {
+        Schema::table('depreciations', function (Blueprint $table) {
+            $table->dropColumn('depreciation_type');
+        });
+    }
+};
diff --git a/resources/lang/en-US/validation.php b/resources/lang/en-US/validation.php
index c358700e95..6341707914 100644
--- a/resources/lang/en-US/validation.php
+++ b/resources/lang/en-US/validation.php
@@ -125,6 +125,8 @@ return [
         'symbols' => 'The :attribute field must contain at least one symbol.',
         'uncompromised' => 'The given :attribute has appeared in a data leak. Please choose a different :attribute.',
     ],
+    'percent'       => 'The depreciation minimum must be between 0 and 100 when depreciation type is percentage.',
+
     'present' => 'The :attribute field must be present.',
     'present_if' => 'The :attribute field must be present when :other is :value.',
     'present_unless' => 'The :attribute field must be present unless :other is :value.',
diff --git a/resources/views/depreciations/edit.blade.php b/resources/views/depreciations/edit.blade.php
index a5376ea692..a281beebc2 100755
--- a/resources/views/depreciations/edit.blade.php
+++ b/resources/views/depreciations/edit.blade.php
@@ -28,9 +28,13 @@
     <label for="depreciation_min" class="col-md-3 control-label">
         {{ trans('admin/depreciations/general.depreciation_min') }}
     </label>
-    <div class="col-md-2" style="padding-left:0px">
-        <input class="form-control"  name="depreciation_min" id="depreciation_min" value="{{ old('depreciation_min', $item->depreciation_min) }}" style="width: 80px; margin-left:15px" />
+    <div class="col-md-2" style="display: flex;">
+        <input class="form-control" name="depreciation_min" id="depreciation_min" value="{{ old('depreciation_min', $item->depreciation_min) }}" style="width: 80px; margin-right: 15px; display: inline-block;" />
+        <select class="form-control select2" name="depreciation_type" id="depreciation_type" data-minimum-results-for-search="Infinity" style="width: 150px; display: inline-block;">
+            <option value="amount" {{ old('depreciation_type', $item->depreciation_type) == 'amount' ? 'selected' : '' }}>Amount</option>
+            <option value="percent" {{ old('depreciation_type', $item->depreciation_type) == 'percent' ? 'selected' : '' }}>Percentage</option>
+        </select>
     </div>
-    {!! $errors->first('depreciation_min', '<span class="alert-msg" aria-hidden="true"><i class="fas fa-times" aria-hidden="true"></i> :message</span>') !!}
+    {!! $errors->first('depreciation_min', '<span class="col-md-7 col-md-offset-3 alert-msg" aria-hidden="true"><i class="fas fa-times" aria-hidden="true"></i> :message</span>') !!}
 </div>
 @stop
diff --git a/tests/Unit/DepreciationTest.php b/tests/Unit/DepreciationTest.php
index 4dd8422276..e07edc6bef 100644
--- a/tests/Unit/DepreciationTest.php
+++ b/tests/Unit/DepreciationTest.php
@@ -1,10 +1,13 @@
 <?php
 namespace Tests\Unit;
 
+use App\Models\Asset;
+use App\Models\Depreciable;
 use App\Models\Depreciation;
 use App\Models\Category;
 use App\Models\License;
 use App\Models\AssetModel;
+use Illuminate\Validation\ValidationException;
 use Tests\TestCase;
 
 class DepreciationTest extends TestCase
@@ -25,6 +28,54 @@ class DepreciationTest extends TestCase
 
         $this->assertEquals(5, $depreciation->models->count());
     }
+    public function testDepreciationAmount()
+    {
+        $depreciation = Depreciation::factory()->create([
+            'depreciation_type' => 'amount',
+            'depreciation_min' => 1000,
+            'months'=> 36,
+        ]);
+
+        $asset = Asset::factory()
+            ->laptopMbp()
+            ->create(
+                [
+                    'category_id' => Category::factory()->assetLaptopCategory()->create(),
+                    'purchase_date' => now()->subDecade(),
+                    'purchase_cost' => 4000,
+                ]);
+        $asset->model->update([
+            'depreciation_id' => $depreciation->id,
+        ]);
+
+        $asset->getLinearDepreciatedValue();
+
+        $this->assertEquals($depreciation->depreciation_min, $asset->getLinearDepreciatedValue());
+    }
+    public function testDepreciationPercentage()
+    {
+        $depreciation = Depreciation::factory()->create([
+            'depreciation_type' => 'percent',
+            'depreciation_min' => 50,
+            'months'=> 36,
+        ]);
+
+        $asset = Asset::factory()
+            ->laptopMbp()
+            ->create(
+                [
+                    'category_id' => Category::factory()->assetLaptopCategory()->create(),
+                    'purchase_date' => now()->subDecade(),
+                    'purchase_cost' => 4000,
+                ]);
+        $asset->model->update([
+            'depreciation_id' => $depreciation->id,
+        ]);
+
+        $asset->getLinearDepreciatedValue();
+
+        $this->assertEquals(2000, $asset->getLinearDepreciatedValue());
+    }
 
     public function testADepreciationHasLicenses()
     {