Car Lease Calculator
Calculate a monthly lease payment from the vehicle price, residual value and money factor.
Last updated · View algorithm, constants and default inputs (JSON)
About this calculator
Estimate a lease payment from the entered vehicle price, residual value, money factor, term and tax. The money-factor conversion is a rough rate equivalent, not the lease’s disclosed APR.
Worked example
calculated with the default values below
Vehicle price 38,000 $ · Residual value 55 % · Money factor 0.00125 · Lease term 36 months · Down payment 3,000 $ · Sales tax 7 % Monthly payment 493.85 $ · Total cost of the lease 20,779 $ · Residual value 20,900 $ · Monthly depreciation 391.67 $ · Monthly finance charge 69.88 $ · Money-factor rate equivalent (rough estimate) 3.00 %
General background references
Disclaimer
These calculators give estimates for general information only. Real fuel consumption, performance and range vary with driving style, load, terrain, temperature and vehicle condition. Do not rely on these results for towing limits, payload or braking decisions — use the rating plate of your vehicle.
Implementation source
This record describes the implementation used by this page. It is not independent validation. External references, when available, support only the stated formula or definition; estimates and custom rules retain their own assumptions.
Formula and variables
M = [(C − R) ÷ n + (C + R)·MF]·(1 + t ÷ 100); C = P − D
- M
- Monthly lease payment
- C
- Adjusted cap cost
- R
- Residual value
- n
- Lease term, months
- MF
- Money factor
- t
- Sales tax, %
- P
- Negotiated vehicle price
- D
- Down payment / cap-cost reduction
Monthly payment = depreciation + finance charge, then entered tax. Money factor × 2,400 is a rough rate equivalent, not a contract APR.
Frequently asked questions
Is the money-factor conversion the lease APR?
Multiplying the money factor by 2,400 is a rough rate-equivalent convention (0.00125 becomes 3%). It is not the disclosed APR for the lease and does not include all fees, taxes or contract terms. Compare the written lease disclosures and total cost.