About Novated Leasing
A novated lease lets you drive the car you want with all costs bundled into one payment. Save thousands on running costs and enjoy an easy path to ownership.
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What is a Novated Lease?
A novated lease is a salary packaging arrangement that lets you finance and run a car using your pre-tax income. It’s a three-way agreement between you, your employer, and a finance company. Your employer facilitates the lease by making the repayments on your behalf through your salary, giving you access to savings and convenience.
With a novated lease, you have the flexibility to choose the car that suits you — whether it’s new, used (up to 15 years old at the end of the term), or even an electric model like the Tesla Model 3, BYD Seal, or Kia EV6.
Unlike a standard lease, a novated lease is in your name, and you have the option to own the vehicle at the end of the term by paying the final balloon amount. That means you enjoy the benefits of driving the car throughout the lease period while knowing ownership is available at lease end.
Novated leasing simplifies the way you manage a car, combining finance and running costs into one easy payment while giving you flexibility, choice, and the opportunity to save.
How Does a Novated Lease Work?
A novated lease is a three-way agreement between you, your employer, and Novated Finance Australia. Your employer makes the lease payments from your salary, while we manage the setup, finance, and inclusions like fuel or charging, maintenance, tyres, insurance, and registration. You choose the car you want and enjoy the convenience of one fixed payment. At the end of the lease, you can own the vehicle by paying the balloon (residual) amount set by the ATO.
Why choose a novated lease?
Novated leases from Novated Finance Australia offer a more affordable purchase price and significant tax savings on vehicle purchases and ongoing running costs.
Save big with Novated Leasing Benefits
Novated leasing allows you to save on taxes while driving the car you love. With flexible payment options, you can enjoy hassle-free car ownership.
Drive your dream car with ease
A novated lease lets you drive the car you’ve always dreamed of. With simple, affordable payments, getting into your dream vehicle has never been easier.
Flexible payment options with novated leasing
With novated leasing, enjoy flexible payment plans. Whether you prefer low monthly payments or a tailored solution, novated leasing is the best option.
Stress-free driving experience
Novated leasing includes all the essentials, from insurance to maintenance, ensuring hassle-free car experience. Drive with peace of mind and no unexpected costs.
How can Novated Leasing benefit you?
Experience financial flexibility, tax savings, and easy car ownership with novated leasing.
Here’s why it’s smart to get a Novated Lease for your vehicle →
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Tax savings advantage
Enjoy significant tax benefits by including your car’s expenses in your salary packaging. Maximise your savings with every payment.
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Flexible payment plans
Choose a payment structure that works for your budget and lifestyle. Tailor your payments for greater convenience and control.
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Hassle-free maintenance
Your lease can cover maintenance, tyres, and servicing. Drive worry-free knowing your car is always in top condition.
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Fuel savings included
Fuel and maintenance costs can be included in your lease agreement. Spend less on petrol and save even more with novated leasing.
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Vehicle ownership option
At the end of your lease, you
can own the car. Gain full ownership with a simple balloon payment. -
No upfront costs
No need to pay a large upfront amount. Start driving your dream car with no heavy financial burden.
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Wide car selection
Choose from a wide range of cars that suit your style and needs. From electric to petrol, we’ve got it all.
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4-hour approval
With applications processed fast, you can start driving
sooner and get on the road in 4 hours.
Have any questions?
If you have any questions about novated leasing or how it can benefit you, our team is here to help! Whether you need more information about the leasing process, the vehicles available, or the tax advantages, we're happy to assist.
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A novated lease is an agreement between you, your employer, and a leasing company. Your employer makes the lease and running cost payments on your behalf from your salary before tax. This reduces your taxable income and simplifies car expenses by combining costs like fuel, insurance, registration, and servicing into one regular payment.
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Approval can be completed in under 4 hours, so you can start enjoying your new ride as quickly as possible!
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Absolutely! Novated leases are available for both new and used vehicles, giving you flexibility in your car choice.
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A novated lease is often a good choice if you prefer set monthly payments that cover your car’s finance and running costs. It can make budgeting easier and may provide tax benefits through salary packaging. If you’d rather have full control over your car, including ownership from the start, buying it outright or using another finance option may be more suitable.
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Yes, you can use the car for personal and business purposes with no restrictions.
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Yes, electric vehicles (EVs) and plug-in hybrid vehicles (PHEVs) are eligible for novated leasing. Choosing an EV through a novated lease can offer significant tax benefits and savings on running costs, making it an economical and environmentally friendly option.
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At the end of your novated lease, you’ll have a few options:
Pay the residual value and own the car outright.
Trade in or sell the vehicle and use the proceeds towards your next car.
Refinance the residual and continue the lease.
Upgrade to a new novated lease with a different vehicle.
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Most employees on a regular salary can access a novated lease if their employer supports salary packaging. To qualify, you’ll usually need:
A consistent income to cover the lease payments
An employer willing to process deductions through payroll
Basic approval from the leasing company
Contractors, Uber Drivers, self-employed individuals aren’t eligible.
Save on tax and get into your dream car with a novated lease
Access the secret to how Australians are instantly saving up to $50,000 on an EV
