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Section 179 Calculator
SBA 7(a) →SBA 504 →
Calculator

United States only. These are US federal program under SOP 50 10 8, priced off two different US benchmarks: SBA 7(a) and Express track the WSJ Prime Rate plus a spread, while the 504 debenture prices off US Treasury yields when it sells, not when you sign.

Tax, Caps, fees, eligibility and the Section 179 limits all come from US statute and change with it. Outside the US the arithmetic still holds; the program, benchmarks and limits do not.

Current as of August 2026. Check the SOP before relying on a figure.
IRC Section 179 & Bonus Depreciation

Maximize your Year-1
depreciation deduction.

Section 179 lets you deduct the full cost of qualifying equipment and software in the year of purchase instead of depreciating it over 5-7 years. Combined with bonus depreciation -- restored to 100% and made permanent by the OBBBA -- the two provisions can eliminate most or all of a purchase's taxable impact in Year 1. This calculator models both deductions simultaneously, applies the phase-out thresholds, computes your MACRS schedule for any remaining basis, and shows your true after-tax cost of acquisition.

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Section 179 election and limits — Enter your asset cost and elected Section 179 amount. The calculator enforces the 2026 deduction limit ($2,560,000) and the phase-out threshold ($4,090,000), reducing the deduction dollar-for-dollar above the threshold. Also enforces the taxable business income limit.
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Bonus depreciation (100%, permanent) — Bonus depreciation applies to the remaining basis after the Section 179 election. The One Big Beautiful Bill Act repealed the scheduled phase-down and permanently restored the rate to 100% for qualified property acquired and placed in service after 19 January 2025. The calculator models the interaction between the two provisions and still offers the lower rates, because property acquired under a binding contract dated before that cutoff follows the old schedule.
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MACRS schedule on remaining basis — Any remaining basis after Section 179 and bonus depreciation is depreciated on a MACRS schedule. Select your asset class (5-year, 7-year, 10-year, 15-year, or 39-year property) and view the full multi-year depreciation table.
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Combined Year-1 deduction — Shows the total deduction from all three sources -- Section 179 election, bonus depreciation, and first-year MACRS -- as a dollar amount and as a percentage of asset cost. Flags when the combined deduction reaches 100%.
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Dollar tax savings — Enter your federal and state tax rates and the calculator converts each deduction component into actual dollars of tax saved. Shows Year-1 savings, cumulative savings over the asset life, and effective after-tax purchase cost.
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Phase-out progress and limits — Visual indicator showing where your total 179 property placed-in-service falls relative to the phase-out threshold. Critical for businesses making multiple equipment purchases in the same tax year.
Sec. 179 Election$2.56M LimitPhase-Out ThresholdBonus Depreciation100% Bonus (permanent)MACRS Schedule5/7/10yr PropertyYear-1 Tax SavingsAfter-Tax Cost
What this calculator models
$2.56M2026 Sec. 179 limit
100%2026 bonus depr. rate
3Deduction sources
FullMACRS schedule
Year-1 deduction waterfall
Asset purchase price100%
Section 179 electionup to 100%
Bonus depreciation100% of remainder
MACRS Year 1on remaining basis
Tax savings (Year 1)deduction x rate
Key limits (2026)
179 limit$2,560,000 maximum Section 179 deduction for tax year 2026 (Rev. Proc. 2025-32).
Phase-outDeduction reduces dollar-for-dollar above $4,090,000 in 179 property placed in service.
Income limitSection 179 deduction cannot exceed taxable business income for the year.
Bonus 2026100% bonus depreciation, made permanent by the OBBBA for qualified property acquired and placed in service after 19 January 2025. The TCJA phase-down was repealed.
MACRS classes5-yr (autos, computers), 7-yr (machinery), 10-yr (manufacturing), 39-yr (CRE).
For informational purposes only. Not tax or legal advice. Section 179 limits and bonus depreciation rates are set annually by Congress. Confirm current figures with a CPA before filing.
© 2026 ExitAdviser.com —Results are estimates for informational purposes only. Not financial, tax, or legal advice. Consult qualified professionals before making financial decisions.