We can help some Department of Social Services Australia employees get a great deal on a novated lease, even if your department has an existing salary packaging provider.
Advantages of novated leasing for the Department of Social Services Australia employees?
- The vehicle you choose can be used exclusively for personal use.
- Enjoy a GST discount of up to $6,334 on the vehicle's purchase price.
- Make at least part of the lease repayments from your pre-tax salary (salary sacrifice your car)
- Drive your choice of a new or used vehicle.
- Your pre-tax salary can also cover some of the car running costs.
- There's a novated lease GST discount on eligible car running costs too.
- No fringe benefits tax applies for eligible electric or plug-in hybrid cars up to the Luxury Car Tax threshold.
- If you change jobs, your lease can move with you so you can maintain the savings
Novated lease example: How much can you save?
How do these benefits work in practice?
Let's take the example of an employee buying a Tesla Model 3 RWD with a purchase price of $66,100 and a finance term of five years. In this example, servicing, insurance, tyres and registration costs during the term are included.
Thanks to the GST and income tax savings with a novated lease (plus the FBT exemption), the difference compared to buying the exact same vehicle with a car loan, or even paying for it outright with cash, are enormous.
The example is based on an individual with an annual salary of $120,000 with car running costs based on 15,000kms driven annually. The car loan interest rate used in the comparison is 7.5% p.a.
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Get a great deal on a novated lease
Find a great dealNo FBT for EVs and PHEVs
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.
Here's what we can do for you
- Securing Finance and Sourcing Cars: Calculating the novated lease finance costs, shopping around for lease finance among multiple specialist lenders, and helping you find a car by leveraging our relationships with dealerships to negotiate the price.
- Initial Education: Explaining to you the benefits of a novated lease, helping you to maximise your tax benefits, including advising on FBT exemptions (e.g. for electric vehicles) and advising you on estimates only for your running costs.
- Set-Up Support: Guiding you from the initial quote through to settlement of your lease, as well as providing the final signed novation and lease agreements to you to provide to your salary packager.
- Handling Novation & Lease Agreements: Preparing the novated lease documentation for you and your employer's salary packaging provider to arrange signing. In most cases, though, you will need to source the Salary Packager’s agreements or documents directly from them to complete them yourself.
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"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
Other government departments we can help
Here are just some of the other government departments whose employees we can help with a novated lease:
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We can help employees of other Department of Social Services agencies too...
- Australian Hearing Services (Hearing Australia)
- Australian Institute of Family Studies
- Domestic, Family and Sexual Violence Commission
- National Disability Insurance Agency
- NDIS Quality and Safeguards Commission
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Get a great deal on a novated lease
Find a great dealWritten by
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CEO
Bevan Guest
Reviewed by
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Editor
Sean Callery
