Novated leases have become an exceedingly popular form of vehicle financing over recent years. Primarily for business use, novated leasing Australia agreements combine many features of traditional forms of car finance to deliver benefits to both employers and employees.
Novated leasing can enable your employer to easily and flexibly add value to your remuneration package, making them more attractive as an employer. Novated leasing is a cost-effective alternative to operating a company fleet and can free-up valuable capital for other programs.
For you (the employee), novated leasing is an opportunity to make repayments from your pre-tax income, reducing your taxable income and saving you money. You choose the vehicle you want and the lease period and the repayment amount is customised accordingly.
A novated leasing company will enter into an agreement (made three-ways) between your employer, yourself (as the employee) and the financier. All obligations to meet repayments under the lease are held by the employer. You (the employee) own the vehicle and have the right to take it with you should you switch jobs. There may also be tax benefits with your remuneration package, if arrangements are structured correctly.
Firstly, choose your vehicle. Barling Finance will then liaise between you (the employee), your employer and the novated leasing company (the financier). We’ll save you money by finding the cheapest price on your chosen vehicle and arrange all aspects of the loan, making everything simple.
A novated lease offers you:
Every novated leasing company is different and offers different products, eligibility and arrangements. Some cater for new and used vehicles, others will allow 100% private use (eliminating the need to complete log books) or a second lease for a spouse’s vehicle. Barling Finance’s novated leasing Australia specialists will guide you through the various options and broker a sound deal that works for you.