Fixed Asset Depreciation Planning Services Guide

Cost segregation study pricing varies based on property size, complexity, and type. Entry properties ($300K-$1M basis) typically cost $3,000-$12,000, medium properties ($1M-$3M) cost $10,000-$20,000, large properties ($3M-$10M) cost $15,000-$30,000, and very large properties ($10M+) cost $30,000-$60,000 or more. The average client achieves first-year tax savings of $171,243, with typical ROI ratios of 10-25:1—meaning for every dollar invested in the study, you receive $10-$25 in tax benefits. We provide a free preliminary analysis to determine whether a study makes financial sense for your specific property.

Any income-producing property with a depreciable basis starting at $300,000 (excluding land value) can benefit from cost segregation. Qualifying property types include residential rentals (single-family, multi-family, apartments, condos), commercial buildings (office, retail, industrial), hospitality properties (hotels, motels, resorts), medical facilities, self-storage, automotive facilities (dealerships, repair shops, car washes), restaurants, gas stations, assisted living facilities, and specialized properties like marinas and mobile home parks. Properties under $300,000 require careful ROI analysis to ensure study fees justify the tax benefits.

Absolutely. Lookback cost segregation studies allow you to claim missed depreciation on properties placed in service up to 15 years ago. Using IRS Form 3115, you can capture all missed accelerated depreciation deductions in a single year without amending prior tax returns. The lookback study process and deliverables mirror current-year studies, including full engineering analysis, comprehensive reporting, and lifetime audit defense. Pricing is comparable to current-year studies, making this an excellent strategy for maximizing tax benefits on existing portfolio properties.

Most cost segregation studies are completed within 2-4 weeks from the initial property inspection—significantly faster than the industry standard of 4-8 weeks. Virtual property tours typically result in 2-3 week turnarounds by eliminating travel logistics and scheduling delays. For urgent situations, we offer rush service that can deliver complete studies in as little as one week, though premium fees apply. After study completion, we provide an additional 2-3 days of CPA coordination support to ensure seamless implementation of your depreciation schedules.

Every Seneca cost segregation study includes comprehensive IRS audit defense at no additional charge for as long as you own the property. If the IRS questions your study, our certified specialists will defend the report, provide all supporting documentation, and handle all communications with the IRS on your behalf. Our engineering-based methodology and strict adherence to IRS guidelines result in a low audit risk profile. We back this with an iron-clad guarantee: if an audit occurs and the study has a material issue, we can even refund your study cost.

No. Our team includes licensed professional engineers who conduct the entire analysis in-house using proprietary engineering technology. Unlike firms that outsource engineering work, we maintain direct control over quality and compliance. Your study will be performed by certified engineers with specialized cost segregation training and ASCSP professional designations. This integrated approach ensures precision asset classification, comprehensive documentation, and faster turnaround times while maintaining the highest technical standards required for IRS compliance.

We'll need your property's purchase agreement, any construction or renovation invoices, architectural drawings (if available), previous depreciation schedules, and property tax records. If you're missing some documentation, don't worry—our team can reconstruct historical information using industry databases and cost data. During the virtual or on-site property tour, we'll document all building components through photos and detailed notes. After the inspection, we handle all analysis and reporting, keeping you informed throughout the 2-4 week process until delivery of your complete depreciation schedules.

Yes. Every study includes fixed asset schedules formatted specifically for CPA use, along with comprehensive supporting documentation, cost reconciliation workpapers, and implementation guidance. After study completion, we provide 2-3 days of dedicated CPA coordination support at no additional charge. Our team will review the report with your accountant, answer technical questions, and provide necessary support for implementing findings in current tax returns or through Form 3115 for lookback studies. Over 125 CPAs and tax advisors trust Seneca for their clients' cost segregation needs.