u/Benxb9r

The sub is growing fast, which is great.

More people are comparing quotes, asking better questions, and helping others avoid poor outcomes.

But with growth comes a bit of housekeeping.

A few good members have raised concerns through the mod channel recently, and we’ve taken action where needed.

That’s exactly how this sub should work.

This community was built to help people understand novated leasing, not to sell to them, pressure them, or quietly steer them towards paid services. Independent, clear and transparent. One of the only places people can actually cut through the bs that goes on in the industry.

So a clear reminder:

If something doesn’t pass the pub test, report it to the mods.

If someone is pushing services in your DMs, report it.

If someone is trying to move the conversation off the sub, report it.

If advice feels salesy, conflicted, misleading, or not in the spirit of the community, report it.

The mods will review it.

We’re not trying to stop useful industry knowledge being shared. But conflicts should be clear, advice should be transparent, and members shouldn’t be privately pitched when they came here for help.

Keep asking questions. Keep challenging the numbers. Keep calling out anything that doesn’t add up.

We’re here to fight the fleece, not let it sneak in through the side door.

Are many people using trickle charing just from a power point, or do most people install a home charger? I’m interested to know, do you top up each day or just when needed?

I genuinely thought this data was wrong.

As in, “surely I’ve stuffed up the report” wrong.

So I checked it again.

And again.

The numbers held up.

Across 448 novated lease quote comparisons, the savings we are seeing are much bigger than I expected.

Not a few hundred dollars.

Not just “we found a slightly better deal”.

In many cases, it is serious money.

16 comparisons showed savings under $1,000.

53 were between $1,000 and $2,500.

95 were between $2,500 and $5,000.

130 were between $5,000 and $10,000.

126 were between $10,000 and $20,000.

21 were between $20,000 and $30,000.

7 were above $30,000.

I want to be clear: quote comparisons are not always perfectly identical.

Assumptions can vary. Budgets can vary. Terms can vary. Insurance, running costs, finance structure and inclusions can all affect the final number.

But even allowing for that, the size and frequency of these differences is hard to ignore.

This is the part of novated leasing that frustrates me.

For a product that can genuinely save people money, it is still far too hard for the average employee to know whether they are looking at a strong quote, an average quote, or a very expensive one dressed up as a tax saving.

Too often, the conversation is reduced to one neat “cost per pay” figure.

That might be simple, but simple is not the same as transparent.

Employees should be able to clearly compare:

• the finance rate
• the total repayment
• the fees
• the running cost budgets
• the insurance assumptions
• the total cost over the term
• the actual saving compared with buying the car another way

That should not be controversial.

If two quotes for broadly similar outcomes can be $10,000, $20,000 or even $30,000 apart, then we need to have a serious conversation about transparency.

Not because novated leasing is bad.

The opposite.

It can be an excellent benefit when it is explained properly.

But the numbers need to be clear enough for normal people to make informed decisions before they sign.

Because when the differences are this large, “just look at the cost per pay” is not good enough.

I’m not talking about a spirited weekend drive through the hills, or pretending every commute is a Top Gear episode.

I mean the boring stuff.

The mind-numbing commute. Traffic. School runs. Back streets. Suburban driving. Stop-start nonsense where most of us actually spend 95% of our time.

I’m asking because EVs are getting a bit ridiculous now. The Zeekr X is apparently 365kW for around $58k. That is insane money-for-power compared with where cars were not that long ago. At the same time, cars are getting more tech-heavy, more assisted, more insulated, and arguably making us more part of the ride than part of the drive.

I’m personally still on the fence. I still enjoy the odd flick around a tight roundabout, and I’ve always liked the idea of a slow car driven quickly rather than a fast car barely being used. But with speed limits getting lower, roads getting busier, and performance becoming almost meaningless in day-to-day driving, I’m starting to wonder what actually matters most in a modern commuter car.

So for those who made the switch mainly because the numbers made sense:

Did you miss ICE more than expected?

Did the EV feel soulless, or did the instant torque and quietness win you over?

Has the novelty worn off?

Would you go back to ice if the ev discount was removed?

And as EVs get faster and more tech-heavy, what do you actually care about most now: range, comfort, charging speed, tech, cost, handling, or something else?

Good news: the EV discount has been extended.

Bad news: absolutely nothing has changed about the way some novated leases are sold.

No new transparency rules.

No requirement to show the real effective interest rate.

No magic button that stops middlemen turning a staff benefit into a feeding trough.

So while the extension is genuinely great for employees, it also leaves the door wide open for the same old rent seeking.

And this week, we have seen plenty of it.

Quotes with effective rates pushing 15%+.

Employees being told rates that do not match the actual maths.

Beautiful “cost per pay” figures doing a lot of heavy lifting.

That is not a benefit. That is a fleece in a high-vis vest.

The smarter option: lease stacking

For eligible EVs, we can look at a 33-month lease now, while the current rules are available.

Important bit: the car must be under the relevant EV threshold before on-road costs.

At the end of the lease, you have options:

Re-lease or refinance the balloon.

Move into a new car.

Reassess based on the rules, resale values and market at the time.

Most providers either cannot do this or will not. The standard model is usually: lock it in, clip the ticket, move on.

We prefer flexibility.

Buyer beware

The EV discount extension is a win.

But it has not fixed the sales model.

So if you get a quote, do not just stare lovingly at the “cost per pay”.

Ask for the real interest rate.

Ask for the amount financed.

