Vehicle Solutions novated leasing calculator is an efficient and cost-effective way to secure a new car, but how does it compare with buying with cash?
Renovate it with LeasePlan and save on income tax with pre-tax salary deductions, GST free running costs, and Easi discounts.
Our Novated Lease Calculator will give you a detailed breakdown of all costs involved, such as rentals and operating expenses.
What is a novated lease?
Novated lease (also referred to as salary sacrifice) is an employee car package in which your purchase and operating costs are covered through pre-tax deductions, making this an efficient way of purchasing a new car with tax benefits included, while enjoying comprehensive fleet management programs as an added perk.
SG Fleet’s strong negotiating power allows us to offer some of the most cost-effective novated lease prices around, including discounts on vehicles and running costs. Plus, we handle all the administration and maintenance for you so you won’t have to worry about anything!
Our fully maintained novated leases cover all operating costs such as fuel, tyres and regular servicing based on how far you plan to drive each year and allow you to set your budget as needed. In addition, your fortnightly finance payments cover interest, registration and warranty costs so there will be no bill dread or hassle at the end of your novated lease agreement – and you have the option of owning or trading in at its conclusion – or paying any residual value and owning or trading-in an alternative vehicle altogether.
How does a novated lease work?
Novated lease is a finance lease arrangement that encompasses all of your car’s running costs. Each pay cycle, an agreed vehicle budget will be deducted from your salary – both pre-tax and post-tax amounts can be deducted to cover finance, registration, insurance, operating expenses such as fuel and more.
One of the key advantages of a Vehicle Solutions novated leasing calculator is being able to finance your first year’s comprehensive car insurance along with regular servicing and tyre replacement costs. Most leasing companies will arrange this coverage through one provider; however, you are free to select another one of your choices if desired.
Your leasing company may also offer you additional advantages, including providing you with a fuel card to use at any petrol station, and service at the mechanic of your choice. Novated lease terms usually last 12-60 months at which point you have the option to trade in or refinance and keep the car, or buy out residual value risk and get into another agreement.
What are the benefits of a novated lease?
Novated leasing can be an excellent way for employees to obtain their dream vehicle while saving. Depending on your employer’s novated lease policy, additional expenses such as registration, fuel and insurance payments could also be integrated into your repayments.
Novated leases provide numerous advantages, including being able to use your new car both for work and personal purposes. Payment can be made using after-tax salary which can reduce FBT, and you have flexibility when selecting either a longer or shorter lease agreement term to suit your needs.
At the end of your novated lease agreement, you’ll own your vehicle outright. Plus, trade-in your current car and “re-novate” to get into another. A good, novated lease provider will take care in finding you the ideal car as well as setting up your novated lease agreement seamlessly – meaning less stress for you!
How do I get a novated lease?
Vehicle Solutions novated leasing calculator is a modern alternative to traditional car finance designed specifically to meet Australians’ needs. Also referred to as salary packaging, novated leasing involves an agreement among yourself, your employer and a financial service provider which enables you to combine vehicle acquisition costs (fuel, services, registration fees, tyre costs and insurance premiums) into one monthly payment taken out of pre-tax income.
Novated lease agreements offer many benefits for you, including tax savings and additional disposable cash. Plus, since novated lease payments are deducted directly from your salary before taxes are deducted, financing your purchase through this arrangement may be easier.
StreetFleet offers additional benefits by negotiating volume-based discounts with suppliers for servicing, tyres, and fuel – meaning when renewing or changing cars there’s no need for novated lease calculators! Plus, at lease end you have two choices – keep it or pay off residual balance and move on!