A Novated Lease is a motor vehicle lease that allows you to include a vehicle of choice in a salary package, helping to optimise your salary while offering flexibility and convenience.

It is a three-way agreement between you (the driver), your employer, and ORIX, where you can lease and run a personal vehicle using your pre-tax salary.

It's the smart and easy way to achieve the car you deserve.

What is it?

A Novated Lease is a three-way agreement between you (the driver), your employer, and a finance company (ORIX), where you can finance and run a vehicle using your pre-tax salary.

How does it work?

You, your employer and ORIX will enter into a full Novation Agreement where your employer holds the lease, assumes all lease obligations and makes the payments to ORIX from your pre-tax salary.

You choose the car you want based on your credit options. Then you (the driver), your employer and ORIX enter into a Full Novation Agreement under which you transfer the lease of the vehicle to your employer, who then assumes all lease obligations and pays the lease rentals to ORIX (and maintenance and operating costs if included) from your pre-tax salary.

If you leave the company before the lease expires, the Novation Agreement lapses. Your employer’s responsibility to make lease rental payments ceases and this responsibility becomes yours. You are then liable for the lease rental payments including GST and maintenance or operating costs, if they have been included.

Novated Leasing allows you to drive off in a brand new vehicle with tax advantages and fleet savings.

What are the benefits?

  • PAYE SAVINGS: Deductions are from your pre-tax salary.
  • GST SAVINGS: All finance and running costs are GST exclusive.
  • COST SAVINGS: Discounts on vehicles, maintenance, tyres and fuel from ORIX suppliers.
  • FREEDOM: Allows you to select a vehicle of your choice in a salary package.
  • FLEXIBILITY: The lease can be structured for your specific requirements.
  • CONVENIENCE:  We can administer all aspects of vehicle management.

Achieve your vehicle dreams today with Novated Salary Packaging!

Recommended lease term is 36 months
Min: $50,000

Complete the fields above to generate a quote.

Novated Lease Private Purchase
Annual Payments $ $
Revised Annual Net Salary $ $
Monthly Net/Take Home Pay $ $
Annual Saving $ $

Email Me My Calculation

By requesting this information to be sent to my email address, I agree to ORIX's Privacy Policy and to be contacted by ORIX with regards to this quote.

Note: Please contact ORIX directly for a Novated Quote on an Electric Vehicle.

The Novated Lease Calculator provides a reasonable estimate of the cost of salary packaging the selected vehicle and its budgeted running costs under a Novated Lease alongside a comparison with private ownership. Please note that all figures in the table above are estimates only, based on various assumptions, and are not definitive. The estimates will be refined if you request a formal quote. Information generated by this Novated Lease Calculator is not intended and should not be taken to be taxation or financial advice of any kind.


  • The Novated Lease runs for the entire lease term selected.  Early termination fees will be payable if the Novated Lease terminates early for any reason.
  • Budgeted running costs include maintenance, tyres, registration and re-licensing estimated for the annual usage selected.  Additional amounts will be payable if actual running costs (which may vary depending on actual kilometres travelled, non-standard treatment of vehicle, changes in fuel prices etc.) exceed these budgeted running costs. 
  • The monthly rental for a Novated Lease includes typical discounts being achieved for maintenance, tyres and fuel.
  • Estimated fleet purchase discounts have been included in the Novated Lease calculation. The actual discount could be higher or lower, and will be advised when a formal quote is prepared.  Costs may change before the vehicle is delivered.
  • Driver meets ORIX’s credit criteria and has no other salary packaged items such as KiwiSaver contributions or student loan repayments.
  • Employer is GST registered and is willing to enter a Novated Leasing relationship with ORIX.
  • PAYE tax includes ACC earner levy.
  • ORIX’s Novated Leasing terms and conditions apply.
  • Vehicle make, model and specification selected are available with no optional extras.

Novated Lease FAQs

You can generally choose whatever car you want so long as:

  • The car is worth at least $15,000 at the beginning of the lease; and
  • The car will be less than 7 years old at the end of lease term; and
  • The car will have less than 180,000 km on the clock at the end of the lease term; and
  • ORIX’s credit criteria are met.

You should also check with your employer for any employer vehicle and salary package requirements.

Yes. There is no requirement for the vehicle to be your primary vehicle, or be used to travel to and from work. You can also lease more than one vehicle provided you meet any restrictions on maximum salary package deductions imposed by your employer and meet ORIX’s credit criteria.

No. There is no requirement to travel a minimum distance or do a specific number of kilometres for business purposes.

During the lease term, your employer is responsible for the calculation and payment of Fringe Benefit Tax (FBT). ORIX will provide your employer with an estimate of the FBT applicable to your lease based upon your salary band. Your employer will pass the FBT liability on to you by incorporating it into your regular deduction.

With a fully maintained (ORIX maintained) vehicle lease, ORIX will be responsible for managing routine maintenance, allocated tyre replacement and registration renewals. Our online portal, ORIX OneView, is also available to all Novated Lease customers, providing 24/7 access to comprehensive information about your lease including budget position reports.

If you notice you are driving more (or less) than anticipated, let your Account Manager at ORIX know so we can amend your budgeted running costs. If you do exceed your budgeted running costs, we will discuss the options available to you to allow for your future running costs. At the end of the lease term we will calculate the difference between the actual and budgeted running costs. Any deficit or surplus will be invoiced or refunded to your employer to make a one-off adjustment to your salary.

We will contact you around three months before your Novated Lease expires to talk you through your options. Depending on your situation, you may be able to:

  • Take out a new lease. You could upgrade to the latest model by returning your current vehicle and paying any amount owing.
  • Extend the lease for a longer period.
  • Make an offer to buy your car and take full ownership. The acceptable purchase price will most often be the Residual Value.
  • Sell the car yourself or ORIX can sell it at auction on your behalf. You will need to pay ORIX any shortfall between the sale proceeds and the Residual Value.

The Residual Value is set at the beginning of the lease term and based on the vehicle’s market value at the end of the lease term. If the vehicle is sold at the end of the lease term for less than the Residual Value, you will be required to pay the shortfall between the sale proceeds of the vehicle and the Residual Value.

If this occurs, you may be able to, depending on your circumstances:

  • Transfer the lease to your new employer if your new employer agrees.
  • Continue the lease as an arrangement between you and ORIX with certain amendments including; you becoming responsible for making the repayments; and no longer receiving the pre-tax benefits of salary packaging.
  • Make an offer to buy your car.