How this is calculated
This tool applies the principle most states share: normal wear and tear is not deductible, but damage beyond ordinary use is — reduced by depreciation.
Wear vs. damage. Faded paint, lightly worn carpet, small nail holes and scuffed finishes are ordinary wear from living in a home; you absorb those as a cost of renting. Large holes, burns, pet stains and breakage are damage you can charge for.
Depreciation and useful life. Things wear out, so you can only charge a damaged item's remaining value — its cost times remaining-life over useful-life. A carpet with a 7-year life that's 5 years old is worth about 2/7 of replacement. Once an item is past its useful life it has no remaining value, so typically nothing is chargeable even if it's damaged. Cleaning and one-off repairs are charged at actual cost and are not depreciated — but only for work beyond ordinary turnover cleaning.
Rules vary by state. Useful lives, what counts as wear, return deadlines, and whether an itemized statement is mandatory all differ by jurisdiction. This is general guidance, not legal advice. Check your state's landlord-tenant law, document the unit's condition with dated photos at move-in and move-out, and keep receipts.
Frequently asked questions
- What can a landlord deduct from a security deposit?
- A landlord can deduct for unpaid rent and for damage beyond normal wear and tear — but not for ordinary wear from everyday living. Damage to items with a useful life (carpet, paint, appliances) is further reduced by depreciation: you can only charge the item's remaining value, not full replacement.
- What is normal wear and tear?
- Normal wear and tear is the gradual, expected decline from ordinary use: faded paint, lightly worn carpet, small nail holes, scuffed finishes. It is the cost of doing business as a landlord and cannot be deducted from a deposit. Damage is different — it is harm beyond ordinary use, such as large holes, pet stains, or breakage.
- Can a landlord charge for carpet replacement?
- Only for the carpet's remaining value, not the full cost. Carpet has a useful life (commonly about 7 years). If a 5-year-old carpet with a 7-year life is damaged beyond repair, you can charge roughly (7−5)/7 ≈ 29% of replacement. A carpet past its useful life has $0 remaining value, so typically nothing is chargeable even if it is stained.
- How does depreciation affect deposit deductions?
- Items wear out over a useful life, so their value drops each year. A landlord can only deduct the depreciated (remaining) value of a damaged item, calculated as cost × (remaining life ÷ useful life). Cleaning and one-off repairs are charged at actual cost and are not depreciated.
- How long does a landlord have to return a deposit?
- Most states require the deposit — along with an itemized statement of any deductions — to be returned within about 14 to 30 days of move-out. The exact deadline, and whether an itemized statement is mandatory, varies by state, so check your local law.
How to use this calculator
- Enter the deposit and tenancy length Start with the total security deposit you collected and how many years the tenant lived there.
- Add each item Add a line for every item you are assessing — paint, carpet, an appliance, cleaning, a repair.
- Mark normal wear versus damage For each item, choose whether it is normal wear (not deductible), damaged but repairable, or damaged beyond repair.
- Enter age and cost For depreciated items, enter the item's age and useful life so the calculator prorates the remaining value, then enter the repair or replacement cost.
- Read the fair itemized deduction See the total you can fairly deduct, how much to return, and the depreciation math for each line.