Car Lease Calculator
Monthly lease payment and total cost from price, residual value, rate and term
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Turns the numbers in a car lease quote into a monthly payment, the total you pay and the finance cost hidden in it, so you can check a quote or compare two offers before signing.
How to use
- Choose the "Calculation method": "Level payment (residual paid at the end)" or "Depreciation + rent charge (North American)".
- Enter the "Vehicle price (negotiated)", "Lease term", "Down payment", "Security deposit" and the "Residual value (buyout price)" as a percentage or an amount.
- Enter the rate as an "Annual rate (APR)" or a "Money factor (MF)"; the monthly payment and totals update at once.
- Type taxes and fees from the quote into "Other costs (enter yourself)" and open "How it is calculated" to see every step with your numbers.
- Under "Compare two offers", press "Copy values from A", change the term or residual for offer B and read the difference column.
How it works
- North American method: payment = (cap cost − residual) ÷ months + (cap cost + residual) × money factor, where APR = money factor × 2400. The payment structure follows US Regulation M (12 CFR 1013.4).
- Level-payment method: the residual is treated as the last, balloon instalment of a loan at APR ÷ 12 a month, with payments at the end of each month.
- The deposit is assumed to be returned. Taxes, insurance, registration and excess-mileage charges are not calculated, and real quotes differ by lessor.
- Your last inputs are remembered in this browser.
Questions and answers
- How do I convert a money factor to an interest rate?
- Multiply it by 2400. A money factor of 0.0025 equals an APR of 6%, and 0.0030 equals 7.2%.
- What is the difference between a down payment and a security deposit?
- A down payment lowers the amount financed and is not returned. A deposit is held by the lessor and returned at the end, or set against the buyout price.
- Why does my quote differ from the result?
- Lessors use different methods, take the first payment at signing, round differently or include fees in the payment. Enter the quote's own figures and compare the method that matches it.
- Is a higher residual value better?
- A higher residual lowers the monthly payment because less depreciation is paid, but buying the car at the end costs more. The page shows both totals.