Electric vehicles are the future of motoring, with manufacturers and governments across the globe working towards a zero-emissions end. A novated lease is an excellent option for switching to an electric vehicle.
Novated leases allow for all costs associated with your car (fees, running costs and energy) to be salary sacrificed, which reduces your taxable income and saves you money. The new FBT exemption for EVs is a big bonus, too. For more information about the novated lease electric car, click here.
Save Money
Many Australians believe EVs are out of their price range, but with a novated lease, this doesn’t have to be the case. With a novated lease, you can save thousands of dollars annually on FBT and other taxes compared to purchasing an outright petrol or diesel vehicle.
With a fully maintained novated lease, you can enjoy the benefit of having all your car-related costs (including registration, insurance and regular servicing) included in one simple monthly payment. Taking the hassle out of budgeting allows you to focus on getting behind the wheel of your dream EV and making the most of what it offers.
The best way to take advantage of a novated lease’s benefits is to partner with a reputable leasing specialist. An experienced team like RemServ can help you compare the options and find a solution that suits your budget. They have access to an extensive selection of EVs from top manufacturers, so you can rest assured knowing that you’ll get an impressive vehicle that fits your lifestyle and needs.
As the first step towards lowering your carbon footprint, an electric vehicle produces no harmful exhaust emissions. EVs are also easier to maintain, with fewer moving parts than traditional petrol and diesel vehicles. As EVs continue gaining traction, we must all do our part to switch to an eco-friendly driving option.
A new law removing the Fringe Benefits Tax on eligible EVs further boosts the financial incentive for Australians to get on board with this greener transport. It is expected to see more electric cars hit the road, which can help the country catch up with other comparable nations regarding EV adoption.
No FBT
The good news is that when you lease an electric car through a novated lease arrangement with RemServ, there is no FBT to pay. A novated lease removes the vehicle’s purchase price and running costs from your taxable income. It means you will save a significant tax, especially if you compare it to buying a petrol or diesel car outright.
As an added benefit, EVs generally have less maintenance costs than petrol or diesel cars. There are fewer moving parts, and they don’t have complicated exhaust systems that can deteriorate from carbon build-up. With this in mind, an EV on a novated lease will have even lower maintenance costs than other types of vehicles. It is because any maintenance your EV needs will be covered through car repayments, so you won’t have to worry about budgeting for out-of-pocket expenses.
The government’s recent decision to waive the Fringe Benefits Tax on eligible full EV and plug-in hybrid electric vehicle (PHEV) models priced under the luxury car tax threshold is another excellent reason to choose an EV with a novated lease. It will make EVs even more affordable to buy and run under a salary sacrifice agreement. The Treasurer’s announcement stated that an employee could save up to $4,700 yearly on a $50,000 EV with a novated lease.
With an EV on a novated leasing arrangement, you can choose any model that suits your budget and lifestyle requirements. The RemServ team will help you find an EV that is right for you from various manufacturers and work with your budget to provide a solution that makes sense for your circumstances.
RemServ is one of Australia’s leading novated lease providers and services thousands of employees annually from organisations across Queensland. Our experienced team will assist you in finding an EV that’s perfect for you while ensuring you get the best value and tax savings from your novated lease. Contact us to get started today. We’ll take care of everything from start to finish so you can focus on enjoying your new EV.