Tracking gear and use

In Incarna, armor took damage, so did weapons and gear. It did not prevent you from getting hit, it protected you. The passive HP + AC system of DnD is different but effectively the same. However, one of the positive traits of Incarna was this durability of goods - this is where a lot of $ went for characters - its a legitimate part of the "gritty realism" experience that Incarna was to reflect.

Durability

Things just become broken down when they are used, and take time and effort to keep in good condition. Again, no one wants their RPG to be an inventory management system, but in the vein of the "gritty realism" setting for DnD, gear is not a permanent buy once and forget approach like it is in base DnD.

Gear comes in 3 forms: untracked, supply, and use based.

Each session, items which are not untracked cost 10% of their value to upkeep unless the GM says different. If the cost goes unpaid, or the character is not able to find a place to effect the upkeep, the item incurs a corresponding (10% per session) drop in Durability. Once an item gets to 50% or more drop, it is half as effective in any indirect benefit (ex: armor still have AC, but its encumbering, and always with a stealth penalty). If an item gets to 100% drop in durability, it is non functional.

Untracked

Individual items of minor consequence for flavor and no encumbrance - a razor, a pen knife, a watch, etc. Individual items are up to the GM and PC to manage without it slowing the game down.

Supply

A collection of items serving a function which is used frequently during "adventuring" for skills and tasks and must be re-stocked realistically to continue to serve at full capacity - tools and packs can be re-purchased at intervals to resupply and repair.
Packs
[Tool] Kits

Use

An item which is directly employed is combat or other direct actions not used as routinely, but takes considerable wear and tear when used.

Armor
* Resilient: A character with proficiency in their armor use may sacrifice the resiliency of their armor by making an DC 15 Athletics check, degrading it by 1 category (Heavy to medium, medium to light, light to none - heavy armor can be used twice) in exchange for turning a critical hit into a normal hit, or a normal hit into a miss. Degrading armor causes it to become 50% less durable (with the usual results), and lose 2 AC.
Shield
* Resilient: A character with proficiency in their shield larger than a buckler use may sacrifice the resiliency of their shield by making an DC 15 Athletics in exchange for turning a critical hit into a normal hit, or a normal hit into a miss. Degrading a shield causes it to become 50% less durable (with the usual results), and lose any AC bonus. It can be repaired, but is not functional afterward it degrades.
Weapon
* Resilient: Not normally. On a fumble it becomes unusable. Even if advantage or luck, etc. allows a second check, it will break afterwards.

A breastplate can be worn with light armor and acts as a shield in catching blows????

A character may repair this themselves with a DC 15 skill check with appropriate kit halving this cost. Failure means no effect, and it must be repaired by a master (increase DC by 5 to undo what the character has done).

Improved (magic or not) items have a chance of not breaking or degrading.

[More to come]