Salary Packaging
You can save a bundle when you package your next car. Not only are the lease repayments out of your pre-tax salary, you can also package the running costs such as fuel, maintenance, registration and insurance. You could save thousands.
Our tailored solution
Our service is unique in a way that we do everything for you from sourcing the vehicle of your choice wether new or used. As a licensed Motor Trader all of our vehicles are mechanically checked and come with warranty. We then organise your finance and work with the Salary Packaging Company to ensure that all of your requirements are taken care off.
Every person is unique – so every salary packaging solution should be too. That's why we tailor our service to your specific needs.
From the beginning, we work with you to make sure we always provide the best range of products and services.
How does it work?
If you think salary packaging is just for big earners – think again. Anyone who earns a salary can keep a little more to themselves because of laws that allow employees to replace some of their cash income with items such as car leases.
Your vehicle lease payment is paid out of your wages prior to tax being calculated. This reduces the amount of tax paid which saves you money.
Fringe Benefits Tax (FBT) is payable on the vehicle, and this expense is normally passed on to the employee. The amount of FBT depends on the kilometres travelled each year. The higher the kilometres, the lower the FBT.
First, get our specialist car leasing team to arrange the vehicle of your choice and have your finance approved
We arrange for the salary packaging company to organise your employer to set aside an amount from your salary for your regular lease repayments.
It is those pre-tax dollars used to pay the lease company.
Your lease is an on-going payment - once you give us the go-ahead, we'll keep making the payment for the term of your lease, or until you tell us to stop.
Our specialist team has years of experience in the Finance and Motor industries and can take care of everything for you. We’ll source your car, organise finance and set up your salary packaging.
Plus, we’ll make sure you have all the extras you want - like insurance, extended warranty, fuel card, roadside assistance, ect – included in your package. Making Your Salary Work For You
The DET deposits all Salary Deduction into the Salary Packaging Account and the cash component of your salary is deposited to your bank account in the usual way. The Salary Packaging Company has the authority to make all payments from the Salary Packaging Account as required.
The following diagram provides an overview of this process.
The payment process
Once you have chosen, purchased and financed your vehicle for salary packaging, an account is opened for you and calculations are made as to how much you need to pay.
What happens next?
We’ll tell your employer to set aside this amount from your pay before it gets taxed – known as pre-tax dollars. This happens every pay cycle, meaning, every time you get paid.
The amount of pre-tax dollars set aside will depend on the items you package at any given time. Your employer deposits the money set aside from your pre-tax dollars into your Salary Packaging account, and then pays the rest of your salary into your bank account in the usual way.
The Salary Packaging company will then make the payments for your vehicle.
Benefits of a Novated Lease & Salary Packaging.
- Maximise their salary, by using pre tax dollars.
- Complete vehicle choice to suite their needs.
- Fully maintained leases can include: fuel, maintenance, registration and insurance.
- Unlimited private use.
- Unspent budgeted running costs are reimbursed.
- Portability – you can take the vehicle and lease with you if you change jobs.
- You maintain the equity built up in the lease.
- Flexible contract terms ranging from 24 to 60 months (two to five years)
- Fixed Interest Rates
- A residual can be applied to a lease, lowering your monthly payments.