Advanced novated lease guide
Your employer uses a preferred salary packaging provider. They have told you that is the provider, full stop.
Here is what they probably have not told you: in most cases, you do not have to use their finance.
A self-managed, or BYO finance, novated lease lets you source your own vehicle loan through an independent specialist while your employer's salary packaging provider keeps running the payroll admin in the background. Same tax benefit. Same salary sacrifice structure. Just a different, and often significantly cheaper, loan.
LeasePlease exists to help you figure out whether this path makes sense for your situation, and to connect you with specialists who do this every day.
TL;DR
Most large employers, including hospitals, government departments, and big corporates, have exclusive contracts with a single salary packaging company. Those providers handle the payroll deductions, the FBT administration, and, if you let them, the vehicle finance too.
The finance is where it gets murky. Bundled providers earn margin on the loan, and because employees rarely know they have a choice there is very little competitive pressure to keep rates sharp. The gap between a bundled provider's finance and what an independent broker can source from a bank or specialist financier can be large enough to materially eat into the savings a novated lease is supposed to deliver.
Why this matters beyond one quote
This is not a niche gripe. A Victorian court challenge is currently testing how transparent exclusive provider arrangements really are after a doctor sought the full contract between his employer and their salary packaging provider and received a heavily redacted version back.
Support the case →Usually that is not true. Your employer is still signing the same Deed of Novation and processing the same payroll deduction. The biggest resistance often comes from the packaging provider's consultant, not payroll or HR.
Check your employer →It is more steps, but it is not fundamentally harder. The LeasePlease (BYO) path handles the finance sourcing, dealer coordination, and document prep. Your part is mostly choosing the car and signing paperwork.
Here is the full picture from start to finish.
Step 1
Start with LeasePlease
Run your numbers first. We'll give you an honest read on whether a novated lease actually makes sense for your situation and, if it does, guide you down the LeasePlease (BYO) path to replace your employer's preferred finance option.
Check if it stacks up for you →Step 2
Compare LeasePlease (BYO) against their bundled option
Put the LeasePlease (BYO) quote beside your employer's bundled quote and compare effective interest rates plus total cost over the full lease term, not just the payroll deduction.
Step 3
Submit the credit application
If the LeasePlease (BYO) path is competitive, we run a formal pre-approval through the lender panel backing that option, which typically includes banks and specialist financiers.
Step 4
Receive approval
Once approved, the finance is locked in and you're ready for the dealer and document stage.
Step 5
Provide your dealer contact
We contact the dealer, request a tax invoice made out to the financier, and coordinate the next steps directly.
Step 6
Sign the lease documents
You sign the LeasePlease (BYO) finance contract and your employer signs the standard Deed of Novation. Their role is administrative: authorising the payroll deduction.
Step 7
The lease settles
The financier pays the dealer, you take delivery of the car, and the LeasePlease (BYO) setup is complete.
Step 8
Set up packaging admin
You go back to your existing salary packaging provider to set up the fortnightly deductions and running-cost administration. Their paperwork is effectively the same regardless of who sourced the finance.
One fortnightly deduction covers the finance payment plus a running-costs budget for fuel or charging, registration, insurance, and servicing. The packaging provider holds the budget and pays bills as they come in.
The same running-costs structure can still sit beside your BYO finance. Changing the source of finance does not mean losing the convenience of salary-sacrificed rego, insurance, servicing, or charging costs.
Self-managed tends to make the most sense when your employer's exclusive provider is charging an uncompetitive finance rate, which is more common than most people realise. It also suits people who want more control over things like insurer choice, servicing, and charging arrangements.
The bundled option can still win when the employer's provider happens to be competitive, or when a fleet discount on the vehicle itself offsets a higher rate. That is why comparing both quotes properly is the only way to know.
The decision rule is simple
Do not decide based on the sales story, the provider brand, or the fortnightly deduction alone. Compare effective interest rates, compare total cost over the lease term, and then decide whether the extra flexibility is worth it in your case.
Need the broader primer first?
Start with the plain-English explainer on how novated leasing works, who qualifies, and why EVs change the maths.
Read: What is a novated lease? →Run your situation through our free tool and get a straight read on whether self-managed BYO finance is worth pursuing.