Posting depreciation monthly

Is there a reason why we post depreciation yearly. If it is posted monthly is there a problem with that?

You should be posting depreciation monthly to get various reports related to expenses correctly. Otherwise, your March month will always show a spike in expenses making your charts less accurate. For those using straight line method, this is absolutely simple. You just need to post one twelfth of depreciation each month. However, for reducing balance method, it becomes complicated if you follow the book. Making a small acceptable trade off gives you two good ways to handle this. 1. Just like straight line method post one twelfth of depreciation each month. 2. Don’t actually post the depreciation. System anyway gives you depreciation amount for any point in time automatically calculated in assets report. Just post the total value through single journal entry each month in provisional accounts from April to February. In March pass a single reverse entry for all eleven months and post the actual depreciation for the whole year. 

Please look at the depreciation sub-module under fixed assets section. You actually need to do nothing manually except few click to approve and post system calculated values.