Novated Leasing - Electric Vehicles

Novated Leasing - Electric Vehicles

Thinking about an electric vehicle? Think it’s time to talk to Maxxia.

The Electric Car discount could save you thousands through a novated lease

Electric Vehicles:

Common Myths

Benefits

Offers

Gov't EV Discount

There’s never been a better time to get into an electric vehicle, and there’s never been a better way than through a novated lease with Maxxia.

With the Australian Government’s Electric Car (EV) Discount, taking out a novated lease on an EV just got a whole lot cheaper. So, if you were thinking about making the switch to an eligible electric or plug-in hybrid vehicle, your time is impeccable.

As Australia’s largest novated lease provider, we’re ready to help get you into an electric or plug-in hybrid car of your choice. We’ve geared up our systems and are working closely with key suppliers to help you make a confident choice – for yourself and the environment.

Two women charging their EV at charging station.

The New EV Discount: A Recap

Novated leases are required by law to have a certain amount of Fringe Benefits Tax be paid – it’s why pre- and post-tax payments are needed. With the Electric Car Discount however, a novated lease on an eligible EV is FBT exempt, meaning you don’t pay any post-tax contributions – for EVs retailing up to the Luxury Car Tax threshold of $89,332.

How Much Could You Save?

We’ve compared the potential savings you could get under existing novated lease policy with what you could enjoy under the EV Discount.

Let’s say you earn $80,000, and you’ve decided an MG ZS Essence is for you, driving it 20,000 kilometres a year over a five-year lease.

Your estimated net benefit under the EV Discount is $26,972*.
Your estimated net benefit under the existing novated lease legislation is $10,597*.
That’s a potential saving of $16,375*!

Common Myths: Eco-Friendly Vehicles

We respond to five of the most common misconceptions about Electric Vehicles.

"They’re expensive"

While the upfront costs of EVs are currently more expensive than conventional petrol vehicles, powering an EV costs an estimated 70 per cent less per kilometre, according to the Electric Vehicle Council.

EVs have lower running costs than regular petrol-powered cars, given they have no engine, transmission, head gasket or spark plugs. Consequently, you likely won’t have to service an EV as regularly.

Battery EVs don’t require petrol or diesel. For context, the average Australian drives 15,000 kilometres a year, spending more than $2,000 on fuel. It’s estimated an EV also travelling 15,000 kilometres costs around $600 per year – that’s a $1,400 annual saving.

"You don’t get far on one charge"

According to the Electric Vehicle Council, current EVs have an average battery range of nearly 480km but with ongoing technology advancements some new models can get to 550km on a single charge.

With the average Australian driving 38 kilometres a day, an EV owner who carries out short trips can go for 10 or more days without needing to recharge.

"There’s nowhere to charge them"

Most new EV sales include an entry-level charger which simply connects to a normal electricity power outlet that you would have at home. These basic chargers are adequate for maintaining a full charge for many people doing a daily work commute or trip to the shops.

Public charging solutions are available across Australia. The Electric Vehicle Council’s website lists all available charging stations around the country, including the type of chargers.

"Charging takes too long"

Charging times are decreasing as technology changes and more EVs hit the market. Entry-level chargers supplied with EVs can take up to 30 hours to fully charge a vehicle; this timeframe reduces to overnight with higher capacity chargers available at an optional cost.

Public chargers can be much faster – with super-charge stations adding up to 300 kilometres of range in 10 to 15 minutes, and regular stations often doing the job in less than five hours.

With the convenience of home-charging – either overnight or during periods of the day that you don’t need to drive – the need for faster chargers may not be a pressing requirement for some people.

"They’re not as responsive"

EVs can deliver full torque instantly, allowing them to accelerate faster than equivalent combustion engine vehicles.

FAQs

Got more questions about salary packaging an eco-friendly car? We’ve got you covered.

EVs General EVs Novated Leasing

Cheaper to run and maintain

Cost typically on average 70% less per kilometre than a petrol-powered car, while servicing costs are less because EVs have fewer moving parts.

Environmentally friendly

By burning zero – or less – fuel, EVs also emit fewer or no emissions.

Improved comfort

Electric motors are noiseless, making for a quieter and smoother drive.

Renewable energy smarts

Newer EV models can potentially put electricity back into a household or grid, which could help you to save on your energy bills.

Energy security

Help reduce Australia’s imported fuel bill – freeing up funds that can be invested locally instead.

