Do you lease a car and will you continue?

[mr smith]

Ive been leasing new Fords for the last 8 years. The changes to the FBT rates look to make this a non viable option. Anyone in the same boat and will you continue to lease?

[TURBOTAXI]

Yes but after this lease finishes (December 2014) it wont be a big ford, probably a Hyundai I30.

[Paxton]

Yes, I do. I will continue until the end of the Lease, and then will re-evaluate where I go next. The X5 is not due until 2013, unless I pay it out first.

My next car was purchased with cash.

[Matty4]

I currently lease the Terri. That one is due to be paid out end of May 2012. With the new FBT changes I will re-evaluate when the time comes.

[drew`SEVNT5]

CHP all the way!

[Iggypoppin']

My old mans lease ran out a while ago. Was going to either lease/finance a GS but has decided to just hang onto the Avalon until it dies.

[devilcv8]

I presently lease a VE SS ute and travel over 45000km a year, with over 2 years to go and taking into account the phasing in of the fbt changes I'll end up leasing an I30 Turbo diesel as the replacement. At that stage the fbt rate will be 17%.

[gtfpv]

i lease an fg xr6 it finishes jan 2013 , i'll lease till then, i was considering re leasing this vehicle again , or selling it after lease and leasing a brand new one again .
however i will re evaluate whether that is viable . I'll probably pay out the balloon at the end , convert it to LPG , and keep it privately for 10 years or more now .

[Yellow_Festiva]

May be a dumb question.

I have often heard of leasing cars and have always been curious about it. Is this through / for 'business' use or private use as well??

What are the benefits?? If anyone can give me a quick rundown on how it works it would be much appreciated ;)

Cheers,

Jason

[Gobes32]

Another Labor initiative that will kill the local industry. Oh well, I am sure Hyundai will appreciate the extra sales.

[trippytaka]

I novate and will continue, I'm in the 15-25 bracket anyway, so it works out for me

[flappist]

Yes I did but I decided to wait until July to do the next one.....glad I did as now I will not.

[XESP351]

I am also in the 15-25k bracket so will not affect me i do not think, so yes i would lease again, but my lease will expire in 2014 anyway and many things may change by then...

@Yellow....Novated lease is an agreement between you, your employer and the lease company, the reason why it is attractive is that the vehicle lease fee and running and maintenance costs are taken out of your salary pre-tax (or the majority is pre-tax if you use the employer contribution method), which lowers how much tax you pay and gives you a new car which is partly paid for by the tax man! That's the gist of it without going into too many complex details. People can feel free to correct me if I got anything wrong, but that's my understanding anyway.

[Magna]

i was planning to get another territory after this lease finishes but with the changes i don't think it will happen. i wrote to smartsalary today about leasing a fbt exepmt vehicle like a XR6 ute which i'll only drive to work and back but i havn't heard back.

[Trendseeker]

The lease on my Territory expires in 2013. This has been my 4th novated lease and, due to the tax changes, it will be my last. A 2013 TS Territory would have been my next car, but now I will buy mine out and either keep it for another year or two or sell it and look at a late model second hand car. I read somewhere that there are about 570,000 people with novated leases, and I'm guessing that the average lease length is 4 years. Therefore, approximately 140,000 of them are buying a new car every 4 years. What percentage of those do you think will put off the purchase of a new car now?

[Thornie]

i was going to lease my next car won't be happening now and ill buy a used car instead when the time comes.

[Trendseeker]

Originally Posted by 2008WhiteSR

The lease on my Territory expires in 2013. This has been my 4th novated lease and, due to the tax changes, it will be my last. A 2013 TS Territory would have been my next car, but now I will buy mine out and either keep it for another year or two or sell it and look at a late model second hand car. I read somewhere that there are about 570,000 people with novated leases, and I'm guessing that the average lease length is 4 years. Therefore, approximately 140,000 of them are buying a new car every 4 years. What percentage of those do you think will put off the purchase of a new car now?

Correction: Therefore, approximately 140,000 of them are buying a new car each year.

[Fiesta God]

From my understanding with the way the changes work, it really only affects those people who were leasing a vehicle and travelling more than 25,000kms in a year?

In other words if you were leasing a car and doing <25k a year, nothing has really changed?

[mr smith]

Originally Posted by Fiesta God

From my understanding with the way the changes work, it really only affects those people who were leasing a vehicle and travelling more than 25,000kms in a year?

In other words if you were leasing a car and doing <25k a year, nothing has really changed?

Correct, but the 25K, 11% rate is what made the lease a viable option. Most leases would be in or above this bracket. I will still be doing 25K + kms a year but the 20% rate will not be enough to offset the lease costs and depreciation of the new vehicle. My current vehicle is due for payout at the end of December and I was looking at a Diesel Territory, but not now. I will be making sure when my local dealer and lease company call to find out where I am at changeover time they can than thank the current government.

[TURBOTAXI]

Does anyone else get the feeling the Govt. have not thought this through? Car sales are going to take a massive hit.

[mr smith]

Originally Posted by TURBOTAXI

Does anyone else get the feeling the Govt. have not thought this through? Car sales are going to take a massive hit.

Yup, massive knee jerk reaction to keep the greens on side.

[drew`SEVNT5]

Originally Posted by mr smith

Yup, massive knee jerk reaction to keep the greens on side.

How dare you, sir! To dare suggest that a pollie would EVER, EVER do that.


The audacity of some folk.

[gz1]

Have been leasing cars for the past 14 years, change every 3 years or so. In all that time I made an effort to get locally built cars, like the territory. Unfortunately the new changes mean that it is not viable anymore so no more leasing, will have to buy cheap imports instead.
It seems that for the gain of $980M (gov figures) they would be damaging the local auto industry a lot more.

[rag top]

Yes - I lease now, but unlikely to release when it expires in July.

Anyone want a Mazda 3?