Hi All! I’m an experienced hacker but can’t seem to figure out why these numbers aren’t lining up.
Here is a link to the calculator where I entered the info but I’m off ~$50+ per month (not factoring in tax) from their payment. My thought is maybe they are using some of the rebates to factor into their selling price?
As an aide, the dealer is using platinum trim numbers on an evolve. I’ve told them this but they insist this is correct.
You left out the taxes and your due at signing doesnt match.
I told them I’d pay the acquisition, doc, license, etc upfront which comes to ~$1500. This is why the cash down is $1500. The tax is reflected at the bottom of their sheet (difference between $350 and $387).
Sorry for the ignorance but what exactly am I missing here?
Your calculator does not reflect $1500 due at signing and you put the tax to 0% in the calculator.
You cant leave tax at 0 and then just apply it to the monthly and think its the same thing.
You are also missing a lot of taxes compared to their quote. I think you need to put in the tax rate as most likely (I don’t know WA specific leases tax rules) the rebate is taxed. About $1000 in up front tax is missing which is about the amount per month your calculator and their deal sheet are off (its not to the penny obviously)
Yup, the upfronts on the $11k or so cap cost reduction is the major missing part here
Okay, gang, here we go…
The 1806.85 TOTAL sales tax apparently includes the total payment tax (18 x 36.49 = 656.82) leaving a difference of 1150.03.
Lease inception fees.
Sales tax balance 1150.03
CCR 10952.63
License 650.00 (seems high)
Upfront fee 200.00 (guessing a doc fee)
1st payment 387.34
TOTAL 13340.00
Rebate 11840.00
DAS 1500.00
The sales tax rate is 10.40%. The 1150.03 tax balance appears to consist of tax on the CCR plus tax on something else (should be the 200-doc fee if that’s what is but, the tax is still off).
Sloppy dealer worksheet. I would have structured this lease differently so that DAS = 0. Paying 1500 upfront is so unnecessary. But what does the dealer care?
I really appreciate the thoughtful response.
You’re very welcome. Need help? Let me know.
What do you think of the deal? I’m pushing for an extra $1k off the purchase price. I used to live in Oregon (no sales tax) so the WA sales threw me off.
I also agree with you on the $0 down.
I should add that I’m totally open to cheap EVs right now as this is coming off a super cheap i3 lease that I have. Also considering the Ioniq5 (haven’t gotten great quotes yet) or the bz4x (which just updated incentives).
Adding some color to WA leasing to supplement this amazing breakdown!
10.4% is about right for WA vehicle sales tax, most likely in the greater Seattle area. This can go up to 10.8% depending on garaging zip code.
Rebates in WA are taxed (unsure if it is at the dealer’s sales tax or the garaging vehicle sales tax rate).
Lease monthly payments are also taxed, unless the MSRP of the vehicle is <45,000, or so based on RCW 82.08.809. I haven’t seen deals with this exemption quoted in WA yet though.
Licensing in WA, particularly those in the Greater Seattle area have a hefty Regional Transit Authority fee 1.1% of the MSRP of the vehicle, so >$500 for a 50k MSRP car sounds about right.
Thanks for the additional info and kind words.
Not sure what the demand is in the WA market. My gut tells me you can do better than a 7.2% dealer discount. I would cap some of those fees (e.g., 1150.03 sales tax which will change and the 650-license fee) leaving some additional money available for a cap reduction. Your payment will be higher but your DAS = 0 and you can use the 1500 for other productive worthwhile pursuits. Get some clarity on how that total sales tax is computed. Something is missing but @surprisingpanda may have provided a clue.
Given the .00073 MF (1.75%), your cost of money is relatively cheap. So, for every 500 of taxable capped fees, you’re paying a monthly finance charge of $0.40 including tax or $7.20 over the lease term.
