Is second hand office furniture free?

Second hand office furniture is definitely not for free. This is because the furniture cost money when it was first bought. However, it doesn’t mean that the value of used office furniture will remain the same over time. Just like any other capital goods, office furniture also undergoes depreciation. It is estimated that the furniture will depreciate by about 5 percent for each year of its existence.

So if you buy used office furnitures after one year, you will pay just about 95 percent of its value. In two years the value of second hand office furniture will be about 90 percent of the original value. This applies for each subsequent year, meaning that the value will be at 50 percent in ten years.

Holding other factors constant, second hand office furniture is expected to be written off on 20 years. That’s when you should find pieces of used office furniture in the junk yard. However, there are pieces of furniture considered to be antiques. These tend to increase in value because buyers literally fight to own it.

So it’s not true to say that second hand office furniture is free. Everything has some value no matter how long it has been in existence.

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