The tax savings with a novated lease make a huge difference, whether you're senior in your department or at the early stage of your career.
Consider this hypothetical scenario where a Dept of Communities employee buys a Tesla Model 3 RWD with a purchase price of $66,100 and finances it over a five-year term.
You can see the savings compared to financing the exact same vehicle with a car loan or even paying for it up-front with cash.
The example assumes a before-tax salary $120,000, a car loan interest rate of 7.5% p.a. and car running costs (insurance, registration, servicing and tyres) based on 15,000km driven per year. The car in the example is eligible for the FBT exemption.
An increasingly popular option for government employees we work with is to novate a zero or low emission vehicles. This is due to the generous fringe benefits tax (FBT) exemption that applies. It means there is $0 FBT to be paid by you or your employer which adds up to thousands of dollars in extra savings.
You can view a full list of the vehicles that are eligible for the FBT exemption to see what options are available.
Novated Lease Australia regularly helps government employees get a great deal on a novated lease. This is still possible even if your employer (e.g. a state government Department of Communities) has an existing salary packaging provider.
If that's the case, many employees still come to us because they are not happy with the terms of the novated lease deal on offer (e.g. finance costs).
In many cases we are able to secure significantly better novated lease deals than the department's main salary sacrifice provider can, while minimising the management fees in the process.
"The other companies were quite satisfied in quoting excessive costs and simply failed to follow up in a prompt manner, if at all. NLA, Eddie and their support team have been excellent to deal with and all in all I have had a very easy and painless introduction to novate leasing. I have no hesitation in recommending NLA and Eddie." - Chris Kalmar
We can help you find a vehicle to buy and use our fleet purchasing power to secure a discount on the regular price.