Car Lease Payment Calculator
Work out a car lease payment from the price, residual value, and money factor, split into depreciation and finance charge, with the equivalent APR and total cost. Calculates in your browser.
Monthly lease payment
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Show the math
A lease pays for the value the car loses plus a finance charge:
residual = MSRP × residual%
net cap = price + fees − down − rebates − trade-in
depreciation = (net cap − residual) ÷ term
rent charge = (net cap + residual) × money factor
payment = (depreciation + rent charge) × (1 + tax%)
The money factor is a small decimal, multiply by 2400 for the rough APR (0.0025 ≈ 6%). Tax rules vary by state; some tax the whole price instead of the monthly payment. All math runs locally in your browser.
What this does
A car lease payment calculator works out a monthly lease payment from the price, residual value, and money factor, split into depreciation and a finance charge, with the equivalent APR and total cost.
How it works
Depreciation is the net cap cost minus the residual, divided by the term. The rent charge is the cap cost plus residual times the money factor. Together they form the monthly payment before tax.
Payment = depreciation + (cap cost + residual) × money factor
How to use it
- Enter the negotiated price and any fees.
- Enter the residual value and term.
- Enter the money factor.
- Read your monthly payment.
Understanding your result
Multiply the money factor by 2400 for the rough APR, 0.0025 is about 6%. A higher residual means less depreciation and a lower payment.
Example
A $30,000 car with a 60% residual over 36 months at a 0.0025 money factor is roughly $400 a month before tax.
Sources & methodology
Last updated .
Frequently asked questions
How is a lease payment calculated?
A lease pays for depreciation (the value the car loses) plus a rent charge (the finance cost). Depreciation is the net cap cost minus the residual, divided by the term; the rent charge is the cap cost plus residual times the money factor.
What is the money factor?
It is the lease equivalent of an interest rate, written as a small decimal. Multiply it by 2400 to get the rough APR, for example 0.0025 is about 6%.
What is the residual value?
The car’s predicted worth at lease end, set as a percentage of MSRP. A higher residual means less depreciation and a lower payment.
Is my data stored?
No. Everything is calculated locally in your browser.
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