Details about the Federal Government's FBT exemption for EVs under $84,916: autoexpert.com.au/novated-lease Visit Novated Lease Australia: bit.ly/3G5EJAo SMALL CORRECTION: Mitsubishi Outlander PHEV battery capacity is 20kWh, not the 22kWh I stated in the report. Apologies.
Thank you, John, for the information. It is very useful and informative. I did some research online and discovered that the older models of the Outlander PHEV had issues with battery degradation. I'm curious to know if the battery degradation issue has been resolved in the 2023 Mitsubishi Outlander PHEV?
My parents have the top model New outlander PHEV, they get more range than mitsi quote on the battery. regularly get 92ks battery alone. The functionality and settings that you can use to make best use of the hybrid are mind blowing. i have driven it on 550k trip and even with a depleted battery it still doesn't use much fuel for a large comfy car. i was blown away with how well the system works, seamless between modes, regen braking gets a surprising amount back in charge and its generally a nice place to be. I could go on for ages on what it can do but i wont, just to say it has more useful things it does than the brochure says. plus it looks great in black diamond colour.
As a Diesel Outlander owner the only option for me would be the PHEV. It's definitely the best package and as someone who's tested a Mitsubishi warranty and support, it's true they don't leave you out in the cold. Comparable to Honda and much better than Toyota. I'd buy another in a heartbeat and the new PHEV is the best on the market for our conditions and distances.
Like all salary sacrifice arrangements, it is extremely important to know the pre-tax payment out of your gross salary. Some Financiers try to dress up a bad lease agreement by showing you the post-tax benefit. Do your maths calculating the total leaseobligation by multiplying th pre-tax payment by loan repayment frequency and adding the balloon/residual payment at the end of the lease term. If you find the total is 120%+ than the actual driveway price, then run away. Before signing, ask for the PDS and Loan terms especially the implicit interest rate.
The main problem is employers tied to one novation company , at 11.4% finance being charged on the car, the only people benefitting from my pre-tax money are the financier.
Just be careful, a novated lease is a loan, it’s a loan that you effectively pay all the interest first (makes it costly to exit early), and as all loans, make sure you get the best rate (they will sting you if they can get away with it)
Damn! I've been watching you too long. While having my first coffee this morning, I read a note then crumpled it up. Threw it at the bin and got it in on the rebound then double fist pumped and yelled YES!. True story😄
You explain this really well. It's otherwise thoroughly confusing any other way. I just wish the companies I've worked for offer it because it's very tempting... I just can't really decide on any EV I want to live with for the next 5 years.
I’d be interested if you could do a review of the 2023 hybrid Outlander. Most of the other online reviewers (admittedly with undisclosed motivators) give a positive account of the car however I see a theme in that once the car is travelling at speeds over 100-ish Km/h torque rapidly tails off and swift (safe) overtaking may become a challenge in some scenarios. The half a dozen long country drives I make each year require the overtaking of many B-doubles and triples (many travelling well above 90 but below 115). I would welcome your impartial opinion on the country driving capability of the car once tested. Many thanks John. Andrew
I'm still with your earlier opinion, regarding manufacturers having a "shitwah" model. I do 5X 50km commutes at highway speed 80% 100kph and was considering a EV motorcycle for this route as it is fairly friendly to that. But an EV MG option appeared with a back feed option, but I would like to see a deep dive on that option first.
Great work Sir. As usual. I'll take my time and look at reliability over the next 5 to 10 years before considering these advanced vehicles built from components sourced from the lowest bidder... 😀
Problem is, you don't pay fringe benefit tax if you aren't making pre-tax payments. That's the whole point of a fringe benefit tax. You're getting taxed on the benefit.
The new Mazda PHEV is the CX-60, not the CX-30 (you have it right on your website). It is also, as I understand it, not available as a three-row vehicle (your website states it's avaialble) - that'll be the CX-80/CX-90 I believe.
G’day JC. I’m a teacher currently on my 4th leased vehicle. None of the cars I’ve previously or currently lease have been new - instead they’ve been 2-3 years old at time of purchase/lease. Any idea if the new eco vehicle leasing rules only apply to new vehicles, or do they also apply to used/near new vehicles as well? Love your work, thanks for your time mate. Cheers
Available in market might be a stretch. I’ve checked with 2 lease companies (your mates and my employers agent) on Sorrento and outlander PHEV, both said 18-24 month delivery time. Was going to check Mazda PHEV but it’s not even at general release yet. Is this our “new normal” post apocalypse, can’t walk into a dealer and exercise retail therapy?
