One perception that many folks have about novated leasing is that it’s overly complicated and difficult to understand. Commonly, people mistakenly think that you’ll only be able to choose from a particularly limited selection of cars.
We’re here today to dispel the myths surrounding what kind of cars you can choose when opting for a novated lease.
You can have a novated lease on a demo, new, used or even a vehicle you currently own. However, there are two categories of vehicles that are may or may not fit the novated leasing concept.
Typically, there is a general rule that a novated lease vehicle cannot be older than 10 years by the end of the lease agreement. However, that doesn’t mean that you can only lease brand new vehicles. To give an example if you wish to lease a six-year-old car, then you can but keep in mind that the maximum leasing period would not exceed four years.
If you’re a vintage car fanatic, then not all hope is lost. Vintage vehicles have often reached a stage of their life where they are holding or even increasing their value. If you’d like to know more about novated leasing for vintage cars, then give us a call to discuss your options.
Very Large Vehicles
When it comes to utes with a carrying capacity over 1 tonne and vehicles that carry more than 11 people then, unfortunately, a novated lease is not an option. The reason is that such large vehicles are not classified as “vehicles” under the Tax Act. It means that our hands are tied, and your employer won’t be able to make payments from your pre-tax salary. If you’ve got your eyes on one these vehicles, it’s worth knowing that they are handled differently in the eyes of the taxman and it’s best to discuss with a tax professional to discover the best course of action.
The Best Resource to Find Your Novated Lease Car
If you’re looking for a super simple way to see the new vehicles that are available to get on a novated lease head over to our sister site at www.motorbuys.com.au. There we help people get an average of 12.8% off their car’s retail value. We’ve designed the site so that you can quickly and easily find the best new novated lease vehicle for you. If you’re looking to get behind the wheel of a used or demo car then get in touch with us, let us know what you’d like, and we’ll put you in touch with the most reputable dealerships in your area.