Home Inventory & Depriciation

[legomom922]

I have been doing my home inventory, and I need to know if I am suppose to be depreciating every single item in my home that was here before my business began, or only items that are used for DC? Like right now i am working in teh kitchen. Am I suppose to be writing down every single tupperware container and fork I own??

Also, am I suppose to be keeping inventory of just the rooms the parents see? (Like the pic frames and decor to make my home look appealing) or only stuff that is used in any rooms that are used for DC? Or every single item in my whole home??

How do I write off wall to wall carpet?

Sorry, I'm confused...

[TomCopeland]

Home inventory

You should only depreciate items that are used in your business. If parents are in the living room then this room is used for your business. Business use is more than just rooms children are in. Don't count the furniture in your bedroom if the children don't go in the room and you don't use it as an office. You can lump items together (25 spoons, 20 tupperware items, etc.). You don't have to inventory everything if you don't want to.
If the wall-to-wall carpeting was part of the home when you bought it, don't depreciate it (because it is included in the home value). If you bought carpeting after you moved into the home and before you started using it in your business, count it.
For all items in your inventory, estimate their value at the time you started using them in your business.
See my Family Child Care Inventory-Keeper for details.

[legomom922]

You should only depreciate items that are used in your business. If parents are in the living room then this room is used for your business. Business use is more than just rooms children are in. Don't count the furniture in your bedroom if the children don't go in the room and you don't use it as an office. You can lump items together (25 spoons, 20 tupperware items, etc.). You don't have to inventory everything if you don't want to.
If the wall-to-wall carpeting was part of the home when you bought it, don't depreciate it (because it is included in the home value). If you bought carpeting after you moved into the home and before you started using it in your business, count it.
For all items in your inventory, estimate their value at the time you started using them in your business.
See my Family Child Care Inventory-Keeper for details.

Ok let me know if I understand this right:

Anything that parents see in my home that make my house cozy that helps "sell" my business, like pic frames, wall decor, candles, lamps, throw pillows, etc I do depreciate even though those items are NOT used in my business other than their eye appeal.

Then stuff in other rooms does NOT get depreciated unless they are used and needed for my business, like desk, tv, wall decor & wicker furniture in playroom.

So in my case, parents see my living room, kitchen & dining room, so I would depreciate everysingle item that can be seen & everything in my kitchen that cannot be seen but is used in my business?

Now, as far as my bedroom goes, I would keep 1 PNP in there for a child to sleep in and used one of my dresser drawers for blankets, diapers etc. So would I depreciate just the dresser then?

[TomCopeland]

home improvements

Let's look at what I mean by being "used in your business". You are using a sofa in your living for your business if parents are in your living room. You are certainly using items in your kitchen for your business to prepare food for children. Yes, you are using the dresser in your bedroom. A child doesn't have to using something directly for it to still be considered used in your business.

So, the decorations in a living room that parents are in are certainly used in your business. However, if a parent walks by your dining room, doesn't enter it, and the children don't enter the dining room, and you don't have anything in there that is used for your business would be consider personal and nothing in there would be depreciated.