Smart™ - the country’s leading salary packaging provider – has partnered with BMW Financial Services, the captive finance arm of BMW Group Australia, to make novated leasing easier, more accessible, and more convenient for both employees and employers.
In an industry first for both organisations, customers can now complete the entire novated leasing process directly through BMW dealerships. From selecting a BMW or MINI vehicle and arranging finance to signing the lease agreement, all aspects can be completed on-site.
A key advantage of this offering is the fully maintained lease, which bundles all major running costs - such as servicing, tyres, registration, insurance, and fuel - into one regular payment. A portion of this payment is from the employee’s pre-tax salary, reducing taxable income and delivering significant financial benefits.
Customers can also benefit from GST savings across the purchase price and running costs of the vehicle, adding to the overall savings.
For electric vehicles (EVs), the benefits are even more compelling with the current Fringe Benefits Tax exemption applying to eligible vehicles priced below the luxury car tax threshold of $91,387, providing an attractive, cost-effective way to drive electric.
Novated leasing is an Australian Taxation Office approved financing method consisting of a three-way agreement between an employee, their employer, and a finance company.
“Today’s customers want simplicity; they want to walk into a dealership and drive away knowing everything, including finance, has been taken care of,” said Sid Jha, Smart’s Novated Leasing & Electric Vehicle Services Group Executive.
“This partnership delivers one of the most affordable ways to own and enjoy a BMW or MINI, while also helping employees take advantage of the tax benefits that come with novated leasing.”
Commenting on the partnership, May Wong, CEO, BMW Financial Services Australia said: “We’re proud to launch this first-of-its-kind partnership with Smart™. By bringing the entire novated leasing process into our dealerships, we’re offering a seamless approach and opening the door for more Australians to enjoy the benefits of BMW and MINI ownership – especially those considering electric vehicles as their next car.”