Example of Mercedes after sales service. Once had a Merc E350 on extended loan, the owner couldn’t drive it and it was only used to transport him. I paid for the running. Nice to drive, heavy on fuel in my mountainous Brexitania location. Everything mechanical worked fine but the comically titled ‘Command Centre’, that never worked. And so there was no way of adjusting anything from that unit. Couldn’t adjust the speed of the windscreen wipers, the radio didn’t work, the CD drive never worked, sat nav never worked, all the warning bongs, bings and bells that could technically be switched off, could not be switched off. This included the rear parking sensors, so every time someone was near the boot/trunk, the car sounded its particular brand of cacophony and the list of malfunctions goes on and on. Took it into Merc dealership within warranty, they said it could be repaired and were only interested in replacing the whole unit, GB £2,000+VAT+fitting. Merc said it wasn’t covered by warranty, the owner argued the point, Merc remained like the brick wall. Owner wouldn’t pay and I certainly wasn’t going to pay. Some years later, the car was given to my brother-in-law. The car had clocked less than 15,000mi / 24,000km but was out of warranty by then. First thing he got fixed was the ‘Command Centre’. A friend of his is an auto electrical engineer. My b-in-l expected a length bill but was happily surprised, when a couple of days later, his friend said it was fixed and the bill was around £150. Apparently the unit had never been paired to the car. Something the dealership should have done before handover. So without being paired, it couldn’t be updated and it was never going to work. When the engineer found the problem, he just entered the correct codes and updated the unit’s OS. So if you still aspire to owning a Merc. Remember Daimler-Benz welcomed the Nazi party and its military buildup. The company was the leading armaments maker in Nazi Germany. Airplane motors, spare parts, tanks, armored vehicles, heavy trucks and even a major section of the V-2 rocket were produced for the Third Reich by Merc. Their business ethos doesn’t seem to have changed, being a willing part of Diesel Gate. Buy a Merc and expect to be thrown under the bus.
Chinese brands in the EV space have a huge leg-up in the current environment of waning supplies of battery component materials and steadily increasing copper prices. Stay tuned, as they say.
Hopefully the range isn't waste on screen/HUDs Apparently MG has some answer to this in 2025 or post including LOTUS philosophy of weight reductions including aerated 3D printed plastics for dash & interior, seat materials & unibody alloy compositions. As long as it's reliable and goes up to 100km per charge and supports home 3 phase fast charge for under $30k AUD then I'm in. I don't care about wear and tear, degredation of interior as long as it remains functional. All my cars are lived in and I disregard resale value.
I just can't comprehend why any average person would spend $80K + on ANY car just for city driving, going to the shops etc. It is an INSANE amount of money to spend on JUST A CAR! People who do must have more money than SENSE. I realise these EV and PHEV vehicles may end up costing a lot less under these new novated lease laws, but those who can't benefit from that will be paying $80K+ from their after-tax money.
Where these vehicles that have different capacity batteries on the same platform, can the larger battery be retro fitted? I can understand from a capital standpoint they're offering the smaller capacity to people that can't justify the extended range, but as the battery technology gets cheaper and those vehicles get sold, is there an feasible upgrade pathway for a potential new owner or even the existing owner with a different use case?
John ,please explain how to clain the cost of recharging as there needs to e a metered connection installed at home this running cost claimable needs discussion, if just plugged into a wall socket with the cale that comes with the car, there is no way to claim the recharge cost at all. *easifleet wesite
The batteries in an electric car weighs about 500 kg. To make a car battery of this type, you need to process 10 tons of salt for the required lithium, 15 tonnes of ore for the required cobalt, two tonnes of ore to get enough nickel, and 12 tonnes of copper ore. In total you have to process 200 tons of soil to make a single battery. And if this wasn't enough, this pollutes more than a petrol/diesel car does in 20 years of normal consumption. The mines in South America that mine these minerals also make use of forced child labour to work the mines. Think twice before you buy an electric car.
Does anyone know - do you HAVE to do this with a novated lease to get the FBT exception? Alternatively can the company purchase the vehicle and then the employee salary sacrifices over time and buys the car after 5 years for the ballon payment - but still be eligible for the exception? In other words exactly same set up but cutting out the novated lease (and therefore interest rate)
John what’s your thoughts on Renault brand here in Australia. I am looking at Renault Arkana. What about reliability and customer service from Renault. appreciate your response and personal opinion on Renault. Thanks
Howdy John. I own a recently purchased E Trike to improve the mobility of my crippled arse. On their brochure, the supplier welcomed me to ‘The Light Electric Vehicle Community.’ My question is, if I am riding out front, does that make me a Leading Light of The Electric Vehicle Community ? I was really hoping to join The Electric Light Orchestra. Any thoughts ?
Ok, so nobody’s answering, so can’t we just let it ring a little longer, longer, longer… I’ll just sit tight, in shadows of the night, and post a comment for ever more….
I never really understand PHEV's. As your either lugging around a petrol engine while in EV mode or lugging around an electric motor & battery while in petrol mode. Unless it's a true hybrid & using both at the same time.
Don't get too excited, most novated leases have 10% comparison rates on the finance. The 30 odd percent you save basically going to the lease providers. It's basically a zero to very low interest free loan
i know there is no Tesla's on the market in Australia have spaces. repair kits are an extra - $150 with elec pump. Spare tyres are often removed now days to save weight. less weight, less CO2
@@Alex.I.Jane88 and…one less tyre. Shrinkflation at work, no matter what the excuse is. If you desire less of all the bad climate stuff, STOP buying plastic wrapped stuff at the supermarket. And, don’t own a big dog. A dog over 30 kgs has a larger lifetime carbon bubble than a Toyota Landcruiser. STOP buying single use plastic.
