Novated lease calculator

Crunch the numbers and see if a novated lease is your ticket to driving smarter with our Novated lease calculator.

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A novated lease calculator or a commercial hire purchase calculator is used to calculate the repayments of a vehicle loan that an employer took out on behalf of their employee.

Key takeaways

  • A novated lease allows you to pay for a car using pre-tax salary, which can reduce your taxable income.
  • You can choose a maintained lease, which covers costs like insurance and servicing, or a non-maintained lease, where you handle running costs yourself.
  • Before signing up, confirm any early termination fees, balloon payments and vehicle restrictions with your employer and lease provider.

The calculator below is a great tool if you and your employer are planning to apply for a novated lease because it will allow you to get an indication of what the monthly repayment on the loan will be.

It can also be used if you already have a novated lease but would like to manage it better.

Keep in mind novated lease calculators will change depending on who provides your finance. So, you'll need to check the numbers with the provider you choose.

Novated lease calculator for Australia

Your Results

Monthly Repayment $0.00
Total Interest Payable $0.00
Total Payment Amount $0.00
Financed Amount $0.00
Total of Monthly Payments $0.00
Lease Term 0 months

Payment Breakdown

  • Total of monthly payments: $0.00
  • Plus residual payment: $0.00
  • Total amount paid: $0.00

Loan Balance Chart

*Whilst every effort has been made to ensure the accuracy of this calculator, the results should only be used as an indication. They are neither a recommendation nor an eligibility test for any product and should not be construed as financial advice, investment advice or any other sort of advice.
How to use the calculator

How to use the novated lease calculator?

While the novated lease calculator is quick and easy to use, keep in mind it's just an estimate.

You'll need to enter details like the loan amount, loan term, interest rate and if you are paying in advance or in arrears. If your lease includes a residual payment, you'll also need to input the residual percentage and amount.

The novated lease calculator will then work out your expected repayment amount. Make sure the details you enter are accurate to get the most reliable result.

Information you'll need:

  • Loan amount. This refers to how much money you have borrowed or plan to borrow.
  • Loan term. How long have you been given to repay the loan? This is referred to as the loan term.
  • Interest rate. This is the agreed upon percentage that the lender is charging you to use its money.
  • Repayment frequency. This refers to how often you make repayments.

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Example:

Olivia, based in Sydney, Australia and her employer agreed on a novated lease when she was promoted to a new role. Even though her employer will handle the repayments through salary packaging, Olivia wants to know how much will come out of her pay each month so she's not caught off guard.

She decides to use the novated lease calculator to figure it out. Olivia chooses a 2025 Toyota Corolla ZR Hatch with a Sydney driveaway price of $43,280. The lease term is 5 years at an interest rate of 6.25% with monthly repayments. Olivia and her employer also agreed on a residual payment of 3%, which comes to $1,298.40.

After entering the details into the calculator, Olivia finds out that her monthly repayment will be $844.60 plus an additional $6.34 GST. This means she can expect $850.94 to be deducted from her monthly pay.

*This is a fictional but realistic example

* This is a fictional, but realistic, example.

FAQs about our Novated leasing calculator

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2 Responses

    ralph doubell's avatar
    ralphMay 14, 2024

    My son is looking to buy an electric car – Hyundi Ionic and has been quoted a weekly lease payment of $260. He currently has a weekly lease payment on a MG ZF of $232 for a car which cost about half of the Hyundi. Why is weekly lease payment only $30 pw more expensive.

    Is there a large finacial incentive to buy an electric car in QLD?

      Sarah Megginson's headshotFinder
      SarahMay 14, 2024Finder

      Hi Ralph,

      A number of things can impact the weekly payment, including the length of the lease, the amount borrowed, and the interest rate. If you compare the loan contract from the previous car to this car, you should be able to find those details and it might give you more context.

      Right now, the Queensland Zero Emission Vehicle Rebate Scheme provides eligible Queenslanders rebates of up to $6,000 for eligible new Zero Emission Vehicles purchased from 21 April 2023.

      There is some eligibility criteria.

      Hope this helps!

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