Most of us park our bike next to our car when we get home, and here’s some thoughts on how a novated lease might help you free of some dollars.
And with those dollars, instead paying the tax man, well, you can invest in the important stuff like road trips and riding gear!
There’s a lot to like about novated leases check out more details on this clever car financing option at https://www.strattonfinance.com.au/.
Saving on your car expenses actually isn’t that hard, especially if you’re employer is open to the option of a novated lease.
It might sound a bit complex, but a Stratton Finance Novated Lease is actually a really simple way of cutting your tax bill and freeing up some dollars.
As you know, traditionally when you wanted a new set of wheels you paid the car loan every week, fortnight or month out of your take home salary.
That means you’ve already paid your tax on that money.
But with a novated lease you never actually see the money. Instead the novated lease is paid directly by your employer out of your pre-tax salary.
And, not only are you saving on your tax there, you could also potentially have the servicing and maintenance costs of your car built into the novated lease, yep, that’s going to save you plenty of dollars each year.
Another potential bonus is the opportunity to drive a better car!
How? Well a novated lease is likely to have a balloon payment at the end, that means your monthly repayments are likely going to be less, providing you the opportunity to possibly look at a more expensive offering.
When the novated lease period ends you have the opportunity to buy the car, or sell it and start again.
Why would your employer want to do this?
Well, for a business, they also get potential tax benefits from paying a business ‘expense’ rather than extra dollars to you in your salary.
So, if your boss is happy this could mean extra dollars to you too.