Rental Property Cashflow Calculator 2026
Track rental income and expenses, calculate profit/loss, and analyze your property's cashflow performance
Free calculator for Australian landlords with expense breakdown, ownership percentage, and ATO-compliant categories
Track Your Property Over Time
Save these calculations as a property to track receipts, monitor cash flow, and see expense trends throughout the year. Perfect for tax time!
Detailed Expense Breakdown
| Expense Type | Amount | Deductible | Your Share |
|---|---|---|---|
| Interest on Loan | $18,500 | 100% | $18,500 |
| Council Rates | $2,100 | 100% | $2,100 |
| Water Charges | $1,400 | 100% | $1,400 |
| Insurance | $1,500 | 100% | $1,500 |
| Repairs & Maintenance | $1,200 | 100% | $1,200 |
| Agent Fees | $2,200 | 100% | $2,200 |
| Depreciation | $3,500 | 100% | $3,500 |
| Total | $30,400 | - | $30,400 |
Expense Analysis
Expense Breakdown
Expense Breakdown — Total vs Tax Deductible
Compare full expense amounts (gray) with their tax-deductible portions (green)
Understanding Your Results
Annual Tax Savings
Your deductible expenses of $30,400 could save you between $5,776 (19% marginal rate) and $14,288 (47% marginal rate) in tax.
* Actual savings depend on your marginal tax rate and other income sources.
Cashflow Impact
After expenses, your rental property generates $1,600 in positive taxable income annually.
* This is your taxable income before applying your marginal tax rate.
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Track Your Rental Property Cashflow
Understanding your rental property cashflow is essential for successful property investment. This calculator helps you track all income and expenses to see your property's true financial performance.
✅ Property Income
- •Weekly/annual rent from tenants
- •Bond money kept for damages
- •Insurance payouts for lost rent
- •Other property-related income
💰 Property Expenses
- •Loan interest payments
- •Property management fees
- •Council rates, water, insurance
- •Repairs, maintenance, depreciation
📊 Positive vs Negative Cashflow
Cashflow is the difference between your rental income and all property expenses. Understanding whether your property is cashflow positive or negative helps you plan your finances and investment strategy.
Example Property:
This property has negative cashflow of $833/month out of pocket, but may offer tax benefits and capital growth.
Investment Strategy: Track your cashflow to ensure you can sustain the property long-term while building equity through capital growth.
Rental Property Tax Deductions Guide
💰 What Rental Property Expenses Can You Claim?
Australian landlords can claim a wide range of expenses related to earning rental income. The key rule: expenses must be directly related to your rental property and properly documented.
✅ Fully Deductible
- Loan interest on rental property
- Property management fees
- Council rates and land tax
- Building and landlord insurance
- Repairs and maintenance
- Advertising for tenants
- Water charges (if paid by landlord)
- Strata fees
⚠️ Depreciation Only
- Building depreciation (2.5% p.a.)
- Fixtures and fittings
- Appliances (fridge, washer)
- Furniture (if furnished rental)
- Carpets and blinds
- Hot water system
- Air conditioning units
💡 Deep Dive: Learn about all rental property tax deductible expenses and landlord tax deductions for 2026.
📉 Understanding Negative Gearing
Negative gearing occurs when your rental property expenses (including loan interest) exceed your rental income. The loss can be offset against your other income, reducing your overall tax.
Example Scenario
This $6,000 loss reduces your taxable income. At 37% tax rate, that's $2,220 in tax savings.
Key Considerations:
- Cashflow Impact: You need to cover the shortfall from your salary
- Long-term Strategy: Banking on capital growth to make profit
- Risk: Property values can fall; rental income can drop
- Tax Benefit: Immediate tax deductions lower your tax bill
📖 Full Guide: Read our comprehensive negative gearing guide for Australia to understand the pros, cons, and strategies, or use our Negative Gearing & Cashflow Calculator to model your own situation.
🏠 Property Depreciation — Hidden Deductions
Property depreciation is often the largest missed deduction for landlords. You can claim two types of depreciation:
Building Write-Off (Division 43)
- 2.5% per year for properties built after 1985
- Applies to structural components (walls, roof, floors)
- 40-year depreciation period
- Example: $400,000 building = $10,000/year
Plant & Equipment (Division 40)
- Appliances, fixtures, carpets, blinds
- Hot water systems, air conditioning
- Faster depreciation rates (5-15 years)
- Example: $20,000 items = $3,000/year
💡 Pro Tip: Get a quantity surveyor's depreciation schedule to identify all claimable items. Average cost: $500-700 but can uncover $10,000+ in annual deductions.
Use our depreciation calculator to estimate individual asset depreciation, and read our property depreciation guide.
💸 Capital Gains Tax When You Sell
When you sell your rental property, you'll pay Capital Gains Tax (CGT) on the profit. However, there are strategies to minimize this:
- 50% CGT Discount: If you held the property for 12+ months, you only pay tax on 50% of the capital gain
- Main Residence Exemption: If you lived in the property as your main residence before renting it out, you may get partial exemption
- Cost Base Additions: Include purchase costs, improvements, renovations, and selling costs to reduce taxable gain
- Timing: Consider selling in a lower-income year to reduce CGT impact
CGT Example
📚 Learn More: Read our detailed guide on capital gains tax for investment properties.
📋 Record Keeping Requirements
The ATO requires you to keep records for 5 years after lodging your tax return. Proper documentation protects you during audits and ensures you don't miss deductions.
✅ Must Keep
- All receipts for expenses
- Bank statements showing payments
- Loan statements (interest paid)
- Property management statements
- Rental income records
- Insurance policies and invoices
- Depreciation schedules
⚠️ Common Mistakes
- Not keeping digital backups
- Missing credit card statements
- Claiming without receipts
- Losing contractor invoices
- Not tracking minor expenses
- Forgetting travel for property inspections
🚀 Automate Your Record Keeping: ReceiptClaimer automatically scans receipts, categorizes expenses, and stores them securely for 7+ years.
Learn about ATO receipt requirements, organizing receipts for tax time, and our Ultimate Guide to Audit Reconciliation, CPI Indexation vs Discount, and ATO Data-Matching Truths.