1. Novated Leasing
2. Benefits for Employers

Benefits for Employers

A novated lease is a great way to add an extra incentive into an employee’s remuneration package. Even better news -  there is no financial overhead for the employer. There are other advantages too.

• Offers an alternative to operating leases

• Takes away the necessity of recording the car as an asset or liability to the business

• Offers employers registered for GST the ability to claim an input tax credit on any GST paid on the lease

• There’s no risk. If the employee leaves your organisation, a novated lease immediately becomes the employee’s responsibility to manage and reverts to a two way agreement between themselves and the financier. This is specified in the Novation Agreement.

• Offers income tax paying entities an income tax deduction for all payments made under the agreement, including lease rental payments

To find out more about offering novated leases as a salary packaging benefit to your staff please call 1300 665 855.