What is EquiLease?
With EquiLease we turn the car into a novated lease. We buy your car from you and then lease it back to you. This allows you to pay for some of the car's running costs using your pre tax salary. Because we sell the car back to your right away, the car remains registered in your name.
Affordable fixed payments
With a fully maintained reconciled lease, all the running costs of your car, including fuel, registration, servicing, and parts, are incorporated into one monthly budgeted cost.
Suited to existing cars
Get the novated lease benefits from cars you already own, without having to buy a new car.
Cheaper fuel
Save on fuel at thousands of petrol stations across Australia. Save not only the GST, but also the PAYG tax on the fuel you buy.
No GST
With an EquiLease, you don’t pay GST saving you money on your car's running costs.
How does EquiLease work?
With EquiLease, you can refinance your existing car and keep
the
equity you've built up. You enter into an agreement with us, and we handle the
ongoing costs of
your car—like insurance, maintenance, and registration—using a mix of pre-tax and post-tax
dollars. This helps you save on tax and makes your car more affordable.
EquiLease makes costs you pay for already cheaper through income tax & GST savings. It could
save you more than a third of your running costs by paying for them using your Pre-Tax salary.
| Value of Car | $24,500 |
| Annual Salary | $115,000.00 |
| Running Costs | $11,754.34 |
| Total Tax Payable | $27,587.56 |
| Net Income | $75,764.52 |
| Pay Percentage Increase | $0.00 |
| Savings Per Year | 0.00% |
| Value of Car | $24,500 |
| Annual Salary | $115,000.00 |
| Running Costs | $11,754.34 |
| Total Tax Payable | $24,234.82 |
| Net Income | $79,148.42 |
| Pay Percentage Increase | 3% | Savings Per Year | $3,383.90 |
Ready to save with EquiLease?
What can I include in my EquiLease?
You can include:
- Registration
- Fuel Card
- Tyres
- Service Maintenance
- Lease Rental
- Management
- Roadside Assistance
- Comprehensive Insurance
- Gap
Frequently Asked Questions
To turn the car into a novated lease, we buy your car from you and then lease it back to you. This allows you to pay for some of the car's running costs using your pre tax salary. Because we sell the car back to your right away, the car remains registered in your name.
We use Car Sales data to determine what the market value would be, using a retail and wholesale price. If your car is in a good condition, the value will naturally increase.
To fund the estimated running costs per month, we deduct funds from you each pay day. We inform your employer of the amounts to be deducted from your pre-tax and post tax-pay. The funds are credited to your fleet management account. We issue you with a fuel and maintenance card linked to your fleet account, to pay for all expenses on your vehicle and allow you access to exclusive fleet discounts. Any unspent funds in your expense account, remain yours to use for future expenses.
You can terminate the lease at any time, after paying an early termination penalty of;
- 3 Post tax rental payments in year 1;
- 2 Post tax rental payments in year 2;
- 1 Post tax rental payment in year 3.
In most cases, the annual tax saving will be more than the penalty in month 3 of the rental – putting you ahead, even of you cancel the EquiLease.
We buy your car from you, but we do not pay the cash to you upfront. Instead, we pay you the purchase price over the term of the lease. Because there is no credit risk, there is no requirement for affordability and your car can be of any age. We called it EquiLease, because you have equity in your lease.
The running cost estimate is based on manufacturer specifications and the usage per year. As they are estimates only, they can be varied as usage changes. We can prepare a quote based on kilometres per year with a lease term varying between 3 years and 5 years.
At the end of the lease, we owe each other the residual, which we offset and you retain your vehicle, having saved thousands in tax each year.
EquiLease is an ATO approved Novated Lease and you can see the ruling here. With it, we can turn your personal vehicle into a Novated Lease, allowing you to pay for some of the running costs pre-tax.
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