Airbnb / STR depreciation calculator
How much of your Airbnb can you write off this year?
Short-term rentals are where cost segregation pays most: furnished interiors, outdoor amenities, and a path to use the loss against your salary. Set your numbers below.
Estimated tax savings on your 2026 return
Example property$38k – $54k
From $120k–$168k of extra depreciation, compared with $7,212 without a study.
| Depreciation | 2026 deduction | 5 years |
|---|---|---|
| No study | $7,212 | $53,365 |
| With a study, low | $126,764 | $160,457 |
| With a study, high | $175,471 | $204,087 |
Where your $450,000 of basis goes with a study
- 5-year items
- $103,500
- 15-year site work
- $67,500
- 39-year building
- $279,000
Express Study from $895
About 51× its cost in year one
- Uses 100% bonus depreciation, available for homes bought and placed in service after Jan 19, 2025.
- Short-term rentals with an average stay of 7 days or less can offset W-2 income if you materially participate (often 100+ hours and more than anyone else).
Getting an accurate number
- 1
Include the furnished purchase price
If furniture came with the home, it is in your purchase price. The calculator splits it out with the rest of the 5-year property.
- 2
Add upgrades
Hot tub, deck, game room, landscaping, new flooring. Capital improvements made before or after listing all count.
- 3
Use the listing date
Depreciation starts when the home was ready and listed, not the first booking.
- 4
Check the 27.5 vs 39 setting
Short-term defaults to 39 years. If your CPA uses 27.5 for your house, tick the box under the rental type.
Why STR owners see the biggest swings
A furnished vacation home holds more short-life property per dollar than an unfurnished long-term rental: appliances, fixtures, outdoor kitchens, fire pits, decking and landscaping.
The tax side matters as much. Under the passive activity rules, a rental with a 7-day average stay isn't a "rental activity". If you materially participate, the study's year-one loss is not passive and can offset other income. That is what people mean by the short-term rental loophole.
Reading the three rows
No study is the default schedule.Low and high bracket the share of basis studies usually move for that property type. Furnished homes, newer finishes and more site work land closer to high.
Questions
Can my Airbnb losses offset my W-2 income?
They can if two things are true. First, the average guest stay for the year is 7 days or less (or 30 days or less with substantial services like daily cleaning). Second, you materially participate. The usual way is more than 100 hours on the rental and more hours than anyone else, including your cleaner and co-host.
Meet both and the rental is not a passive activity, so the year-one loss from a study can reduce wage and business income. Keep a dated log of your hours.
Does furniture count toward the study?
Furniture and decor you bought separately are already 5-year property and get bonus depreciation on their own. Add them to your CPA's schedule directly. Furniture included in the purchase price is part of what the study allocates, which is why furnished homes reach the high end of the range.
How much personal use is allowed?
If you use the home personally for more than 14 days or 10% of the days it is rented at fair price, whichever is greater, it is treated as a residence and losses are limited to rental income. Days you spend mainly on repairs and maintenance do not count as personal use.
Does a short-term rental use 27.5 or 39 years?
The 27.5-year life is for buildings that earn at least 80% of rent from dwelling units, and a unit rented mostly on a transient basis (mostly stays of less than 30 days) doesn't count as a dwelling unit. Many CPAs therefore put Airbnb-style rentals on 39 years.
Others use 27.5 years for a single house on the view that the transient rule targets hotel-like establishments. Practitioners disagree. Our calculator defaults short-term rentals to 39 years and lets you switch. The difference to your first-year savings is small either way.
What's the deal with 100% bonus depreciation?
The One Big Beautiful Bill Act, signed July 4, 2025, made 100% bonus depreciation permanent for property acquired and placed in service after January 19, 2025. Only the 5-, 7- and 15-year parts a study identifies qualify; the building itself never does.
Homes under a binding purchase contract before January 20, 2025 keep the older phase-down: 60% if placed in service in 2024, 40% in 2025, 20% in 2026. You can also elect out of bonus by asset class if a smaller first-year deduction suits your plans better.
Other calculators: rental property, bonus depreciation, renovation
Find out what your rental is worth on this year’s return
A free proposal with your estimated savings and a fixed fee, usually within one business day. Studies start at $895.