Estimate your potential monthly payments and total costs for leasing a Tesla with this specialized calculator. Understand the key factors that influence your lease agreement.
Lease Estimate:
Estimated Monthly Payment: $0.00
Total Cash Due at Signing: $0.00
Total Lease Cost (over term): $0.00
function calculateTeslaLease() {
// Get input values
var teslaMSRP = parseFloat(document.getElementById('teslaMSRP').value);
var leaseTerm = parseFloat(document.getElementById('leaseTerm').value);
var annualMileage = parseFloat(document.getElementById('annualMileage').value); // Not directly used in calculation, but good to capture
var downPayment = parseFloat(document.getElementById('downPayment').value);
var tradeInValue = parseFloat(document.getElementById('tradeInValue').value);
var moneyFactor = parseFloat(document.getElementById('moneyFactor').value);
var residualValuePercent = parseFloat(document.getElementById('residualValuePercent').value);
var salesTaxRate = parseFloat(document.getElementById('salesTaxRate').value);
var acquisitionFee = parseFloat(document.getElementById('acquisitionFee').value);
var docFee = parseFloat(document.getElementById('docFee').value);
var licRegFees = parseFloat(document.getElementById('licRegFees').value);
// Validate inputs
if (isNaN(teslaMSRP) || teslaMSRP <= 0 ||
isNaN(leaseTerm) || leaseTerm <= 0 ||
isNaN(moneyFactor) || moneyFactor < 0 ||
isNaN(residualValuePercent) || residualValuePercent 100) {
document.getElementById('monthlyPaymentResult').textContent = 'Please enter valid numbers for MSRP, Lease Term, Money Factor, and Residual Value.';
document.getElementById('cashDueSigningResult').textContent = '$0.00';
document.getElementById('totalLeaseCostResult').textContent = '$0.00';
return;
}
// Ensure non-negative values for optional inputs
downPayment = isNaN(downPayment) ? 0 : Math.max(0, downPayment);
tradeInValue = isNaN(tradeInValue) ? 0 : Math.max(0, tradeInValue);
salesTaxRate = isNaN(salesTaxRate) ? 0 : Math.max(0, salesTaxRate);
acquisitionFee = isNaN(acquisitionFee) ? 0 : Math.max(0, acquisitionFee);
docFee = isNaN(docFee) ? 0 : Math.max(0, docFee);
licRegFees = isNaN(licRegFees) ? 0 : Math.max(0, licRegFees);
// Step 1: Calculate Adjusted Capitalized Cost
// This is the price used for depreciation and finance charges.
// Acquisition fee is typically capitalized (rolled into the lease).
var adjustedCapitalizedCost = teslaMSRP – downPayment – tradeInValue + acquisitionFee;
if (adjustedCapitalizedCost < 0) { // Prevent negative cap cost if down payment/trade-in is too high
adjustedCapitalizedCost = 0;
}
// Step 2: Calculate Residual Value Amount
var residualValueAmount = teslaMSRP * (residualValuePercent / 100);
// Step 3: Calculate Depreciation Amount
var depreciationAmount = adjustedCapitalizedCost – residualValueAmount;
if (depreciationAmount < 0) { // Should not happen if residual is less than cap cost, but good to guard
depreciationAmount = 0;
}
// Step 4: Calculate Monthly Depreciation
var monthlyDepreciation = depreciationAmount / leaseTerm;
// Step 5: Calculate Monthly Finance Charge (Rent Charge)
// This is based on the average of the capitalized cost and residual value.
var monthlyFinanceCharge = (adjustedCapitalizedCost + residualValueAmount) * moneyFactor;
// Step 6: Calculate Base Monthly Payment (before tax)
var baseMonthlyPayment = monthlyDepreciation + monthlyFinanceCharge;
// Step 7: Calculate Sales Tax on Monthly Payment
var salesTaxOnPayment = baseMonthlyPayment * (salesTaxRate / 100);
// Step 8: Calculate Estimated Total Monthly Payment
var estimatedMonthlyPayment = baseMonthlyPayment + salesTaxOnPayment;
// Step 9: Calculate Total Cash Due at Signing
// This typically includes the down payment, first month's payment, and upfront fees.
