How a Novated Lease Will Benefit You
Buying a car is probably the second most expensive financial investment you will ever make. Anything that could make this process easier and save you money is worth exploring.
The easiest and most convenient way to finance your car is through novated leasing. Whenever you hear about car financing options, the first thing you worry about is how much it will cost you. Novated leasing offers real savings and benefits that you will see with every payment.
Novated leasing is a financial arrangement in which you pay for the car and its running costs through a regular monthly payment that is deducted directly from your pre-tax salary, granting you significant savings and other benefits.
Save on Your Income Tax
As the payments are made from your pre-tax salary, your taxable income will decrease, reducing your income tax with it. With novated leasing, your car running costs, such as fuel, registration and servicing, will also get deducted from your gross salary, reducing your income tax even more.
Compared to buying the same car at the same price, novated leasing will leave you with more take-home pay.
Pay Less for Your Car and Its Running Costs
As a bonus, you will not pay Goods and Services Tax (GST) on the initial car purchase price. As the novated leasing company buys the car on your behalf, they will pay GST and then claim its full amount from the ATO.
With novated leasing, you will not pay GST on your car running costs, like fuel, service and insurance, either.
Everything is Included in Novated Leasing – No Surprises!
Other than all the savings you will be making, convenience is one of the most important benefits of novated leasing, as well. Your leasing provider should oversee all the service and repairs on the car and will recommend the best suppliers.
Fuel, insurance, tyres and car service are all part of your novated leasing payments. With everything related to your car covered ahead of time, you can enjoy your new vehicle. You will not be surprised by a car service or a registration bill.
All you need to do is drop your car off for services and pick it up when it’s done.
Get the Car You Want Now
Why should you wait till you buy the car you want and feel guilty when you pay for it? Novated leasing enables you to get the car you want, any make or model, immediately. All the car costs are paid through smaller monthly salary deductions that save you money every time.
With novated leasing, you will also have the flexibility to change your car and keep up with the latest models and technology.
Vehicle solutions offers government and private employees novated leasing and can assist in this process with competitive, transparent quotes and advise. Get the most out of your novated leasing, visit vehiclesolutions.com.au or call us now!