As you strive to maintain your organisation’s status as an employer of choice, ensuring you have a robust and nimble employee benefits program is essential.
A motor vehicle is one of the most popular salary-packaged items in our culture. Summit Fleet takes the time to combine the unique needs of your organisation’s employee benefits strategy with motor vehicle salary packaging. Summit Fleet’s national team is available to assist organisations of all sizes and structure programs, and then deliver directly to your employees.
Summit Fleet’s products and services offer employees choice and flexibility with structures, depending on their desired vehicle type, usage, personal financial situation and objectives. Summit Fleet deals personally with each employee enquiry to understand their specific needs so they enjoy all the benefits available to them.
The principal objective is to help the employee to salary sacrifice any leasing and running costs into one set monthly payment for an agreed term. Summit Fleet can protect against risk on vehicle maintenance and resale dependent on the products used, while managing and reporting on budgeted costs, such as fuel and insurance.
The following scenario shows the benefits of packaging a $30,000 car and its running costs over three years for a driver who covers 15,000 kilometres every 12 months. Employees benefit from a number of concessions on these types of transactions that directly translate to cost savings. As highlighted in the example, it becomes a tax-effective way to finance a vehicle and reduce taxable income. The vehicle may be driven for private use while also accessing fuel, maintenance and fleet discounting. There is greater flexibility with vehicle choice, while payments are fixed for an agreed term, giving surety and cash-flow ease, and payroll deductions are therefore consistent.
Employers gain appreciation and engagement from staff who enjoy personal benefits, meaning staff recruitment and retention is enhanced. The good news is that the savings and advantages from these products and services are not just limited to the employees.
When an employee takes advantage of a packaged program from Summit Fleet, there is no direct cost to the employer. More employer level savings and value can be derived from reduced organisational fringe benefits tax (FBT) liability, as well as no vehicle ownership risk and responsibility. This then correlates to reduced balance sheet exposure, and there is also the potential for payroll and work-cover concessions in some states. Summit Fleet handles all the administration with your designated contact, while directly liaising with your drivers and presenting budget and management reporting monthly. Summit Fleet Leasing and management has been developing employee benefit programs and motor vehicle salary-packaging services since inception, and offers the full suite of products and services available.
