Finding out whether your employer offers novated lease vehicles as part of salary sacrifice agreements can be a cost-effective way to lease a car for business and private use.
What are novated lease arrangements?
Novated leases are arranged between employees and employers, or may be arranged directly with financiers. Under these leases, the lessee agrees for part of their regular salary before tax to be put towards financing a vehicle of their choice, and these agreements can also be beneficial for employers to enhance their employee attraction and retention. The type of vehicle that can be bought or leased may depend on any arrangements between your novated lease provider and car dealerships.
Novated lease vehicles for personal use
Novated leasing can be an economical way for employers to ensure their workers have a convenient means of travelling to and from work, or for carrying out work-related tasks, such as business trips. However, these vehicles are not restricted to commercial use, and once the lease has been fully paid, the lessee will have full ownership of the vehicle. Novated leases are usually transferrable, so even if you leave your current employment, you may still be able to take on the responsibilities of the lease yourself.
Fleet Network arranges and administers novated leasing in Geraldton, Albany, Perth, Broome and other parts of WA. For more information about novated lease vehicles and how to salary sacrifice, phone 08 6555 3854.