@@dougstubbs9637 My 70+kg Great Dane says he's going to come around & burst your carbon bubble. And don't worry, he'll recycle you around your garden...
The estimates I have seen from nova lease companies on EV cars are more expensive than if you got the ability to take the money out of your homeloan (redraw or offset) to get a car.
John love your work but it is not correct to say you eliminate the GST entirely. GST is not borne on the purchase (up to thr limit you mention) but is payable on the residual/payout figure, therefore there is a GST benefit, but it is not the 'entire' GST. The longer the lease period, the lower the residual payment, the greater the GST benefit. Of course people should take their own advice on the tax effectiveness of these arrangements.
You don't have to pay the residual. Typically, you just go again with a new vehicle... Like, you don't own the vehicle - the leasing company does. You only pay the GST at the end of the lease if you buy it. Same as if you buy anything else.
Got some quotes from a number of different sources. Turns out even with the tax incentives the lease companies are finding ways to make that money back themselves. An equivalent ICE car is still very much the better option from a financial point of view.
Make sure you don’t just rely on the online calculators as they’re incorrect. I had to call and speak with smart leasing to get a proper quote. The difference was huge and way cheaper than ICE vehicles.
@@bv9735 I’m glad you had that experience. I had a very different experience through my employers designated leasing company. Their online calculator was much cheaper than their quote which was frankly extortionate.
I got an atto 3 on lease for 5 years. The loan repayments plus residual after 5 years is basically $49k... Same as the drive away price. During those 5 years, all running costs are discounted by my tax rate - insurance, rego, maintenance, tyres and electricity. Could easily save $1k a year. Plus I can keep that $49k in a bank account/offset which would generate/save interest @4-5% Copared to a fully specced kia seltos @ $47600 drive away. You have to finance the car, running costs arent discounted. Fuel use at 15000km with a 7.4l/100km @ $1.8 a litre is an extra $2k a year. Just from the fuel use alone an ev is gonna save you $2k a year, let alone the ~37% you save on running costs for using a novated lease. Yes novated lease companies are scumbags, the interest rates are basically at 10-11% but at worst case scenario you're getting a free loan on an ev.. Which is still better financially than a comparable ice Your quote probably sucked because you didn't customise it using your figures. They bundle alot of useless shit on the lease, tell them to take everything off and quote them the price of your preferred insurance and running expenses.
Good on ya John, electric vehicles and tax effectiveness is one thing Mate Overall I think they should make ex wives a tax loss that would save both of us a lot of money there big fella. I think it would save you more than me
Hi there Was today looking for RAV 4 At the moment, I can't find any further info about eligibility Just game of waiting up to 2 years Anyone can shed some light
Very good list! Just wondering why Tesla Model Y isn't on the list even though the cost of the base Model Y is pretty much the same as the 3 Long Range? Also with the threshold $84,916, is it correct if the drive away price is $1 more then we will be liable for all $84,917 or just that $1 over?
Even now while I actually don’t have any reason to go visit my local Shell or Ampol Servo…. I have just been informed that Chockito, now limited edition chewy caramel fudge, crunchy balls, and loads of chocolate…. Are currently on the Counter as special promotion, two for one……. Despite reminding me always of the Caddyshak Bill Murrey swimming pool scene…… On the Front Counter of my nearest servo is to where I now depart, with the wind whistling through the cheeks of my arse… On my electric chariot, the Tricycle for a Tripod, which identifies as a Honda Goldwing…….
Should have gone once Holden shut up shop. Was there to "protect" the domestic manufacturing but failed miserably when the domestic product was crap in comparison.
In Australia, fuel efficient vehicles attract less Luxury Car Tax, The Luxury Car Tax is levied at 33c on each dollar above a certain threshold. For most cars that threshold is $71,849 in 2022, however for fuel efficient vehicles the threshold is $84,916.
It’s a shame that novated lease companies are absolute crooks when it comes to the interest rate they charge, as well as all the insurances. Take for example, smart salary want $1999.92 per year for insurance on a PHEV which is about $1300 elsewhere, and the interest rate by Maxxia is 12.25% pa when CommBank offer 5.49% through the EV Access Program. I hope everyone does their homework and gets good financial advice before signing up for 5 years. And don’t forget the residual debt (balloon payment) which can’t be reduced over the lease to reduce the payment. If novated lease companies weren’t so greedy I would consider a novated lease. You can get multiple quotes from different companies and play them against each other, but who would want to go into a business agreement with an unethical company in the first place?
@@letsseeif I also think it's close to one of the better EV cars available right now. It should have Toyota reliability, Toyota/Lexus resale value. It's one of very, very few that has cooled seats, which really in Australia's climate is much more relevant than heated seats. 2 main things letting it down. The range isn't as great as others. The very outdated non-touch screen infotainment system. If those 2 aren't a deal breaker, then it's a good buy.
