Time has come for us to get a new car,
However previously I've had the luxury of avoiding car loans so this is all new to me.
Looking to pick up a year or 3 old i30, as part of work requires me to visit different stores.
Any advice on how to go about getting a car?
eg: should I just goto the bank and get a car loan, or do I go through a dealership
or do I lease a car? is there any other similar options to this?
Thanks
Whoops! Let me clear that up.
I am buying the car. Work asks me to record the KM I drive for work related stuff, I lodge it monthly and they reimburse me like 50c a Km etc sort of thing
Got ya! Ok so…
Any advice on how to go about getting a car?
eg: should I just goto the bank and get a car loan, or do I go through a dealership
or do I lease a car? is there any other similar options to this?
You can get multiple quotes for car finance. There is nothing holding you to a dealerships finance, so feel free to get a quote from the bank and compare it to the dealership, even use it for leverage to lower the rate of the dealership. Obviously be aware of fees etc. Pre-approval doesn't mean a thing, so don't bother.
Personally I'd say to just look at standard car finance, as leasing might have inclusions you're not bothered about, and I'm not sure how it might work with work reimbursing fuel money.
Given you're looking at a used car, it might be difficult to compare them between dealers. Just watch out for ex-hire cars (check log books). 1 of the hire car companies stamps the book as 'WTH'. If you see this it was owned by Avis.
Disclaimer - Car Salesman here ;)
Great thanks for that info, I'll be looking into all that :)
Should have planned earlier to save up a couple of months. Could you start saving now to avoid the loans?
Are you certain its only 50cents per km?
https://www.ato.gov.au/Business/Income-and-deductions-for-bu…
engine size between 1.6L and 2.5L is the sweet spot
OP is reimbursed via work, not the ATO.
Then they will be 26 cents per km better off by saying no to the employer and filling out a log book to claim at tax time I would think.
No becuase the ATO only gives a tax deduction, not a full refund, unlike his work.
Looks like it just gets added as assessable income, then you can claim a deduction:
"Allowances are assessable income to the employee and are generally included as income in their tax return. The employee may be entitled to claim a deduction for the expense.
https://www.ato.gov.au/Business/PAYG-withholding/In-detail/A…
Edit: to add, OP says the employer will re-imburse at 60cents per KM and can then claim a deduction at 76cents per KM. Sounds like a good deal.
But none of us have helped OP with the original question.
I just checked the paperwork, I'm getting 0.6pc per KM from work.
Then the ATO Taxes me.
Currently in a 1.3L I think :)
Get a quote from the bank and the dealership and compare. If somehow possible I would however avoid a car loan.
Think he means don't get a loan at all, for a car. I would agree.
Yes, I meant that it is rarely a good idea to finance a car.
Is work buying the car, or you?