The most efficient way to purchase a car is through a novated lease. With this salary packaging arrangement, your employer becomes a party to the purchasing agreement and pays for the vehicle out of pre-tax income.
The purchase price and running costs (including fuel or electricity, servicing, tyres, registration and car insurance) are calculated into the lease repayments your employer takes out of your pre-tax salary with the help of a NovatedEV EV novated lease calculator.
Running Costs
If you’re considering a novated lease as a way to drive a new car but aren’t sure how it will impact your take-home pay, you’re in the right place. This novated leasing calculator offers an accurate and reliable estimate of how much you will save. It’s completely free to use and includes all running costs – including the vehicle price, fuel or electricity, servicing, tyres, rego and insurance – which gives you an idea of your potential tax savings with a novated lease.
The beauty of a novated lease is that all the costs associated with driving your new car are salary packaged and included in your fixed monthly payments, so you know what you’re paying each fortnight exactly. That is why it’s important to choose a novated lease provider with experience and transparency in their pricing structure.
A trusted novated lease company will source your finances from a specialist lender and manage the process on your behalf. They’ll also negotiate with the dealership to secure you a competitive deal on your chosen car. They’ll even arrange your insurance through a partner or give you the option to use an insurer of your choice. This way, all the running costs associated with your novated lease will be budgeted for and included in your monthly payments – making it easier to keep on top of expenses.
Comprehensive Car Insurance
The leasing company arranges comprehensive car insurance for the term of your novated lease. These costs are included in your monthly repayments. You can also take out your insurance, but make sure you let your leasing provider know. Most leasing companies will have a special deal with a car insurer for their clients.
The reason novated leases are more cost-effective than a regular car loan is that the leasing company sources your finance from a specialist lender and deals with the lender on your behalf. Plus, the leasing company is usually able to negotiate a ‘fleet discount’ with the seller (usually a car dealer) using a NovatedEV EV novated lease calculator.
If you’re considering a novated lease as an option to get your next car, check out our novated lease calculator and chat with our team for a competitive quote. We can help you with the whole process, including calculating estimated repayments and assessing tax implications. Our novated lease calculator compares your options so you can choose the right car and plan your budget. We’ll even provide a fully maintained car for the duration of your novated lease. It includes rego, comprehensive insurance, roadside assistance, a fuel allowance and scheduled servicing.
Registration & CTP Renewals
Using a NovatedEV EV novated lease calculator is easy and free; it won’t impact your credit score and will let you compare what you can afford to drive based on the model you’re looking at. The Vehicle Solutions novated lease calculator is easy to use and gives you a complete breakdown of all the fees involved.
Tax
A novated lease brings your employer into the car-purchasing mix by using a combination of your pre-tax salary and government on-road costs to pay for your vehicle. This arrangement also covers your vehicle running costs, making it a cheaper option than paying for a car from after-tax income.
The payments are deducted from your pre-tax salary, which reduces your taxable income throughout the year. It is especially beneficial for those on the cusp of a higher tax bracket – as it can save thousands in taxes.