Shame a year a so or go an EV Kona, 80k ish with the 7.7KW charger...(kW)? Can't remember the correct nomenclature... can't remember if that's even the correct term. Will back up the tyre change, as well. If you can afford a car that was over 70k, you can afford better tyres. Fortunately my father bought the Electric Vehicle about a week before the AMG GLC43, (would have been a Porsche Maccan GTS or the 63, but when you've got less time than shipping...) the 43 isn't bad. The crabbing sucks...especially in reverse. Be wary in Tassie..I mean, they might not care, but the same customer puts in a Volvo XC70 for service...4 light globes were out. They replaced the globe working. The entire left headlight setup was ignored...so I would suggest in Hobart. Don't go Volvo's even though I love mine. As an ex car salemsan, never buy used European...or American, or anything that I have previously owned because I don't follow my own advice. The Kona went over the Tesla because there's backup, especially in Tas? I have had proper 4WDs of every brand except Land Rover. The model X? Not sure...I saw had about the same panel gaps as my 440 000k '88 Patrol... And it was way cooler than the automotive version of Nickelback....,
As a travelling sales rep, who does 30,000 plus kms per year, I’ve been considering going EV. I currently drive a 2021 Ranger XLT, can you give me 3 vehicles to seriously consider?
Seriously, 30,000K an year on an EV are going to be hell. EV's are generally good for small trips and then coming back "home" where you top their charge, ready for the next trip. Bigger trips though, require serious scheduling as to where to stop in order to charge, and for how much time. You know your needs better than any of us. If your trips are generally small (but many in order to fit the 30,000K mark) then it could work. But if you do frequent 250+ km roundtrips, then an EV is not the right tool for that job YET.
Cheap cars for cheap people wow just give free money to drive something not actually green. Will be interesting in three years when these pieces of crap are up for resale.
Lol you say the Volvo, Polestar, Peugeot have no dealership network but doesn't highlight this same issue with Tesla. Also all Tesla sold in Australia from now on are built in China and build quality is about as good as MG. One of the worst EV brands in the world.
@jamesc2810 the Liberal government is the absolute worst at benefiting the wealthy... shame you can't access this. I personally believe Australia isnt ready for the EV revolution. Pity the taxpayer has to come to the party to make this happen.
Given you’ve posted this three times on his videos and he hasn’t bothered to respond, I am guessing he doesn’t give a rats about your opinion of his t-shirt… might need to consider growing up a bit.
Details about the Federal Government's FBT exemption for EVs under $84,916: autoexpert.com.au/novated-lease
Visit Novated Lease Australia: bit.ly/3G5EJAo
SMALL CORRECTION: Mitsubishi Outlander PHEV battery capacity is 20kWh, not the 22kWh I stated in the report. Apologies.
Thank you, John, for the information. It is very useful and informative. I did some research online and discovered that the older models of the Outlander PHEV had issues with battery degradation. I'm curious to know if the battery degradation issue has been resolved in the 2023 Mitsubishi Outlander PHEV?
Are we allowed to import directly from CΗίΝα…?
My parents have the top model New outlander PHEV, they get more range than mitsi quote on the battery. regularly get 92ks battery alone. The functionality and settings that you can use to make best use of the hybrid are mind blowing. i have driven it on 550k trip and even with a depleted battery it still doesn't use much fuel for a large comfy car. i was blown away with how well the system works, seamless between modes, regen braking gets a surprising amount back in charge and its generally a nice place to be. I could go on for ages on what it can do but i wont, just to say it has more useful things it does than the brochure says. plus it looks great in black diamond colour.
As a Diesel Outlander owner the only option for me would be the PHEV. It's definitely the best package and as someone who's tested a Mitsubishi warranty and support, it's true they don't leave you out in the cold. Comparable to Honda and much better than Toyota. I'd buy another in a heartbeat and the new PHEV is the best on the market for our conditions and distances.
Thanks, nice to know. Not I can afford it or will get ev any time soon.
unless you need 7 seats, you can spend $20k less and have a BYD Sealion 6 for $20k less. I predict Mitsubishi PHEV sales will tank
Like all salary sacrifice arrangements, it is extremely important to know the pre-tax payment out of your gross salary. Some Financiers try to dress up a bad lease agreement by showing you the post-tax benefit. Do your maths calculating the total leaseobligation by multiplying th pre-tax payment by loan repayment frequency and adding the balloon/residual payment at the end of the lease term. If you find the total is 120%+ than the actual driveway price, then run away. Before signing, ask for the PDS and Loan terms especially the implicit interest rate.
Your spreadsheet, by the way, is fantastic!
The main problem is employers tied to one novation company , at 11.4% finance being charged on the car, the only people benefitting from my pre-tax money are the financier.
Really appreciate this report from you. 🙏
Just be careful, a novated lease is a loan, it’s a loan that you effectively pay all the interest first (makes it costly to exit early), and as all loans, make sure you get the best rate (they will sting you if they can get away with it)
Damn! I've been watching you too long. While having my first coffee this morning, I read a note then crumpled it up. Threw it at the bin and got it in on the rebound then double fist pumped and yelled YES!. True story😄
Perfect. I have totally corrupted you. Yesssssss!
@@AutoExpertJC 🤣
@@AutoExpertJC and just like you, John, Carl has no camera on that bin, thus……
If a tree falls in the forest and nobody hears it…..
