Monthly payment and cash total
Lease vs Buy Calculator
U.S. shoppers usually meet this choice as lease versus buy. On this page, “buy” means a financed purchase: an auto loan. Compare the estimated monthly loan payment with the advertised monthly lease payment, then compare cash totals. The calculator does not decide which option is better. It does not give legal, tax, or credit advice.
Enter the loan details and the advertised lease details. Down payment and amount due at signing can stay at 0. Then choose Compare monthly and total.
Monthly amounts and cash totals
- Estimated monthly loan payment
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- Loan cash paid (down + all loan payments)
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- Monthly lease payment you entered
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- Lease cash paid (due at signing + all lease payments)
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What the two sides add up
On the buy side, the amount financed is the vehicle price minus the down payment. The monthly loan payment is a fixed amortizing installment at the APR and loan term you enter, the same method as the Auto Loan Calculator. The loan cash total is the down payment plus every monthly loan payment.
On the lease side, you bring the advertised payment. The calculator does not build a lease from residual value, money factor, or capitalized cost. The lease cash total is the amount due at signing plus every monthly lease payment you entered.
Why the cheaper monthly number is not the whole decision
A lease payment is often lower because you are not financing the residual — the value the lessor assigns at the end. You do not own the car unless you buy it then. Mileage caps, wear charges, disposition fees, and early-termination rules can change what you actually pay. None of those items are in these totals.
If the loan term and the lease term differ, the two cash totals cover different periods. The calculator says so on the result. Align the months if you want a same-length cash comparison. Even then, the loan side is heading toward ownership and the lease side is not, unless you add a buyout yourself.
Examples you can run on this page
- You buy at $30,000 with $3,000 down, 6.9 percent APR, and 60 months. You finance $27,000. The estimated loan payment is $533.36. Loan cash paid is $35,001.56.
- The advertised lease is $289 a month for 36 months with $2,500 due at signing. Lease cash paid is $12,904.00. That total covers 36 months, not 60, so it is not the same period as the loan example above.
- If both sides use 36 months, the calculator still reports each monthly amount and each cash total. It does not add a residual buyout or a remaining loan balance unless you put those dollars in the fields.
Lease versus buy questions
Is it cheaper to lease or buy a car?
This page only lines up monthly amounts and cash totals. A lease usually leaves a residual. Ownership, mileage, wear, and tax treatment are outside the math. The result is not legal or tax advice.
Does this calculator use a money factor?
No. Enter the advertised monthly lease payment and the cash due at signing. The loan side uses price, APR, term, and down payment.
What if the loan is 60 months and the lease is 36?
The two totals then cover different lengths of time. The calculator still shows each total and notes that they are not a same-period contest.
Other calculators on this site
- Auto Loan Calculator — the buy-side payment on its own.
- How much car you can afford — a budgeted payment turned into a maximum price.
- Auto loan interest and total cost — payment, totals, and interest.
- Car down payment comparison — three down payments on one price.