Depreciation Calculator 

Per the IRS, you are allowed an annual tax deduction for the "wear and tear" of property over the course of time, known as Depreciation. As a real estate investor, Depreciation is an important tool because it allows you to deduct the cost reducing your taxable income. 

Utilize our Depreciation Calculator below to find the annual allowable Depreciation for your real estate investment property, as well as the Accumulated Depreciation of the property over the course of ownership. In addition to Capital Gains Tax, Accumulated Depreciation Recapture tax is also deferred with a 1031 Exchange. Use our Capital Gains Calculator to see how a 1031 Exchange could benefit you.

Complete the calculator fields below with the original purchase price of your property, the value of the land (original purchase price minus any buildings/structures) which is non-depreciable, and any improvements to the property which will be added to your cost basis. 

THIS CALCULATOR IS FOR INFORMATIONAL PURPOSES ONLY. Please consult your Tax Advisor for an accurate calculation based upon your specific situation. 

 
Type of Property
Years Property Has Been Owned
Original Purchase Price of Property (cost basis)$
Land Value$
Improvement to Property$
 
Annual Depreciation$
 
 
Total Accumulated Depreciation$