Tax Planning & Wealth Building Calculator
Estimate the mortgage interest deduction, capital gains tax impact, and rental property depreciation benefits — so you understand the real after-tax cost of homeownership and investing.
Est. Year 1 Mortgage Interest
$24,444
Primary deductible cost
Property Tax (SALT deductible)
$4,400
Capped at $10,000 (actual: $4,400)
Total Itemized Deductions
$28,844
If you itemize
Standard Deduction
$29,200
married filing 2024
Standard deduction is better for you
Your itemized deductions ($28,844) are less than the standard deduction ($29,200). You won't get an additional tax benefit from the mortgage interest deduction in this scenario.
Future Home Value
$475,075
Capital Gain
$75,075
CG Exclusion (married)
$500,000
Taxable Gain
$0
No capital gains tax owed
Your gain of $75,075 is fully covered by the $500,000 primary residence exclusion. You must have lived in the home 2 of the last 5 years.
Annual Depreciation
$14,545
Home value ÷ 27.5 years (IRS schedule)
Annual Tax Savings from Depreciation
$3,200
At 22% marginal rate
Depreciation only applies to investment/rental properties, not primary residences. Depreciation recapture applies at sale (25% rate on accumulated depreciation). Consult a CPA for your specific situation.
Disclaimer: These calculations are estimates for educational purposes only. Tax laws change and your situation may differ. Always consult a licensed CPA or tax professional before making tax-related decisions.