π Appliance Depreciation Calculator
Current value of any appliance, by age and useful life.
Estimated current value
How to Use the Appliance Depreciation Calculator
Pick the appliance type to load its typical useful life (or set a custom life), enter what you paid and how old it is. The calculator applies straight-line depreciation and shows current value, yearly loss, and remaining life. Use it before selling, before a repair decision, and before arguing with an insurance adjuster.
Select the appliance type, or choose Custom life for anything unusual.
Enter purchase price and age in years (halves allowed).
Hit Calculate Value. Compare the result against repair quotes and local listings.
How Straight-Line Depreciation Works
Straight-line spreads the cost evenly across the appliance's expected life. It is the method insurers, accountants, and small-claims courts reach for first, because it is explainable in one sentence. Salvage value (scrap worth at end of life) is set to zero here, which is realistic for most household appliances and keeps estimates conservative.
Worked example, verified: $1,200 refrigerator, 12-year life, 5 years old. Yearly loss: 1200 Γ· 12 = $100. Accumulated: 100 Γ 5 = $500. Current value: 1200 - 500 = $700, with 7 years of expected life remaining. A $400 sealed-system repair at this point costs 57% of the remaining value, which fails the 50% repair rule; replacement starts looking rational.
Useful Life by Appliance
These are the industry's usual planning figures, and the calculator preloads them. Refrigerators: 12 to 15 years. Freezers: 12 to 15. Washers: 10 to 13, with old top-loaders outlasting modern front-loaders on average. Dryers: 10 to 13, often the longest-lived of the pair. Dishwashers: 9 to 12. Ranges and ovens: 13 to 15, the marathoners of the kitchen. Microwaves: about 9. Garbage disposals: 8 to 12. Real units vary with use, water quality, and luck; a lightly used guest-house washer can double its expectancy while a hard-water dishwasher can halve it. Treat the life as a planning midpoint, not a warranty.
Repair or Replace: The 50% Rule
Two tests, both must pass for repair. First, the repair must cost less than 50% of a new equivalent appliance. Second, the appliance should be under half its useful life, or the repair should credibly extend it. A $250 pump on a 4-year-old washer: repair. A $400 control board on an 11-year-old dishwasher: replace. Add a tiebreaker: energy efficiency. A 15-year-old fridge can use twice the electricity of a modern one, so replacement sometimes pays through the utility bill. Get the repair quote in writing, price the new equivalent delivered and installed, run both tests, and the answer is usually obvious.
Tips for Selling Used Appliances
Price from the depreciation value, then check local listings for the same model and split the difference toward the market. Clean it like a rental inspection is coming, because buyers discount dirty heavily. Include the manual, spare parts, and any repair receipts; documentation adds real dollars. Offer delivery if you can: a working fridge with delivery sells in days, while buyer-haul listings linger for weeks. Photograph the model plate so buyers can verify specs. And be honest about age and quirks in the listing; the buyer who discovers the noisy fan on arrival is the buyer who demands a discount in your driveway.
A Second Worked Example: The Washer Decision
An $800 washer with an 11-year useful life, now 8 years old. Yearly loss: 800 divided by 11 is $72.73. Accumulated: 72.73 times 8 is $581.82. Current value: 800 minus 581.82 is $218.18, about $218, with 3 years of expected life left. A $250 transmission repair costs more than the machine is worth: replace, do not repair. A $60 pump replacement is 27% of value: repair it and run the remaining three years.
The same math settles insurance arguments. An adjuster offering $150 for a flooded 8-year-old washer is low against the $218 book value; showing the straight-line calculation turns a haggle into arithmetic. The calculator is a negotiation tool as much as a planning one.
What Depreciation Misses
Straight-line depreciation gives book value, not market value, and the two diverge. A well-maintained Sub-Zero holds value far better than the formula says; a no-name dishwasher in a hard-water town dies faster. Condition, brand, and local used markets all move the real number, sometimes by half.
Energy efficiency is the other missing piece. A 15-year-old refrigerator can burn twice the electricity of a modern one; at 15 cents a kWh, the old unit's power bill can exceed its remaining value in a year or two. When the repair-or-replace math is close, add the energy savings of the new unit to the replace side. Depreciation counts the past; the power bill counts the future.
