Finance Tools

Tractor Lease vs Buy Calculator

Compare leasing versus buying a tractor using effective monthly cost, total out-of-pocket, resale value, remaining loan balance, and break-even usage horizon.

Tractor Lease vs Buy Calculator

Compare leasing vs buying a tractor using effective monthly cost, total cash out, and a rough break-even horizon.

Tractor & usage

Used to estimate end value for both options.

Lease

Only applied if you keep the tractor after the lease term ends.

Buy / loan
Estimated loan monthly payment: $1,627
Ongoing costs (annual)

Lease: effective monthly cost

$1,285

Buy: effective monthly cost

$1,485

Result
Leasing is cheaper by about $200 per month (effective).
Break-even (rough): Not found within scan range

How it works

  • Lease net cost includes payments, buyout (if needed), maintenance, insurance minus end value.
  • Buy net cost includes down payment + loan payments + costs minus (resale − remaining loan balance).
  • Effective monthly cost = net cost ÷ months of use.
  • Break-even is approximated by scanning different usage horizons.

FAQ

What makes tractors different from other equipment?
Tractor resale values can hold up well, so resale assumptions can swing the result significantly.

What if I keep it longer than the loan term?
Set years of use higher—once the loan is paid off, buying often becomes cheaper if resale value remains meaningful.

How to use this tractor lease vs buy calculator

  1. Enter the tractor price, expected years of use, and end resale value.
  2. Enter lease terms (monthly payment, term, fees, buyout).
  3. Enter buy/loan terms (down payment, APR, loan term, financed fees).
  4. Add annual maintenance and insurance assumptions.
  5. Compare effective monthly cost and estimated break-even.

Example

Example tractor lease vs buy:

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