Auto Lease Calculator
Calculate your monthly lease payment and compare leasing vs. buying the same vehicle.
Before you calculate
Residual value and money factor are assumptions. Mileage charges, excess wear, acquisition fees and disposition fees may change the lease comparison.
Lease vs. Buy: Key Concepts
When leasing, your monthly payment covers depreciation (MSRP minus residual value) plus a finance charge (the money factor). When buying, you own the asset at loan payoff.
Monthly Lease ≈ (Cap Cost − Residual) / Term + (Cap Cost + Residual) × Money FactorExample Scenarios
Understanding the Money Factor
The money factor is equivalent to APR ÷ 2400. A money factor of 0.00125 equals an APR of 3%. Dealers may mark up the money factor, so always ask for it explicitly and compare to the buy rate.
Residual Value and Total Cost
A higher residual value means lower monthly lease payments but does not reduce what you owe if you decide to buy out the vehicle. A 55% residual on a $35,000 car means the buyout price at lease end is ~$19,250 before fees.
Methodology & Assumptions
Total lease cost includes all monthly payments plus the upfront down payment/cap cost reduction. Total loan cost includes all payments plus down payment minus the vehicle's residual value (equity retained).
Sources & calculation notes
Maintained by MoneyCalc. Results are estimates based on the inputs and assumptions shown, not personalized financial advice or a lender quote. Default rates are examples unless a specific tax year or official table is identified.
References explain the underlying concepts or rules. They do not endorse or independently certify this implementation.
Calculations run in your browser. Some tools retain settings on this device. Displayed rounding can produce small differences from a statement or contract.