Depreciation: Your Hidden Business Tax Saver!

The Hidden Accounting Tool That Could Save Your Business Thousands

Depreciation might sound boring, but it’s a $2.68 trillion opportunity for US businesses. Keep scrolling to learn how it works and why it matters.

What is Depreciation?

Depreciation is an accounting method that allocates an asset’s cost over its useful life.

Accounting Method

Allocates asset cost over its useful life

Value Reduction

Assets naturally lose value over time

Tax Benefit

Not a cash expense but reduces taxable income

3 Powerful Depreciation Methods

Straight-Line

Equal amounts annually ($10K/year on a $50K machine with 5-year life)

Declining Balance

Higher expenses in early years, beneficial for technology assets

Units of Production

Based on actual usage, ideal for manufacturing equipment

Maximize Your Depreciation Benefits

A strategic approach to depreciation could reduce your tax liability by 15-30%.

Section 179 allows immediate write-offs up to $1.16M, potentially transforming your cash flow. Consult a tax professional to choose the method that works best for your business.

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