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Compare total cost of leasing vs buying a car. See monthly payments, true costs, and break-even analysis.
Lease Summary
Monthly Payment
$545.74
Total Cost Over Term
$22,541.55
Money Left After Term
$0 (no equity)
Buy Summary
Monthly Payment
$586.98
Total Cost Over Term
$29,019.07
Money Left After Term
$14,000.00 (resale)
Clear Winner
Leasing Wins
You save $6,477.52 over the term by leasing
Car Lease vs Buy Calculator calculates lease monthly payment as (depreciation fee + finance fee) × (1 + tax rate), where depreciation = (MSRP − residual) / term and finance fee = (MSRP + residual) × money factor. Buy payment uses standard PMT formula. Compares total cost over term including end values.
Should you lease or buy your next car? Compare monthly payments, total costs, and end-of-term value. Includes money factor conversion, residual value, and cost-per-mile analysis.
Enter lease terms (MSRP, residual %, money factor) and buy terms (price, APR, loan term).
Compare side-by-side: monthly payment, total cost, and net cost after resale.
See the True Cost Breakdown for full itemization.
Lease monthly = (depreciation fee + finance fee) × (1 + taxRate/100). Depreciation fee = (MSRP − residualValue) / term. Finance fee = (MSRP + residualValue) × moneyFactor. Buy monthly uses PMT: P×r×(1+r)^n / ((1+r)^n − 1). Money factor × 2400 = approximate APR.
Money factor is the financing rate for a lease. Multiply by 2,400 to convert to APR. A money factor of 0.00125 = 3% APR.
Leasing offers lower monthly payments and a new car every 2-3 years, but you build no equity. Buying costs more monthly but you own the car and can resell it.
Calculate your car loan payment with sales tax, trade-in, fees, and total interest.
Compare two loan offers to find the best deal instantly.
Calculate asset depreciation using straight-line, declining balance, and IRS MACRS methods with full year-by-year schedules.