Electric vehicles more affordable than ever

Will your next car be an electric vehicle?

Whether you're driven by concern for the planet, or motivated by the extraordinary technology that powers electric vehicles (EVs), we can provide the most simple and cost-effective transition to an EV lifestyle.

The Electric Car Discount Policy1 can help you save thousands through a novated lease. Watch the video to find out more, and use our calculator to see how much you can save.

Want to know more? Come to our Smartleasing live webinar.

Our leasing specialist will walk you through tips on novated leasing. In our live webinar, you will learn:

  • How a novated lease is a cost-effective and easy way to buy and run a car
  • How you can unlock extra savings when you salary package an eligible EV with Smartsalary
an image of a close up view of an EV charge cord plug into an EV

A comparison table to explain the cost of novated leasing a tesla Model 3 for less than a Mazda 3

EV facts (and myths busted)

Electric vehicles are becoming more popular as the costs start to reduce, and we all become more aware of the environmental benefits of owning and running an EV. But there are some things you may not know about the latest range of EVs.

They are not as expensive as you think

While the purchase price of EVs is typically higher than many petrol cars, they have lower running costs according to the Electric Vehicle Council2.

That’s because they have no engine, transmission, head gasket or spark plugs, so you won’t have to service an EV as regularly.
I have range anxiety with Electric Vehicles

According to the Electric Vehicle Council, current EVs have an average battery range of around 400km. Some new models can get more than 600km on a single charge.

As the average Australian drives 38 kilometers a day, they could go for 10 days or more without needing to recharge.
Charging is simpler than you think

Most new EV sales include an entry-level charger which connects to a normal electricity power outlet at home.

These chargers can maintain a full charge for many people doing a daily work commute or shopping trip.

Electric vehicle novated leasing FAQ

You’ll be eligible for a novated lease if you’re a permanent employee and your employer offers novated leasing and salary sacrifice employment arrangements.

If you are already packaging with Smartsalary, you can log in to your account to check if your employer offers novated leasing.

For more information on eligibility criteria, feel free to contact our team.

In most cases, a novated lease can be a lot cheaper than purchasing an electric car outright or taking out a car loan.

Savings in action

There are 2 main types of electric cars. You can novated lease any of them:

1. Plug-In Hybrid Electric Vehicles
2. Battery Electric Vehicles

Yes! The Federal Government’s Electric Vehicle Discount Policy applies to all eligible new electric cars purchased after 1 July 2022 and used electric vehicles first registered after 1 July 2022.

With the discount, eligible EVs are exempt from the Fringe Benefits Tax, so you can salary package the finance and running costs out of your pre-tax salary.3

While your EV will need to be below the luxury car tax threshold ($89,332 in 2023-24 Financial Year), the electric car discount can be applied to the following EVs purchased through a novated lease: arrangement.

1. battery electric vehicles; and
2. plug-in hybrid electric vehicles (available to start up to April 1st 2025, with exemptions applicable for existing leases until they expire).

The most common expenses that can be claimed include; electricity, servicing, tyres, registration, CTP, comprehensive insurance, car washes, roadside assistance and charging stations. For home charging stations, you will need to be able to show the breakdown between the EV charging costs and your normal household electricity costs (e.g. through the use of a Smart Meter or separate fitted electricity supply). For mobile or public charging you have the option to use a Chargefox RFID card. If you have paid for the charging from your own funds, you can submit a claim for reimbursement via the Smartleasing app.

Fringe Benefits Tax legislation does not allow the cost of third party wall chargers (including installation) or other additional charging accessories to be claimed as vehicle expenses as part of a novated lease. Most new EVs will be provided with a charging cable as part of the vehicle purchase and you are able to claim the replacement of a charging cable if it is a like for like replacement and not an upgrade in charging technology.

Our Smartleasing team are car experts

Whether you already know the car you want or need help working out the best option for you, the team at our sister company, Smartleasing, can help. They source the car you want from a nationwide network of dealers, using their huge buying power to negotiate the best possible price for you. Even if you’re not ready for an EV, they can help you find a great deal on your next car.

Call us today on 1300 144 873, or why not check out some of our latest deals now.

Ready to find out more?

For more information about how Smartleasing can help you save: 

  • Head over to the car calculator for an instant estimate on your car of choice. From here you can submit an enquiry to our expert vehicle team
  • Give us a call on 1300 144 873
  • Visit the Smartleasing contact us page and they’ll get in touch as soon as they can

This is general information only. Before entering into any salary packaging or novated leasing arrangement, you should consider your objectives, financial situation and needs, and seek appropriate legal, financial or other professional advice based upon your own particular circumstances.

1. The Electric Car Discount Policy is an FBT exemption available for eligible electric, plug in hybrid or hydrogen cell vehicles purchased through a novated lease up to the Luxury Car Tax limit ($89,332 in FY 2023-24).

3. The most common expenses you can claim include running costs such as electricity, servicing, tyres, registration, CTP, comprehensive insurance, car washes, roadside assistance and charging stations.

* Savings example is indicative only and is based on the following assumptions: 1) Living in NSW 2000 salary: $100,000 ex-super p.a., travelling 15,000 km p.a., lease term: 60 months, 2) Vehicle purchased in NSW 3) Recommended retail price as advertised by the car manufacturer on their Australian website 4) Including all on-road costs 5) Salary Sacrifice using Employee Contribution Method (ECM) and Statutory Method. Also includes Vero by Suncorp comprehensive motor insurance. The Smartleasing buying power discount varies by vehicle and is subject to change. Residual value is $16,994 for the Tesla Model 3 and $12,824 for Mazda 3 Astina including GST at the end of the lease term. The vehicle can be sold or re-financed to payout the residual at the end of the lease term. Your actual savings will depend on your income tax bracket, the GST processing method nominated by your employer, administration fees payable under your employer’s salary packaging plan, the negotiated Smartleasing discount on your chosen vehicle and your personal circumstances. Smartsalary Pty Ltd or any related bodies corporate cannot accept responsibility for any errors or omissions from the information or any reliance placed upon it. Car shown only for illustration purposes. Figures and vehicle price are accurate as of July 2023.