Frequently asked questions

A Novated car lease is a three way agreement between the employer, the employee and the finance company. The basic principles of a Novated car lease are:

• The employee leases the vehicle directly through LeasePLUS using a standard finance lease agreement
• The employee, employer, and the finance company enter into an agreement that transfers the employee’s obligation to pay the finance and running costs of the vehicle to the employer
• The employer deducts a pre-determined amount from the employee’s pre and post tax income from each pay day. This amount is sent to LeasePLUS to meet the lease and operating costs associated with the vehicle
• If the employee ceases employment with the current employer, the Novated vehicle lease can be transferred to the new employer
• The employee can drive the vehicle for either business or personal use
• Novated vehicle leasing has Australian Tax Office approval

A Novated Lease includes the following:

• Finance repayment
• All service, maintenance and mechanical repairs
• Comprehensive insurance
• Annual registration and CTP (if applicable)
• Fuel card
• Tyres
• 365 day/24 hour roadside assistance

The finance repayment is fixed for the length of the lease. All other costs are budgeted for and our friendly staff can help you establish your annual kilometre ceiling as well as fuel and servicing costs. Importantly you can amend your budget during your lease if your circumstances change - for example, you move closer to, or further away from work.

Yes, Novated vehicle leasing is a flexible financial tool that can be used to purchase almost any vehicle (ATO conditions apply), and set up to suit a range of different financial situations.

• The vehicle can be new or second hand (age limit applies)
• More than one vehicle can be packaged at a time (depending on employer policy)
• You can chose the lease term, between 1 to 5 years with the option to extend at lease end
• If you own your vehicle you can still take advantage of a novated vehicle or associated lease by converting to these structures.

Most passenger vehicles can be leased through a Novated Lease agreement. Speak with a LeasePLUS consultant today to discuss the many options available to you.

LeasePLUS is dedicated to ensuring its customers gain the greatest possible benefit from their lease. The key elements of our approach include:

• A focus on customer care unlike any of our competitors
• 24 hour/365 day on-call customer support
• Fully informed decision-making through no-obligation quotes
• You will always speak to an actual LeasePLUS representative every time, not an answering service or call centre
• Sourcing vehicles from the widest network of dealerships in the country. Our network of more than 200 dealers means our purchasing power is unrivalled in Australia.
• Using competition amongst dealerships and financiers to negotiate the best possible price on our customer’s behalf
• LeasePLUS products and services are flexible and tailored to suit your individual needs
• Tailoring a solution to meet your situation and need
• Industry-leading technology developed to ensure quick responses to customer enquiries and the fastest possible processing times for applications

The lease-holder determines who may drive the vehicle. Please ensure you are aware of the insurance implications and understand if family members or friends are covered when driving the vehicle.

Lease terms can be between one and five years. A lease can always be extended beyond the initial term.

Whilst all employees may enjoy benefits from salary packaging, the level of tax savings per Novated Lease depends on three main factors:

1. Level of gross income – LeasePLUS can provide you with an accurate pay-slip analysis so you can see how a Novated Lease will effect your pay and lower your income tax
2. The purchase price of the vehicle – this determines the amount of pre and post tax costs
3. Running costs of your vehicle

Provided the vehicle is available at the dealership and the lease contracts are correctly signed, the vehicle can be delivered almost immediately. We use the latest technology throughout the approval and ordering stages to ensure there are no unnecessary delays and drivers have visibility and know the progress of their vehicle order.

The residual is the final balloon payment due at the end of the lease. At this point you have a number of options:

• Pay out the residual and own the vehicle
• Sell the vehicle and pay the residual with the proceeds
• If there is a positive or negative difference between sale price and the residual payment, the customer will either keep the excess funds or pay the difference
• You may also look to extend the existing Novated Lease for a further period of twelve (12) months or more , vehicle age limits apply
• LeasePLUS has a relationship with a well known national vehicle auction house and can arrange for the old vehicle to be disposed of using a hassle free service (conditions apply)

LeasePLUS allow you to choose your own insurance and Roadside Assistance providers which we will pay on your behalf as part of the Novated vehicle lease policy. We can also arrange these policies for you through our panel of providers with already negotiated discounts.

The Australian Taxation Office guidelines state that tolls, parking and infringement fines are not eligible to be part of a Novated vehicle lease.

Your Novated Lease agreement can be transferred from your old employer to your new one. Once you commence work, your Novated vehicle lease agreement continues without any disruption to the policy. It is important to let your new employer know of this arrangement in order to prepare for this transfer ahead of time.

LeasePLUS provides its clients with access to their operating account both online and through a mobile app that provides statements, reports, and other useful tools to allow customers to track their account.

LeasePLUS also distributes a monthly account statement via email allowing the driver to obtain a regular summary even if they don’t have time to check their account online or via the iPhone or Android app.