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.
Looking for a cost-effective alternative to a regular car loan?
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With a Smart novated lease, you'll get:
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Easy payment management with costs coming directly from your salary
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No Fringe Benefits Tax when you choose an electric vehicle
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
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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 Term0 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 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.
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
No, the novated lease calculator is only a calculation of the potential repayment you should expect by taking out a loan with the exact amounts you inputted. A bank or lender will make its own decisions about whether you can borrow.
Much like a normal calculator a novated lease calculator uses solid mathematics to come up with the repayment amount. As long as the information you enter into the calculator is accurate, the result will be accurate. If you are using the calculator with estimated numbers your answer will also be an estimate.
No, personal information is not required to use the novated lease calculator. All you need is information regarding the loan: the loan amount, the loan term, the interest rate, the repayment frequency, and the residual percentage and residual amount if applicable.
If you are planning to take out a novated lease for a vehicle with your employer and you want to get an idea of what you’ll be paying towards the loan, you might want to use the novated lease calculator. All you have to do is enter in the required information regarding your potential loan and you’ll get the results quickly and easily. You can even use it to keep track of a current novated lease. For even more help with your novated lease compare the available loans offered by different lenders to get the best possible deal for you and your employer.
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?
Finder
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.
Want to buy a classic car but don't have the ready money? There are still financing options available for classic vehicles. Find out what loans you have to choose one and which one will work best for you.
Find out how to take advantage of competitive rates, no monthly fees and an easy application all while getting the finance you need with IMB loan options.
People’s Choice offers competitive loans with pre-approval, rate discounts and other features to help put you behind the wheel of a new or used vehicle.
If you've come to the end of your novated lease and you are left with a balloon payment, you might be wondering whether to refinance that into a personal loan or take on another novated lease.
BankSA offers a range of loans for your next car. If you're looking to finance a new or used car you can consider a secured or unsecured personal loan from BankSA, both with competitive rates. Compare and apply today.
If you're in the market for a range of loans, Gateway Bank might have an offering worth considering. You can use your car as security and get a lower rate with both new and used vehicles, so compare and apply today.
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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?
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!