How to calculate your lease, payment Cars

How to calculate your monthly lease payment makes it easier to understand,

You need to make the right decision. However, we do not shy away from the most distant

Our lease "complex" math, leave it to a dealer

As payment formula.

In fact, it is not difficult! You understand all the details

Committed Calculate your monthly payments, everything else falls

Five. Here are the key numbers:

5 Easy ways to How to calculate your lease, payment Cars

MSRP (Manufacturer Retail Price Proposal for short): list

The price of the vehicle or the window sticker price.

Money Factor: This determines the interest rate on your lease. Insist

This ratio publishes your dealer before entering into the lease.

Number of months of the lease term rental car dealer.

The residual value: Value of the vehicle at lease end. More

You can get this number from your dealer.

Now that we have a vehicle based on the model to calculate lease payments

$ 25,000 and (sticker price) MSRP value of 0.0034 and the money factor (which

Chief) determined by 3.4%. Schedule - and at least three years

The remaining 55% percent is estimated.

The first step is to calculate the residual value of the vehicle. You Amplifiers

The remaining percentage of RRP:

$ 20,000 X 0.55 = $ 11,000.

At the end of the lease car is worth $ 13.750, so you want to use:

$ 20,000 - $ 11,000 = $ 9,000

A 36-month lease with $ 9,000 of this amount will be used

: Monthly Fees

$ 9,000 / 36 = $ 250.

The first part of the monthly payment, monthly

Depreciation.

The second part of the monthly payment, fees that the money factor

Interest rate factors. It is calculated by adding the number of EIA

The residual value and the money multiplier:

($ 20,000 + $ 11,000) * 0.0034 = $ 105.4

Finally, we received a monthly payment of about two details

Together:

$ 250 + $ 105.4 = $ 355.4

In short, the test formula:

1 - Monthly Amortization:

MSRP X Depreciation Percentage = Residual values

RRP - lease balance depreciation =

Loss term contract / lease (the number of months in the lease) =

The monthly fee of depreciation

2 - Monthly Payments money factor

(+ Residual value MSRP) X Factor money = money factor payment

3 - Sample sheet music monthly payments:

Fee = fee + cash Depreciation Factor

This can be considered as a simple calculation

Account taxes, fees or other incentive discounts. Calculated

Are you a ballpark figure or a rough idea of ​​what your lease payment?

Vehicle must be questioned.