SA Government Employees – “Self Managed” Novated Lease
Vehicle Solutions Australia – “Self Managed” Novated Lease option For SA Government Employees
Vehicle Solutions Australia have provided a competitive option to SA Government through a Self Managed Novated Leases for over 7 years. An SA Government Self Managed Novated Lease has been establish by SA Government to ensure there is a competitive mechanism in place for employees wanting a Novated Lease. But what are the differences between a “Self Managed” Novated Lease and the sole provider’s “Managed” Novated Lease? and where does Vehicle Solutions Australia fit into this process?
What is a “Self Managed” Novated Lease?
A “Self Managed” Novated Lease works in exactly that same way as any other salary packaged car. Money is deducted from your salary before tax and is transferred to SA Governments Salary Packaging sole provider to be managed. It is the sole providers responsibility (“Self Managed” or “Managed”) to pay your lease and all other running costs as per their contract with SA Government. The differences between a “Self Managed” and “Managed” Novated Lease are;
- You get one fuel card rather than three (You always have the options to pay for your own fuel with discount vouchers and claim the cost back.);
- You are required to pay for your annual scheduled service, tyres (if required), insurance renewal and registration renewal yourself and claim these expenses back through the sole providers online app. These claims are reimbursed to you usually within 24 to 48 hrs of the claim.
- You get the choice of Novated lease provider. (Vehicle Solutions Australia). ATO regulation & always two months in arrears as required by SA Government.
- You get the choice of insurer.
“Self Managed” Novated Leases provide choice and competition.
Through the Self Managed Novated Lease SA Government employees have the right to find their car at the best price, get a competitive deal on their finance (Lease) and organise their own insurance. These choices are available under what the SA Government call a “Self Managed” Novated Lease“. Sounds scary and a lot of work? It’s not and through competition could save you thousands on the car price, lower lease payments, and more affordable insurance. A “self managed lease” simply means that you pay for your service and tyre cost at the time required, pay your insurance and registration renewals as they fall due. Then simple claim these costs back from the provider. Claims are refunded back to you usually within a few days. A “Self Managed” Novated Lease means you don’t pay the annual vehicle management fee included in your maintenance budget (on a Managed Novated Lease”.
Facts about “Self Managed” Novated Lease
- FACT : There is a very big difference between the Novated lease (lease finance) and the Salary Packaging (the Deductions and Administration). The Sole Provider to SA Government only has the “Sole” right to the administration of the Salary Package payments, NOT the NOVATED LEASING.
- FACT : You still retain the right to find your own car (dealership of your choice), finance (Novated Lease) and your choice of insurance provider.
- FACT : This choice and competition could save you thousands over your lease term.
If you want to get the best price on a new car try our unique car buying site called Motorbuys. Simple go to www.motorbuys.com.au. This service is free AND will save you thousands off the price of a new car. This means you will save even more on your lease payments.
Vehicle Solutions is South Australian owned and operated. We have been assisting Government employees with this choice for over 7 years. Please make sure you get a competitive quote from our accurate online calculator, call us anytime on 1300 990 880 or drop by our office at 288 Glen Osmond Rd Fullarton to discuss this in more detail.