Auto Lease Calculator
Work out the monthly payment on a car lease. Enter the negotiated price, MSRP and residual percent, the money factor, term and your cash down to see the depreciation, the finance charge, the tax and the total cost of the lease.
How to use the auto lease calculator
- Enter the negotiated price, the MSRP, and the residual value as a percent of MSRP.
- Add the money factor, lease term in months, any cash down, fees, trade-in and your tax rate.
- Review the monthly payment, the depreciation and finance portions, the residual value and the total lease cost.
Examples
A 36-month lease on a 35,000 MSRP car
Negotiated price 30,000, MSRP 35,000, residual 60%, money factor 0.00125, term 36 months, down payment 2,000, tax 0%
Residual value 21,000, monthly depreciation about 194, finance charge about 61, monthly payment about 256
Frequently asked questions
What is the money factor on a lease?
The money factor is the lease rate, written as a small decimal like 0.00125. Multiply it by 2400 to get the rough APR equivalent, so 0.00125 is about a 3% annual rate. It sets the finance (rent) charge on the lease.
How is the monthly lease payment calculated?
It has two parts. The depreciation is the capitalized cost minus the residual value, spread over the term. The finance charge is the capitalized cost plus the residual times the money factor. We add those, then apply your sales tax to get the payment.
What is residual value and how does it affect the payment?
Residual value is what the car is expected to be worth at lease end, set as a percent of MSRP. A higher residual means less of the car's value depreciates while you drive it, which lowers the depreciation part of your monthly payment.
How do a down payment, fees and a trade-in change the lease?
A down payment and a trade-in both reduce the capitalized cost, which lowers your monthly payment. Fees rolled into the lease raise the capitalized cost and the payment. The calculator combines all of them into the cap cost.
Does this lease calculator collect or store my numbers?
No. Everything runs in your browser as you type. Your prices, money factor and other figures are not sent to a server or saved anywhere, so the calculation is completely private.
Is this the same as a car loan or buying outright?
No. A lease pays for the vehicle's depreciation plus a finance charge over the term, not the full price. To compare leasing with financing the purchase, use the car loan calculator alongside this one.
Related tools
Car Loan Calculator
Estimate your monthly car payment. Enter the vehicle price, down payment, trade-in, interest rate and term to see the loan amount and total interest.
Loan Calculator
Free loan calculator. Enter the amount, interest rate and term in years or months to see your monthly payment, total interest and a full payoff schedule.
Loan Comparison Calculator
Compare two or three loan offers side by side. Enter each amount, rate, term and fees to see the monthly payment, total interest and true total cost.
401(k) Calculator
Project your 401(k) balance with employer match. Enter salary, contribution, match and return to see your contributions, the match and growth over time.
Amortization Schedule Calculator
Build a full loan amortization schedule. Enter the amount, rate and term to see each month's payment, principal, interest and balance, plus total interest.
Annuity Calculator
Calculate the present and future value of an annuity. Enter a payment, rate per period and number of periods for ordinary or annuity due timing.