Cost Segregation

Cost segregation is mostly about timing: reclassifying eligible components into shorter lives so more depreciation happens earlier. The upside is improved near-term after-tax cash flow when the deductions are usable. The downside is complexity when assumptions are wrong or documentation is weak.

TL;DR — Start with ROI

Treat cost segregation as a decision, not a headline savings number. Model ranges, confirm timing rules, and align the plan with your CPA so implementation matches your facts.

Start Here

If you only read two pages, start with Benefits and ROI. Then review bonus depreciation timing topics if they apply to your placed-in-service year and state treatment.

Benefits & ROI

What changes in your depreciation schedule and why it can matter.
A decision framework: ranges, drivers, and when ROI can disappoint.

Bonus Depreciation Topics

How bonus depreciation interacts with cost segregation (high-level).
What changes as bonus percentages decline and how to model it.
Why cost segregation can still matter when bonus is partial.
Timing rules and documentation that can make or break outcomes.
How nonconforming states can change the modeling picture.
A neutral framework for deciding whether rushing makes sense.

Tax Law & Compliance

Scenario planning and staying ready under legislative uncertainty.
Where QIP fits and why classification details matter.
A clear comparison of tools and how they interact.
Informational only. Not tax advice.