US Lease Payment Calculator: Interest and Residual Based

How to Use US Lease Simulator

This tool follows the standard US leasing formula (APR-based), commonly used for car leases and business equipment financing in the United States.

1. Equipment / Vehicle Price: Enter the total "Sticker Price" or negotiated price of the item ($).
2. Down Payment: Enter the amount you plan to pay upfront ($). A higher down payment will lower your monthly costs.
3. Residual Value: This is the estimated value of the item at the end of the lease. For cars, this is usually 50-60% of the original price for a 3-year term.
4. Lease Term: Enter the duration in Months (e.g., 36 months for a 3-year lease).
5. Interest Rate (APR %): Enter the annual percentage rate provided by the dealer or bank.
6. Calculate: Click the button to see your estimated monthly payment (excluding local sales tax).

Key Differences from the Japanese System

Unlike the Japanese "Lease Rate" system, the US system is highly dependent on the Residual Value.

• Higher Residual Value = Lower Monthly Payments (because you are only paying for the portion of the value you "use").
• Money Factor: In the US, you might hear the term "Money Factor." To get the APR from a Money Factor, simply multiply it by 2400.