How does the residual payment work at the end of the novated lease?

Your end of lease options

It’s determined by the ATO that novated leases require a residual or “balloon” amount to be paid at the end of the lease.

Your residual payment is due on the final day of your lease and must be paid directly to the financier.
As the funds in your novated leasing account are considered to be pre-tax money, they cannot be applied directly to the residual payment. Please contact us if you require any further information regarding your financier and residual payment amount.

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