FAQs – Novated Leasing
Can anybody benefit from a novated lease?
Yes, a Novated Lease can benefit just about any driver! Check with your employer as to whether or not they can offer this benefit and check out your potential savings on our novated lease calculator.
Do I need to use my vehicle for business to have a novated lease?
No business use is required to reap the benefits that a Motorplan novated lease has to offer. Most of our Motorplanner’s use their vehicle for 100% private use and still enjoy great tax and GST savings not to mention fleet discounts on the purchase price and running costs of their vehicle.
Will a novated lease be better than a personal or car loan?
In most circumstances absolutely. A novated lease allows you to pay for a portion of your vehicle and running costs from your pre-tax dollars, reducing the tax paid from your income and therefore increasing your take home pay. This is not generally possible with a standard vehicle or personal loan. With a novated lease you will finance the vehicle exclusive of GST and the budgeted payment can include servicing, tyres, registration, insurance and other vehicle operating costs.
What happens at the end of my Motorplan Novated Lease?
A Motorplan novated lease is flexible! You can;
- Pay out the residual value (which is set at the beginning of the lease term) and own your vehicle.
- Renovate or refinance the residual value
- Upgrade to a newer vehicle by selling your current vehicle and using the funds to pay your residual out.
*All advice given on this website is of a general nature only and doesn’t constitute financial or tax advice.
Motorplan ALWAYS recommend you seek independent advice from your accountant or tax adviser specific to your personal circumstances.