Getting Tax Back with Novated Lease – What to Know
Saving money from the tax payment is something that people will do most of the time because they know that their hard-earned money should not go waste in the form of some tax amount.
This is done by claiming the phone bills, charitable donation, choosing private health insurance over the medicare levy, and so on. One such way of saving great is with the help of novated lease.
Bleen is the place where you can find anything and everything about the novated car lease options around you.
This is an Australian online directory that can guide you towards the right destination for finding novated lease.
You can even understand everything about the pros and cons for Novated Lease. Check the webpage for all the required information.
Every time you hear about someone giving you financial advice, you will notice major things such as paying down the loans as early as possible, or even trying to avoid situations that can make you think of applying for a loan.
Credit card loans, personal loans, etc., and many other such conventional loans are not the ones that come with long-term benefits. This is not the case with the novated lease.
Salary Sacrificing the Car with The Full Income
The actual factor here is not the lease function, but the way it can make you utilise your salary amount significantly while lowering the tax bills.
This is the best choice for reducing taxable income, and also to help you pay less income tax. This benefit is accessible to everyone and this does not discriminate based on salary size.
In the terms of the pre-tax dollars, the employer will start paying for the vehicle in the beginning, and will also take care of the tax obligations with the help of the payroll.
Here, you are required to pay the gross with the help of the salary, instead of going with the net salary to do the payment.
To make it simple, the main goal here is to let you use your money, which you would otherwise never see.
Once all the car costs are paid-off, the lower salary amount that is left will leave you with a lower tax bill.
This is like you saving thousands of dollars with the help of the novated lease. The savings here can lead up to tens of thousands of dollars.
Novated Lease and Savings
Studies have shown that people that choose the novated lease method have saved more than $3000 a year, than what they used to save without the help of novated lease.
This lease option has helped in the process of actually purchasing a car. If the car is worth $30,000, you can save around $3000 without a doubt.
When you reach the end of the lease, you can stay assured that you have saved further in the bank balance.
If you think through the process and make a wise choice, then you can save a great deal with the novated lease option, as many have already done.