Calculate Your Novated Lease

Annual Salary (AUD, pre-tax)

Your gross annual salary (Reference: ATO tax brackets 2025-26)

Car Driveaway Price (AUD)

Total driveaway price including on-road costs (Reference: SG Fleet calculator)

Lease Term (Years)

Lease duration (ATO minimum residual applies)

Expected Annual KM

Kilometres you expect to drive per year

State

Your state for registration and stamp duty estimates

Your Novated Lease Estimate

How We Calculated This

Component	Value

Tax Savings Breakdown

Your total tax savings over the lease term. Based on ATO 2025-26 rates and SG Fleet methodology. Note: EVs may qualify for FBT exemption (not included here).

Running Costs Estimate

Bundled annual running costs (fuel, insurance, rego, tyres, servicing):

Background on Novated Leasing

What is Novated Leasing? A novated lease is a three-way agreement between you, your employer, and a leasing provider (e.g., SG Fleet). You salary sacrifice pre-tax income to cover car finance and running costs, reducing your taxable income and saving on income tax and GST. The employer 'novates' the lease, managing FBT via employee contributions.

Key Benefits: Up to 30% tax savings on payments, GST-free purchase (1/11th saving), bundled costs in one payment. Ideal for new cars, especially EVs with FBT exemptions until 2025 (ATO extension possible).

Eligibility: Requires employer participation in salary sacrifice. Calculations use ATO minimum residuals and 2025-26 tax rates.

Current Status: As of November 16, 2025, novated leasing remains a popular tax-effective option. Consult ATO for latest FBT rules.