What does it take to get one of the best novated lease deals in Australia? It takes finding a company that has access to the best Australian banks and finance lenders. When you find this, you are being offered the very competitive interest rates and finance solutions.
What is a novated lease?
In Australia, it is a lease that is quite popular. The lease is a lease for motor vehicles, which permits a business the opportunity to lease a vehicle on an employee’s behalf. The difference here is that the employee is responsible for the payment of the lease which is taken from the employee’s income prior to tax.
The novated lease is typically an agreement between the lease company, the employer and the employee. The vehicle is leased from the lease company from the employee of the company and the employer then agrees to take the obligations of the employee under the lease, making the payments on the lease on the employee’s behalf by deducting the payments from the employee’s wages.
]]>
In cases where the employee is terminated or is no longer employed by the employer, the agreement will end and the employer is no longer responsible for the payments of the lease on the employee behalf. The employee, however, retains the vehicle the obligations of the lease goes back to the employee.
What are the Benefits of Getting a Novated Lease?
To the employee the benefits are tremendous. The employee has the opportunity of an income tax savings. If the employer has many employees that he has made this arrangement with, then the employee may also have access to a volume discount on their lease. Also, there is a GTS savings. And, they have a greater selection in the choice of their vehicle and the security of knowing that if they do switch jobs, the vehicle stays with them.
To the employer, there are also benefits which include a means to increase the salary of the employee with little or no cost to the company. The novated lease agreement is also an alternative to operating a fleet of company vehicles. And, there is no risk to the business in regards to the vehicles which are being operated by the employees.
When searching for a novated lease deal, the Internet is an excellent resource. Sites that are geared towards the consumer will have a Novated Lease Calculator. What the novated lease calculator is is a calculator that will work out the amount of money that you will save by using a novated lease in comparison to the purchase of the vehicle.
The novated lease calculator is very easy to use. There will be specific requirements that you are asked to supply to the novated lease calculator and in return, you will receive a calculation instantly to your email box.
A novated lease can definitely save money, and by using the novated lease calculator, you can see exactly how much money you will save when weighing the difference of the lease as to the purchase of the vehicle.
Let Novated Lease Deals show you your savings with theirNovated Lease Calculator.
Article from articlesbase.com
More Tax Lease Articles
