Why your Novated Lease amount may change over time
If you were asked to tell us the exact amount of money you will spend on fuel over the next 12 months do you think you could?
This is the predicament faced by Maxxia when we set up your novated lease. We know that the best anyone can really do is estimate how much you will generally spend on fuel for the coming year.
We then break this total down so each pay you contribute an amount to Maxxia for your fuel budget.
As you can imagine, if you end up driving more than was estimated, you will use more fuel and perhaps the original budget we established may no longer be sufficient. It’s the same if you don’t drive as much and we collect more money than required — your budget may need to be updated.
If this is the case Maxxia will contact you with a plan to adjust your budget to keep your balance healthy.
Why keeping your novated lease account healthy is important
Each pay your whole contribution amount is added to your Maxxia novated lease account — think of it like a bank account for your lease.
Maxxia makes your regular lease payments from this account, reimburse you from this account when you claim and pay those annual expenses — like registration — from here when needed.
If you are consistently over-spending on fuel, this will reduce the total remaining amount available for your other budgeted items like rego, insurance and maintenance. This is because they all come from the one account balance.
So, we need to constantly monitor your novated lease budgeting and the contribution amounts to your novated lease account to make sure we arrange for its top up where necessary — or reduce if required.
Now you know why your novated lease contribution amount can sometimes change — and that it’s nothing to worry about! If you ever want to know more, simply get in touch with us online.
This website contains general information and doesn't take your personal circumstances into account. Seek professional independent advice before making a decision.