Novated Leasing for Tradies
Novated leasing lets tradies bundle ute repayments, fuel and running costs into one pre-tax payment, cutting tax and, for eligible EVs, FBT entirely.
The smartest way to pay for your ute
A tradie ute lease is one of the best-kept secrets in the industry… but before that, let’s start with the ute. Because for most tradies, it's not just a car.
It's the one tool that shows up every single day, hauls the gear, takes the mud, survives rough stuff and still needs to start first go on a Monday morning. Getting the right one matters. And once you've found the right ute, a novated lease is the smartest way to pay for it.
How does a novated lease work for a tradie?
Bundle your payments
Bundle your ute repayments, fuel, servicing, registration, tyres and insurance into one regular payment straight from your salary.
Tax benefits
Your employer deducts a portion from your pre-tax salary, reducing your taxable income. For eligible electric vehicles, every payment comes from pre-tax salary.
Business use affects your savings
The more you use your ute for work, the higher your business use percentage… and the more you save.
What are the best tradie utes to put on a novated lease?
Here are five of the most popular and capable 4X4 utes that Australian tradies are putting on a novated lease right now, and how they stack up against each other.
Ford Ranger
Australia's best-selling ute for good reason. Selectable driving modes, wireless smart device integration and 18-inch alloys make it as comfortable on the school run as it is on site.
Toyota Hilux
Wireless charging and Bluetooth connectivity are standard, but its real selling point is the resale value. Few utes hold their worth like a HiLux, which is better for you at lease end.
Mitsubishi Triton
The Triton proves you don’t need to compromise on capability or value. Diesel performance, competitive towing (3,500kg), manageable size and Mitsubishi’s legendary warranty mean it handles the hard work without breaking the budget. The novated lease for tradies and families who want a serious ute at a smarter price tag.
BYD Shark 6
The only PHEV in the group and best for tradies who want lower fuel costs on top of their novated lease savings. BYD’s Shark 6 has serious ute capability thanks to ABS, trailer sway control, hill descent and auto high beam, all standard.
Isuzu D-Max
The D-MAX leans hard into tough conditions. Rough Terrain Mode and no-nonsense durability for tradies who spend real time off the beaten track.
If you have questions, you can call us at any time on 1300 888 594 or send us a message
What could a tradie actually save?
Using a Toyota HiLux at $63,990 on a salary of $150,000 over a five-year lease term:
- Annual tax saving: $9,321
- Total saving over five years: $46,605
- Weekly payment: $299
- Based on 15,000km per year and 80% business use
What can tradies bundle into a novated lease?
Pretty much every cost of keeping your ute on the road and running
- Fuel or charging costs
- Servicing and tyres
- Registration and insurance
- Roadside assistance
Modifications that are generally covered when specified at purchase
- Tow bars
- Canopies
- Bull bars
- Tray liners
What's not covered with a novated lease?
- Tools and equipment
- Aftermarket accessories added after delivery
- Parking, tolls and fines
FBT and business use: What tradies need to know
Your consultant will walk you through exactly how FBT is calculated for you at the quote stage. Here are some considerations:
Keep a logbook and watch your savings grow
The more you use your ute for work, the less FBT applies. Here's how it works:
- FBT is calculated on the private use portion of your ute. So if you use it 80% for work, FBT only applies to the remaining 20%.
- Keeping a strict 12-week logbook proves your business use percentage and directly reduces how much after-tax salary is needed to offset FBT.
Eligible work vehicle exemption
The ATO grants a full FBT exemption for eligible single or dual-cab utes provided two conditions are met:
- The vehicle has a carrying capacity of over one tonne or is designed primarily to carry a load rather than passengers
- Private use is strictly limited to commuting between home and work, and incidental personal trips like a supermarket stop on the way home
If your ute ticks both boxes and your employer approves the exemption, your FBT bill is zero from day one.
Considering an electric ute? Even better
If you are looking at an electric ute under the Luxury Car Tax threshold, the business use percentage doesn’t matter at all. Under the federal government's Electric Car Discount, eligible EVs are completely FBT-exempt, 100% of the time.
Save thousands in tax by driving your dream car.
Our Happy Customers
We’re committed to providing great service
Your own consultant
They look after you from first quote to the end of your lease. Kept in-house, and never pushy about it.
Fast, from start to finish
From quote to keys in days, not weeks. We move quickly so you can get on the road sooner. Subject to vehicle availability and financier approval timelines.
Approval timing depends on your financier and borrowing capacity. Reported timelines from Trustpilot reviews, July 2026.
Frequently Asked Questions
Can tradies qualify for a novated lease?
Yes, if you're employed by a company, or your business is structured as a company or trust rather than a sole trader arrangement, a novated lease is likely available to you. Speak to your consultant to confirm your situation.
Can you modify a car or ute on a novated lease?
Some modifications can be included when specified at purchase. Tow bars, canopies, bull bars and tray liners are common examples. Aftermarket accessories added after delivery and tools or equipment are not covered.
Do I need to be a permanent employee to get a novated lease on a ute?
Not necessarily. Contract and labour hire employees can often qualify too. What matters most is that you're paid through PAYG and your employer is willing to facilitate the arrangement.
Can self-employed tradies get a novated lease?
Sole traders aren't eligible. But if you pay yourself a salary through a company or trust structure, you may qualify. It's worth a conversation with your accountant and our team to confirm.
What if I’m an apprentice?
Apprentices can qualify for a novated lease as long as they're employed under the PAYG system and their income comfortably supports the repayments. A lower-priced vehicle can help keep weekly payments manageable.
Does the one-tonne payload rule affect ute novated leases?
Yes, vehicles must have a carrying capacity under one tonne to be eligible. However, accessories like tray liners and canopies can sometimes offset this. Your consultant can confirm eligibility for your specific ute.
Learning Hub
Consider these resources a preview of the deep knowledge and service you can expect from us
Say goodbye to confusion and hello to a seamless novated car leasing experience
Want a no-hassle novated lease? Think Leaselab for your next car. Smaller tax bill. Bigger savings. No surprises.