And Toyota missed out on sales due to no Prime models in Australia
You explain this really well. It's otherwise thoroughly confusing any other way. I just wish the companies I've worked for offer it because it's very tempting... I just can't really decide on any EV I want to live with for the next 5 years.
Could you do a video with some tips if a persons wanted to end a novated lease early? Cheers for great content👍🏻
When I got a quote last month the BMW iX1 was under the limit (just)
Kona just going through a refresh as well, so if that's the one you're after, you might want to wait a little bit till it gets to Aussie
Agreed. It will only be better.
I’d be interested if you could do a review of the 2023 hybrid Outlander. Most of the other online reviewers (admittedly with undisclosed motivators) give a positive account of the car however I see a theme in that once the car is travelling at speeds over 100-ish Km/h torque rapidly tails off and swift (safe) overtaking may become a challenge in some scenarios. The half a dozen long country drives I make each year require the overtaking of many B-doubles and triples (many travelling well above 90 but below 115). I would welcome your impartial opinion on the country driving capability of the car once tested. Many thanks John. Andrew
The real question is what is the underlying interest typically charged on a novated lease?
I'm still with your earlier opinion, regarding manufacturers having a "shitwah" model. I do 5X 50km commutes at highway speed 80% 100kph and was considering a EV motorcycle for this route as it is fairly friendly to that. But an EV MG option appeared with a back feed option, but I would like to see a deep dive on that option first.
"shitwah" or "shitoir"? Wasn't John attempting to corrupt the word "boudoir"?
@@rafflesnh who knows with us old fellas.
Great video John. Just heard you on ABC they called you John Cardigan haha
Great work Sir. As usual. I'll take my time and look at reliability over the next 5 to 10 years before considering these advanced vehicles built from components sourced from the lowest bidder... 😀
Thanks for the video John. Pretty sure that the rules are -it doesn’t have to be a novated lease to qualify for no FBT on Evs
Problem is, you don't pay fringe benefit tax if you aren't making pre-tax payments. That's the whole point of a fringe benefit tax. You're getting taxed on the benefit.
The new Mazda PHEV is the CX-60, not the CX-30 (you have it right on your website). It is also, as I understand it, not available as a three-row vehicle (your website states it's avaialble) - that'll be the CX-80/CX-90 I believe.
Oh, and the CX-60's not in country until June I believe. :)
I’ve pre-ordered one and can’t wait!
G’day JC. I’m a teacher currently on my 4th leased vehicle. None of the cars I’ve previously or currently lease have been new - instead they’ve been 2-3 years old at time of purchase/lease. Any idea if the new eco vehicle leasing rules only apply to new vehicles, or do they also apply to used/near new vehicles as well? Love your work, thanks for your time mate. Cheers
I’m using a novated lease for the EV I have because I never owned a ev before. I think it is a good idea for these cars.
Can I confirm that the Tesla Model Y long range now falls under the threshold? The Drive away price on their website is $84,595 in Victoria.
Are we allowed to import directly from CΗίΝα…?
Available in market might be a stretch. I’ve checked with 2 lease companies (your mates and my employers agent) on Sorrento and outlander PHEV, both said 18-24 month delivery time. Was going to check Mazda PHEV but it’s not even at general release yet. Is this our “new normal” post apocalypse, can’t walk into a dealer and exercise retail therapy?
Example of Mercedes after sales service. Once had a Merc E350 on extended loan, the owner couldn’t drive it and it was only used to transport him. I paid for the running. Nice to drive, heavy on fuel in my mountainous Brexitania location. Everything mechanical worked fine but the comically titled ‘Command Centre’, that never worked. And so there was no way of adjusting anything from that unit. Couldn’t adjust the speed of the windscreen wipers, the radio didn’t work, the CD drive never worked, sat nav never worked, all the warning bongs, bings and bells that could technically be switched off, could not be switched off. This included the rear parking sensors, so every time someone was near the boot/trunk, the car sounded its particular brand of cacophony and the list of malfunctions goes on and on.
Took it into Merc dealership within warranty, they said it could be repaired and were only interested in replacing the whole unit, GB £2,000+VAT+fitting. Merc said it wasn’t covered by warranty, the owner argued the point, Merc remained like the brick wall. Owner wouldn’t pay and I certainly wasn’t going to pay.
Some years later, the car was given to my brother-in-law. The car had clocked less than 15,000mi / 24,000km but was out of warranty by then. First thing he got fixed was the ‘Command Centre’. A friend of his is an auto electrical engineer. My b-in-l expected a length bill but was happily surprised, when a couple of days later, his friend said it was fixed and the bill was around £150. Apparently the unit had never been paired to the car. Something the dealership should have done before handover. So without being paired, it couldn’t be updated and it was never going to work. When the engineer found the problem, he just entered the correct codes and updated the unit’s OS.
So if you still aspire to owning a Merc. Remember Daimler-Benz welcomed the Nazi party and its military buildup. The company was the leading armaments maker in Nazi Germany. Airplane motors, spare parts, tanks, armored vehicles, heavy trucks and even a major section of the V-2 rocket were produced for the Third Reich by Merc. Their business ethos doesn’t seem to have changed, being a willing part of Diesel Gate. Buy a Merc and expect to be thrown under the bus.
