Estimate your monthly lease payment for a new Porsche.
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Understanding Your Porsche Lease Calculation
Leasing a Porsche offers a way to drive a high-performance vehicle with potentially lower monthly payments compared to financing, and the flexibility to upgrade more frequently. However, understanding the components of a lease agreement is crucial to avoid surprises. This calculator helps demystify the process by breaking down the key factors that determine your monthly payment.
Key Components of a Lease Payment:
MSRP (Manufacturer's Suggested Retail Price): The sticker price of the vehicle.
Negotiated Purchase Price: The price you and the dealer agree upon for the vehicle before lease calculations. This is often referred to as the 'Capitalized Cost' or 'Cap Cost'.
Capitalized Cost Reduction (Cap Cost Reduction): Any amount paid upfront that reduces the capitalized cost. This can include a down payment, trade-in equity, or manufacturer rebates. The net capitalized cost is the negotiated price minus the cap cost reduction.
Residual Value: The estimated value of the car at the end of the lease term. This is usually expressed as a percentage of the MSRP and is set by the leasing company. Higher residual values generally lead to lower monthly payments.
Lease Term: The duration of the lease agreement, typically measured in months (e.g., 24, 36, or 48 months).
Annual Mileage Allowance: The maximum number of miles you agree to drive per year. Exceeding this limit will result in per-mile charges at lease end.
Money Factor: This is essentially the finance charge for the lease, similar to an interest rate on a loan. It's a small decimal number. To approximate the Annual Percentage Rate (APR), multiply the money factor by 2400. For example, a money factor of 0.0015 is roughly equivalent to 3.6% APR (0.0015 * 2400 = 3.6).
Acquisition Fee & Documentation Fee: These are administrative fees charged by the leasing company and the dealership, respectively. They are often rolled into the lease cost or paid upfront.
First Month's Payment: Typically paid at the lease signing.
How the Lease Payment is Calculated:
The monthly lease payment is composed of two main parts:
Depreciation Cost: This is the portion of the vehicle's value that you 'use up' during the lease term. It's calculated as:
(Net Capitalized Cost - Residual Value) / Lease Term (in months) Where:
Net Capitalized Cost = Negotiated Purchase Price - Capital Cost Reduction Residual Value = MSRP * (Residual Value Percentage / 100)
Finance Charge (Rent Charge): This is the cost of borrowing money, calculated on the average of the net capitalized cost and the residual value.
Finance Charge = (Net Capitalized Cost + Residual Value) * Money Factor
The estimated Total Monthly Payment is the sum of the monthly depreciation cost, the monthly finance charge, and any applicable fees (like taxes, if not already factored in by the dealer). Your calculator also accounts for upfront payments like the first month's payment, acquisition fee, and documentation fee by distributing their cost over the lease term or showing them as part of the due at signing amount.
Example Calculation Breakdown:
Let's say:
MSRP: $100,000
Negotiated Purchase Price: $95,000
Lease Term: 36 months
Residual Value: 55% of MSRP ($55,000)
Money Factor: 0.0015
Capital Cost Reduction: $5,000
Acquisition Fee: $799
Documentation Fee: $300
First Month's Payment: $0 (for simplicity in this example)
6. Total Due at Signing (Simplified) = $0 (First Month) + $799 (Acq. Fee) + $300 (Doc Fee) + $5,000 (Cap Reduction) = $6,099
Note: This example excludes taxes, registration fees, and potential mileage overage charges. The calculator provides an estimate based on the inputs provided. Always consult with your dealership for precise lease terms.
function calculateLeasePayment() {
var vehiclePrice = parseFloat(document.getElementById("vehiclePrice").value);
var negotiatedPrice = parseFloat(document.getElementById("negotiatedPrice").value);
var leaseTerm = parseInt(document.getElementById("leaseTerm").value);
var annualMileage = parseInt(document.getElementById("annualMileage").value); // Not directly used in payment, but good for context
var residualValuePercentage = parseFloat(document.getElementById("residualValuePercentage").value);
var moneyFactor = parseFloat(document.getElementById("moneyFactor").value);
var acquisitionFee = parseFloat(document.getElementById("acquisitionFee").value);
var documentationFee = parseFloat(document.getElementById("documentationFee").value);
var firstMonthsPayment = parseFloat(document.getElementById("firstMonthsPayment").value);
var capCostReduction = parseFloat(document.getElementById("capCostReduction").value);
var resultDiv = document.getElementById("result");
resultDiv.innerHTML = "; // Clear previous results
// Input Validation
if (isNaN(vehiclePrice) || vehiclePrice <= 0 ||
isNaN(negotiatedPrice) || negotiatedPrice <= 0 ||
isNaN(leaseTerm) || leaseTerm <= 0 ||
isNaN(annualMileage) || annualMileage <= 0 ||
isNaN(residualValuePercentage) || residualValuePercentage 100 ||
isNaN(moneyFactor) || moneyFactor <= 0 ||
isNaN(acquisitionFee) || acquisitionFee < 0 ||
isNaN(documentationFee) || documentationFee < 0 ||
isNaN(firstMonthsPayment) || firstMonthsPayment < 0 ||
isNaN(capCostReduction) || capCostReduction < 0) {
resultDiv.innerHTML = 'Please enter valid positive numbers for all fields.';
return;
}
// Calculations
var netCapitalizedCost = negotiatedPrice – capCostReduction;
var residualValue = vehiclePrice * (residualValuePercentage / 100);
// Ensure Net Capitalized Cost doesn't exceed Negotiated Price (or MSRP if logic demands) and is not negative
if (netCapitalizedCost negotiatedPrice) netCapitalizedCost = negotiatedPrice; // Should not happen with CCR subtracted
// Ensure Residual Value is not negative and not greater than MSRP
if (residualValue vehiclePrice) residualValue = vehiclePrice;
var depreciation = netCapitalizedCost – residualValue;
var monthlyDepreciation = depreciation / leaseTerm;
// Finance charge calculation based on average of Cap Cost and Residual Value
var averageValue = (netCapitalizedCost + residualValue) / 2;
var monthlyFinanceCharge = averageValue * moneyFactor;
var baseMonthlyPayment = monthlyDepreciation + monthlyFinanceCharge;
// Total Due at Signing (simplified, may not include taxes, license, etc.)
var totalDueAtSigning = firstMonthsPayment + acquisitionFee + documentationFee + capCostReduction;
// Ensure monthly payment is not negative
if (baseMonthlyPayment < 0) baseMonthlyPayment = 0;
resultDiv.innerHTML = 'Estimated Monthly Payment: $' + baseMonthlyPayment.toFixed(2) +
'(Excludes taxes, registration, and potential fees)' +
'Estimated Total Due at Signing: $' + totalDueAtSigning.toFixed(2);
}