Last updated 1 day 6 hours ago
Even if your employer does not operate salary sacrifice arrangements, you could still make use of novated leasing to buy your own vehicle.
Salary and Employment Considerations
Novated leases may not be suitable for everyone, but if your salary is in a higher tax bracket, it can make financial sense to buy your new car using a tax efficient novated lease. The type of job you do may also inform your decision, as the tax benefits of novated leasing can make it especially advantageous for people who are required to drive frequently in their line of work, as you will be able to claim fuel, maintenance and other costs as taxable expenses.
How to Arrange a Novated Lease
The easiest way to arrange a novated lease is through employers, which involves signing a Deed of Novation and Salary Package Quotation in which you agree to sacrifice part of your gross salary towards payments for your new vehicle. Employers work with financiers to arrange the most cost effective price in a mutually beneficial arrangement. If your employer does not operate novated leasing or salary packaging however, or you are self employed, you will be able to get in touch with financiers directly.
How to Salary Sacrifice in Albany
If you want to find out more about novated leasing in Geraldton or other types of salary packaging in Perth, Mandurah and Albany, contact Fleet Network on 08 6555 3854. Fleet Network offers affordable vehicle purchasing, as well as fuel cards and other benefits
Last updated 3 days ago
Many companies in Australia now operate salary sacrifice arrangements. If you're uncertain about how to salary sacrifice, you should speak to your employer to find out whether they offer this service.
What is Salary Sacrifice?
Salary sacrifice, also referred to as salary packaging or remuneration packaging, involves employees exchanging part of their gross salary to receive products or services of similar value, which may be appealing for being tax free. Salary sacrifice can be a financially savvy way of making expensive purchases, such as buying or leasing a car while simultaneously reducing your tax bill.
What if Your Employer Does Not Offer Salary Sacrifice?
If your employer offers salary packing arrangements, this can be the most convenient way to arrange novated leases and other services, as you simply have to agree to have a certain portion of your gross salary debited for other use. However, you can still salary sacrifice even if this is not offered by your company, when you deal directly with financiers or with a sponsorship organisation. Government employees are always able to arrange salary sacrifice through their employers.
How to Salary Sacrifice in Albany
Fleet Network administers novated leasing in locations across Australia like Geraldton, Albany and Perth in WA. We also offer other salary packing arrangements. If you want to lease a car through salary sacrifice, Fleet Network currently offers a flat 20 per cent on taxable deductions, as well as offering other benefits such as roadside assistance and fuel cards. Call 08 6555 3854 to find out more.
Last updated 6 days ago
If your employer offers you the option of novated lease vehicles among your employee benefits, this can be an extremely cost-effective way of obtaining your own vehicle without having to pay excessive GST.
How a Novated Lease Works
Novated lease arrangements are offered through employers or directly from financiers themselves, and involve employees sacrificing part of their gross salary towards the cost of leasing a car or other vehicle of their choice. As well as being a cheaper way of owning a vehicle yourself, novated leases are also advantageous for businesses, which do not need to hire their own company fleet for business use and can receive tax benefits.
What Happens if You Leave Employment Early?
You own the rights to novated lease vehicles as soon as you agree to the terms of the lease, which means you are not restricted to using the car for strictly business use, and can use it as your private car at home. You will also be free to take the car with you if you change jobs, but it's necessary to continue paying the lease - the difference being that you will now usually need to pay the lease financier directly, rather than through salary sacrifice arrangements.
Novated Lease Vehicles in Broome
Fleet Network offers novated leasing in locations across Australia like Geraldton, Broome, Mandurah and Perth in WA. We also offer other salary sacrifice arrangements through employers and sponsoring organisations. To find out more about novated leasing or how to salary sacrifice, contact Fleet Network on 08 6555 3854
Last updated 10 days ago
If you are considering purchasing or leasing a new car, then it would be worth taking a look at the Mercedes-Benz C250 CDI. This classy European car has been named as Drive’s Best Car of the Year, taking out the coveted prize against a field of over forty other cars that had been named as finalists.
The criteria for becoming Best Car of the Year included value for money, how the vehicle drives and handles, and how well the car holds its value for resale. That the Mercedes came out as the winner is testament to the quality build of this respected brand.
The diesel-powered car is powerful, quick and fun to drive, yet is astonishingly fuel-efficient, and despite all its power, it is more economical to run than many far less powerful small cars. Since it has a diesel engine, it is also partially exempt from the government’s luxury car tax, which is good news for the budget-conscious.
For those who are looking to save even more money, then it is worth investigating the option of a novated lease agreement with your employer. With a novated lease, the cost of the car is deducted from your wage before tax is applied, which can save you many thousands of dollars in the long run, and you can even maintain the lease even if you change jobs.
Novated leasing in Geraldton, Perth and Broome
Fleet Network provides novated lease vehicles for employees in various sectors, and cars can be purchased at a flat 20% of taxable deductions. Find out more about novated leasing and how to salary sacrifice in Albany, Geraldton, Mandurah and Perth by calling Fleet Network on 08 6555 3854.
Last updated 13 days ago
Tips from Fleet Network, the experts on how to salary sacrifice in Albany
Many employees are uncertain how to salary sacrifice in their jobs to exchange some part of their wage for benefits, which can include loan repayments, child car costs, school fees and other expenses.
This video from Money101 reveals that many Australians are not sure how salary sacrifice works, or are not able to choose between salary sacrifice or superannuation offered by the Australian Government Co-Contribution scheme. Before agreeing to any financial rewards scheme, it can be beneficial to speak to a financial adviser, who will be able to offer impartial advice on the best salary option for you.
The two most common forms of salary sacrifice come in the form of superannuation and fringe benefits, the latter of which involves making payments to employees in different ways than standard salary payments, usually towards the cost of expenses incurred by the employee in their personal life or as funding for a car used for getting to and from work, meeting with clients and other job-related journeys.
Your employer will usually inform you whether they operate salary sacrifice arrangements, and this factor is becoming increasingly important for people when comparing different employers. You should also read and consider the terms of salary sacrifice arrangements carefully, and understand that this will involve a portion of your income being inaccessible for a certain time and being put towards expenses that you may not benefit from until a time in the future.
How to salary sacrifice Albany
For more details about salary sacrifice arrangements and novated leasing in locations like Gerladton, Albany and Perth in Western Australia and across Australia, contact Fleet Network on 08 6555 3854.