// Acquisition fee is assumed capitalized, so not explicitly here unless paid upfront.
var cashDueAtSigning = downPayment + docFee + licRegFees + estimatedMonthlyPayment;
// Step 10: Calculate Total Lease Cost (over the entire term)
// This includes all monthly payments plus any upfront non-refundable fees.
var totalLeaseCost = (estimatedMonthlyPayment * leaseTerm) + downPayment + docFee + licRegFees;
// Display results
document.getElementById('monthlyPaymentResult').textContent = '$' + estimatedMonthlyPayment.toFixed(2);
document.getElementById('cashDueSigningResult').textContent = '$' + cashDueAtSigning.toFixed(2);
document.getElementById('totalLeaseCostResult').textContent = '$' + totalLeaseCost.toFixed(2);
}
Understanding Your Tesla Lease
Leasing a Tesla offers a flexible way to drive a new electric vehicle without the long-term commitment of ownership. Unlike purchasing, leasing means you're essentially paying for the depreciation of the vehicle over a set period, plus a finance charge (money factor) and various fees. This calculator helps you estimate these costs.
Key Terms Explained:
Tesla MSRP: The Manufacturer's Suggested Retail Price of the vehicle. This is the starting point for calculating your lease.
Lease Term (Months): The duration of your lease agreement, typically 24, 36, or 48 months. A shorter term usually means higher monthly payments but less overall depreciation.
Annual Mileage Limit: The maximum number of miles you're allowed to drive each year without incurring excess mileage charges. Common limits are 10,000, 12,000, or 15,000 miles. This significantly impacts the residual value.
Cash Down Payment: An upfront payment that reduces the total amount being financed (the capitalized cost), thereby lowering your monthly payments.
Trade-in Equity: If you trade in an existing vehicle and its value exceeds any outstanding loan, that equity can be applied towards your lease, similar to a down payment.
Money Factor: This is the leasing company's equivalent of an interest rate, expressed as a small decimal (e.g., 0.00250). To convert it to an approximate annual percentage rate (APR), multiply by 2400 (0.00250 * 2400 = 6% APR). A lower money factor means lower finance charges.
Residual Value Percentage: The estimated value of the Tesla at the end of the lease term, expressed as a percentage of its original MSRP. A higher residual value means less depreciation to pay for, resulting in lower monthly payments. This is heavily influenced by the lease term and mileage limit.
Sales Tax Rate: The local sales tax applied to your monthly lease payment in most states.
Acquisition Fee: A fee charged by the leasing company for initiating the lease. This can often be rolled into the capitalized cost or paid upfront.
Documentation Fee: A fee charged by the dealership for processing paperwork.
License & Registration Fees: State-mandated fees for vehicle registration and license plates.
How Tesla Lease Payments Are Calculated:
Your monthly lease payment is primarily composed of two parts:
Depreciation Charge: This covers the difference between the adjusted capitalized cost (MSRP minus down payment/trade-in, plus capitalized fees) and the residual value, spread out over the lease term.
Finance Charge (Rent Charge): This is calculated based on the average of the adjusted capitalized cost and the residual value, multiplied by the money factor. It's the cost of borrowing the money for the lease.
Sales tax is then applied to the sum of these two charges to arrive at your total estimated monthly payment.
Benefits of Leasing a Tesla:
Lower Monthly Payments: Typically lower than financing a purchase for the same vehicle.
Drive New Models More Often: You can upgrade to the latest Tesla model every few years.
Warranty Coverage: Most leases align with the manufacturer's warranty, reducing unexpected repair costs.
Tax Advantages: For businesses, lease payments can often be tax-deductible.
Considerations for Leasing:
No Ownership Equity: You don't build equity in the vehicle.
Mileage Restrictions: Exceeding your annual mileage limit can result in significant penalties.
Wear and Tear: Excessive wear and tear beyond normal use can incur charges at lease end.
Early Termination Fees: Breaking a lease early can be very expensive.
Use this calculator as a guide to help you budget and compare different lease scenarios for your desired Tesla model. Always confirm final figures with a Tesla sales advisor or leasing company.