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Pros and Cons of Leasing vs. Buying Equipment | QuickBooks
There is less expense upfront with leasing because you have easy, predictable payments. You don't have to deal with one large lump sum to purchase what you need, making it easier to budget for the equipment over a longer period of time. Leasing is often 100% taxdeductible as an operational expense under the 179 IRS Tax Code.
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You are free to lease new, higherend equipment after your lease expires. Disadvantages of Leasing Equipment. Higher overall cost. Leasing an item is almost always more expensive than purchasing it. For example, a 3year lease on a computer worth 4,000, at a standard rate of 40/month per 1,000, will cost you a total of 5,760.
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