Frequently Asked Questions
A rewarding experience awaits you as we demystify salary packaging.
How competitive are your interest rates?
The real value in a taking out a novated lease is that it saves you the GST on the purchase cost and running expenses of the vehicle, as well as income tax savings. The combination of these savings make it difficult to compare interest rates from vehicle to vehicle. The interest rate is one small component of the overall package, so to make a more effective real-world comparison of different quotations, it’s better to compare the effect on your salary and take-home pay.
What if I lose my job?
There are several options available to you: Our Lease Protection insurance will cover you for involuntary redundancy for up to 6 months whilst you seek another position. And in many situations, you will be able to transfer the novated lease to your partner’s name and partner’s employer. Or you can continue to make the finance payments yourself directly to the financier. Or you might be able to pay out the lease and cease salary packaging.
Can I add optional extras to my vehicle?
Most extras can be included in your package, but only if included at the start of the lease as part of the overall vehicle package. You won’t be able to add extras after that time.
Can I take a novated lease if I am self-employed?
The value of salary packaging is in your ability to save income tax on your wages, and have your employer pay GST. Depending on your company structure it may be possible, but if not, you may wish to contact us to discuss Chattel Mortgages which are another way of saving on motor vehicles and are available to self-employed people.
Can I salary package two or more vehicles?
Most people certainly can. As long as your salary level is high enough to support the necessary salary deductions.
Can I salary package a used vehicle?
Yes, as long as the vehicle will not be older than nine years at the end of the lease.
Are living expenses and meals & accommodation benefits available to me?
If you’re an employee of an FBT-exempt employer, then both benefits are available to you. If you are an employee of an FBT rebatable employer, then only the living expenses benefit is available to you. If you are employed by neither type of employer, then unfortunately you will not be able to use these benefits.
Can I make changes to my salary package during the year?
Your salary package is not locked in, and in most cases you’ll be able to make changes during the year, depending on the agreement we have with your employer. You can also suspend your package for extended times if you are taking leave without pay. We’re here to help and explain the alternatives to you, so please don’t hesitate to contact us if your current package is not meeting your needs.
What happens to my employee benefits card if I leave my employer?
Once you leave your employer for any reason, your employee benefits card needs to be cancelled. Any remaining balance will be transferred back to your pay office for payment back to you.
If I am required to contribute to FBT, how does this get to the ATO?
Your employer is required to submit an FBT Return to the ATO annually. Much the same as your PAYG income tax deductions, depending on your employer’s history and size of company, they may be required to transfer amounts to the ATO monthly or quarterly, or they may be permitted to hold the funds until the annual tax return and then submit the amount to the ATO. We do assist some employers with this, depending on their requirements. In any case, once it has been deducted from your salary it is held securely until payment to ATO is required.
Can I make manual expense claims against these benefits?
Yes. In most cases there will be a small manual processing fee charged to you, depending on the agreement we have with your employer.
What are your fees?
Discounted salary packaging fees are negotiated directly with your employer. We regularly review these fees to ensure you receive true value.
Where can I obtain application and expense reimbursement forms?
In most cases your payroll office will have these forms available. You are welcome to contact us of course and we will forward the forms to you.
Your New Car
Salary packaging your next car is a good decision, see how it can work for you. Call 1300 303 357 and speak to one of our friendly specialists.
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