Novated car leasing
What’s a novated lease?
Cars can be expensive, and you often need to go into debt to purchase them. But a novated leasing is another way of financing your car that may make it more affordable.
A novated lease is an agreement between your employer, a lender and yourself. You choose the new car you want to lease. Your employer then deducts your repayments using your pre-tax salary to do so.
This can save you a considerable amount on income tax as it reduces your taxable income. However, not all employers offer novated leasing as an employee perk, and not all lenders offer it as a product.
But we know the lenders that do! Speak with our team to find out more.
Novated leases can offer significant tax savings
A novated lease can bring about significant tax savings.
First, you don’t pay GST on the purchase price, saving 10% on the get-go. As the car payments come out of your pre-tax salary, you reduce the amount of income tax you have to pay. This payment includes all your running costs such as fuel, insurance and maintenance, reducing your tax bill further.
While this all sounds great, novated leases are not suitable for everyone. Our team can help guide you through the process of deciding if one is right for you. Contact us today to find out more.
Novated leases may be more convenient
Novated leases give you the convenience of only having to budget for one payment each month. This payment includes all your costs associated with the car including:
- Registration
- Servicing
- Maintenance
- Insurance
- Fuel
- Tyres
This may help you budget more effectively.
Novated leases are not for everyone. But our team can help guide you through the process of deciding if one is right for you. Contact us today to find out more.
Is a novated lease right for you?
Novated leases can be a good option for some people. But they’re not right for everyone. It depends on several factors including your employer, how long you want to stay at your current job, your income and tax bracket. Exiting a novated lease before the agreement ends may also mean extra costs.
Our experienced team can guide you through the process of deciding if a novated lease is right for you. Contact us today to find out more.
Get the right finance
There’s a bewildering amount of financing options available in Australia, including novated leases. Getting your head around their pros and cons can be a challenge. Our experienced team is here to help guide you through the process. We’ll help match you with the most suitable product with the interest rate and features you need – whatever your particular circumstances.
Get started by filling in our online application form.
