Five of the best things about Novated Leasing
Good things come in threes: The Three Musketeers; sun, sand and surf; Jeremy Clarkson, James May and Richard Hammond (those lads sure know their cars!) – and in that respect we have something in common.
Add novated leasing to that list. While this arrangement involving you, an employer and a financier isn’t something you’d normally read about in a car magazine or TV show, for any vehicular-minded person it’s well worth getting up to speed on.
Here are five of our favourite things about salary packaging a car through a novated lease.
Keep more of what you earn
In the 1998 film Meet Joe Black, Brad Pitt (who plays the role of Death, a.k.a. Joe Black) is confronted by his antagonist, Drew, who condescendingly asks, “You’re not familiar with the saying nothing is certain in life but death and taxes?”
Joe answers, “No, but I am now.”
Most of us are not as charmingly naïve as Joe: Taxes are a fact of life.
But with a novated lease, part of your car payments and running costs – including fuel, rego, insurance and servicing – are taken from your pre-tax salary, which, if you are eligible, could reduce your taxable income and put more money in your pocket.
More time, less stress
The pace of modern life has most of us chasing our tails —emails, texts, social media, group-chat, kids, cooking, cleaning, work, work, work!
Looking after your car can be looked as yet another time-consuming activity. But novated leasing can save you time and stress because RemServ takes care of all these things. We’ll sort your paperwork, pay the bills, and even deal with the mechanic on your behalf to make sure you’re getting the best possible deal.
No more bill-dread
Ever seen that episode of Rowan Atkinson’s Blackadder where Edmond says, “I feel like a pelican, whichever way I turn there’s an enormous bill in front of me.” Most of us can relate. Up they pop like mushrooms, just when you think you’re getting ahead.
One of the best things about novated leasing is the convenience of having all your vehicle expenses combined and covered off in 26 fortnightly payments (or 52 if you’re paid weekly).
It’s all pre-planned and budgeted for, including fuel for which you get a handy charge card.
Here’s to feeling less like a pelican!
Friends in the right places (fleet discounts)
“I’m gonna make him an offer he can’t refuse,” Marlon Brando famously said in The Godfather.
At RemServ we certainly don’t go in for that kind of carry on, but we do have friends in the right places.
One of the key benefits of novated leasing is the substantial buying power of a prominent fleet company. This could get you access to great deals on great cars all over the country.
Flexibility at lease end
Don’t you love that new car smell, and the feeling of driving off in your new wheels? One of the best things about novated leasing is that you get to experience that rush more often.
At the end of your lease (from one to five years) there are a few ways you can go.
You can trade-in your car for a fresh model on a new lease.
You could pay out the pre-determined residual (balloon) payment and keep the car.
Or if you’re not ready to part with your car just yet, re-lease it and further deflate that balloon!
These are just a handful of the advantages of novated leasing. To find out more about doing more with your money – and time – get in touch online or give one of our friendly consultants a call on 1300 30 39 40.
Disclaimer: This website contains general information and doesn't take your personal circumstances into account. Seek professional independent advice before making a decision.