Different employees have different needs and vehicle requirements. Please find below a set of Novated Lease case studies that will provide an example of what can be achieved with a competitive Novated Lease. If you are interested in a Novated Lease on your next vehicle a great place to start is our Novated Lease Calculator. The calculator will provide an accurate guide as to the cost and saving that can be achieved.

Novated Leasing is an ATO approved method of paying for your car and running costs like fuel, tyres, schedule services, registration and insurance before tax. This means you pay less tax and have more money in your pocket.

The following Novated Lease case studies are based on 2017/18 FY income tax and GST rates.

Novated Lease Case Study 1
Paul is a Team Leader for a financial institution and is on a salary of $55,000 per year. Paul and his partner have just had their first child and want a safe and reliable new hatch. Paul has chosen a new Mazda 3 hatch for $23,990. Paul lives close to work and only travels 12,000kms each year. He wants to do a Novated Lease on this vehicle over 5 years including all running costs.
Results – The new vehicle will cost Paul $130 per week including his finance, fuel, tyres, insurance, registration and all services. Paul will save $1280 in income Tax and $303 in GST giving him a tax saving of $1583 per year or $7915 over the lease term.

Novated Lease Case Study 2
Jennifer is a Senior Manager in a Government Department and is on a salary of $145,000 per year. Jennifer is wanting to do more outback travelling with her partner. She is wanting to buy a new Toyota Prado diesel wagon but would like to replace this vehicle after 4 years. Jennifer averages her required travelling each year at 25,000kms.
Results – The new vehicle will cost Jennifer $320 per week including her finance, fuel, tyres, insurance, registration and all services. Jennifer will save $3,430 in income Tax and $810 in GST giving her a tax saving of $4,240 per year or $16,960 over the lease term.

Novated Lease Case Study 3
Jo has just started her first nursing role out of University and is keen to get a new reliable vehicle. She has chosen a new VW Polo for $15,990 and travels only 10,000kms per year. Jo’s current salary is $45,000 per year.
Results – The new vehicle will cost Jo $97 per week including his finance, fuel, tyres, insurance, registration and all services. Jo will save $1,118 in income Tax and $259 in GST giving her a tax saving of $1,377 per year or $6,885 over the lease term.

 

A 30 second quote could save you thousands.

 

These are simply Novate Lease case studies, to find out how much you will save try our calculator. The calculator will show you exactly what your next vehicle would cost and the savings that can be achieved.

THE MOST IMPORTANT PART OF THE NOVATED LEASE IS THE VEHICLE PRICE

A competitive Novated lease starts with the best vehicle price. Every vehicle manufacture (such as Toyota or Mazda) have levels of discount available to companies that purchase a lot of vehicle (leasing companies, fleet buyers and online vehicle buying sites). One of the great opportunities in a novated lease is the ability to take advantage of these discounts. Vehicle Solutions established Motorbuys which is Australia’s only fully automated online vehicle buying website. By automated we mean that when you request pricing on a vehicle the computer system sends your request to every dealership in the region/s chosen (anonymously) and the dealership pricing responses are sent directly back to you (anonymously). Only then do you have a transparent competitive vehicle price that can be used to complete the Novated Leasing quotes.