When deciding to lease a vehicle, you must consider the residual value. This figure is a critical factor in determining your monthly payments. It can also impact whether you purchase the car at the end of the lease. The residual value is calculated based on historical demand for your chosen model and expected depreciation. The higher the residual value, the lower your monthly payments will be. For more information about the average residual value novated lease, click here. Low monthly payments The residual value of a car is a significant factor in determining the monthly payments on a novated lease. The value estimates what the vehicle will be worth at…

Salary packaging and salary sacrifice are two options available to Defence members. Salary packaging allows employees to make after-tax contributions to their super fund or their spouse’s super fund. This is in addition to the salary sacrificed amount. The employer must make a matching after-tax employee contribution if you choose to salary package a motor vehicle. Salary packaging Salary packaging is a way for Defence employees to restructure their income so they can purchase things they need and want pre-tax. For example, salary packaging can help an employee buy a motor vehicle, airline lounge membership, or child care at a Defence or Commonwealth child care facility. It also can allow…