I thought I would check out the Novated lease route as the online calculator looked promising but having received the actual quote I am now told that the car will take 6 months. Was I being naive in thinking that it would be less?
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I thought I would check out the Novated lease route as the online calculator looked promising but having received the actual quote I am now told that the car will take 6 months. Was I being naive in thinking that it would be less?
Yes.
It will not shorten the wait. At all..
car doesn't change production times just because you're novating the purchase/ownership/costs
I suppose I thought that the lease companies had their own pre-allocated quota from which to pick.
Is going novated just a better way of buying by improving your cash flow or do you really make big savings and is this only for buying new?
Talk to an accountant. It works for me. Doesn't work for others.
what car were you after and what options?Quote:
Originally Posted by MovieDude
Savings are made up front as you will usually get a "corporate" or government fleet discount; then on-going taxing savings basically as the lease and operating expenses are paid out of pretax income (FBT cost is lesser than income tax). I will save about 14k over the life of my 3 yr novated lease. Its a no brainer if you're travelling more than 15,000km p.a.
As to wait for car, 6 months is pretty standard for a GTI with a few options added (though my wait has just reduced to closer to 5 months as my car is to be built in the next few weeks, thank god!)
Golf GTI with parallel park assist, bi-xenons and detroit 18s. Quoted base value for FBT as $43,834Quote:
Originally Posted by Serge
Manual or auto, 3 door or 5 door?Quote:
Originally Posted by MovieDude
Can someone explain the Novated Lease for me?
My understanding is that you don't own the car in the end, you just rent it and can swap at the end of your contract with the new one. So if you rent Golf for 3 years you'll end up saving a couple of thousands but you don't actually own it. Is that correct?
What is the length of the contract, can it be 1 or 2 years? I know people are usually signing up for 3 years.
The only advantage is that whatever you pay on the car (let's say $1000 a month) will reduce your taxable income (by $12,000 a year in this case). Correct?
Thanks