Speaking to your employer or directly to financiers will inform you whether you’re able to make use of novated leasing to purchase vehicles without losing money to tax.
What is novated leasing?
Through novated leasing, employees can purchase vehicles using a pre-tax portion of their income set aside from their monthly salaries by their employers. Running costs such as petrol and maintenance can also be claimed under a novated lease, depending on the arrangement. Many private and government employees in Australia choose novated leases as a more affordable way of buying a new vehicle for personal use, and employers can improve employee attraction and retention by offering novated leasing and other salary packaging options to their staff.
Who can arrange a novated lease?
Anyone can arrange a novated lease through a financier, but if you want to arrange the lease through your employer, you will first need to confirm that they offer this option. Employees on probationary periods are not usually eligible. You will need to provide details such as your driver’s licence and pay slips to the novated leasing company or your employer, who will provide you with details of how much the lease costs and the types of vehicles available.
Novated leasing in Geraldton
Fleet Network administers novated leasing through employers, sponsoring organisations and other nominated financiers. For more information about how to purchase novated lease vehicles in Broome and Albany at a flat 20 per cent of taxable deductions, call 08 6555 3854.