Novated Lease - ever done it? it worth it?

[Pommygranite]

Anyone on here ever done a Novated Lease and was it worth it?

I get the pre and post tax elements but all the quotes seem to come very expensive for the actual car/payments and can't quite see the benefit.

[Onzlouk]

We lease through SG Fleet on a used Land Cruiser, i sourced the car myself and couldn't be happier. Tyres/rego/fuel/insurance/servicing/breakdown, all for less than the repayments on a loan deal buying the same vehicle, then i get to give it back at the end of the lease or buy it from them, pending the offer. Not for everyone but after the dramas i had with our last privately bought car i thought it a good option. Plus living up here in Qld i can bang the longer journeys to civilization on the fuel card!

[jagsy]

I agree with Onzoluk.

But it's down to personal circumstances and check your tax with your accountant.

Reason I did it was a Jeep Wrangler and had no ties to hand back at the end of the lease. Just extended lease and working out final cost to buy in 1 or 2 years.

Will then very likely lease again ( depending on tax advice).

[Pommygranite]

Thanks chaps appreciate the responses.

Whenever I looked at it it always looked expensive and that all the add ins (tyres insurance, ,fuel etc) seemed priced at top whack.

Perhaps need to explore it without any add ins and as said do a few net/gross sums.

[madazrx7]

I'd look at it very carefully (I'm sure you are haha) as it seems the deals vary widely. My mate Greg who owns the house I'm in has done it a couple of times, first time he paid the lease out at the end and made about $20K profit (not sure of tax implication) selling the car, this time he isn't being given the option to buy, so he said it's just been an expensive rental. He won't do it again.