resources » Finance Calculators » Leasing calculator

Leasing calculator

Looking to lease a car, business equipment or office space? The short term need for these items have led many people to lease them rather than purchasing or financing them. A noticeable difference between leasing and renting is that generally leases last longer, and at the end of the period it traditionally does not renew itself automatically. The lease payments are determined by calculating the value of the item at the end of the lease period and making monthly or weekly payments based on that amount, plus fees and other costs (see our fortnightly repayment calculator for another perspective on loan payment frequency). Interest is also charged on a lease agreement, and this Leasing calculator will also show you that amount. Simply enter the purchase price, residual value (at the end of the lease period), and term of the lease, interest rate, and whether or not payments are to be made in advance or in arrears. This tool is a great way to get a quick snapshot of the value of a lease agreement compared to, say, financing the same item and making loan repayments.