SmartCostSeg and Traditional Cost Segregation Firms
Both kinds of study do the same job: sort a building's cost into the right property classes and show the work. The differences are in what the engagement includes, what it leaves out and what you pay for. This page states both sides plainly, names no firm, and makes no promise about results.
What Every Study Must Do
The IRS guide sets the same expectations for every study and prescribes no preparer qualification, standard or methodology; the two facts below are the test both kinds of study are read against.
- The IRS guide says a cost segregation study and report should always classify assets into property classes, explain the rationale with legal citations for treating assets as section 1245 or section 1250 property, and substantiate the cost basis of each asset and reconcile total allocated costs to total actual costs. Source: IRS Publication 5653 (Rev. 2-2025), chapter 4, part A, paragraph (1)
- The guide says there are no prescribed qualifications for cost segregation preparers, that there are currently no standards for preparing studies, and that the IRS does not prescribe a specific methodology. The guide does not contain a sentence saying the IRS approves or endorses any study or preparer. Source: IRS Publication 5653 (Rev. 2-2025), chapter 4, part C.1, paragraph (1); chapter 1, part C, paragraph (8); chapter 3, part E, paragraph (1)
What a Traditional Engagement Often Includes
Many firms start with calls, proposals, meetings, site visits, and engagement letters.
The line items below are the ones our illustrative fee comparison lists for a typical engagement. The dollar figures behind them are illustrative, not a survey of any firm, and they are published on the pricing page.
- Sales Commissions
- Business Development & Marketing
- Travel Time & Site Visits
- Airfare, Hotels, Mileage & Travel Expenses
- Telephone Calls & Teleconference Meetings
- Email Follow-Up & Administrative Coordination
- Estimated Benefit Analysis & Proposal Preparation
- Engagement Letter Preparation & Contract Administration
- Project Management & Internal Meetings
- Professional Analysis & Report Preparation
What a SmartCostSeg Study Includes and Leaves Out
The analysis is the only thing you pay for. There are no calls, proposals, meetings or site visits; the asset schedule is modeled from your documents and photographs rather than taken off on site, and the study says so and names what was not performed in its scorecard.
- Simple 7 step process, no calls, proposals, or site visits required
- Engine-computed estimate presented instantly, always as ranges
- One complete study, sized to your property, ready for your tax advisor
Which Fits Which Property
A property that needs an on site take off, an engineer walking the building, or a visit for any other reason is a traditional engagement; we do not visit the property. A property whose owner wants a documented, modeled study from the record, at a published price for the flat fee lane and a price set before commitment for the rest, is ours. Neither is the right answer for every building.
Questions people ask
Is a modeled study a real cost segregation study?
- The IRS guide's expectations are printed above with their sources. Our study is structured around them and prints which quality elements are met, which are partial and which were not performed.
Why is the price so low compared to traditional studies?
- Traditional engagements price in site visits, sales meetings, proposals, travel and overhead. Our software carries the heavy lifting and our professional team reviews every study before it is delivered, so the analysis is the only thing you pay for. The full price is published openly on our pricing page.
Will a traditional firm find more than SmartCostSeg?
- We do not claim that, and we do not claim the reverse. The result depends on the building, the documents and the position chosen, and every estimate is a range, never a guarantee.
The rules on this page were checked against their sources on October 1, 2026.
Ready when you are.
The wizard asks the questions for your property and routes it to the right lane.