You could mention the nearly present MX-30 R-EV (range extender version)
I believe the tesla model y long range slips under the threshold now as long as you don't add any extras.
Chinese brands in the EV space have a huge leg-up in the current environment of waning supplies of battery component materials and steadily increasing copper prices. Stay tuned, as they say.
Hopefully the range isn't waste on screen/HUDs
Apparently MG has some answer to this in 2025 or post including LOTUS philosophy of weight reductions including aerated 3D printed plastics for dash & interior, seat materials & unibody alloy compositions.
As long as it's reliable and goes up to 100km per charge and supports home 3 phase fast charge for under $30k AUD then I'm in.
I don't care about wear and tear, degredation of interior as long as it remains functional.
All my cars are lived in and I disregard resale value.
I just can't comprehend why any average person would spend $80K + on ANY car just for city driving, going to the shops etc. It is an INSANE amount of money to spend on JUST A CAR! People who do must have more money than SENSE. I realise these EV and PHEV vehicles may end up costing a lot less under these new novated lease laws, but those who can't benefit from that will be paying $80K+ from their after-tax money.
With the Government incentive, an $80,000 EV/PHEV equates to something like a $40,000 ICE car in repayments so it’s a pretty attractive.
Where these vehicles that have different capacity batteries on the same platform, can the larger battery be retro fitted? I can understand from a capital standpoint they're offering the smaller capacity to people that can't justify the extended range, but as the battery technology gets cheaper and those vehicles get sold, is there an feasible upgrade pathway for a potential new owner or even the existing owner with a different use case?
Thx John.
John ,please explain how to clain the cost of recharging as there needs to e a metered connection installed at home this running cost claimable needs discussion, if just plugged into a wall socket with the cale that comes with the car, there is no way to claim the recharge cost at all. *easifleet wesite
If you went to the maximum limit of $84916, what would “ball park” repayments be like?
Very good view. Love it wait. Can I say Mitsubishi outlander is the winner in big cars ? Or Lexus or Ionic 5?
The batteries in an electric car weighs about 500 kg. To make a car battery of this type, you need to process 10 tons of salt for the required lithium, 15 tonnes of ore for the required cobalt, two tonnes of ore to get enough nickel, and 12 tonnes of copper ore. In total you have to process 200 tons of soil to make a single battery.
And if this wasn't enough, this pollutes more than a petrol/diesel car does in 20 years of normal consumption. The mines in South America that mine these minerals also make use of forced child labour to work the mines.
Think twice before you buy an electric car.
That is absolute horse shit. Many studies have found within a short period of time an EV is much more environmentally friendly than an ice vehicle.
Does anyone know - do you HAVE to do this with a novated lease to get the FBT exception? Alternatively can the company purchase the vehicle and then the employee salary sacrifices over time and buys the car after 5 years for the ballon payment - but still be eligible for the exception? In other words exactly same set up but cutting out the novated lease (and therefore interest rate)
John what’s your thoughts on Renault brand here in Australia. I am looking at Renault Arkana. What about reliability and customer service from Renault. appreciate your response and personal opinion on Renault. Thanks
Don’t buy it
I wonder if the GWM Tank 300 will be eligible. That sounds like an interesting twist in this category
Great thoughts thanks mate 🤙👍
How about the BMW iX1 EV does it qualify for the novated lease? Cheers.
All I want is pure electric designed from ground up with a 60-80km range with fast charge.... Small 3 door hatch if possible.
Howdy John. I own a recently purchased E Trike to improve the mobility of my crippled arse. On their brochure, the supplier welcomed me to ‘The Light Electric Vehicle Community.’ My question is, if I am riding out front, does that make me a Leading Light of The Electric Vehicle Community ? I was really hoping to join The Electric Light Orchestra. Any thoughts ?
Don't bring me down, evil woman. Get the last train to London. It's a livin' thing...
Ok, so nobody’s answering, so can’t we just let it ring a little longer, longer, longer…
I’ll just sit tight, in shadows of the night, and post a comment for ever more….
Don't bring me down, dude.
@@AutoExpertJC Mr Blue Sky,
Please tell us why,
You had to hide away
For so long, so long...
I never really understand PHEV's. As your either lugging around a petrol engine while in EV mode or lugging around an electric motor & battery while in petrol mode.
Unless it's a true hybrid & using both at the same time.
Great video, thanks for covering preorder cars as well such as the CX-60.
Don't get too excited, most novated leases have 10% comparison rates on the finance. The 30 odd percent you save basically going to the lease providers. It's basically a zero to very low interest free loan
Tesla is the Coca Cola of EVs. Nice list John with valuable comments.
would like you to have covered which ones have full size spare tyres, space savers or repair kits?
Easy to look up.
i know there is no Tesla's on the market in Australia have spaces.
repair kits are an extra - $150 with elec pump.
Spare tyres are often removed now days to save weight.
less weight, less CO2
@@Alex.I.Jane88 and…one less tyre. Shrinkflation at work, no matter what the excuse is. If you desire less of all the bad climate stuff, STOP buying plastic wrapped stuff at the supermarket. And, don’t own a big dog. A dog over 30 kgs has a larger lifetime carbon bubble than a Toyota Landcruiser. STOP buying single use plastic.
