How to Calculate Depreciation for Small Business Owners {Straight-Line & Double Declining Balance}

Jump to a topic in the video: 0:00 Intro 0:43 What is depreciation? 2:27 Tax forms and learning resources 2:57 Components of depreciation (placed in service, class, method, convention and basis) 8:08 Straight-Line Example 9:20 MACRS depreciation 10:07 Most common MACRS depreciation example (Double Declining Balance w/ a switch to Straight Line) 16:01 Using tables to calculate MACRS depreciation (plus vehicles and listed property) 17:23 Closing Follow along with the examples here: https://www.irs.gov/pub/irs-pdf/p946.pdf Get my help in the Master Your Accounting & Taxes Program here: https://www.amandarussell.mba/myatdwy... In this video, I'm breaking down depreciation for small business owners, bookkeepers, and tax professionals. We'll cover the core principles of depreciation, including how to calculate depreciation using straight line and double declining balance (or 200% declining balance) methods. Plus, we'll look at the tax resources, cover MACRS and go over examples. We'll cover switching from double declining balance to straight line as well. OTHER VIDEOS YOU MIGHT LIKE: 1120-S Form Walkthrough    • How to Fill Out Form 1120-S  | Schedule L,...   How to DIY Business Taxes (TurboTax vs TaxAct vs X.Tax)    • TurboTax vs TaxAct vs X.Tax vs. TaxFyle  |...   How to E-file a 1120S in Tax Act:    • Form 1120S Filing | TaxAct Step-by-Step Pr...   Entering a 1065 in X.Tax Step-by-step:    • How To E-file Form 1065 Partnership Tax Re...   Quickbooks vs. Xero vs. Wave vs. Sage vs. Freshbooks vs. Spreadsheets - How to Choose Accounting Software:    • Xero vs. Quickbooks vs. Wave vs. Freshbook...   The Balance Sheet Explained In Simple Terms:    • Balance Sheet Explained In Simple Terms - ...   How to File A Business Tax Extension For FREE:    • How to E-file a Business Extension for FRE...   How to E-file form 1099-NEC (Plus, the answers to common questions):    • How to E-file Form 1099-NEC (IN 5 MINUTES,...   How do you know if you need to pay Quarterly Estimated Taxes:    • Quarterly Business Tax Payments - Do I Hav...   Why Google Sheets Is Awesome & How to Use It:    • Google Sheets for Beginners: Getting Start...   How Does the S-corp Save You Money:    • How does the S-corp save you Business Taxe...   PAYROLL VIDEOS: How to File Payroll Quarterly Forms 941s:    • How to Fill Out and E-File Form 941?  [Eve...   How to File Payroll Unemployment Form 940 FUTA:    • How to Fill Out & E-file Form 940 - Everyt...   Taking the Employee Retention Tax Credit:    • EMPLOYEE RETENTION TAX CREDIT - How does t...   How to E-file your W-2s to Employees or S-corp Owners    • How To E-file Form W-2s To Employees [Fast...