Why an Employee Should Consider a Novated Car Lease
Novated leasing isn’t just an arrangement; it’s a lifestyle adaptor that keeps pace with your career shifts. The ability to transfer this lease among jobs is akin to having an express lane in life’s switchovers. It’s the kind of forward-looking finance that lets you change lanes, without changing cars.
If you’re an employee looking for a smarter, more rewarding way to finance your car, here are six compelling reasons why the road of novated car leasing might be the smoothest for you.
1. Financial Savings
The primary advantage lies in the pre-tax payments! By deducting lease payments from your gross salary, you can reduce your income tax burden, thus increasing your take-home pay. Moreover, you are exempt from paying GST on the car’s purchase price and most running costs.
2. Convenient Payments
Novated leasing streamlines vehicle financing with all running costs (insurance, fuel, recharging, registration, servicing, and tyres) bundled into regular deductions from your salary, simplifying budgeting and financial planning.
3. Diverse Vehicle Choices
Whether opting for new or used vehicles, novated leasing offers flexibility. Additionally, the opportunity to lease multiple cars within a family is available based on your budget and preferences.
4. Freedom of Use
As the car is your personal asset, there are no usage restrictions. No minimum annual kilometres requirements exists; instead, estimated kilometres help determine annual operating costs. At the lease end, you can refinance, settle the residual amount, sell, upgrade, or retain ownership of the vehicle.
5. Exclusive Discounts
Enjoy discounted rates on vehicle-related expenses like servicing, tyres, and insurance through our trusted partners. We streamline all running costs for added convenience and savings, complemented by a Fuel Card for effortless refueling.
6. Portability Across Jobs
Since the vehicle belongs to you, not the company, the lease can potentially transfer to a new job. Enquire with your new employer about novated lease deductions through payroll, or explore other payout options with us.
In Conclusion
These are the significant advantages of opting for a novated vehicle lease. If you’re an employee keen on understanding the benefits of novated leases read ourour ‘Novated Leasing for Employees’ booklet.
If you’re an employer keen on understanding the benefits of providing novated leases to your workforce, visit our ‘Novated Leasing for Employers’ booklet.
