Money Factor Calculator

Enter the total annual percentage rate into the calculator to determine the equivalent money factor.

Money Factor Formula

The following formula is used to calculate a money factor.

MF = APR (%) / 2400

  • Where MF is the money factor
  • APR is the annual percentage rate

Money Factor Definition

A money factor is a method for determining the financing charges on a lease with monthly payments. More specifically it’s 1/2400th of the APR of the lease.

Money Factor Example

How to calculate a money factor/lease factor?

  1. First, determine the APR.

    Calculate the annual percentage rate of the lease or loan.

  2. Next, calculate the money factor.

    Use the equation above to determine the money factor/lease factor.

FAQ

What is a lease factor?

A lease factor, also known as a money factor, is a me

money factor calculator
money factor formula