Let Uncle Sam
help buy the machine.
Section 179 lets your business write off the full cost of qualifying equipment the same year you put it to work, instead of nibbling at it over a decade. Move the slider, see what the deduction is worth, and watch the savings stack up against your first year of payments.
- Deduct 100% in year one
- Works on new AND used iron
- Finance it and still deduct it
- Up to $1,250,000 in 2025/2026
Section 179, in one breath
The contractor’s favorite line in the tax code.
- What it does
- Deduct the entire purchase price of qualifying equipment in the year you buy it, not spread out over years of depreciation.
- 2025/2026 limit
- Up to $1,250,000 in equipment can be expensed, with the benefit phasing out above $3,130,000 of total purchases.
- New or used
- Both qualify, as long as it’s new-to-your-business and put into service this year.
- Financed counts
- Lease or finance the machine and you can still deduct the full price. The savings can beat your first year of payments.
What will the deduction save you?
Drop in the equipment cost and your business tax rate. We’ll show the first-year deduction, your estimated tax savings, and what the machine really costs after taxes, alongside an illustrative 9.9% / 60-month payment.
Your numbers
9.9% sample APRNot sure? The federal corporate rate is 21%. Pass-throughs vary; your accountant has the real number.
Your real cost of iron
Sticker cost
$
What you pay for the machine
Tax savings
– $
deduction × %
Net cost after taxes
$
What it really costs you
Est. monthly payment
$/mo
9.9% APR · months
First year of payments
$
12 monthly payments
The punchline
Illustrative only. Estimates assume the equipment cost is fully eligible and within the 2026 Section 179 limit, and apply your tax rate to the deduction. Actual deductions depend on your taxable income, business structure, and how the machine is used. This isn’t tax advice. Talk to your accountant before you file.
How the deduction actually happens.
Buy or finance
Purchase qualifying equipment, new or used. Financing it is totally fine; you still deduct the full price.
Put it to work
The machine has to be placed in service by year-end. Sitting on a truck on December 31st doesn’t count.
Elect Section 179
Your accountant claims the deduction on IRS Form 4562 with your business return.
Bank the savings
The deduction lowers your taxable income, and the cash stays in your business.
Section 179, minus the jargon.
Yes, that’s the magic. You can deduct the full purchase price the year you put the machine into service even though you’re paying for it over time. That’s how the first-year tax savings can run ahead of your first year of payments.
It does, as long as it’s new to your business and placed in service during the tax year. Plenty of operators write off solid used iron under Section 179.
You can expense up to $1,250,000 of qualifying equipment, with the benefit phasing out once total purchases pass $3,130,000. Most single-machine buys are comfortably under the cap.
They’re cousins. Section 179 lets you elect exactly how much to expense up front; bonus depreciation applies more broadly. Many businesses stack both. Your accountant will pick the mix that fits your year.
No. We finance the iron, not the 1040. We’ll structure the deal and hand you clean paperwork; your accountant claims the deduction. We’re happy to talk numbers with them.