Have you ever felt like...

"We were losing over $129,000 a year to taxes. Our CPA never mentioned cost segregation or how real estate could shelter our income. I had no idea you could take $100,000+ in deductions from a single property in Year 1. Nobody told us."

27.5 yrs

Standard depreciation timeline

Depreciation deductions as a W-2 employee

37%

Federal rate on every dollar you earn

We hear you. There's a reason real estate investors pay less tax than W-2 employees.

The tax code rewards property owners with massive deductions that salary earners can't access. The most powerful one is called a cost segregation study: an engineering analysis that reclassifies parts of your building (carpets, fixtures, parking lots, landscaping) so you can deduct them in Year 1 instead of spreading them over 27.5 years. One property. One study. $100,000+ in deductions that directly reduce your tax bill. Your CPA probably isn't talking about this because most CPAs don't do cost segregation. It requires a specialized engineer. We coordinate the entire process.

How It Works: One Rental Property, $83,000 Back in Year 1

Buy a Property

Investment rental property, $500K-$1M. The property generates rental income AND tax deductions at the same time.

Run a Cost Segregation Study

A specialized engineer reclassifies 20-40% of the building into fast-depreciating categories (5, 7, and 15 years instead of 27.5).

Take the Deduction

$100K-$225K+ in accelerated depreciation in Year 1. This offsets your W-2 income at your 37% tax rate.

Sell Tax-Free, Buy the Next One

When you sell, use a 1031 exchange to roll your gains into the next property with zero capital gains tax. Keep exchanging and you never pay that tax. It resets when your heirs inherit.

The property pays for itself through rent. The tax savings go straight back into your pocket. Most clients use professional property management so you own the asset without running it day to day.

Now Look at What You Keep

One Property

Year 1 (Cost Segregation)

$83K

the big accelerated hit

Years 2-10 (Ongoing Depreciation)

$7K

per year, steady

10-Year Total

$146K

from a single property

The Multiplier: Choose Your Pace

Each new property adds another $83K spike + ongoing savings

Just 1 property

$146K

1 every 3 years (4 total)

$401K

1 every 2 years (5 total)

$498K

1 per year (10 total)

$895K

10-year tax savings from this lever alone

Based on $750K properties, 30% cost segregation reclassification, 37% federal rate. Year 1 per property: $83,250 accelerated deduction savings. Ongoing: ~$7,000/year per property in standard depreciation savings. These numbers are the same regardless of filing status (depreciation deductions don't depend on how you file). Want to see your pace? Try the interactive calculator below.

The Math: One Property ($750K)

Building Value (85% of purchase price)$637,500

Cost Segregation Study Reclassifies (30%)$191,250

Year 1 Accelerated Deduction Tax Savings$83,250

Years 2+ Ongoing Depreciation Savings~$7,000/yr

Cost Segregation Study Fee$8,000-$12,000

Capital Gains Tax When You Sell$0 (via 1031 exchange)

Why More Properties = More Savings

Each new property gives you a fresh $83K Year 1 hit

All existing properties keep generating ~$7K/yr each

The savings stack: new hits + ongoing from prior properties

1031 exchanges mean $0 capital gains when you sell and buy next

Rental income covers mortgages, property management handles operations

Full year-by-year breakdown:Try the calculator →

This Is Real

A Taylored Tax client with a 4-property portfolio saved $200,000 in Year 1 through cost segregation studies. That's lever 2 of 7.

Taylored Tax client (identity protected). Running total: $337,500 saved across levers 1 and 2. Five more to go.

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