Typically, when you purchase something for your company, it is an asset. However, private jets depreciate just like other assets, which means you lose value. Over time, the value will depreciate and sometimes that depreciation is not consistent; it could be drastic.

Owning a private jet is often described by the wealthy as the "most expensive way to save time," and for many, the costs far outweigh the benefits. First is the staggering depreciation; a jet is a rapidly depreciating asset that can lose 10% to 15% of its value every single year. Second is the fixed operational cost: even if the plane never leaves the hangar, you must pay for pilot and co-pilot salaries, insurance, hangar fees, and "Part 135" maintenance compliance, which can easily total $500,000 to $1 million annually. Third is the mechanical unpredictability: if a part fails, the aircraft is "AOG" (Aircraft on Ground), and you may find yourself stranded in a remote city while waiting for a specialized technician or an expensive replacement part to be flown in. Fourth is the environmental and social backlash; in 2026, private jet travel is increasingly scrutinized for its massive carbon footprint, leading to new "luxury taxes" and potential corporate reputation risks. For most high-net-worth individuals, it is financially and logically "better" to use fractional ownership (like NetJets) or on-demand charter services, which provide all the benefits of private flight without the crushing administrative burden and financial risk of full ownership.