Novated leases are an economical means to lease a car through salary sacrifice, and you can make your lease go further when you check what operating costs are included.
Fully maintained operating lease
If you’re looking for a lease that includes all your operating costs for convenience, a fully maintained operating lease could be the most suitable solution. Operating costs such as fuel and maintenance will be included in your monthly repayments, making management of your vehicle and lease simpler and less demanding, as well as reducing administration costs for your employer. These leases can also be as flexible as required, and can be based on the number of months or number of kilometres travelled. If you will be claiming back expenses on your novated lease, comprehensive reporting included in fully maintained operating leases will also make it easier to keep track of FBT expenses and replacement dates.
Non-maintained operating lease
If you only want your novated lease to cover the cost of the vehicle itself, resulting in lower deductions from your salary, a better option could be a non-maintained operating lease, under which the lessee retains responsibility for maintenance and running costs, including servicing, replacement parts and fuel. The lease financier will still assume the residual value risk of the vehicle.
Fleet Network provides novated leasing in Geraldton, Perth and other locations through employers and financiers. Call 08 6555 3854 to find out more about what’s included in novated lease arrangements