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Step 1: Check employer eligibility

Confirm your employer offers salary packaging before you shop for a car or apply for finance.

Why this comes first

Without employer approval, you cannot novate a lease. Checking early saves time — there's no point negotiating a vehicle price or applying for finance if your employer won't sign the novation deed.

Most employers with 20 or more staff offer novated leasing, but policies vary significantly. Some restrict vehicle type, cap the number of packaged vehicles, or mandate a preferred provider.

What to ask HR or payroll

Contact your HR or payroll team with these specific questions:

  • Do we offer novated leasing / salary packaging for vehicles?
  • Is there a preferred provider or can I choose any?
  • Is it fully maintained or finance-only packaging?
  • Are there caps on vehicle value or number of leases?
  • How long does employer sign-off typically take?
  • Who is the internal contact for novated lease paperwork?

If your employer doesn't offer it

Some novated lease providers will contact your employer directly and set up the arrangement at no cost to the business. The employer's only obligation is deducting payments from your salary and FBT reporting — it costs them nothing.

Government employers (federal, state, local) almost universally support novated leasing. Large corporates typically do as well.

Key takeaways

  • Get written confirmation before applying for finance
  • Ask about fully maintained vs finance-only
  • Providers can help onboard reluctant employers
This content is for educational purposes only and does not constitute financial or tax advice. Verify details with the ATO, your employer, and your novated lease provider.

Ready to see your savings?

Use our ATO-compliant calculator, upload a fleet provider quote, or ask NOVA — all free.