Residual Value Lease Calculator

About this calculator

Residual value is the amount a leased asset — typically a vehicle — is projected to be worth at the end of the lease term. Lessors set it as residual value = MSRP × residual percentage, with the residual percentage coming from depreciation tables based on the asset's expected condition, mileage and market resale demand.

The residual is the single biggest lever in a lease payment: a higher residual percentage means the asset depreciates less over the term, so the lessee finances a smaller gap between MSRP and residual value, producing lower monthly payments. This calculator shows both the residual value and the total depreciation (MSRP − residual) that the lease payments are built to cover.