Leasing Vehicle or Buy

[MTR]

Have not researched this yet, but thinking whether it is worth looking at leasing a vehicle under my company.

Anyone do this? My g/friend just organised this and I think is paying $1300 per month, luxury vehicle. Not sure how it works, I suspect there is some form of ballooning with this.

Curious to know if anyone is doing this pros/cons, I have always purchased outright, but now that I have set up a company it may just work???

Cheers
MTR

 

[Propertunity]

What % is business (company use) and what % is private use?
This will also have a bearing on FBT that the comapny may have to pay.

 

[nhg]

The big companies all do it. They must do it for a reason. I think it's mostly a cashflow thing for them and no need to keep vehicle at the end.

I did the sums, didn't stack up for me even under the business. I had the assets to purchase the car up front. Saving of about $10k.

 

[westminster]

I novated lease my old car. Seach on novated leases on here and you find some pros and cons.

It depends on how many years you lease for what the residual % is.

 

[stumpie]

Have not researched this yet, but thinking whether it is worth looking at leasing a vehicle under my company.

Anyone do this? My g/friend just organised this and I think is paying $1300 per month, luxury vehicle. Not sure how it works, I suspect there is some form of ballooning with this.

Curious to know if anyone is doing this pros/cons, I have always purchased outright, but now that I have set up a company it may just work???

Cheers
MTR

MTR
When i had my own consulting company i had an E240 on hire purchase, the company paid everything. Just beware of FBT so seek advice from your tax accountant.

 

[Dylan33]

Check out Sgfleet.com.au. They have a calculator you can use. And you can chat to them and work out if it's feasible for you.

 

[datto]

I think utes are FBT free?

If suitable get yourself a nice V8 Commodore ute. Great for the property investor, you can throw a couple bags of cement in the back!

 

[D.T.]

I think utes are FBT free?

If suitable get yourself a nice V8 Commodore ute. Great for the property investor, you can throw a couple bags of cement in the back!

Why, so that you can get a better workout when pushing it home?

 

[XMW]

Spoke to SGfleet or other companies offering novated lease. Normally they are quick and helpful in responding to your query, eg a quotation including the after tax $ impact and related saving.

I did novated lease for my Lexus and it works out for me. Saving me 3-4 thousand dollars each year.

 

[Benvolio]

Check out Sgfleet.com.au. They have a calculator you can use. And you can chat to them and work out if it's feasible for you.

Hi mate, how long have you been with SG fleet? i am a director of a company with one other shareholder. I have been trying to look into something like this but seem to get all confused of best direction to take.

would you recommend them?

 

[MTR]

What % is business (company use) and what % is private use?
This will also have a bearing on FBT that the comapny may have to pay.

HI PU
90% private, 10% business

 

[Dylan33]

Hi mate, how long have you been with SG fleet? i am a director of a company with one other shareholder. I have been trying to look into something like this but seem to get all confused of best direction to take.

would you recommend them?

I've been with them just over a year. You would have to choose an amount you want to pay for a car, get a quote from SG and take it to your accountant.
Do the sums and see if it's feasible for you.