auto lease calculator

Auto Lease Calculator

The auto lease calculator is a quick and easy way to get an estimate of how much your lease will cost. You can also change the inputs to see how different scenarios will affect your monthly payment and amount due at lease signing.

Auto Lease Calculator:


Change the inputs in the fields above and click “Calculate” to get your result.

Price of Vehicle:

This is the sticker price (aka Monroney label) of the car. It consists of the Manufacturer’s Suggested Retail Price (MSRP) plus a destination and handling fee. This fee can be around $1,000.

Sticker price can also sometimes include manufacturer option packages such as an automatic transmission, sun-roof, etc. Sometimes you will also see a separate sticker next to the Monroney label, which lists dealer add-ons.

Negotiated Price:

Dealers can base the car lease on an amount greater or less than the sticker price. The popularity of the car you are looking to lease can be a determining factor in this regard. But you should usually be able negotiate a few percentage points lower than the sticker price.

Also keep in mind that the invoice price often serves as a floor when negotiating the price of the car. The invoice price is the amount for which the dealer purchased the vehicle from the manufacturer. However, car models where the manufacturer offers rebates and incentives can potentially sell for less than invoice.


These are required fees and vary by state. You can lower the registration fee by transferring plates from your old car.

Acquisition Fee:

The acquisition fee is also called the bank fee. It is an administrative fee charged by the leasing company for setting up the lease. It typically varies from about $400 to $1,000 depending on the company and the car in question.

Doc/Prep/Service Fee:

This is a dealer fee for the preparation of the paperwork. It can be called a “documentation”, “preparation”, or “service” fee. Some states limit this fee by law, but others do not. It can be as low as $75, or as high as a few hundred dollars. If it’s more than about $100, you should probably negotiate it down. Or you can make up for a high documentation fee elsewhere in the negotiations.

Trade-in Allowance:

If you have a vehicle to trade-in, the value the dealer will give you goes here. This is a value you can negotiate.


Inquire about any rebates offered on a particular model car you are considering leasing.

Cash Down Payment:

The cash down payment is the extra amount of money you pay up front in order to reduce the amount you will pay on a monthly basis. This amount is negotiable.

Residual Value:

An estimate of what the car will be worth at the end of the lease term due to depreciation.

Residual value is typically 45 to 65 percent of the original sticker price. The higher this value is, the less you will pay for the lease. The baseline percentage for each model car is based on industry standards. Most leasing companies use the Automotive Lease Guide (ALG) as a benchmark starting point in setting their residual value.

Each leasing or finance company may have a different value for a given car model. The term of the lease and the allowed mileage per year will also affect this amount. You may be able to find an approximate estimate of the residual value for a car with an online search.

Cars with higher than average residual values will often be touted on their company’s website. Or they may be featured in an article of the highest residual value vehicles, for example. Alternatively you can call a particular finance department and ask for the residual rate of a particular car.

Interest Rate (Annual %):

The interest rate is converted to a “money factor” and applied to the sum of the adjusted capitalized cost plus the residual value. This gives you the amount of interest (or rent charge) per month. Multiply the result by the term of the lease in months to get the rent charge for the entire lease term.

Note that the money factor is computed as the percentage interest rate divided by 2400. So a 3% annual rent charge would be stated as a .00125 (monthly) money factor.

The money factor is dependent on market auto loan interest rates, as well as your FICO credit score. Promotional rates may also be available to those with good credit. The size of the down payment (capitalized cost reduction) may also affect this rate.

Keep in mind that the rate can vary by finance company and car model, and is somewhat negotiable. You can use the average going market rates as an estimate. Alternatively, you can contact the finance company and ask for their rates.

Term of Lease (months):

The term or duration of the lease agreement.

Sales Tax Rate:

Sales tax varies from state to state.

Title License Reg Option:

Choose to indicate if the title, license, and registration fees will be paid at lease signing (up front) or over the term of the lease (in monthly payment).

Acquisition Fee Option:

Choose to indicate if the acquisition fee will be paid at lease signing (up front) or over the term of the lease (in monthly payment).

Documentation Fee Option:

Choose to indicate if the documentation fee will be paid at lease signing (up front) or over the term of the lease (in monthly payment).

Rebate Option:

Choose to indicate if the rebate will be applied over the term of the lease (in monthly payments) or at lease signing (up front).

Sales Tax Requirement:

Most states allow the tax to be paid over the lease term with each monthly payment. Some states, however, require it be paid up front at lease signing.

Sales Tax Base:

Most states only charge sales tax on the down payment and the monthly payments. But a few require it on the entire vehicle price.


The auto lease calculator can be used to estimate how much a potential auto lease will cost you. But just like any other such calculator, the result will only be as good and accurate as the inputs entered.

You can modify inputs to see how changes may affect the amount you will pay.

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