Does novated leasing work for everyone?
Novated leases will work for about 80% of people who drive a car. The classic case for a novated lease is someone who is on a reasonable income, buying a reasonably expensive vehicle, and driving many kilometres per year, but a novated lease will still provide significant savings even if you are on a lower income, are looking at a less expensive car and don’t drive your car all that much. The three variables that effect the savings that can be gained from a novated lease are: • Your income (those on higher incomes can save more tax) • The cost of the car – a more expensive car will mean more savings • How many kilometres per year you drive – more kilometres per year means greater savings. To get a better idea of how much you could save under a novated lease arrangement, have a play with the calculator.