@@dougstubbs9637 My 70+kg Great Dane says he's going to come around & burst your carbon bubble. And don't worry, he'll recycle you around your garden...
@@Alex.I.Jane88 but a tyre repair kit and an electric pump is cheap and you get an excellent boot in the model 3
What about BMW iX1?
The estimates I have seen from nova lease companies on EV cars are more expensive than if you got the ability to take the money out of your homeloan (redraw or offset) to get a car.
How about the MG4
Very informative video 👍. Does this incentive includes used car aswell which you have mentioned as waiting times are unbearable at ATM. Thanks.
Don't know about the FBT side of it, but usually you can get a novated lease on a car less than 5 years old.
My Sheila loves the ghetto engineering…come on JC💪
John love your work but it is not correct to say you eliminate the GST entirely. GST is not borne on the purchase (up to thr limit you mention) but is payable on the residual/payout figure, therefore there is a GST benefit, but it is not the 'entire' GST. The longer the lease period, the lower the residual payment, the greater the GST benefit. Of course people should take their own advice on the tax effectiveness of these arrangements.
You don't have to pay the residual. Typically, you just go again with a new vehicle... Like, you don't own the vehicle - the leasing company does. You only pay the GST at the end of the lease if you buy it. Same as if you buy anything else.
Got some quotes from a number of different sources. Turns out even with the tax incentives the lease companies are finding ways to make that money back themselves. An equivalent ICE car is still very much the better option from a financial point of view.
Make sure you don’t just rely on the online calculators as they’re incorrect. I had to call and speak with smart leasing to get a proper quote. The difference was huge and way cheaper than ICE vehicles.
@@bv9735 I’m glad you had that experience. I had a very different experience through my employers designated leasing company. Their online calculator was much cheaper than their quote which was frankly extortionate.
@@Superfly1503 Damn that's not good.
I got an atto 3 on lease for 5 years. The loan repayments plus residual after 5 years is basically $49k... Same as the drive away price. During those 5 years, all running costs are discounted by my tax rate - insurance, rego, maintenance, tyres and electricity. Could easily save $1k a year. Plus I can keep that $49k in a bank account/offset which would generate/save interest @4-5%
Copared to a fully specced kia seltos @ $47600 drive away. You have to finance the car, running costs arent discounted. Fuel use at 15000km with a 7.4l/100km @ $1.8 a litre is an extra $2k a year.
Just from the fuel use alone an ev is gonna save you $2k a year, let alone the ~37% you save on running costs for using a novated lease.
Yes novated lease companies are scumbags, the interest rates are basically at 10-11% but at worst case scenario you're getting a free loan on an ev.. Which is still better financially than a comparable ice
Your quote probably sucked because you didn't customise it using your figures. They bundle alot of useless shit on the lease, tell them to take everything off and quote them the price of your preferred insurance and running expenses.
Subsidies for ev's and charging stations
Are there any benefit/incentive for a retired person basically not paying any tax for buying an cheap EV ?
No.
Yes buying an EV in Aus will be complex. It's the Australian way . .
Good on ya John,
electric vehicles and tax effectiveness is one thing Mate
Overall I think they should make ex wives a tax loss
that would save both of us a lot of money there big fella.
I think it would save you more than me
Is it 20kw or 22kw for the Mitsubishi Outlander PHEV?
Sorry - it's 20. You're quite correct.
Well I guess the F150 Lightning isn’t going to happen for me. Thanks Albo.
Hi there
Was today looking for RAV 4
At the moment, I can't find any further info about eligibility
Just game of waiting up to 2 years
Anyone can shed some light
RAV4 is not a plug-in hybrid, so it is not eligible
Very good list!
Just wondering why Tesla Model Y isn't on the list even though the cost of the base Model Y is pretty much the same as the 3 Long Range?
Also with the threshold $84,916, is it correct if the drive away price is $1 more then we will be liable for all $84,917 or just that $1 over?
Even now while I actually don’t have any reason to go visit my local Shell or Ampol Servo….
I have just been informed that Chockito, now limited edition chewy caramel fudge, crunchy balls, and loads of chocolate….
Are currently on the Counter as special promotion, two for one…….
Despite reminding me always of the Caddyshak Bill Murrey swimming pool scene……
On the Front Counter of my nearest servo is to where I now depart, with the wind whistling through the cheeks of my arse…
On my electric chariot, the Tricycle for a Tripod, which identifies as a Honda Goldwing…….
I even wear a WW2 German helmet type skid lid.
And spoky dokies…
If only Poly Waffles would come back.
Does novated leasing reduce your employer superannuation contribution
no
@@stevemcintyre4398 thanks
They should just abolish the luxury car tax altogether.
I agree. It's a croc.
Should have gone once Holden shut up shop. Was there to "protect" the domestic manufacturing but failed miserably when the domestic product was crap in comparison.
