Auto Lease Calculator – Monthly Lease Payment

Calculate monthly car lease payment with depreciation and finance charge breakdown.

🚗 Finance📐 Monthly = Depreciation + Finance Charge
Vehicle MSRP ($)
Negotiated cap cost ($)
Residual value ($)
Lease term (months)
Money factor
Down payment ($)
Please enter valid values.

Formula & Reference

VariableFormulaUnits
Auto Lease Calculator – Monthly Lease PaymentMonthly = Depreciation + Finance Charge$/month

Step-by-Step Examples

Example 1
$35K MSRP, $33K Cap, $21K Residual, .0015 MF, $2K Down, 36mo

Standard lease.

  • Monthly: ~$408 | 3yr total: ~$16,688
✓ ~$408/month
Example 2
No Down Payment

Same car, $0 down.

  • Monthly: ~$464 | Total: ~$16,704
✓ ~$464/month
Example 3
Lease vs Buy

$35K car: 36mo lease $408/mo (own nothing) vs buy $35K (own car).

  • Lease: lower payment. Buy: builds equity.
✓ Depends on goals

Real-World Applications

Common Mistakes to Avoid

⚠️
Negotiating monthly payment only

Negotiate cap cost and money factor separately.

⚠️
Not understanding money factor

Money factor x 2400 = APR. .003 MF = 7.2% APR.

Frequently Asked Questions

Leasing vs buying?
Leasing: lower payment, warranty coverage, new car every 3yr. Buying: equity, no mileage limits, cheaper long-term.
What is residual value?
Projected car value at lease end. Higher residual = lower monthly payment. Set by manufacturer.
What is money factor?
Lease equivalent of interest rate. Multiply by 2,400 for approximate APR.

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