# Novated lease calculator

Enter the car, your salary and the term. See what a novated lease would take from your pay, with running costs and tax included, and the residual at the end.

Use it at https://navo.au/calculators/novated-lease-calculator/. No credit check to see your options; applying involves a credit check.

## How it’s worked out

- The lease payments and a running-cost budget for charging or fuel, tyres, rego, servicing and insurance, paid from your pay.
- How much is paid before tax, how much after, and the income tax you save.
- The GST credit on the car, up to the car limit.
- The residual at the end, set by ATO rules.
- Whether the FBT exemption for electric cars applies today.

## Questions

### How is a novated lease worked out?

Your employer pays the lease and the car’s running costs from your pay, partly before tax. The calculator works out how much your take-home pay drops each pay once tax is taken into account.

### Are electric cars exempt from FBT on a novated lease?

Eligible electric cars under the luxury car tax threshold are exempt from FBT right now. The exemption is under review from 1 April 2027, and the rules change for new employers from 1 April 2029. The calculator checks the rules for today; the Navo Decision Engine checks them for the day your car is delivered.

### What happens at the end of a novated lease?

You can pay the residual and keep the car, refinance the residual, or hand the car back and start a new lease.

### What if my employer doesn’t offer novated leasing?

Any employer can offer a novated lease, and our partner millarX can set yours up.

### Does a novated lease cost less than a car loan?

It depends on your circumstances: your salary, the car, and how long you plan to keep it. Tell the Navo Decision Engine what matters to you, and we work out which way to pay fits.

## Not sure which way to pay?

Tell Navo about your circumstances and what matters to you. We work out the numbers across a novated lease, a car loan and a business loan, and show you the way to pay that fits, and why. [Work it out](https://navo.au/#start).

## Other calculators

- [Car loan calculator](https://navo.au/calculators/car-loan-calculator/)
- [Business car loan calculator](https://navo.au/calculators/business-car-loan-calculator/)

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Figures are indicative, based on the figures you enter and our assumptions, and are not a quote, a credit assessment or tax advice. Navo's results are general information and indicative only. They are based on what you tell us and our assumptions, are not a credit assessment, quote or tax advice, and don't take all of your circumstances into account. Credit is subject to the lender's criteria. Fees and charges apply.

Navo is a trading name of Blackrock Leasing Pty Ltd ABN 15 681 267 818, Australian Credit Licence 569484.