Novated Leasing with Prosperity Smart Drive
Novated Leasing with Prosperity Smart Drive
Latest Deals
Kia EV3 GT Line
2025 Kia EV3
$228.29 per week*
*Price includes running costs
**Over the life of the lease
Mercedes-Benz EQB Night Edition
2025 Mercedes-Benz EQB Night Edition
$299.40 per week*
*Price includes running costs
**Over the life of the lease
Mazda BT-50 GT
2025 Mazda BT-50 GT
$343.64 per week*
*Price includes running costs
**Over the life of the lease
Quoted prices Include:
Car Finance, Registration, CTP Greenslip, Comprehensive Insurance, Fuel or Charging Cost, Tyres, and Maintenance
Quoted prices Include:
Car Finance, Registration cost, CTP Greenslip, Comprehensive Insurance, Fuel or Charging Cost, and Maintenance
Have a particular car in mind?
Use our Smart Drive quick quote tool to customise your dream car and fast-track your journey to the driver’s seat.
What is a Novated Lease?
A novated lease with Prosperity Smart Drive is a tax-effective way to finance and manage your car through salary packaging.
It’s a three-way agreement between you, your employer, and Prosperity Smart Drive that allows you to lease a vehicle using a portion of your pre-tax salary.
You’ll save thousands by not paying GST on the purchase price of the car. Plus, you can package all running costs—such as fuel, servicing, registration, and insurance—into one easy payment, further reducing your taxable income.
Enjoy more savings, greater convenience, and a seamless driving experience with Prosperity Smart Drive.
Quick-fire novated lease questions
Learn more about how a novated lease works from start to
finish. Our expert consultants can also answer any questions,
so you can sign up with confidence.
What is a Novated Lease?
A novated lease is a three-way agreement between you (the employee), your employer, and a leasing company. It allows you to lease a car, with your employer making the lease payments directly from your pre-tax salary. This arrangement can reduce your taxable income and provide potential tax savings.
What Are the Benefits of a Novated Lease?
Tax Savings: Lease payments are made from your pre-tax income, potentially lowering your taxable income.
GST Benefits: You may save on the Goods and Services Tax (GST) for the vehicle’s purchase price and running costs.
Convenience: Bundling vehicle expenses like maintenance, registration, and insurance into one payment simplifies budgeting.
Flexibility: You can choose the car that suits your needs, whether new, used, or even your current vehicle.
Who Is Eligible for a Novated Lease?
Generally, to qualify for a novated lease, you should:
Be a salaried employee: Employed on a full-time or permanent part-time basis.
Work for an employer that offers novated leasing: Your employer must support salary packaging arrangements.
Have a satisfactory credit history: Lenders will assess your creditworthiness as part of the approval process.
What Types of Vehicles Can I Lease?
You can lease:
New cars
Used cars
Demonstrator models
Your existing vehicle, provided it meets certain criteria.
Electric vehicles (EVs) are also eligible and may offer additional tax benefits.
What Happens at the End of the Lease Term?
At the conclusion of the lease, you typically have several options:
Pay the residual value: Purchase the vehicle outright.
Refinance the residual: Enter into a new lease agreement for the residual amount.
Trade or Sell: Trade your vehicle, use prosperity’s disposal service or sell your vehicle privately and get into a new lease.
What Happens If I Change Jobs?
If you change employers, the novated lease can often be transferred to your new employer, provided they agree to the arrangement. If not, you may need to assume the lease payments directly or consider other options.
Are There Any Tax Implications?
Yes, novated leases can have tax implications:
Fringe Benefits Tax (FBT): Your employer may be liable for FBT, but this can often be offset by employee contributions.
Employee Contribution Method (ECM): Making after-tax contributions can reduce or eliminate FBT liability.
What Costs are included in the Lease?
The cost associated with Novated leases include:
Fuel or Charging Cost
Maintenance and servicing
Registration and insurance
Tyres and roadside assistance
This bundling simplifies budgeting and can provide additional GST savings.
