As the year draws to a close, your business may be facing some strategic financial decisions.
Taking advantage of year-end financing to purchase a new pressure washer or floor care equipment now can be a strategic move. Not only do you receive the cleaning equipment you need, you can also get tax deductions and favorable financing options that provide you with valuable financial incentives to purchase now.
The biggest of those incentives is the Section 179 deduction. This business equipment tax deduction lets you write off the full cost of qualifying equipment in the year it’s placed in service, even if you finance it. That deduction can make a real difference in what your equipment actually costs you, and our Section 179 calculator below shows you how much.
Section 179 Deduction
Section 179 is a business equipment tax deduction that allows companies to deduct the full purchase price of qualifying equipment, such as pressure washers and floor care equipment, in the year it is placed in service. Instead of depreciating the cost over several years, you can write it all off at once. It’s designed with small and mid-sized businesses in mind, and both new and used equipment can qualify.
Here’s the part many business owners don’t realize: financed equipment qualifies for the full Section 179 deduction. You can deduct the full cost of your equipment this year while paying for it over time, which means your tax savings can offset, or even exceed, your first year’s payments.
Even if you purchase equipment using end-of-year financing, you can maximize this deduction to reduce your taxable income, and effectively reduce the cost of your equipment purchase.
Section 179 Calculator
- Section 179 deduction—
Disclaimer
This calculator is a planning estimate only and is not tax, legal, or accounting advice. Results assume your equipment qualifies for Section 179, is bought outright or financed under an arrangement treated as a purchase, and is placed in service by December 31 of the current tax year. Your actual deduction may be limited by your taxable business income, annual Section 179 limits, and your state's tax rules. Please check with your tax professional before making a purchase decision.
Tax savings are realized when you file your tax return, not at the time of purchase.
Bonus Depreciation
In addition to the Section 179 deduction, bonus depreciation is another tax benefit to know about. It allows businesses to deduct up to 100% of the cost of qualifying new or used equipment in the year it is placed in service.
For most equipment purchases, Section 179 alone covers the full cost. Bonus depreciation mainly comes into play for larger purchases that exceed the annual Section 179 limit. Whether you buy outright or finance, equipment placed in service by December 31 can qualify.
Preserve Cash Flow
End-of-year financing enables your business to acquire the essential cleaning equipment it needs while preserving its cash flow for other expenses.
You can spread the cost of the equipment over time, allowing you to maintain sufficient liquidity for day-to-day operations and unexpected expenses. This is particularly beneficial for small and mid-sized businesses that need to manage their working capital carefully.
Limited-Time Financing Options
Year-end financing often includes special, limited-time financing deals that can lower your payments, reduce interest rates, and help you save on the purchase of your equipment.
In fact, generally starting in October of each year, Northstar offers special end-of-year financing promotions that could include deals such as 0% financing, $0 down, or zero payments when you purchase a new Landa Pressure Washer or Kärcher Floor Care Equipment.
If you happen to miss these financing specials, Northstar offers several other customizable financing options throughout the year that can be tailored to fit the unique budget and needs of your business.
Don't Miss The Section 179 Deadline
To count for the current tax year, equipment must be purchased and placed in service by December 31. If you’re weighing a purchase, this is one of the strongest reasons to move now instead of waiting until next year.
The good news is there’s still time. Our credit application can be completed in three simple steps, and our approval process is faster than a traditional bank loan, so you can get the equipment you need in service before the deadline.
Enhanced Cleanliness & Productivity
Maintaining a quality image for your business is just as important as maintaining the equipment that makes your business run. Whether you need to keep your premises or fleet of vehicles looking spotless and professional, or reduce wear on the machinery essential to your operations, we have you covered.
Financing a new Landa pressure washer or Kärcher commercial cleaning equipment can help you tackle any cleaning task with greater efficiency and less labor. Our equipment is more reliable and requires less maintenance, reducing downtime and repair costs, and it’s built to last for years beyond the other brands.
Make A Strategic Financial Decision
To maximize tax benefits such as the Section 179 Deduction and Bonus Depreciation, consider consulting with a financial advisor or tax professional who can guide you through the intricacies of tax laws in your area and help design a financing plan that aligns with your business objectives.
By leveraging these tax advantages, and our end-of-the-year financing options, you will not only have a chance to clean up your property, but you’ll be able to clean up your finances as well.