👉 Use the Novated Lease Salary Packaging Calculator: Self services quote
Some employers may offer novated leasing as part of a salary packaging program, which you can explore using a novated lease calculator. It may be hard to quickly calculate the benefits you may receive. If you want to explore how a novated lease may affect your take-home pay and vehicle costs, this calculator can provide an indicative comparison based on general information. The calculator provides an illustrative estimate of how a novated lease may impact costs and cash flow based on generic assumptions and information entered. It does not consider your personal objectives, financial situation, or needs.
How to use the novated leasing calculator
Step one: Enter vehicle details
Make and model
Lease term
Whether the vehicle is new or used
Estimated annual distance travelled (in kilometres)
Fuel type (this can affect running cost estimates)
Step two: Enter your salary details
- Add your income information so the calculator can estimate tax impacts.
Pay cycle (weekly, fortnightly, or annually)
Annual pre-tax salary
Step three: Choose your lease term
Select the length of the lease.
Choose a term between one and five years
Longer terms may reduce regular repayments but increase total interest
Shorter terms usually mean higher repayments with less interest over time
Step four: Review vehicle details
Confirm the vehicle information you’ve entered before moving forward.
Vehicle make and model
Lease term
Usage and fuel assumptions
This helps ensure the calculations are based on accurate inputs.
Step five: Enter vehicle purchase details
Provide the upfront vehicle costs used in the calculation.
Purchase price
Registration costs
State-based charges (where applicable)
Step six: Add running costs
Estimate the ongoing costs associated with owning and operating the vehicle.
Maintenance and servicing
Fuel or electricity
Insurance
These figures help calculate the total packaged cost over the lease term.
Step seven: Review your results
View a detailed breakdown of your estimated outcomes.
Annual and fortnightly cost summary
Potential tax and GST impacts
Comparison with purchasing the vehicle outright
Total cost over the lease term
You can adjust any step to see how changes affect the results.
Understanding your novated lease calculator results
How do you interpret your results from the novated lease calculator? Here are some key factors to consider.
Annual cost breakdown
Lease payments. You find the principal and interest that would be payable, assuming the information that’s put into the calculator. The nominated lease term may influence the results.
Running costs. A range of running costs is included in the applicable assumptions made in the calculation, such as:
Fuel consumption according to your estimated annual travel.
State-based registration expenses.
Costs associated with the manufacturer’s maintenance schedule.
Tyre replacement costs based on the kilometres travelled.
Annual membership to roadside assistance.
Call 1300 49 11 41 or click the button below to arrange an appointment to discuss your options.
Potential tax savings
GST considerations: In some arrangements, an employer may be able to claim GST credits on eligible vehicle costs. Whether and how this benefits you depends on your employer’s salary packaging policy.
Income tax considerations. This novated lease calculator assumes certain costs are paid using pre-tax income. This may reduce taxable income in some cases, but outcomes vary and are not guaranteed.
Next steps
Step one: Check eligibility. Not all employers offer novated leasing. If it’s available, look for any restrictions in the company’s policy. Check if there are electric car discounts available.
Step two: Choose a vehicle. Consider your budget and what you’ll use the car for. Get drive-away quotes from the dealer.
Step three: Select a novated lease provider. There are several providers to choose from. Consider their fees and included services. What do their previous clients say? Reviews can be revealing.
Step four: Get a quote. Get a quote for a vehicle. Ask providers for a lease proposal. Review proposals from multiple providers.
Step five: Apply and arrange finance. Apply for a lease. Undergo a credit assessment and wait for integration with your employer’s payroll department. Vehicle delivery may take 2 to 8 weeks, depending on the vehicle.
End of lease options
Pay off what’s owing and keep the vehicle.
Refinance the residual amount with a new lease.
Return the vehicle and start a new lease.
Sell the vehicle and keep the equity.
Testimonial
Great service, prompt, polite, and knowledgeable about the products provided.
- Lisa
Disclaimer: This is an individual personal opinion. It may not represent the experience of other clients. Testimonies are not a guarantee of results. Past performance is not a reliable indicator of future results.
Disclaimer: This calculator provides general information only and is for illustrative purposes. It does not take into account your objectives, financial situation, or needs, and does not constitute financial or credit advice. Results are estimates only and are not guaranteed.
Financial advice, where required, is provided by authorised representatives of Lifespan Financial Planning Pty Ltd (AFSL 229892).
Credit assistance and lending services may be provided by FAA Group under its Australian Credit Licence (ACL 388789).
