How You Can Benefit From Novated Leasing?
A lot of people have heard about novated leasing but apparently, many of them doesn't want to further explore their options when it comes to getting their own car at a lower rate. But come to think of it. This type of deal can offer you numerous benefits and so choosing not to look beyond would be a total lose on your end.
If you are considering auto leasing for one, you should know that this type of deal can offer you numerous novated lease benefits. One way to win over the best people for your company is to give them offers they cannot resist. Truth is, running your own company can be pretty challenging. Often times, paying tem for their work isn't just enough. Extra perks and incentives such as novated lease deals will help you gain their loyalty as well as boost your bottom line.
Despite the fact that this term is pretty unfamiliar to many people, this hasn't stopped businesses in Australia from introducing this type of deal to their employees. Generally speaking, this type of auto financing allows the employer to make lease payments for the vehicle that the employee has leased. More often than not, the employer will make those payments by deducting a fixed amount from the employee's pre-tax income. With that said, the employee consequently receives a higher pay since taxes are less. Now since the lease agreement is under the employee's name, he will then be responsible for all other obligations such as maintenance costs and other expenses relative to the vehicle servicing.
In many instances, leasing is made part of the employee's salary package. Before the employee can avail of this option, there has to be an agreement in the salary package between the employer and the employee. The contract should state that the employee is allowing the company to make deductions from his pay in exchange of the vehicle he is leasing. Others would commonly call this arraignment as salary sacrifice. And because it offers numerous benefits to both employers and the employees, this type of deal is one of the most common benefits included in the salary packages.
When it comes to choosing the car the wish to lease, novated lease deals do offer employees numerous options. While company car is another option for the employee to get a vehicle of his own, this type of deal is usually restricted as to the make and model of the vehicle. With novated deals, the arrangement works quite differently. For one, employees can get to choose which car they would like to have. They could actually get to choose the vehicle that would perfectly suit their lifestyle. In the even the employee decides to change employers, the former doesn't have to give up such lease arrangement. The payments can still continue or the employee can decide to take up the payments himself.
Because of the fact that both parties can benefit from this type of deal, many companies in Australia are starting to incorporate lease in their employees' salary package. Now if you want to present a a more attractive salary package that can be advantageous to both parties, then novated lease is worth looking into.
If you are considering auto leasing for one, you should know that this type of deal can offer you numerous novated lease benefits. One way to win over the best people for your company is to give them offers they cannot resist. Truth is, running your own company can be pretty challenging. Often times, paying tem for their work isn't just enough. Extra perks and incentives such as novated lease deals will help you gain their loyalty as well as boost your bottom line.
Despite the fact that this term is pretty unfamiliar to many people, this hasn't stopped businesses in Australia from introducing this type of deal to their employees. Generally speaking, this type of auto financing allows the employer to make lease payments for the vehicle that the employee has leased. More often than not, the employer will make those payments by deducting a fixed amount from the employee's pre-tax income. With that said, the employee consequently receives a higher pay since taxes are less. Now since the lease agreement is under the employee's name, he will then be responsible for all other obligations such as maintenance costs and other expenses relative to the vehicle servicing.
In many instances, leasing is made part of the employee's salary package. Before the employee can avail of this option, there has to be an agreement in the salary package between the employer and the employee. The contract should state that the employee is allowing the company to make deductions from his pay in exchange of the vehicle he is leasing. Others would commonly call this arraignment as salary sacrifice. And because it offers numerous benefits to both employers and the employees, this type of deal is one of the most common benefits included in the salary packages.
When it comes to choosing the car the wish to lease, novated lease deals do offer employees numerous options. While company car is another option for the employee to get a vehicle of his own, this type of deal is usually restricted as to the make and model of the vehicle. With novated deals, the arrangement works quite differently. For one, employees can get to choose which car they would like to have. They could actually get to choose the vehicle that would perfectly suit their lifestyle. In the even the employee decides to change employers, the former doesn't have to give up such lease arrangement. The payments can still continue or the employee can decide to take up the payments himself.
Because of the fact that both parties can benefit from this type of deal, many companies in Australia are starting to incorporate lease in their employees' salary package. Now if you want to present a a more attractive salary package that can be advantageous to both parties, then novated lease is worth looking into.
