Auto Lease Calculator

Estimate your monthly lease payment for a new vehicle. Enter the MSRP, negotiated price, residual value, money factor and lease term. The calculator reports the monthly depreciation, finance charge and total payment.

Enter lease details

The vehicle's expected value at end of lease, as % of MSRP. Typical 45–65%.
Manufacturer's suggested retail price, used only to compute residual value.
Lease interest expressed as a decimal. Multiply by 2400 to get approximate APR.
Applied to monthly payment.

Enter lease details and press Calculate lease.

Lease payment formulas

Residual value = MSRP × residual %

Depreciation = (negotiated price − residual value) ÷ term

Finance charge = (negotiated price + residual value) × money factor

Base monthly payment = depreciation + finance charge

Money factor → APR ≈ money factor × 2400

Frequently asked questions

The money factor is the interest rate for a lease, expressed as a very small decimal. Multiply it by 2400 to get the approximate equivalent APR. For example, a money factor of 0.00125 corresponds to roughly 3% APR.

Leases typically have lower monthly payments but you never own the vehicle. Total cost over the same period is often higher than buying. Leases also carry mileage caps (usually 10,000–15,000 miles per year) and wear-and-tear charges at turn-in. If you like driving a new car every 3 years and don't mind the extra cost, leasing can make sense — otherwise buying is usually cheaper in the long run.