How to use the Auto Lease Calculator
The auto lease calculator estimates the monthly payment of a car lease.
Open the Auto Lease Calculator →
What you need to enter
- Negotiated price ($)
- Down payment ($)
- Residual value (%)
- Money factor
- Lease term (months)
- Sales tax on payment (%)
The formula
Payment = (cap cost − down − residual) ÷ months + (cap cost − down + residual) × money factor. Money factor × 2400 ≈ APR.
Worked example
Using the default values in the calculator:
- Negotiated price ($): 35000
- Down payment ($): 2000
- Residual value (%): 58
- Money factor: 0.0025
- Lease term (months): 36
- Sales tax on payment (%): 6
| Monthly payment | $515.19 |
| Depreciation / month | $352.78 |
| Finance charge / month | $133.25 |
| Approx. APR | 6% |
Tips for better results
- Negotiate the price, because it sets the capitalised cost.
- Ask for the money factor and residual value.
Common mistakes to avoid
- Ignoring mileage limits and wear charges.
- Comparing leases with different down payments.
Please note: Calculators and guides give general estimates, not financial, tax or investment advice. Real offers depend on your lender, location and personal situation. See our Disclaimer.