Lease vs. Purchase Comparison

MSRP

The sticker price, before discounts or add-ons.

Selling price

The negotiated price, before incentives.

Estimated tax rate

Enter the rate shown on your quote or for the vehicle's registration address.

How tax is charged

Match the method shown on your lease quote.

Added to each paymentCharged upfront on lease paymentsCharged upfront on selling price

Taxable dealer fees and add-ons

Include the doc fee and other dealer fees or add-ons your quote treats as taxable.

Government, title, and registration fees

Enter title, registration, plate, tire, and similar charges. Leave out any weight fee entered separately.

Total down payment (each lease and purchase)

Used once for the financed purchase and at each lease start. For each lease, it covers the first payment, upfront fees, and taxes; any remainder lowers the lease balance and any shortfall is financed. Enter $0 for sign-and-drive. Refundable deposits are separate.

Is the cash cap reduction taxed?

Match your quote or applicable state rules.

YesNo

Term

Number of consecutive leases

Each assumed lease repeats the numbers entered below. This is a planning scenario, not a forecast of future offers.

1 lease2 leases3 leases

Comparison period: 36 months (1 × 36-month lease).

Residual (% of MSRP)

The lender's forecast of the vehicle's lease-end value, expressed as a percentage of MSRP. Use the figure matching your mileage allowance.

Money factor

Used to calculate the lease's rent charge. Multiply it by 2,400 for a rough annualized rate comparison.

Rebates & incentives (taxed)

Acquisition fee

Enter the lender's lease setup fee from the quote. This comparison rolls it into each assumed lease.

Disposition fee

Charged by the lender if you return the car at lease end. Counted in the scheduled-return cost only.

Lease-end purchase-option fee

Enter the fee shown in the lease contract for buying the vehicle at lease end. Enter 0 if there is no fee.

How will you pay for the purchase?

Cash mode pays the full purchase amount at signing and has no loan payment.

FinanceCash

APR

The annual interest rate from your financing quote.

Term

Manufacturer rebates

Enter the amount shown on your quote, then match its tax treatment below.

Estimated purchase vehicle value after 36 months

Leave blank to use the lease residual. Enter $0 if you expect no value.

Additional comparison options

Enter different cash amounts for each optionUse this when the lease and purchase quotes show different upfront amounts.

Pickup or commercial vehicleCheck this when the quote lists a weight-based registration charge.

Trade-in

Trade-in allowance

Enter the trade value shown on the quote. The calculator subtracts the payoff separately.

Trade-in payoff

Enter the remaining loan payoff shown on the quote. A payoff above the allowance becomes old loan debt rolled into the lease.

Multiple security deposits (MSDs)

If your quote uses refundable deposits to lower the money factor, enter the quoted figures here.

Number of deposits

Quote-specific tax adjustments

Lease path: Use exact tax amounts from my quoteReplaces the calculator's automatic tax estimate; it does not add tax a second time.

Roll upfront taxes into the leaseCapitalized taxes are financed inside the lease, so you pay rent charge on them.

Financed purchase: Use exact tax amounts from my quoteReplaces the calculator's automatic tax estimate; it does not add tax a second time.

Estimated lease-end buyout tax

Optional. Enter your own estimated tax amount for buying the lease at the end. Leave blank to estimate it from the tax rate above.

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