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in this video im going to show you how to calculate a partners outside basis so heres the formula were going to use were going to start with a partners initial basis which ill show you how to calculate in a minute and then were going to make some adjustments there are some things were going to add to the initial basis and there are some things were going to subtract to the initial basis and ultimately that will result in the partners outside basis at any given point in time so lets start with the initial basis how do we figure out what a partners initial basis is and their partnership interest well the answer is it depends it depends on how that partner acquired the partnership interest if they acquired the partnership interest by contributing property to the partnership then their initial basis is going to be the amount of any cash they transferred to the partnership plus the basis of any non-cash property that they transferred to the basis for example if they gave ten th