Common Depreciation Mistakes
First: original price versus replacement cost. Depreciation runs on what you paid; insurance replacement runs on what a new one costs now. Do not mix the two in one argument. Second: the sunk-cost trap. Money already spent is gone; the only question is whether the next dollar goes to repair or replacement.
Third: ignoring the 50% rule's direction. The rule compares the repair cost to the current value, not the original price; a $400 repair on a $1,200 fridge sounds fine until the fridge is worth $700. Fourth: sentimental value. The dryer that survived three moves is still worth its book value, not its memories. Fifth: forgetting disposal costs. Haul-away fees and installation charges belong in the replace column; get the full quote before comparing.
Worked Example: Refrigerator After Seven Years
A refrigerator bought for $1,200 with a 12-year useful life depreciates at $100 per year under straight-line math: 1,200 / 12 = 100. After seven years the accumulated depreciation is $700, leaving a book value of $500. That $500 is not what you could sell it for; it is the accounting value, the original cost minus the wear the books recognize. In year 12 the book value hits zero even though the fridge may run fine for years more.
Compare a dishwasher at $800 with a 9-year life: $88.89 per year, book value after 5 years = 800 - 444.44 = $355.56. The shorter life means faster depreciation, which matches reality: dishwashers work harder per day than most appliances and die younger. Useful life is the input that matters most, so use the IRS or manufacturer figure for your appliance type rather than guessing.
The 50 Percent Rule for Repair or Replace
Repair technicians quote a rule of thumb: if the repair costs more than 50 percent of a new appliance's price, and the old unit is past half its useful life, replace it. A $400 compressor repair on that 7-year-old fridge (new equivalent $1,200, book value $500) fails both tests: the repair is a third of new, but the unit is past half its 12-year life and other components are aging on the same schedule. Put the $400 toward the new unit instead.
The mistake is comparing repair cost to the original purchase price instead of today's replacement price. Appliance prices move; a fridge that cost $1,200 seven years ago might be $1,500 now, which changes the 50 percent threshold. Run the calculator with current replacement cost, not the receipt in your drawer, and the decision usually makes itself.
Frequently Asked Questions
How do you calculate appliance depreciation?
Straight-line is the standard for household estimates: (purchase price - salvage value) Γ· useful life = yearly depreciation. A $1,200 fridge with a 12-year life loses $100 a year, so at 5 years old it is worth about $700. The calculator above runs this with preset life spans per appliance.
What is the useful life of a refrigerator?
About 12 to 15 years for a full-size fridge. Freezers run similar. The compressor is usually what ends it. Units that die before 10 years often had a sealed-system failure, which is rarely worth fixing.
How long do washers and dryers last?
Roughly 10 to 13 years for both. Front-load washers trend slightly shorter than old top-loaders because of bearing and seal wear. Dryers are simpler machines and often outlive their washers.
When should I repair vs replace an appliance?
The trade rule: if the repair costs more than 50% of a new equivalent and the appliance is past half its useful life, replace it. A $400 repair on a 9-year-old washer with a 12-year life fails both tests. Under 50% and under half-life, repair usually wins.
How does the IRS depreciate appliances?
For residential rental property, appliances are 5-year property under MACRS, depreciated over 5 years (6 tax years with conventions). That is a tax schedule, not a value estimate: a 6-year-old rental fridge is fully depreciated on paper but still cools food. This is tax information, not tax advice.
What is salvage value?
What the appliance is worth at the end of its useful life: usually scrap or parts value, $0 to $50 for most household appliances. For quick estimates, setting salvage to zero is fine and keeps the math conservative.
Do appliances lose value faster at first?
For resale, yes: like cars, appliances take the biggest hit in the first couple of years, then decline slowly. Straight-line depreciation ignores this curve, which makes it conservative for young appliances. Price a 2-year-old appliance closer to 60% of new, not the 83% straight-line suggests.
How much is my used appliance worth?
Start with straight-line value, then adjust: subtract for cosmetic damage and missing parts, add for recent repairs with receipts. Check local listings for the same model; the market sets the price and depreciation sets your floor. Working appliances with delivery included sell fastest.
Does depreciation affect home insurance claims?
Yes. Most policies pay actual cash value (replacement cost minus depreciation) unless you carry replacement-cost coverage. A 10-year-old washer is worth little on an ACV claim, which is why the coverage type matters more than the deductible for older appliances.