In Australia, fuel efficient vehicles attract less Luxury Car Tax, The Luxury Car Tax is levied at 33c on each dollar above a certain threshold. For most cars that threshold is $71,849 in 2022, however for fuel efficient vehicles the threshold is $84,916.
@@AutoExpertJC don’t get between a inept polly and a tax which yields a dollar!
Better to abolish ev's altogether 👍👍👍
It’s a shame that novated lease companies are absolute crooks when it comes to the interest rate they charge, as well as all the insurances. Take for example, smart salary want $1999.92 per year for insurance on a PHEV which is about $1300 elsewhere, and the interest rate by Maxxia is 12.25% pa when CommBank offer 5.49% through the EV Access Program. I hope everyone does their homework and gets good financial advice before signing up for 5 years. And don’t forget the residual debt (balloon payment) which can’t be reduced over the lease to reduce the payment. If novated lease companies weren’t so greedy I would consider a novated lease. You can get multiple quotes from different companies and play them against each other, but who would want to go into a business agreement with an unethical company in the first place?
I'm not a Toyota fanboy but I wonder whether Toyota has and vehicles that qualify.
The Lexus is basically a Toyota with a suit on.
@@purplehazeffc Spot on. funny too
@@letsseeif I also think it's close to one of the better EV cars available right now.
It should have Toyota reliability, Toyota/Lexus resale value. It's one of very, very few that has cooled seats, which really in Australia's climate is much more relevant than heated seats. 2 main things letting it down. The range isn't as great as others. The very outdated non-touch screen infotainment system. If those 2 aren't a deal breaker, then it's a good buy.
@@purplehazeffc excellent description. i must re use you apt and funny reply.
Shame a year a so or go an EV Kona, 80k ish with the 7.7KW charger...(kW)? Can't remember the correct nomenclature... can't remember if that's even the correct term. Will back up the tyre change, as well. If you can afford a car that was over 70k, you can afford better tyres. Fortunately my father bought the Electric Vehicle about a week before the AMG GLC43, (would have been a Porsche Maccan GTS or the 63, but when you've got less time than shipping...) the 43 isn't bad. The crabbing sucks...especially in reverse. Be wary in Tassie..I mean, they might not care, but the same customer puts in a Volvo XC70 for service...4 light globes were out.
They replaced the globe working. The entire left headlight setup was ignored...so I would suggest in Hobart. Don't go Volvo's even though I love mine. As an ex car salemsan, never buy used European...or American, or anything that I have previously owned because I don't follow my own advice.
The Kona went over the Tesla because there's backup, especially in Tas?
I have had proper 4WDs of every brand except Land Rover. The model X? Not sure...I saw had about the same panel gaps as my 440 000k '88 Patrol...
And it was way cooler than the automotive version of Nickelback....,
As a travelling sales rep, who does 30,000 plus kms per year, I’ve been considering going EV. I currently drive a 2021 Ranger XLT, can you give me 3 vehicles to seriously consider?
Car, bus and train
Seriously, 30,000K an year on an EV are going to be hell. EV's are generally good for small trips and then coming back "home" where you top their charge, ready for the next trip.
Bigger trips though, require serious scheduling as to where to stop in order to charge, and for how much time.
You know your needs better than any of us. If your trips are generally small (but many in order to fit the 30,000K mark) then it could work. But if you do frequent 250+ km roundtrips, then an EV is not the right tool for that job YET.
Horse, donkey or ox.
I love that Toyota greenwashed the market for years with the Prius but aren’t even on this list 😂
Looking forward to Lithium cell vehicles being banned from tunnels, carparks and anywhere close to where humans sleep.
Ora ?
Cheap cars for cheap people wow just give free money to drive something not actually green. Will be interesting in three years when these pieces of crap are up for resale.
Lol you say the Volvo, Polestar, Peugeot have no dealership network but doesn't highlight this same issue with Tesla.
Also all Tesla sold in Australia from now on are built in China and build quality is about as good as MG.
One of the worst EV brands in the world.
Be honest - you eagerly waited for him to get to Tesla 😂
The next generation of MG ZS EV must terrify the Japanese and South Korean brands.
Labour Party benefiting the wealthy and corporate Australia.
Are you kidding.... you're delusional.
@@scottbrady4472 yeah, I am Australian, I must be delusional. It’s a requirement. I work for a small business, no chance of taking advantage of this.
@jamesc2810 the Liberal government is the absolute worst at benefiting the wealthy... shame you can't access this. I personally believe Australia isnt ready for the EV revolution. Pity the taxpayer has to come to the party to make this happen.
Wow John really hates BYD.
His points are worth people considering
You dont like European cars ? Its a pretty weighted conversation....
I love them. So entertaining seeing them getting towed all the time, like Jeeps.
Nice gay t-shirt John!!!
WW3 Belarus edition?
Given you’ve posted this three times on his videos and he hasn’t bothered to respond, I am guessing he doesn’t give a rats about your opinion of his t-shirt… might need to consider growing up a bit.
He does give a rat's arse. Pretty small rat, however.
Reported! 😋
Great. Looking forward to it.
@@AutoExpertJC was referring to ghs and how the other dude reported him in the previous video 😉
We all know the t-shirts are pretty cool 😎