A wet lease in aviation is an arrangement where a lessor (owner) provides an aircraft, complete with crew, maintenance, and insurance (ACMI), to a lessee (another airline or operator) for a set period, allowing the lessee to use the plane with minimal operational hassle, often for peak seasons or new routes, while the lessee pays for fuel and airport fees. The lessor retains operational control, making it a "turnkey" solution for airlines needing quick capacity without managing the aircraft's complexities.
Wet lease – a lease arrangement whereby a lessor provides an aircraft with crew to the lessee. Damp lease – a lease arrangement whereby a lessor provides an aircraft with partial crew to the lessee. Sub lease – a leased aircraft is leased to another operator.
Under a wet lease, compensation paid for the lease is the payment for an air transportation service, similar to riding in a taxicab. Conversely, a “dry lease” is therefore the lease of an aircraft without any crewmembers.
Cost-Effectiveness: Offers a cost-efficient alternative to purchasing or dry leasing aircraft, especially for short-term needs or specific operational requirements. Operational Continuity: Enables airlines to maintain service levels during peak periods, aircraft maintenance, or when expanding their network.
From wet + lease. The origin is uncertain, but it is widely believed that the term wet refers to the inclusion of fuel in the lease agreement.
“Wet leases tend to be more expensive than dry leases, and the lessee has limited control over flight crews and operational standards.”
The lessee provides fuel and covers airport fees, and any other duties taxes, etc. The flight uses the flight number of the lessee. A wet lease generally lasts 1–24 months.
The 90% rule in leasing is an accounting guideline for classifying leases, stating that if the present value (PV) of a lessee's minimum lease payments equals or exceeds 90% of the leased asset's fair market value (FMV), the lease should be treated as a finance lease (or capital lease) rather than an operating lease, reflecting essentially a purchase for accounting purposes. This rule helps determine if the lease transfers substantially all the risks and rewards of ownership, requiring balance sheet recognition of the asset and liability.
Dry leases are generally more affordable than wet leases. You get more control over the aircraft's operation. If you already have your own crew and the ability to fulfill other dry lease expectations, you can avoid paying extra money for services you could go without.
The most common terms for a car lease are 2-3 years. A major benefit to 2-3 year leases is that the vehicle warranty is normally for 36k miles or 3 years, meaning that there is little risk for out-of-pocket repair during the lease.
A wet lease is a contract between two airlines, where one airline (the lessor) provides an aircraft, crew, maintenance, and insurance to another airline (the lessee). The lessee uses the aircraft for a specified period, paying a fee based on the number of hours flown.
Dry Lease. Contrary to a wet lease, a dry lease involves renting the aircraft without the crew or additional services. In this arrangement, the lessee is responsible for operating the aircraft, which includes hiring pilots, handling maintenance, securing insurance, and taking care of all operational details.
Wet leases are commonly used in the aviation industry, particularly among airlines and charter companies. They can be relevant in various legal contexts, including aviation regulations, commercial contracts, and operational compliance.
Aviation is broadly categorized into civil aviation, military aviation, and general aviation, with each type addressing specific needs and sectors. These categories are further divided based on their operational purposes, such as transporting passengers, supporting law enforcement, or enabling private flights.
Aircraft Rental Rates
Below are "WET RATES" which means that the rate is inclusive of fuel. Beware of seemingly low "DRY" rates that others advertise! Fuel is a significant cost of aircraft operation and is hidden by listing a "dry" rate.
Term-of-year leases last for a fixed period and automatically terminate on the date specified as the end of the lease term.
A triple net lease, sometimes known as an NNN lease, is the most common type of commercial lease. A triple net lease is a lease whose monthly rent fee does not include operating expenses. Typical operating expenses include insurance, utilities, property taxes and maintenance costs.
If you're wondering what is the most common type of residential lease, the answer is the fixed-term lease. This lease type locks in tenants for a set period, typically 12 months, giving landlords predictable rental income and financial security.
The "1% lease rule" is a guideline in both real estate (rental income should be 1% of property cost) and auto leasing (monthly payment ideally under 1% of MSRP), used for quickly assessing potential deals, though it's a simplified benchmark that doesn't account for all expenses or market variations. In car leasing, a $40,000 car should ideally lease for around $400/month (before tax), while for real estate, a $200,000 home should aim for $2,000/month in rent.
A "good" lease length depends on your needs: 1-year is standard for apartments (balancing stability and flexibility), while 2-3 years offers more stability, lower risk of annual rent hikes, and sometimes better deals, especially for cars where 36 months spreads fees well. For long-term property (like buying), a lease of 90+ years is ideal, as shorter leases (under 80 years) can devalue the property and make mortgages difficult.
How much do pilots make? Based on current data (next update: May 2026), the annual median airline pilot salary is $226,600 and the average is over $200,000. Pay typically ranges from around $90,000 for new first officers to $450,000 for senior captains at major airlines.
Potential Drawbacks of Wet Leasing
While wet leasing offers many perks, it's not without its trade-offs. The cost per flight hour is typically higher than other options, reflecting the all-inclusive nature of the service. Customization can be limited in wet lease arrangements.
Costs for leasing a private jet depend heavily on the aircraft model, age, the lease structure, and whether it's a dry or wet lease. A dry lease for a midsize or large jet can range between $100,000 and $300,000 per month, while a wet lease can start around $250,000 and go beyond $700,000 per month.