To find out whether you qualify for a novated lease you need to be employed by a business that offers this service to their employees. The employer is responsible for making repayments from your pre-tax income on your behalf whilst in their employ. If your employer does not offer this service to you it may simply be because they are not aware of how easy a novated lease is to set up.

By providing novated leases it is of great benefit to employers and employees alike. As an employer it is an incentive for attracting new staff and retaining existing staff. You are not responsible for the vehicle or its repayments once the employee leaves your employment as the lease remains the responsibility of the employee.

As an employee it is a great way to enjoy tax savings by making your car repayments from your pre-tax income. You may also opt for a fully maintained novated lease which allows you to pay for the full running costs of your vehicle from your pre-tax income, such as fuel and servicing. If you change employment you needn’t change your car as the lease is still your responsibility and not that of your employer.