How to Calculate Total Lease Cost
Total lease cost equals (monthly payment × number of months) plus due at signing plus typical fees not in the headline payment. A $299/month lease is not cheaper than $329/month if the first deal requires $4,000 at signing and the second requires $1,500.
Updated 2026-06-21 · Published 2026-06-01
The basic formula
Start with monthly payment × term months. Add due at signing (DAS). Add disposition fee if disclosed (often $300–$500 at lease end).
Example: $299/mo × 36 months = $10,764 + $2,999 DAS = $13,763 before tax and registration.
Fees people forget
Acquisition fee, doc fee, and first month payment may be inside DAS or listed separately. Excess mileage and wear charges apply at return if you exceed the allowance.
Common questions
- Should I include tax in total lease cost?
- Yes for budgeting. Monthly tax on the payment plus tax on fees paid upfront varies by state — ask the dealer for an itemized worksheet.