Effective monthly cost
Divide total cash outlay by term to compare a low payment with large drive-off against a higher payment with less due at signing.
Educational estimate only. Real quotes depend on taxes, fees, acquisition/disposition charges, rebates, and how your state treats leases. Use your contract and broker numbers as the source of truth. Reading lease payments and the lease glossary explain the fields behind these calculators.
Effective monthly (total ÷ term)
$432.31
- Stated payment
- $349.00
- Drive-off spread per month
- $83.31
Use this to compare a low payment with large drive-off against a higher payment with less cash due.
Worked example
Comparing two structures on the same 2026 Audi Q5 lease
- Ad 1: low DAS
- $549/mo + $1,000 DAS
- Ad 1 effective
- $549 + ($1,000 ÷ 36) = $577/mo
- Ad 2: high DAS
- $469/mo + $4,000 DAS
- Ad 2 effective
- $469 + ($4,000 ÷ 36) = $580/mo
Two ads with very different headlines can be the same deal — always compute effective monthly.
Effective monthly cost FAQ
Common questions about this calculator. For broader leasing topics, see the full FAQ.
Effective monthly = monthly payment + (drive-off ÷ term). It spreads upfront cash over the term so you can directly compare a low-payment / high-DAS deal against a high-payment / low-DAS deal.
Monthly payment hides drive-off. A $399/mo with $5,000 DAS over 36 months is effectively $538/mo — worse than a $479/mo with $1,500 DAS ($521/mo effective). Effective monthly surfaces that.
Only if both inputs do. Use the same convention (pre-tax vs total) for the monthly and drive-off, or the comparison is meaningless.