Thinking of adding some extras to your novated lease car? Whether it’s a tow bar, roof racks or window tinting, personalising your car is possible — but there are clear rules around what’s allowed, when it’s allowed, and how it must be done.
Let’s break it down — and we’ll also touch on some of the most common questions around used cars, age limits, and what happens at the end of your lease.
So, Can I Modify My Novated Lease?
Yes — but only at the start. Any accessories or upgrades must be included in the initial vehicle quote and bundled into the financed cost of your novated lease.
That means things like:
- Tow bars
- Roof racks
- Dash cams
- Bull bars
- Window tint
…can all be added, as long as they’re part of the car purchase upfront. Once your lease has started, you can’t make capital improvements or claim reimbursements for accessories added later.
Some upgrades — like manufacturer performance packs (e.g. BMW M Sport) — are only allowed if they’re sold as a recognised model variant with its own vehicle classification (such as an NVIC code in Glass’s Guide).
In short: If you want to personalise your car, plan ahead. You’ll need to include any extras before the novated lease is finalised, and get approval from Fleetcare.
Can You Do a Novated Lease on a Used Car?
Yes, Fleetcare offers novated leasing for used cars too. But there are a few eligibility rules:
- The car must usually be less than 10 years old at the end of the lease term.
- It can be sourced from a licensed dealer or a private seller, subject to Fleetcare’s approval.
- It must meet safety, warranty, and finance criteria.
Used cars can be a smart way to access novated leasing benefits at a lower cost. Just make sure the car meets Fleetcare’s requirements before signing up.
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How Old Can a Car Be for a Novated Lease?
Generally, the car needs to be:
- Under 7 years old at the start of the lease.
- No more than 10 years old by the end of the lease.
These age limits help ensure the car stays roadworthy, insurable, and eligible for key inclusions like maintenance, insurance, and roadside assistance through Fleetcare.
They also help ensure the residual value — the estimated value of the car at the end of the lease — stays in line with market conditions. If a car is too old or has high kilometres, its market value may be lower than expected, which can make it harder to align with ATO residual value guidelines. That mismatch could affect your lease setup or create challenges at the end of the term.
Do You Own the Car After the Lease?
Not automatically—but you can.
At the end of your novated lease, you have the option to:
- Trade in the car and lease something new.
- Refinance the residual into a new lease.
- Pay the residual (balloon) value and take full ownership.
It’s flexible and entirely up to you. Fleetcare can guide you through the options based on your needs and budget.
Final Thoughts
While novated leasing gives you plenty of perks—like tax savings and convenience—it’s good to know the rules around things like used car eligibility. With Fleetcare, you’ll always get expert support, clear advice, and a tailored leasing solution that fits your lifestyle.
Ready to get started? Get a quote today or learn more.