Overview
Nebraska's security deposit laws are governed by the Uniform Residential Landlord and Tenant Act (Neb. Rev. Stat. § 76-1401 et seq.). The state sets clear limits on deposit amounts, establishes a short return timeline, and provides tenants with legal recourse when deposits are improperly withheld.
This guide covers everything landlords and tenants need to know about security deposits in Nebraska.
Deposit Limits
Nebraska law sets the following security deposit limits:
- Standard deposit: Maximum of 1 month's rent
- Pet deposit: If the tenant has a pet, the landlord may collect up to 1.25 months' rent total (the additional 0.25 months covers potential pet damage)
No additional deposits beyond these limits may be charged. The deposit must be held in a federally insured financial institution, and the landlord must provide written notice to the tenant of the institution's name and address.
cite: Neb. Rev. Stat. § 76-1416
Allowable Deductions
Landlords may only deduct from the security deposit for the following reasons:
- Unpaid rent: Any rent owed at the time of move-out
- Damage beyond normal wear and tear: Repairs for tenant-caused damage that exceeds ordinary wear
- Lease violations: Costs arising from breaches of the rental agreement
- Cleaning: Costs to restore the unit to the condition at move-in, beyond normal wear
What Constitutes Normal Wear and Tear?
Normal wear and tear includes:
- Minor scuffs or marks on walls
- Small nail holes from hanging pictures
- Worn carpet from regular use
- Faded paint from sunlight exposure
Damage beyond normal wear and tear includes:
- Large holes in walls
- Stained or burned carpet
- Broken windows, doors, or fixtures
- Pet damage such as scratched floors or stained carpet
Return Timeline
Landlords must return the security deposit within 14 days of the tenant vacating the unit and the tenancy terminating. The return must include:
- The remaining deposit amount (if any deductions were made)
- An itemized written statement listing each deduction and the amount
If the landlord fails to return the deposit or provide the required itemized statement within 14 days, the tenant may recover the full deposit amount. The landlord may not retain any portion of the deposit for damages not listed in the itemized statement.
cite: Neb. Rev. Stat. § 76-1416
Dispute Resolution
If a tenant believes their deposit was wrongfully withheld, they can:
- Send a demand letter to the landlord requesting the return of the deposit
- File a claim in Small Claims Court (up to $3,600 in Nebraska)
- File a lawsuit in County Court for amounts exceeding the small claims limit
If the landlord fails to comply with the security deposit statute, the court may award the tenant the full deposit amount plus reasonable attorney's fees.