The cost segregation market has three pricing tiers, with very different delivery models. Here's how they compare on the dimensions that matter.
Methodology
All three tiers use the same RSMeans cost basis, the same MACRS classification, and the same IRS Audit Techniques Guide framework. The difference isn't what they do, it's how.
Price
- Cost Seg Smart: $495–$2,995 (residential to small commercial)
- Traditional firms (KBKG, CSSI, etc.): $5,000–$15,000
- DIY software: $499–$2,999
Speed
- Cost Seg Smart: Under 1 hour
- Traditional firms: 4-8 weeks
- DIY software: Self-paced (hours to days)
What you actually get
- Cost Seg Smart: 40+ page CPA-ready PDF, component-level breakdown, MACRS schedules, Form 3115 readiness, engineer attestation, audit support included.
- Traditional firms: Same deliverables, often with on-site engineering visit, much longer engagement.
- DIY software: Summary-level output, often not engineering-based, varying quality of audit defense documentation.
When to use which
For straightforward residential and small commercial properties, automated engineered studies (us) deliver the same defensible result at a fraction of the cost. For very complex commercial properties, properties with unusual specialty assets, or 100+ unit multifamily, traditional firms with on-site engineering may be the right call. DIY software is rarely the right choice when the audit-defense difference is so large.