Auto Lease Calculator | Swapalease.com

Car Lease Payment Calculator

The car lease calculator below can be used to estimate the monthly payments for a new vehicle lease. Knowing how the calculation in an automotive lease works will help you:

  • Better prepare when negotiating with a dealer for your next lease
  • Select the best vehicle you can afford that meets your budget criteria
  • Run different scenarios for customizing a lease that works for you
  • Double check quotes from salespeople to ensure there are no hidden fees or costs

In order to use the auto lease calculator you will need the following information pertaining to the vehicle you are interested in leasing.

  1. The MSRP (the Manufacturer’s Suggested Retail Price) or what is often known as the sticker price
  2. The residual value which is the projected value at the end of the lease term
  3. What you can actually buy the vehicle for or the negotiated selling price
  4. The documentation fee the leasing company charges to actually write and administer the lease
  5. You will need to select how long of a lease term you are interested in
  6. The lease factor which is essentially the interest rate used in a lease calculation

The MSRP for any new vehicle is relatively easy to find by checking the manufacturer’s web site or by contacting your local dealer. The residual value can vary significantly from vehicle to vehicle and will also be dependent on how long of lease term you select. Residual value information can sometimes be difficult to locate, but again the manufacturer’s web site and your local dealer will be solid resources.

If you have not already negotiated a selling price on a specific vehicle it is recommended that you contact your local dealer for assistance. Your dealer can give you an idea of what they would be willing to discount a specific vehicle type for and can let you know what cash rebates can be applied toward the lease.

Your dealer will also be able to inform you what different leasing companies charge for documentation fees. Documentation fee costs can be obtained directly from the leasing company, as well. Note that most leases are written through the manufacturer’s own financing company even though banks are still used in some cases. Both captive finance companies and banks are good sources for finding interest rate related information, too.

1. Calculate Residual

MSRP
xBank Residual Value % (Adjust for Low or High Mileage Leases)
Mileage Adjustment
=Residual Value

2. Calculate Cap Cost

Negotiated Selling Price
-Down Payment, Rebates and/or Net Trade-in Value (Cap Cost Reduction)
+Documentation Fee
=Adjusted Capitalized Cost

3. Calculate Base Monthly Payment

Depreciation (Capitalized Cost - Residual)
÷Term (Stated in Months)
=Base Monthly Payment

4. Calculate Lease Charge

Capitalized Cost + Residual
xLease Factor (Interest Rate / 2400)
=Base Lease Charge

5. Calculate Monthly Lease Payment

Base Monthly Payment
+Base Lease Charge
=Pre-tax Monthly Lease Payment