Appliance Depreciation Calculator
Calculate the actual cash value of your appliances considering depreciation over time
Calculate Appliance Depreciation
Choose your appliance type or set a custom depreciation rate
Number of years since purchase or in use
Current cost to replace the appliance
Depreciation Results
Enter appliance details to calculate depreciation value
Value Analysis
Example Calculation
Space Heater Example
Appliance: Space heater
Depreciation rate: 6.67% per year
Age: 4 years
Replacement value: $75
Calculation
Depreciation = 6.67% × $75 × 4 years
Depreciation = $20.01
ACV = $75 - $20.01 = $54.99
Key Concepts
Actual Cash Value
Current worth after depreciation
What insurance typically pays
Replacement Value
Cost to buy new today
Market price for replacement
Depreciation Rate
Annual value loss percentage
Varies by appliance type
Insurance Tips
Check if your policy covers replacement cost or actual cash value
Keep receipts and documentation for proof of value
Consider replacement cost coverage for expensive appliances
Review depreciation rates when making purchasing decisions
Understanding Appliance Depreciation
What is Appliance Depreciation?
Appliance depreciation is the reduction in value of your home appliances over time due to wear and tear, technological obsolescence, and market conditions. Understanding depreciation helps you make informed decisions about insurance coverage and replacement timing.
Why Does it Matter?
- •Insurance claim settlements
- •Resale value estimation
- •Replacement planning
- •Tax deduction calculations
Depreciation Formula
ACV = RCV - (DR/100 × RCV × Age)
- ACV: Actual Cash Value
- RCV: Replacement Cash Value
- DR: Annual Depreciation Rate (%)
- Age: Age of appliance in years
Note: Some appliances may have different depreciation curves. This calculator uses straight-line depreciation for simplicity.
Appliance Depreciation Rates
| Appliance Type | Annual Depreciation Rate | Appliance Type | Annual Depreciation Rate |
|---|---|---|---|
| Built-in wine cooler | 7.14% | Central air conditioning | 7% |
| Dehumidifier | 10% | Dishwasher | 12.5% |
| Electric dryer | 8.33% | Electric floor polisher | 6.67% |
| Freezer | 5% | Garbage disposal | 10% |
| Gas charbroiler | 5.56% | Gas dryer | 7.69% |
| Gas stove | 5.26% | Hand dryer | 9.09% |
| Ironers | 10% | Microwave oven | 10% |
| Range hood | 7.14% | Refrigerator | 12.5% |
| Refrigerator - regular | 6.67% | Sewing machine | 5% |
| Space heater | 6.67% | Stoves, ranges – electric | 5.88% |
| Sump pumps | 10% | Tankless water heater | 5% |
| Trash compactor | 10% | Vacuum cleaner (large) | 16.67% |
| Vacuum cleaner (small) | 10% | Washer | 12.5% |
| Washer-dryer | 12.5% | Water heater | 10% |
| Water pumps | 10% |