Depreciation Calculator Build a year-by-year schedule for any asset.
Depreciation spreads the cost of an asset across the years you use it. Choose a method — straight-line, declining balance, sum-of-years-digits, or a MACRS recovery period — and see the full schedule, the deduction in each year, and the remaining book value.
Asset & Method
Results update as you type.
First-Year Depreciation
Deduction By Year
Each column is one year of deduction. Accelerated methods front-load the benefit.
Basis Summary
First Three Years
Depreciation Schedule — Straight-line over 5 years
Year-by-year deduction, accumulated depreciation, and remaining book value. Scroll within the table to see the full recovery period.
| Year | Beginning book value | Rate | Depreciation | Accumulated | Ending book value |
|---|---|---|---|---|---|
| 1 | $60,000 | 20.00% | $12,000 | $12,000 | $48,000 |
| 2 | $48,000 | 20.00% | $12,000 | $24,000 | $36,000 |
| 3 | $36,000 | 20.00% | $12,000 | $36,000 | $24,000 |
| 4 | $24,000 | 20.00% | $12,000 | $48,000 | $12,000 |
| 5 | $12,000 | 20.00% | $12,000 | $60,000 | $0 |
| All | — | — | $60,000 | $60,000 | $0 |
Choosing a method changes the timing, not the total
An estimate, not tax advice
This calculator provides a simplified estimate for planning purposes only. It does not account for every provision that may apply to your situation, and it is not a substitute for professional guidance. Talk with Alumbra CPA about your specific facts.
- Straight-line spreads the cost evenly. It is the simplest method and is required for most real property.
- Declining balance and sum-of-years-digits front-load the deduction, which can help when you want the benefit sooner.
- MACRS is the federal tax system. Personal property uses the half-year convention, which is why a 5-year asset appears across six tax years.
- Real property uses a mid-month convention. Residential rental recovers over 27.5 years and nonresidential over 39 years, both straight-line.
- MACRS ignores salvage value, so the salvage field is disabled for MACRS methods. Book methods reduce the depreciable base by salvage.
- Depreciation comes back at sale. Amounts you deduct reduce your basis, which increases the gain and may trigger recapture taxed at up to 25%.
- Not included here: Section 179 dollar and income limits, bonus depreciation phase-down, the mid-quarter convention, listed property rules, and state differences.
Depreciation decisions affect this year and the year you sell
Whether you are buying equipment, placing a rental property in service, or planning a cost segregation study, we can help you weigh the timing of the deduction against the recapture down the road.