Last updated October 13, 2026 · Report an error
Car lease payments are quoted using a formula that's quite different from a standard loan, which makes it hard to sanity-check a dealer's number without doing the math yourself.
This calculator estimates your monthly lease payment from the vehicle price, down payment, residual value, interest rate, and lease term.
How it works
Enter the vehicle's price, any down payment, the residual value as a percentage of price, the lease term in months, and the annual interest rate. The calculator converts the rate to a money factor, then combines a depreciation fee and a finance fee to find the monthly payment.
- Enter vehicle price ($).
- Enter down payment ($).
- Enter residual value at lease end (%).
- Enter lease term (months).
- Enter annual interest rate / APR (%).
- Click Calculate to see your results.
Examples
$35,000 vehicle, 36-month lease
A $35,000 vehicle with a $3,000 down payment, 55% residual value, 5% annual rate, and a 36-month term comes to about $461 per month, or roughly $19,593 total over the lease.
Who should use it
- Sanity-checking a dealer's lease quote before signing.
- Comparing lease terms across different vehicles or down payment amounts.
Industry applications
- Auto dealership and leasing
- Personal vehicle budgeting
Advantages
- Breaks the payment down into its depreciation and finance components.
- Lets you compare different down payment, term, and rate combinations quickly.
Limitations
- Doesn't include taxes, acquisition fees, or disposition fees that vary by dealer and state.
Common mistakes to avoid
- Comparing a quoted money factor directly against a loan APR without converting it first (multiply by 2,400).
- Forgetting that taxes and dealer fees are added on top of the base lease payment this calculator estimates.
Best practices
- Ask the dealer for the exact money factor and residual value used in their quote so you can verify the numbers rather than relying only on the advertised monthly payment.
Tips
- A lower residual value estimate means faster depreciation and a higher payment — vehicles known for strong resale value tend to lease for less relative to their price.