# Write-Off

*Accounting & Reporting — Finicade finance glossary*

A write-off removes an asset's value from the books once it's clear the value isn't there — an uncollectable invoice, obsolete inventory, a failed project. If a provision was already made, the write-off itself doesn't touch profit; if not, it lands in full. Companies often bundle write-offs into one large 'big bath' charge in a bad quarter, on the logic that a single terrible number is easier to explain than several mediocre ones.

**Also known as:** writing off, bad debt write off, asset write-off

**Related terms:** [Allowance for Doubtful Accounts](https://finicade.com/glossary/allowance-for-doubtful-accounts), [Impairment](https://finicade.com/glossary/impairment), [Charge-Off](https://finicade.com/glossary/charge-off), [Accounts Receivable](https://finicade.com/glossary/accounts-receivable), [Non-GAAP Earnings](https://finicade.com/glossary/non-gaap-earnings)

Source: https://finicade.com/glossary/write-off