Novated Lease calculator assumptions
Gross Annual Salary
Figure entered is treated as gross annual salary - excluding superannuation or any other salary packaging deductions, Medicare levy or FEE-HELP liability.
Estimated Vehicle Purchase Price
The purchase price of the vehicle (which excludes GST and on-road costs) is an estimate only, based on the manufacturer's recommended retail price and is subject to change.
Annual Kilometres
Figure entered is treated as 100% personal use.
Lease Term
This is the period of time the vehicle will be leased. At the end of the lease term there is a residual value amount payable, the value of which is set by the ATO as follows:
- 1 Year term, has a residual value of 65.63 % of the purchase price
- 2 Year term has a residual value of 56.25% of the purchase price
- 3 Year term has a residual value of 46.88 % of the purchase price
- 4 Year term has a residual value of 37.5 % of the purchase price
- 5 Year term has a residual value of 28.13 % of the purchase price
Pay Period
The frequency entered will be used to calculate your estimated cost per pay period.
Budgeted running costs
Budget estimates are provided for:
- Maintenance
- Fuel
- Registration and CTP
- Comprehensive motor vehicle insurance
The budget estimates have been based on our experience for your chosen car.
Fuel
The fuel estimate is based on the manufacturer's specifications for the vehicle.
Servicing
The maintenance estimate is based on the manufacturer's recommendation.
Registration
The registration is calculated based on the postcode entered.
Insurance
The insurance estimate is based on Comprehensive Motor Vehicle insurance issued by Allianz Australia Insurance Limited (ABN 15 000 122 850 AFSL 23408).
Postcode
The postcode entered is used for running cost budgeting purposes and the calculation of on-road costs.
Income Tax Rates
Income Tax Rates for the current financial year are used.
FBT Liability
The statutory rate used is 20%
Estimated Cost Per Pay Period
This amount represents the estimated deduction for the Novated Lease based on your current take-home salary, the payment cycle selected and is inclusive of budgeted running costs. This amount is a result of the pre-tax and post-tax components being deducted from your gross salary in accordance with the Employee Contribution Method (ECM).
Life of Lease Savings
Tax savings are calculated based on the Employee Contribution Method (ECM). The saving amount does not take into account your individual circumstances. Please seek independent financial advice for information on how salary packaging can impact your individual tax liability.
Luxury Vehicles
Figures do not take into account any luxury car levy that may be payable. Figures will vary where the luxury car levy applies.