Why Choose an EV Novated Lease?
EV novated lease has become increasingly popular, with more and more Australians choosing an electric car. With a EV novated lease, expenses such as rego, comp insurance, servicing and tyres are covered by your employer.
The Government’s new EV Discount legislation, which provides FBT exemption on eligible BEV, PHEV and hydrogen fuel cell cars, makes novated leasing an attractive option for employees looking to get behind the wheel of an EV.
Save Money on Taxes
The tax man may not be on everyone’s Christmas card list, but he might deserve a spot if he shaves thousands of dollars off your annual bill. The Government’s FBT exemption for EVs has made them more affordable than petrol and diesel vehicles, and that’s great news for anyone looking to take the plunge into electric driving.
As a bonus, novated leases allow you to claim all running costs from pre-tax salary deductions. It includes registration, insurance, servicing and tyres. Plus, your operating costs will be reduced if you’re eligible for a state or territory rebate.
If you’re considering an EV, check out the latest deals with your local dealer. New EVs are flying out the door, and second-hand EVs are selling fast with some eye-watering markups. In November TheDriven reported that a used extended-range Atto 3 was being sold for $8,000 more than a new model. That’s not uncommon for popular EV models with a short supply chain. SG Fleet managing director Michael Kerr says the interest in EVs is booming, with enquiries up 500% since the FBT exemption came into effect.
Save Money on Fuel
The fuel cost is one of the most significant expenses associated with car ownership, as it can fluctuate significantly. With a novatedev.com.au EV novated lease, your monthly payments include discounted fuel and running costs, such as service and maintenance, rego and CTP (NSW). Plus, you can take advantage of government subsidies, making owning an EV even cheaper.
You can also save on electricity costs by charging your EV overnight when demand and prices are lowest. It can lower your power bill by up to 30 per cent, and it’s great for the environment too!
There’s never been a better time to get behind the wheel of an electric vehicle than now. The Federal Government’s new Electric Vehicle Discount policy exempts EVs and PHEVs FBTwhene purchased on a novated lease, meaning you can save thousands of dollars.
The EV discount is designed to encourage the uptake of low-emission vehicles and help Australia catch up to similar countries regarding electric car adoption. Removing the FBT obligation, typically paid from an employee’s pre-tax salary when their salary is sacrificed to buy a car, will also help reduce overall running costs. It’s all part of the Government’s strategy to accelerate EV uptake to benefit our economy and the environment.
Save Money on Maintenance
If you want to save money on car maintenance costs, an EV-novated lease is for you. All your running expenses, including fuel, registration, comp insurance and servicing, are bundled into one regular payment. It can help you manage your budget and save on income tax. Plus, EVs are exempt from Fringe Benefits Tax (FBT), making them even more affordable than a traditional petrol vehicle.
EVs have fewer moving parts and require less servicing, so you’ll pay less for repairs than a traditional petrol or diesel vehicle. And with advanced battery technology and new investment in expanding charger networks, EVs are now more practical.
As a result, many people are now considering switching to an EV for work or their commute. And with the Government’s recent Electric Car Discount legislation, it’s a great time to get on the greener road.
Summit Fleet is already experiencing a four-fold increase in demand for novatedev.com.au EV novated lease. And that’s likely just the beginning, as more Australians realise the benefits of an EV.