A novated lease provides heaps of benefits to employers and employees – save on tax, get great discounts on cars and related expenses and at no cost to the employer. But some things are too good to be true – there are risks to having a novated lease.
There is a common misconception that it’s difficult for employees to change jobs with a novated lease. While offering novated leasing and salary packaging programs helps to increase employee retention, people do move on to other opportunities.
When an employee takes out a novated lease on a new car,
Salary packaging and novated leasing can be a great employee perk – no cost to the employer, employees can reduce their taxable income and don’t have to wait until the end of financial year for a tax break. However, when your remuneration is structured with:
- a company car (on top of your salary);
Q: How do you reduce your company’s financial liability, increase employee retention AND offer a great benefits program?
A: Novated Leasing.
What is AASB16 and why do you need to know?
AASB16 is a new accounting standard that means leases and loans that are currently not required to be on-balance sheet,
On Tuesday, the Federal Treasurer handed down the 2018/19 Federal Budget.
From the perspective of Salary Packaging and Novated Leasing, the only effect has been on tax has come in the form of a tax refund to low- and middle-income earners.
Given it is in the form of a tax-refund,
Key Federal Budget 2017 announcements that will impact Salary and Wage earners will include;
- First home buyers being able to access their super for a deposit
- The Medicare levy and
- Changes to the HELP repayment threshold
Here are some updates about these key points.
Election news, election updates! Novated Leasing is here to stay regardless of who wins the election come Saturday, July 2, 2016.
The Coalition Government has again confirmed their positive stance with regard to Novated Leasing.
In a letter to the National Automotive Leasing & Salary Packaging Association (NALSPA) dated May 5,
Save money! No effort required! Holiday! Trigger words! Yeah, I obviously studied Marketing.
Good news, this isn’t even a gimmick. I just like trigger words. Anyway, yeah, let’s discuss saving money and holidays.
Novated Lease unavailability is industry terminology describing the process whereby if your employee does not have use of their vehicle for a period of time,
The main changes to Federal Budget 2016 that will impact Salary and Wage earners are the changes to Superannuation and Personal Taxation rates.
To keep you updated, please find the below proposals being reviewed:
- Extending the 30% tax on concessional contribution to those earning over $250,000 ($300,00 previously)
- Reducing annual cap of concessional superannuation contributions to $ 25,000 ($30,000 previously)
- Establishing a lifetime non-concessional contribution cap of $500,000
- Introducing a transfer balance cap of $1.6million on amounts moving into tax-free retirement phase,
The following FAQ regarding the Meals & Entertainment and Venue & Accommodation Benefit Changes effective from 1 April 2016 was recently provided to your employees via email and within the December edition of the Remunerator Newsletter. Remunerator will continue to keep both employers and employees notified of potential impacts and relevant actions required between now and 1 April 2016.