Today, one out of every six new cars sold is either electric or hybrid1 and more than half a million Australians would like to buy one in the next four years2. While the environmental benefits of electric vehicles (EVs) are clear, the potential tax savings on offer for employees are an extra reason for HR teams to get behind this trend. Some organisations have already tapped into these benefits, but many are still unaware of this opportunity.
A greener footprint with the bonus of a healthier wallet
A new incentive makes getting an electric car more attractive for Australians. The Federal Government has introduced an electric car discount initiative (the EV Discount) specifically for employees. Under this new legislation, employees have the potential to save thousands of dollars on tax when they switch from a petrol car to an eligible electric car using a novated lease.
A good news story many organisations are missing out on
At a time when the cost of living is still a big concern for many people, the EV Discount presents a unique opportunity to support your workforce to potentially save on tax and help improve financial wellbeing. Yet, our recent survey showed a substantial number of HR teams remain unaware.
- 60% of respondents were not aware the EV Discount is available to their employees.
- Only 8% knew how much employees could potentially be saving.
- 8% said their sustainability commitments is having a high or very high impact on attracting and retaining employees.
Lean on your employee benefits provider for support
You've recognised the potential of the EV Discount for your employees, but how do you find time to get the message to your people? This is where your employee benefits provider becomes invaluable. A proactive and experienced partner can take the hard work out of getting your employees into the driving seat of an electric car.
Embracing the EV Discount provides a timely opportunity for your workforce to potentially save on tax and strengthen your employee value proposition (EVP) in a meaningful way.
Discover how to make the most of the EV Discount to engage your employees, boost their potential tax savings and deliver on your sustainability initiatives in our guide to the electric car discount for employers.