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COST SEGREGATION Savings Calculator

Estimate how much first-year depreciation a cost segregation study could unlock on your property, and what that could mean for your tax bill.

Purchase price or construction cost ($)

Land value (% of price)

Land can't be depreciated. It's often 15–30%; check your property tax assessment.

Property type

When was it acquired and placed in service?

Bought before 2025? A look-back study can still claim missed depreciation this year.

Your federal tax rate

Estimated first-year result

Additional first-year deduction

–

Depreciable building basis–

Typically reclassified (–)–

Year-one depreciation without a study–

Year-one depreciation with a study–

Estimated federal tax deferred–

Get an Exact Feasibility Review

Estimates only, using typical reclassification ranges for each property type and simplified first-year conventions. Actual results depend on an engineering study, your tax position (including passive activity rules) and state taxes. Not tax advice.

How this estimate works

A cost segregation study moves parts of a building from 27.5- or 39-year depreciation into 5-, 7- and 15-year property. This calculator uses a typical percentage reclassified for each property type, applies the bonus depreciation rate for the year you bought it, and compares the first-year deduction with standard straight-line depreciation.

For a precise figure, an engineering-based study reviews your actual construction costs, drawings and site. Read: Is cost segregation worth it?