Lease Calculator
Enter the capitalized cost, residual value, term and money factor to estimate the monthly payment.
- Free
- No sign-up
Enter the lease terms to see the monthly payment.
Worked example
With these example inputs:
- Capitalized cost$48,000
- Residual value$26,000
- Lease term (months)48
- Money factor0.0018
Monthly lease payment: $591.53
- Depreciation$458.33
- Finance charge$133.20
Frequently asked questions
How is a lease payment calculated?
It adds depreciation, the cost minus residual over the term, to a finance charge based on the money factor. A 35,000 asset with a 21,000 residual over 36 months at a 0.0025 factor is about 529 a month.
What is the money factor?
It is the lease version of an interest rate, expressed as a small decimal. Multiplying it by 2,400 gives the rough equivalent annual percentage rate.