What To Expect From A Novated Lease
Salary packaging a vehicle is a compelling proposition for employees. So much so that tens of thousands of Australian workers take up novated leasing each year to buy their new car.
The rewards extend to employers too with employee benefits programs fostering employee engagement and supporting an organisation’s ability to attract and retain the right talent.
But not all novated leasing solutions are created equal. A high-quality provider will partner with you to deliver a well-run program for your staff that delivers measurable benefits to your organisation.
So, what should you expect from your novated leasing provider?
1. Proactive marketing and communication support
A high-quality provider will help you get the message out about your novated leasing program. They should offer a strategy for broadcasting the benefits of your program, including different ways of engaging staff across all ages and locations. In particular, a best-practice program will use a range of channels – emails, posters, face-to-face and online – to increase awareness and participation.
Your novated leasing provider should also communicate regularly with staff about their individual packages and provide different opportunities for them to engage. Andrew Daly, Group Executive Customer Development at Maxxia, believes consistent and professional communication between providers and individual employees is extremely important.
“Staff feel cared for when they’re given opportunities to interact positively with their benefit provider – from reports and updates on what they’ve saved, to reassuring reminders that the management of their vehicle is in hand,” said Daly.
2. Hassle-free payroll and processing
It’s no secret that novated leasing can be complicated to manage. Without proper support from your provider, it can become a real hassle for your administration and HR teams.
“Many businesses don’t have the technology they need to make novated leasing administration straightforward. For some companies, it’s so much of a hassle that they become reluctant to promote it because they believe it’s more trouble than it’s worth,” said Daly.
A good service provider takes this pain away. They also help to manage the administrative considerations associated with novated leasing – such as outstanding payments for departing employees. According to Daly this gets rid of any nasty surprises for payroll and finance.
3. Measureable insights
Finally, a reputable provider will deliver the data and insights you need to know if your program is delivering value – to your employees and your organisation.
According to Daly, companies often believe their program is successful because there is a lack of complaints from employees. However, he points out that an absence of feedback usually signals poor take-up of the novated leasing offer rather than a high level of satisfaction. “Without proper data, businesses won’t know if they are missing out on a significant opportunity to deliver value to their employees and drive engagement,” he says.
“A good partner should provide you with industry specific benchmarks. When our benefits assessment process shines a light on the comparative value a company is getting from their offering, they start to rethink just how satisfied they are with what they currently deliver,” he says.
Contact Maxxia today to see if your benefits program is delivering maximum value.
This website contains general information and doesn't take your personal circumstances into account. Seek professional independent advice before making a decision.