Scroll Top
Level 4, 54 Wellington Street, Collingwood VIC 3066

Novated Leasing – What is it?

A novated lease is one of the most cost effective ways of purchasing and running a new car. That’s because the lease repayments and vehicle running costs can be included as part of your salary package and paid for using pre-tax salary. Using pre-tax salary to pay for your vehicle expenses reduces your taxable income and ultimately means that you pay less tax every year!

Vehicles salary packaged under a novated lease arrangement typically attract Fringe Benefits Tax (FBT). However, as vehicles are concessionally tax under the FBT Act, a novated lease is often the most tax effective way for an employee to purchase and maintain a motor vehicle.

There are two types of novated lease arrangements:

Novated Finance Lease – just the vehicle is leased and the employee pays for their own running costs

Fully Maintained Novated Lease – the vehicle and running costs are bundled into the lease

Fully Maintained Novated Lease:

Simplygreen provides a ‘fully maintained novated finance lease’ (FMNL) via its greenCar™ programme:

  • Provide a vehicle buying service for new & pre-owned vehicles, with access to substantial vehicle discounts
  • Arrange finance leases at competitive rates
  • Obtain the necessary approvals for the customer to proceed when ready
  • Organise comprehensive motor vehicle insurance
  • Calculate a vehicle expense budget based on the estimated number of kilometres to be travelled, covering the entire period of the lease for all operating costs associated with the motor vehicle including fuel, maintenance, registration, tyres, insurance and roadside assistance
  • Ensure the vehicle is operated entirely using the vehicle maintenance program
  • Provide monthly Activity Statements that show the actual vehicle expenses incurred

Calculate your savings in less than 20 seconds with our Novated Lease Calculator.

Why Choose a Novated Lease for Your Next Car?

Maximize Your Income Tax Savings

Opting for a novated lease can significantly reduce your taxable income, enabling you to enjoy savings on income tax. This smart financial move makes it easier for you to manage your budget while accessing the car you desire.

Benefit from GST Savings

A novated lease offers the advantage of lower or even no GST on various vehicle-related expenses, including fuel, maintenance, insurance, and registration. Plus, the finance or lease amount itself may qualify for GST concessions, translating into considerable monthly savings for you.

Streamline Payments with One Simple Solution

Simplify your car ownership experience with one consolidated payment directly deducted from your salary. Tailor your deductions to cover expenses such as fuel, maintenance, roadside assistance, and more. The comprehensive coverage means more savings and less hassle for you.

Effortless Budgeting with Simplygreen

At Simplygreen, we prioritize your peace of mind by managing all anticipated vehicle costs for the duration of your lease. Our inclusive approach ensures a hassle-free budgeting process, leaving you to enjoy the ride.

Exclusive Simplygreen Motorpass Card

Our Motorpass Card streamlines your payments for fuel, servicing, and more, directly from your lease account, eliminating out-of-pocket expenses. We also offer the convenience of managing your insurance and registration costs, ensuring a seamless experience.

Commitment to Carbon Neutrality

As a pioneer in sustainable leasing, Simplygreen guarantees that leasing with us means contributing to a greener planet with our 100% carbon-neutral fleet.

Expert Guidance Every Step of the Way

Our dedicated team at Simplygreen is here to support you through every phase of acquiring your vehicle, offering services like vehicle sourcing, competitive finance options, insurance arrangements, budget calculations, and trade-in support.

Tailored Flexibility for Your Needs

We recognize the importance of flexibility in vehicle leasing. Simplygreen allows you to customize your lease to fit your life, including lease terms, vehicle choice, and usage.

End-of-Lease Options Designed for You

As your lease concludes, choose from refinancing, paying out the residual value, or upgrading your vehicle. Each option is designed to accommodate your evolving needs and preferences.

How Simplygreen Makes It Happen

Choose your dream car, and we’ll take care of the finance contract and lease arrangements.
Your employer agrees to deduct the lease amount from your salary, transferring it to us.

We manage a running cost account for you, covering all vehicle-related expenses from your salary deductions.

Discover the ease and benefits of a novated lease with Simplygreen, where we make driving your dream car a reality.

Getting started with a Simplygreen Novated Lease

Complete the below enquiry form to request a free novated lease quote today!