If you’re in the market to buy a new car, and you want to see if it’s even worth the hassle to salary sacrifice this article will demonstrate how much you are better or worse off. You may be surprised.
Yes, they do! An associate lease arrangement is a great way to turn that highly depreciating asset on your driveway to an income producing machine. Use that depreciation to your advantage by salary packaging an associate lease arrangement.
What is an associate lease? How can it provide additional benefits? Why do some state it’s the best form of salary packaging around? Why are the two different types of associate leases, and how one is better than the other?
What things can be salary packaged? You might be surprised to know that you can salary package most expenses, but does it mean you should? You may want to check what type of employer you are employed by and what the grossed up limits are otherwise you could be paying more fringe benefits tax than you should!
When entering into a novated lease arrangement it can be easy to have fireworks going off in your head about getting that new car. However, there are a few cautions to be aware of for both the employee, and the employer. Most people don’t pay attention to tip number 4.
It can be quite exciting on the cusp of a new car purchase, especially when there’s a slight financial advantage to doing so, but before you jump into signing on the dotted line, you might want to check an unbiased independent calculator first to determine whether the new novated lease arrangement will truly be worth it for you.