Use our cost segregation calculator to estimate how much additional depreciation your property may qualify for and how much tax you could potentially defer.
Enter a few details to model depreciable basis, accelerated depreciation, bonus depreciation, and potential first-year tax savings.
A cost segregation study identifies portions of a building that may qualify for shorter depreciation lives, including certain 5-year, 7-year, and 15-year property. By accelerating depreciation, real estate investors may be able to increase deductions, reduce taxable income, and improve cash flow.
This calculator estimates potential tax savings using property type, depreciable basis, placed-in-service year, and applicable bonus depreciation assumptions.
No. It provides a rough estimate based on general property type assumptions. A full engineering-based study is required for a property-specific result.
Depreciable basis is generally the building portion of the property value after removing land value. Land is not depreciable.
Bonus depreciation rules vary by year. The calculator uses TCJA assumptions for years before 2025 and 100% bonus depreciation for 2025 and later.
Yes. Short-term rentals may benefit significantly from cost segregation, especially when the owner's tax situation allows the deductions to offset income.
Yes. Cascade Cost Seg provides the engineering-based study, but taxpayers should work with their CPA or tax advisor to apply the results correctly.