Depreciation Calculator
Straight-line and double-declining.
Inputs
$
$
yrs
Result
Straight-Line /yr$3,600.00
DDB Year 1$8,000.00
DDB Year 2$4,800.00
About the Depreciation Calculator
The Depreciation Calculator computes annual and accumulated depreciation of an asset using straight-line, declining balance, or sum-of-years methods.
Calculation method
Straight-line: (Cost − Salvage) / Life. Declining balance: Book value × Rate. Sum-of-years: (Remaining life / SumYears) × Depreciable base.
Straight-line: (Cost − Salvage) / LifeHow to use this calculator
- Enter the asset cost and estimated salvage value.
- Enter useful life in years.
- Choose depreciation method for schedule.
Example
A $50,000 asset with $5,000 salvage over 10 years depreciates $4,500 per year straight-line, or $10,000 in year 1 double-declining.
Frequently asked questions
Which method should I use?
US tax uses MACRS. Straight-line matches accounting income smoothly; accelerated methods (declining balance, sum-of-years) push more expense to early years for tax benefits.
What is Section 179?
A US tax election that lets small businesses expense up to a set annual limit of qualifying equipment in year one instead of depreciating over years.
Do land and buildings depreciate?
Land never depreciates. Residential rental buildings depreciate over 27.5 years; commercial over 39 years, straight-line, in the US.
Disclaimer: This calculator is for informational and educational purposes only and does not constitute financial, tax, or legal advice. Consult a qualified professional for decisions specific to your situation.