Hi,
Please advise when a applicant is salary sacrificing from his gross wage as he has a novated lease, is the lease debt included in the serviceability calculator and at the same time is the income that is used the full gross wage before salary sacrificing has occurred.Thanks.
Depends upon how you want to use the information – if wages are salary-sacrificed for a novated lease (fully maintained vehicle), then you can show that you have no car running costs or alternatively you can show gross income and the amount tied in to the novated lease. Either way, the cost of running your car is counted as either part of your assets & liabilities.
Thanks Scott,
So the lender will use the gross salary amount minus the salary sacrifice novated lease payment amounts as a applicant's income in serviceability?
they are usually wanting your nett position. So all sources of incoming including prospective rent and all current comittments. Your novated lease will already be taken into account , when looking at your nett salary…and as scott says its your answer when they ask about no car costs in committments/expenses.
You must be logged in to reply to this topic. If you don't have an account, you can register here.