Ask what fees and commissions are baked in.

And if the numbers smell funny, push it up to HR or your finance manager. (Hint almost all novated lease quotes have some form of creative accounting to make it hard for the everyday person to discern the rates)

No employee should be paying 15%+ on a novated lease while being told it is a staff benefit. NO ONE. It’s not what happens in a free and open market, and no one should be forced into this garbage.

That is not salary packaging.

That is rent seeking with a tax discount and a calculator.

Commercial disclosure upfront: I run millarX, a novated leasing business, so this is clearly connected to our business. I debated putting this up but think it’s genuinely helpful, and anyone can use it to answer a question that is going to pop up a lot over the next three years.

We have added a new calculator feature that may be useful for people looking at EV novated leases before the FBT exemption changes.

Most lease calculators show one lease term.

This feature models a two-stage lease strategy:

1.	Lease 1: from now until March 2029, covering the remaining EV FBT exemption window

2.	Lease 2: a refinance from March 2029 for a further 5 years

The idea is to show:

•	what the vehicle may cost during the remaining exemption period

•	what the refinance could look like after March 2029

•	how the balloon/refinance structure affects the longer-term cost

•	whether locking in earlier makes sense compared with waiting

https://millarx.com.au/plan-through-2034

This is commercial, but the calculator is free to use and is intended to make the numbers easier to understand.

Happy to adjust based on feedback, if you have any questions (helpful) suggestions please post here.

Like all good things, eventually the rules change.

The EV FBT exemption is staying, which is a huge win for most buyers, but from 1 April 2027, the full exemption will only apply to EVs priced at $75,000 or less.

EVs above $75,000 but still under the luxury car tax threshold will move to a reduced FBT discount instead. Existing leases are expected to be grandfathered, so timing matters. 

My take: if you’re looking at an EV in the $75k+ space, don’t sit on your hands.

A lot of people wait until the last minute, then get caught by stock delays, delivery timing, employer setup delays, salary packaging processing, finance approvals and all the usual novated lease admin. The car you want could easily have a three to six month wait - and by then, the window may have closed.

Locking in a clean 3 to 5 year lease before the change could make a serious difference.

For everyone looking under $75k, this is actually a brilliant outcome. It gives the market certainty, gives families confidence, and gives manufacturers a very clear message: sharpen your pricing or miss the market.

We’ve already seen what happens when EVs sit just above the tax-effective zone. Cars in that $91k–$105k bracket struggled, and plenty of brands had to discount heavily to get under the threshold. Think Audi, Mercedes, Kia and others.

Now we’re about to see that same pressure move further down the market.

This could pour molten metal into an already super-heated EV price war.

For city-bound families, this should push EVs from “maybe” to “yes”. Lower running costs, strong tax savings, better model choice, and now a clear runway.

So go forth and shop.

But as always: check for the fleece before you sign.

For those interested. This is great news and looking forward to the competition this brings. https://treasury.gov.au/publication/p2026-766052

Novated leasing needs real choice.

Not “you can choose any car, as long as you use our approved provider.”

Actual choice.

We are preparing a submission to the ACCC around the anti-competitive impact of single-provider and limited-provider novated lease arrangements.

Because this benefit is meant for employees.

Not leasing companies.

Not locked-in middlemen.

Not industry lobby groups trying to keep the system closed.

The industry lobby is firmly on the side of keeping the current system protected. That is not surprising. The current system works beautifully for the incumbents.

It does not always work beautifully for employees.

Too many people are being forced into one provider, blocked from shopping around, or signed up to leases without properly understanding what they are actually paying in rates, fees, commissions and total cost.

That needs to change.

And change is possible.

The ACCC has acted before where exclusive or restrictive arrangements have reduced competition, limited access, or left consumers worse off.

Peters Ice Cream was hit over exclusive dealing that restricted competitor access to petrol and convenience store channels.

Google was hit over arrangements involving default search access on Android phones sold through Telstra and Optus.

Cement Australia was hit over supply arrangements that made it harder for competitors to compete.

Super choice also showed what can happen when an employment-linked benefit is opened up. It did not fix everything overnight, but it helped trigger a reform path towards more transparency, comparison, accountability and member protection.

That is what novated leasing needs now.

Choice creates pressure.

Pressure creates transparency.

Transparency exposes inflated margins.

Competition improves behaviour.

Employees win.

This community is now big enough to speak loudly.

So we need examples.

Not names.

Not public naming and shaming.

Just real examples.

Have you been:

•	forced to use one provider?

•	blocked from using a cheaper or preferred provider?

•	told your employer only allows one novated lease option?

•	quoted a lease that looked good because of “tax savings” but was expensive once properly reviewed?

•	signed up without understanding the real interest rate, fees, commissions or total cost?

•	left feeling like the work-approved provider was your only option?

Please comment with the situation, not the names.

We want as many real examples as possible to support the ACCC submission.

The benefit is for employees. Let’s make it fair.

Employees deserve transparency.

Employees deserve competition.

Employees deserve choice.

It is time to make some noise.

With delivery times blowing out, and heaps of cars on order, would you still go ahead with your ev lease if the exemption is removed? Interested in peoples thoughts.

Hi, I know this sub is 7x, but do people here also have or ordered X?? I’m just asking as the release of the 26 model with the major price drop seems popular (I’ve ordered one) and have been looking around for suppliers of tow bars/suspension etc available in Aus without much luck. Is there any aftermarket seen for these here?