Depreciation Calculator

Compare the major book-depreciation methods on one asset: identical lifetime totals, very different timing.

Asset cost

Salvage value

Useful life

years

Method

Yearly expense (year 1)

$6,500.00

Depreciation schedule
Year	Expense	Accumulated	Book value
1	$6,500.00	$6,500.00	$53,500.00
2	$6,500.00	$13,000.00	$47,000.00
3	$6,500.00	$19,500.00	$40,500.00
4	$6,500.00	$26,000.00	$34,000.00
5	$6,500.00	$32,500.00	$27,500.00
6	$6,500.00	$39,000.00	$21,000.00
7	$6,500.00	$45,500.00	$14,500.00
8	$6,500.00	$52,000.00	$8,000.00

How the Depreciation Calculator works

The calculation follows the standard method used across the US — no shortcuts, no hidden assumptions. Here is exactly what happens behind the scenes:

Which method do US tax returns use?

MACRS, not these book methods — typically declining-balance switching to straight line. Book schedules here serve financial reporting and planning.

Why front-load depreciation?

Matching principle: assets deliver more value when new. Accelerated expense also defers taxes earlier under MACRS.