# Leasing vs Buying a new company vehicle in Canada



## Johnny Canuck (Feb 24, 2015)

Has anyone had experience with leasing? Is it worth it? What are the pros and cons?


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## Johnny Canuck (Feb 24, 2015)

Anybody?


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## Tommy plumber (Feb 19, 2010)

Some folks like to lease a car and then every {2} years trade that in for a new model, but the negative is that they are locked into a monthly payment forever.

I prefer to own. My van was purchased cash, so there is no payment. I own it.

I suppose if someone can't afford to purchase a work truck, he can lease a new vehicle until he can afford to purchase one.


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## Johnny Canuck (Feb 24, 2015)

I prefer to own too. Too worried about damaging a leased vehicle but some people talk about the benefits of tax write offs from leasing.


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## Rexticle (Nov 12, 2011)

If you finance the vehicle then you can write off the payments. That is the way I'm doing it. The issue I have with leasing a vehicle would be putting shelving inside and customizing it. At the end of the lease they will charge you damages to the vehicle and that could end up costing you.


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## Letterrip (Jul 28, 2013)

Don't quote me on this, but I BELIEVE that when you lease a vehicle, the entire amount is a write off, whereas when you buy one, you have to depreciate it at some set rates. Best to confirm with your accountant though. Is there a "Beancounterzone.com"?


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## Catlin987987 (Nov 12, 2010)

Rexticle said:


> If you finance the vehicle then you can write off the payments. That is the way I'm doing it. The issue I have with leasing a vehicle would be putting shelving inside and customizing it. At the end of the lease they will charge you damages to the vehicle and that could end up costing you.


With a lease you can write off the payments, most have a very low buyout( ours are $1000) at the end of the term, so it doesn't matter if there are any damages or high milage.


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## dhal22 (Jul 30, 2010)

Catlin987987 said:


> With a lease you can write off the payments, most have a very low buyout( ours are $1000) at the end of the term, so it doesn't matter if there are any damages or high milage.


Something to think about....


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## Rexticle (Nov 12, 2011)

Catlin987987 said:


> With a lease you can write off the payments, most have a very low buyout( ours are $1000) at the end of the term, so it doesn't matter if there are any damages or high milage.



Thanks. I never really looked at what a buyout would cost me, I just assumed it would be expensive. Food for thought...


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