Electric and Hybrid Vehicle Offers

Tapping into Maxxia’s huge buyer network to take out a novated lease on an eligible electric or hybrid vehicle is a win-win: not only do you look after you and enjoy the convenience and potential financial savings of novated leasing, you’ll also be doing your bit for the environment.

Find out more

Maxxia Marketplace

Don’t limit yourself to one brand’s new-car deals. Leasing an electric or hybrid car through Maxxia gets you access to some of the best deals and manufacturers across the country. You could also save GST upfront on the price of the car and some of your running costs.

Tax Effective

With the Electric Car Discount, payments on eligible electric or plug-in hybrid vehicles up to the Luxury Car Tax threshold of $89,332 are fully sourced from your pre-tax salary. This could reduce your taxable income and potentially save you thousands.

Budget Convenience

Say goodbye to bill-shock. We’ll work with you to draw up a manageable budget covering all your lease repayments and running costs in one regular payment. No more bill-juggling!

Transparency

The Maxxia App lets you check your balances, change your details and allows on-the-go flexibility with claiming.

Maxxia Advantage

Maxxia does the heavy lifting for you. We can source your EV or hybrid vehicle and negotiate a great price, manage the paperwork and arrange the finance and any insurances you may require.

Dedicated Support

Enjoy dedicated access to our MyCar Customer Service and Maintenance teams.

Find Your Car

A tax-effective way to salary package the car you need.

Find out more

Novated Leasing Hybrid or Electric Vehicle Charging Station

EV News

Ready to join the rEVolution?
Stop by here for all things EV and novated leasing.

^*Novated Lease example: The estimated potential tax benefit is exclusive of GST and is based on the assumption that you would have paid for the lease from your post-tax salary (as opposed to salary packaging those payments from your pre-tax salary or a combination of your pre and post-tax salary). Payment includes: Your car payments, fuel/electricity, registration, tyres, insurance and scheduled servicing. The estimated annual benefit will vary depending upon salary, employment circumstances, selected benefits and applicable tax treatment. The example assumes that the car is an eligible zero or low emissions vehicle, the value of the car at the first retail sale was below the luxury car tax threshold of $89,332 for fuel efficient vehicles, the car is first held and used on or after 1 July 2022, you earn $80,000 a year, a 5-year lease term, an annual distance travelled of 20,000kms and a 28.13% residual value. The estimated annual operating costs includes estimates of fuel, maintenance, tyres, registration, comprehensive insurance and fleet management fee and are exclusive of GST. GST of 1/11th is payable on your ECM contributions. State Stamp Duty rates apply. PAYG tax rates effective 1 July 2021 have been used. From 1 April 2025, a plug-in hybrid electric vehicle will not be considered a zero or low emissions vehicle under FBT law. However, you can continue to apply the exemption if both the following requirements are met: 1) Use of the plug-in hybrid electric vehicle was exempt before 1 April 2025. 2) You have a financially binding commitment to continue providing private use of the vehicle on and after 1 April 2025. For this purpose, any optional extension of the agreement is not considered binding.

Things you need to know: This general information doesn't take your personal circumstances into account. Please consider whether this information is right for you before making a decision and seek professional independent tax or financial advice. Conditions and fees apply, along with credit assessment criteria for lease and loan products. The availability of benefits is subject to your employer’s approval. Maxxia may receive commissions in connection with its services.

Maxxia Pty Ltd | ABN 39 082 449 036.

Novated Leasing - Electric Vehicles

Novated Leasing - Electric Vehicles

Thinking about an electric vehicle? Think it’s time to talk to Maxxia.

The New EV Discount: A Recap

How Much Could You Save?

Common Myths: Eco-Friendly Vehicles

"They’re expensive"

"You don’t get far on one charge"

"There’s nowhere to charge them"

"Charging takes too long"

"They’re not as responsive"

FAQs

What are the potential benefits of Electric Vehicles?

Cheaper to run and maintain

Environmentally friendly

Improved comfort

Renewable energy smarts

Energy security

Electric and Hybrid Vehicle Offers

The features and potential benefits of a novated lease on an EV with Maxxia.

Maxxia Marketplace

Tax Effective

Budget Convenience

Transparency

Maxxia Advantage

Dedicated Support

Find Your Car

EV News

Talk to us today about salary packaging the Maxxia way