Time for a quick maths lesson ; ) The tax savings with a novated lease can be significant, whether you're a senior educator or just starting your career.
Consider this hypothetical scenario where a Department of Education employee buys a Tesla Model 3 RWD with a purchase price of $66,100.
As you can see, the potential savings are significant.
We've based the calculation, on a five-year lease, a NSW-based driver, an annual pre-tax salary of $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 annually. The vehicle is eligible for the FBT exemption.
An increasingly popular option for teachers and other education workers we help is to novate a zero or low emission vehicles. This is due to the generous fringe benefits tax (FBT) exemption that's available. It means you and your employer pay no FBT, which adds up to thousands 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.
We regularly help teachers and other educators get the best deal on a novated lease. We can even help if your employer (e.g. a state government department) has an existing salary packaging provider.
In that scenario, we are often able to secure much more competitive novated lease deals for than the 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 regularly work with employees in the education system at federal or state/territory level, including in the ACT, NSW, NT, Qld (excluding Qld Gov employees), SA, Tas, Vic and WA. We can: