Tesla Novated Lease Australia

Drive a Tesla through a novated lease and package the vehicle, charging and selected running costs into one structured payment from your salary.

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Asset Finance Partners helps eligible Australian employees compare Tesla novated lease options for the Tesla Model 3 and Tesla Model Y. We look beyond the advertised repayment to model the total cost of driving, including your income, employer arrangements, vehicle configuration, lease term, kilometres, insurance, registration, tyres, servicing and charging.

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For many employees, an eligible battery-electric Tesla may receive the electric-car Fringe Benefits Tax (FBT) exemption. This can make an EV novated lease more tax-effective than packaging an equivalent petrol or diesel vehicle. Eligibility depends on the vehicle, its value when first held and used, your employment arrangement and current tax law. We will explain the assumptions clearly before you proceed.

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What is a Tesla novated lease?

A Tesla novated lease is a three-party arrangement between you, your employer and a finance provider.

You choose the Tesla and the lease structure. The finance agreement is “novated” to your employer, which means your employer makes lease payments from your salary while you remain responsible for the finance contract. A salary-packaging provider or your employer may also manage the running-cost budget.

Your regular package can include:

• Tesla vehicle finance

• Comprehensive insurance

• Registration and CTP

• Scheduled servicing and maintenance

• Tyres

• Charging costs, including eligible home and public charging arrangements

• Roadside assistance, where included

• Administration fees

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At the end of the lease, there is usually a residual value, also called a balloon payment. You can generally pay the residual, refinance it, sell or trade the Tesla, or start another lease, subject to the terms of your agreement.

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Why lease a Tesla through salary packaging?

Tesla vehicles are particularly popular for novated leasing because they are battery electric, have low routine maintenance needs and can be suitable for the current EV FBT exemption when all requirements are met.

A Tesla novated lease may help you:

• Use a mix of pre-tax and post-tax salary deductions, depending on eligibility and structure

• Package predictable vehicle running costs into one regular payment

• Avoid paying a large upfront amount for the car

• Choose a new Tesla or, in some circumstances, an eligible used Tesla

• Benefit from the FBT treatment available for eligible battery-electric vehicles

• Match the lease term and kilometre allowance to how you actually drive

• Compare financing, running costs and end-of-lease options before placing an order

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The important figure is not simply the finance repayment. A useful Tesla novated lease comparison considers your after-tax pay, all package costs, likely charging spend, expected kilometres, residual value and the value of any included services.

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Tesla and the EV FBT exemption

Eligible electric cars can be exempt from FBT, including associated car expenses. For an EV novated lease, this can reduce the post-tax employee contribution that is often used to offset FBT on conventional-car leases.

In broad terms, the exemption may apply where the vehicle:

• Is a battery-electric, hydrogen fuel-cell or qualifying plug-in hybrid vehicle under the rules applying at the relevant time

• Was first held and used on or after 1 July 2022

• Falls under the applicable fuel-efficient luxury car tax threshold when first held and used

• Is provided to an employee or their associate under an eligible arrangement

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Tesla Model 3 and Model Y vehicles are battery-electric vehicles, but the precise configuration, price, delivery timing and legislation need to be checked before relying on any tax outcome. Plug-in hybrids generally do not qualify for new exemption arrangements from 1 April 2025 unless grandfathering applies.

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Even where an EV benefit is FBT-exempt, it may still be reportable on your income statement and can affect certain income-tested obligations or benefits. Asset Finance Partners can work with your employer or packaging provider, but you should obtain independent tax advice for your personal circumstances.

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Tesla Model 3 novated lease

The Tesla Model 3 is a fully electric sedan suited to drivers who want an efficient commuter vehicle, a long-range touring option or a higher-performance EV in a streamlined body shape.

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Current Australian Model 3 choices can include variants such as:

Model 3 Rear-Wheel Drive

The entry point into the Model 3 range. This option can suit employees focused on an efficient EV for commuting, city driving and regular highway travel. It is often a practical starting point for a salary-package quote because it combines Tesla’s core technology with a lower vehicle cost than higher-spec variants.

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Model 3 Premium Long Range Rear-Wheel Drive

A strong option for drivers who value additional WLTP range and longer-distance flexibility. Tesla publishes figures that can change with wheel size and configuration, so we will use the specific vehicle quote rather than relying on a generic range claim. Consider this model if you have frequent regional travel, limited charging opportunities or simply want more buffer between charges.

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Model 3 Performance All-Wheel Drive

The performance-focused Model 3 pairs all-wheel drive with significantly faster acceleration and sportier specification. It can suit drivers who want a high-performance EV while still using a novated lease to package their motoring costs. Because wheels, tyres, insurance and vehicle price can all affect the overall package, it is worth comparing the total cost against the Long Range option rather than choosing solely on the weekly repayment.

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Who is the Model 3 best for?

A Tesla Model 3 novated lease may suit:

• Professionals commuting into Sydney, Melbourne, Brisbane, Canberra, Adelaide, Perth or regional centres

• Employees with reliable home, workplace or nearby public charging

• Drivers who prefer a lower, sedan-style driving position

• People who travel moderate to high kilometres each year

• Drivers wanting a long-range EV without moving to an SUV

• Employees comparing an EV novated lease with a car loan or cash purchase

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Tesla Model Y novated lease

The Tesla Model Y is a midsize electric SUV with a more upright seating position, flexible cargo space and family-friendly practicality. It is commonly considered by employees replacing a medium SUV, a second family car or a vehicle used for regular weekend and regional travel.

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Current Australian Model Y choices can include variants such as:

Model Y Rear-Wheel Drive

A practical electric SUV option for everyday driving. It can appeal to employees who want the space and ride height of an SUV while keeping their novated lease budget focused on a lower-cost Tesla configuration.

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Model Y Premium Rear-Wheel Drive

A step-up option for drivers who want additional specification while retaining rear-wheel-drive efficiency. The right comparison is not only the vehicle price: we assess insurance, tyres, estimated charging, kilometres and the resulting salary impact across the full lease term.

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Model Y Premium Long Range All-Wheel Drive

This variant may suit drivers who prioritise longer trips, extra traction and an increased range buffer. Tesla’s published estimates are based on defined test conditions and actual range will vary with speed, weather, wheel choice, payload, driving style and battery condition. For drivers who regularly travel between cities or into regional NSW, VIC, QLD, SA, WA, ACT or Tasmania, the long-range option can be worth modelling.

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Model Y Performance All-Wheel Drive

The performance version is designed for employees wanting an electric SUV with stronger acceleration and performance-oriented specification. It may have a higher overall package cost than other Model Y variants, so our role is to show the projected after-tax impact and help you choose based on your priorities rather than marketing figures alone.

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Who is the Model Y best for?

A Tesla Model Y novated lease may suit:

• Families needing more cabin and boot flexibility

• Employees replacing a petrol or diesel SUV

• Drivers who prefer a higher seating position

• People carrying sports gear, prams, luggage or work equipment

• Drivers planning regular road trips

• Employees who want an EV that works as both a weekday commuter and family vehicle

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Model 3 vs Model Y: which Tesla should you lease?

ConsiderationTesla Model 3Tesla Model Y

Vehicle styleElectric sedanElectric midsize SUV

Best suited toCommuters, drivers prioritising efficiency and sedan handlingFamilies, SUV drivers and people wanting extra practicality

Cabin and cargoStreamlined sedan layoutMore upright seating and flexible cargo space

Typical decision pointLower-profile daily driving and long-range touringSpace, ride height and versatile family use

Lease comparisonCompare trim, term, kilometres and chargingCompare trim, term, kilometres, tyres and insurance

There is no universal “best” Tesla novated lease. The right choice depends on your salary, employer participation, home charging access, annual kilometres, preferred body style and comfort with the end-of-lease residual.

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What does a Tesla novated lease include?

A fully maintained Tesla novated lease can bundle the vehicle finance and an estimated budget for many ongoing costs. Inclusions vary by provider and employer, but may include:

• Vehicle finance

• Registration and CTP

• Comprehensive insurance

• Tyres and tyre replacement allowances

• Servicing and maintenance

• Eligible public charging costs

• Eligible home charging cost arrangements

• Roadside assistance

• Administration and management fees

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Tesla’s published vehicle warranty, battery warranty and service arrangements should be reviewed for the exact model and delivery date. Battery-electric vehicles generally have fewer routine mechanical service items than internal-combustion vehicles, but tyres, insurance, registration, repairs and charging still matter in the budget.

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Charging a Tesla on a novated lease

Charging is a major part of the EV ownership decision. Before you choose a Tesla lease, we will discuss how and where you expect to charge.

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Home charging

Home charging is often the most convenient option for employees with off-street parking. The exact cost depends on your electricity tariff, charging habits and energy use. Keep records and follow your employer or salary-packaging provider’s rules for reimbursing or packaging home charging.

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Public charging

Tesla operates a Supercharger and Destination Charger network in Australia, alongside other public charging networks. Public charging can be helpful for apartment residents, drivers without home charging, longer trips and busy schedules.

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Range and real-world driving

Tesla’s WLTP figures are useful for comparing variants, but they are not a promise of your daily real-world range. Temperature, terrain, speed, traffic, passengers, cargo, tyre pressure, air conditioning and driving style all influence electricity consumption.

Asset Finance Partners can help you choose a kilometre allowance and charging budget that makes sense for the way you actually drive.

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How a Tesla novated lease works

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1. Tell us about your salary, employer and vehicle goals

We start with your approximate salary, employer, annual kilometres, preferred Tesla model, expected delivery timing and budget priorities.

2. Confirm your employer can participate

A novated lease needs employer involvement because repayments are made through payroll. If your employer does not have an existing salary-packaging program, we can help explain the arrangement and next steps.

3. Choose your Tesla configuration

You choose the Model 3 or Model Y variant, colour, wheels and relevant options. We use the actual vehicle quote when preparing finance scenarios.

4. Build a tailored package

We compare lease terms, residual values, finance options and running-cost budgets. You will see the projected pay impact and the assumptions behind it.

5. Approval, order and delivery

Once finance is approved and your employer documentation is complete, you can proceed with the vehicle order. Timing depends on the Tesla configuration, availability, delivery location and finance process.

6. Manage the lease and plan for the end

During the term, your package manages approved costs in line with the arrangement. Before the lease ends, we help you understand the residual and available next steps.

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Tesla novated lease residual value

A residual is the amount left owing at the end of your lease. It is set at the start of the agreement and is commonly based on ATO residual-value guidelines for the lease term.

At the end of your Tesla lease, your options may include:

• Paying the residual and keeping the Tesla

• Refinancing the residual, subject to approval

• Selling or trading the vehicle and using proceeds toward the residual

• Starting a new lease on another Tesla or EV

• Extending arrangements where available and appropriate

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Residuals need to be considered from day one. A lower regular payment can be associated with a higher amount owing at the end, so we explain both—not only the salary deduction.

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Tesla novated lease vs car loan

A Tesla car loan and a Tesla novated lease solve different problems.

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With a car loan, you usually make repayments from your after-tax income and manage costs such as insurance, registration, servicing and charging separately. With a novated lease, approved vehicle costs can be consolidated through payroll, and an eligible EV may benefit from the FBT exemption.

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A novated lease may be attractive if your employer participates and you value salary packaging and cost bundling. A car loan may suit drivers whose employer does not offer novation, who want a different ownership structure, or whose personal circumstances make a loan more appropriate.

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We can compare both approaches so you can make an informed decision.

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Can I novate a used Tesla?

Potentially, yes. A used Tesla may be eligible for a novated lease, subject to finance-provider criteria, vehicle age, condition, valuation, employer policy and the relevant FBT rules.

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The EV FBT exemption is not automatically available just because a Tesla is electric. The vehicle’s original eligibility, first-held-and-used date and applicable value thresholds must be assessed. Ask us to check the specific used vehicle before you commit to purchase.

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Tesla novated lease FAQs

Is a Tesla eligible for a novated lease in Australia?

Yes. Tesla Model 3 and Model Y vehicles can generally be financed through a novated lease where your employer participates and you meet the relevant finance and employment requirements.

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Is a Tesla novated lease FBT exempt?

A battery-electric Tesla may qualify for the FBT exemption if all current legislative requirements are met. Eligibility is not guaranteed and must be confirmed against the exact vehicle, price, first-use date and arrangement.

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Can I lease a Tesla Model 3 through my employer?

Yes, subject to your employer agreeing to novate the lease and the finance application being approved. We can help you understand what your employer needs to do.

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Can I lease a Tesla Model Y through salary packaging?

Yes. The Model Y is commonly considered for EV salary packaging because it is a battery-electric SUV. Your final package will depend on your chosen specification, salary, lease term, kilometres and operating-cost budget.

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Does a Tesla novated lease include charging?

It can. A fully maintained package may include an allowance or approved reimbursement process for charging, depending on your employer and salary-packaging provider. Home and public charging are treated differently, so we will explain the documentation and budget assumptions.

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Can I include insurance, registration and tyres?

Often, yes. These costs can usually be budgeted within a fully maintained novated lease, subject to provider and employer arrangements.

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What happens if I change jobs?

You remain responsible for the finance agreement. Your new employer may be able to take over the novation, or you may need to make alternative arrangements. We recommend understanding this before entering any lease.

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How much can I save on a Tesla novated lease?

Savings vary materially by salary, vehicle configuration, lease term, employer arrangement, running costs, tax position and current legislation. We will prepare a personalised comparison based on real assumptions rather than a generic saving claim.

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Compare your Tesla novated lease options

Whether you are considering a Tesla Model 3 Rear-Wheel Drive, Model 3 Long Range, Model 3 Performance, Model Y Rear-Wheel Drive, Model Y Long Range or Model Y Performance, Asset Finance Partners can help you compare the total cost of driving.

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We support employees across Australia with clear Tesla novated lease guidance, transparent assumptions and tailored EV salary-packaging scenarios.

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Ready to explore your options?

 

Speak with Asset Finance Partners to compare a Tesla novated lease built around your salary, employer, driving needs and preferred model.

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Explore other EV novated lease options

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Comparing more than one electric vehicle? Asset Finance Partners can help you compare EV salary packaging and novated lease options across leading brands, including BYD novated leases, Kia novated leases, Chery novated leases, Geely novated leases and MG novated leases.