SAVE MONEY WITH A NOVATED LEASE
Get the best deal
on a novated lease
Car finance that's truly simple
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What is a novated lease?
A novated lease is one of the easiest and most cost-effective ways to buy and run a car, and you don’t need to be earning a senior executive salary!
- Enjoy tax savings and discounts on your car and related running expenses
- Pay finance and running costs with one easy payment on payday
- Lease a new, used or even your current car
- Choose the lease term that suits your budget, from one to five years
- Save time and money with our fleet pricing
- Cash in on the FBT exemption for Electric Vehicles
How does a novated lease work?
A novated lease is the most cost-effective way get a car.
It’s a three way agreement between you, your employer and Novated Car Lease.
A novated lease is an substantial discount on your new car – you do not have to pay the GST on the purchase price of the car, instantly saving you thousands of
dollars.
Superior Car Price
We secure better pricing on cars through bulk buying power and strong dealership relationships, ensuring our customers enjoy competitive lease rates and significant savings on their novated lease vehicles.
Tax Effective
Novated leases are tax-effective because they allow you to pay for your vehicle and related expenses using pre-tax income. Additionally, GST on the purchase price and running costs is claimed back by your employer, providing further savings.
Easy Budgeting
A novated lease simplifies budgeting by consolidating all your vehicle expenses—such as repayments, fuel, insurance, and maintenance—into a single monthly payment.
FAQs
No, there is no strict minimum salary to get a novated lease in Australia, but it’s typically more beneficial for those earning above the tax-free threshold.
As an example you would be able to get a novated lease on a $30,000 vehicle with a $45,000 annual salary, subject to expenses.
This will vary depending on several factors including salary, budget and lease term. In general you’ll be able to get more than a regular car loan, but this may not always be the case. One of our consultants will be able to help guide you if you fill in the quote form.
The tax benefits for being on an active novated lease are twofold:
- Regular payments for both the lease and running costs are taken out of pre-tax salary
- You will not need to pay any GST on either running costs
A novated lease will cover a wide range of vehicle related expenses, including lease payments, fuel/electricity, maintenance, registration, insurance and more. These costs will be included in the regular lease payments.
If you change jobs or lose your job, the novated lease can be transferred to your new employer if they agree to the arrangement. If you are unemployed, you’ll be responsible for continuing the lease payments yourself until you find new employment or negotiate an alternative arrangement with the leasing company.
At the end of a novated lease, you can pay the residual value to own the car, refinance the residual value, or trade in or sell the vehicle. If you choose to sell the vehicle you get the entire difference between residual and sale price as profit!
If you change jobs, you have a few options: you can transfer the lease to your new employer, pay out the lease, or refinance it. It’s important to discuss these options with your new employer before making any decisions.
Thanks to significant fringe benefits tax incentives, electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs) are in high demand. Here’s a list of the most popular eligible EVs and PHEVs
- Tesla – Australia's best-selling EVs , especially the Model 3 and Model Y
- BYD – with the widest range of vehicles including the Atto 3, Sealion, Dolphin and the Seal
- MG – the HS +EV and ZS are among the most affordable EVs on the road
- KIA – the Niro, EV6 and EV9 are provide a full range of electric SUVs, from small ro large
- Hyundai – the Kona, Ioniq 5, and Ioniq 6 are in high demand
- Mitsubishi – the Outlander Plug-in Hybrid is a family favourite and fits 7
- Volvo – notably the XC40 and C40 Recharge.
- BMW – the iX1's is a big name luxury vehicle, fitting within the FBT-exemption
- Polestar – A luxury brand, with the Polestar 2 eligible for FBT-exemption
Massive benefits
