I’m looking to purchase a new car and would like to understand more about how PaR Leasing works, what the benefits are and if I can finance my new car and running expenses from my pre-tax salary.
You are a career-minded professional with drive and ambition. What you lack is your dream car. Sadly, service and maintenance expenses put it out of reach.
But a car isn’t just an impossible dream. Your salary will get it parked in your garage. Par Leasing offers the Salary Packages that will make it possible.
How Salary Packages Work
The employee, employer, and finance company do their part to put a salary package together.
1. The employee agrees to give up part of his or her pre-tax salary. He or she gets the new car in exchange.
2. The employer agrees, on his or her part, to deduct part of the cost from the employee’s pre-tax income.
3. Although the employer has paperwork to complete, the administrative burden falls on the finance company. There are forms to fill, but no ongoing maintenance.
The benefits of Salary Packages for employees
1. Gives AN EMPLOYEE more to spend
First of all, salary packages mobilize your pre-tax income. Your employer will finance the vehicle on your behalf by deducting amounts from your pre-tax salary, and this increases your spending power. Salary Packaged cars have less impact on a vehicle owner’s take-home pay because of Fringe Benefits Tax (FBT). It is a concession that the Australian government provides for such vehicles.
2. No GST
Finance companies can claim GST as a tax credit when they buy cars. They purchase vehicles GST free and pass the savings to you. Novated leasing enables salaried employees to avoid payable GST.
Though your company finances your car, it is entirely yours. You can take the lease with you if you change jobs. You won’t have to worry about transport even then.
4. Private Use
A salary packaged car is for private use. There is no attached business component. The Fringe Benefits Tax arrangement and GST concessions encourage people to make salary sacrifice arrangements on their cars.
Why choose Par Leasing Salary Packages?
Par Leasing has over forty years of experience financing vehicles. We understand your needs and can deal with any issue that arises with your lease.
2. Attractive Discounts
Car financing is a heavy responsibility. As a result, many lease providers don’t offer competitive interest rates. They don’t deliver a substantial discount on the vehicle.
Par Leasing, on the other hand, offers attractive, discounted salary packages.
We finance cars all over Melbourne and its outskirts. We have ties to many businesses and services in the area, which puts us in the best position to look after your needs.
We can secure vehicles of your choosing, at the low prices. You won’t have to pay for a pre-selected car that doesn’t connect with you.
Our friendly consultants are on hand to answer your questions about salary packaging. They will take your needs into account and arrange the best salary package for you.
If you are an employee with questions about salary packages, forward them to us. Navigate to our Contact Page we will get back to you as soon as we can.