Novated Lease
Save with a novated lease car loan
A novated lease is a type of leasing agreement which is quite common in Australia. It allows employees to obtain a vehicle by using their pre-tax income and is set with a three-way agreement between an employer, the person and their lending company. What happens is that the employee buys the vehicle from the lending company who then has an agreement with their employer to sacrifice a part of their salary to attain the lease payments.
The terms for such a lease can be anywhere between 1 to 5 years depending on what was agreed upon with the employer. Every monthly payment that is made will go towards the reduction of the total balance for the lease. All of the monthly lease payments would then be deducted automatically from the pre-tax salary, providing the person with amazing tax benefits rather than just financing the vehicle on their own.
Car Buyers Guide
Check out our guide to get the insider tips on buying a car.
Car Insurance
We provide a range of car insurance information and competitive insurance premiums.
Financing Options
We have lots of car financing options such as a personal car or motorbike loans, commercial loans, etc.
Advantages Offered by a Novated Lease
One of the major advantages of a novated lease is that all of the running costs which include the fuel, maintenance, tyres and insurance can be part of the monthly payment depending on the type of lease you’ve chosen. This can turn out to be quite convenient especially if there are any big repairs needed by the vehicle.
A novated lease is also advantageous during the end of the term, as the person will have the option to either buy the vehicle directly, refinance the car using a new lease or to sell it.
Normally, novated leasing is usually a tax-effective approach that individuals can take when purchasing a vehicle depending on the type, kilometres travelled yearly and the leasing terms.
Free Services
Ask your broker about all the free services we offer such as a free car finder.
Loan Calculator
Our Loan Calculator can provide estimations on your repayments.
Specialist Team
We have an experienced team of brokers at your disposal.
We’ve built a secure and personalised experience
Online Novated Loans
A novated lease is a type of leasing agreement which is quite common in Australia. It allows employees to obtain a vehicle by using their pre-tax income and is set with a three-way agreement between an employer, the person and their lending company. What happens is that the employee buys the vehicle from the lending company who then has an agreement with their employer to sacrifice a part of their salary to attain the lease payments.
The terms for such a lease can be anywhere between 1 to 5 years depending on what was agreed upon with the employer. Every monthly payment that is made will go towards the reduction of the total balance for the lease. All of the monthly lease payments would then be deducted automatically from the pre-tax salary, providing the person with amazing tax benefits rather than just financing the vehicle on their own.
Apply Now
See how we’ve made the process of applying for a loan online easier. Apply today!
With affordable payment terms and our streamlined application, getting a loan with Loans 123 is as easy as one two three.
Call us on 1800 100 100 or Apply online to start determining your financing options and discussing your loan.
Frequently Asked Questions
Can I use this lease type as a tax deduction?
Normally, novated leasing is usually a tax-effective approach that individuals can take when purchasing a vehicle depending on the type,
What is a novated lease?
A novated lease is a type of leasing agreement that allows employees to obtain a vehicle by using their pre-tax income and is set with a three-way agreement between an employer, the person and their lending company.
What happens is that the employee buys the vehicle from the lending company who then has an agreement with their employer to sacrifice a part of their salary to attain the lease payments.
How long does a novated car lease go for?
The terms for such a lease can be anywhere between 1 to 5 years depending on what was agreed upon with the employer. Every monthly payment that is made will go towards the reduction of the total balance for the lease. All of the monthly lease payments would then be deducted automatically from the pre-tax salary, providing the person with amazing tax benefits rather than just financing the vehicle on their own.
How does a novated lease help me?
One of the major advantages of a novated lease is that all of the running costs which include the fuel, maintenance,
A novated lease is also advantageous during the end of the term, as the person will have the option to either buy the vehicle directly, refinance the car using a new lease or to sell it.
Loans 123’s Fast Perth Financing
We have such a large range of car loans available us so we have the luxury of making sure you get the loan that perfectly suits or situation, how much you want to borrow, or what type of veichle you want. Start crafting your loan online today, no appointments needed.
We use competitive interest rates for your user or new car loan to make your loans better.
Loans 123 - Australian Credit Licence 512846
ABN 51 626143333
2 Cargill St, Victoria Park WA 6100
All applications are subject to credit approval criteria. Fees, charges, terms and conditions apply.