Car Lease Payment Calculator

The money factor is the lease equivalent of an interest rate, written as a small decimal like 0.0025. Multiply it by 2400 to approximate the APR, so 0.0025 is roughly a 6 percent rate. A lower money factor means a smaller finance fee each month.

The base payment is a depreciation fee plus a finance fee. The depreciation fee is the cap cost minus the residual, divided by the term in months. The finance fee is the cap cost plus the residual, times the money factor. Sales tax is then applied to that base payment.

The residual is the vehicle's predicted worth at the end of the lease, set by the leasing company as a dollar figure. A higher residual means less value is used up over the term, which lowers the depreciation fee and your monthly payment.

It is the agreed price of the vehicle for the lease after any cap cost reductions such as a down payment, rebate or trade-in, plus any fees rolled into the lease. Enter the net figure, not the sticker price, for an accurate payment.

You are financing the average of the starting and ending value over the term. Adding the cap cost and the residual approximates twice that average, which is why the money factor is applied to the sum rather than to half of it.

This tool uses the common payment tax method, applying your percentage to the base monthly payment and adding it on top. Some states tax the full sale price or the down payment instead, so confirm how your state taxes leases before relying on the tax line.

Not directly. Fold a down payment or trade-in into the net cap cost by subtracting it, and roll acquisition or documentation fees into the cap cost by adding them. The calculator then works from that single net figure.

No. It is an estimate to check a dealer worksheet, not a binding offer. Real contracts can add acquisition fees, disposition fees, registration and gap coverage, so your signed payment may differ from the number shown here.

Yes. Every figure is calculated in your browser and nothing is sent to a server, so the prices and rates you enter never leave your device.