Company Car while on Maternity Leave

[anna2508]

Hi All,

I'm after some advice. Does anyone here have experience leaving a job where you got a car, or car allowance before you went on Maternity leave? I have a car allowance, so I'm trying to work out if I'd be best using it for a corporate lease, or buying a car outright, with a view to being on maternity leave in a year or so's time. If I went with a lease, would I still have to cover the payments while I'm on leave?

Any advice gratefully received!

[Pina Colada]

:wave:

I'm not 100% sure, but in terms of leasing a car, you don't lease the car from the company you are working for, rather an independent lease company (eg. SMB Lease, which was the company that we leased a car through). Other then arranging for the pre tax, and the post tax payments to come out of your pay, then your company has little to do with it.

Not sure how that would work with maternity leave, but I can't see how you would get a reprieve from the lease company :no: In fact, if you are no longer being paid by the company (is it unpaid maternity leave?) then they may require you to pay out the lease.

I know when DH changed employers and the new employer didn't offer a novated lease as part of salary packages we had to pay out the lease.

I may be way off, but that is my experience.

Good luck with your pregnancy :flowerz:

[delk]

Might be worth finding out what your company's policy is on car allowances while on maternity leave. At my work employees are still eligible for their company car / car allowance while on maternity leave for up to 12 months. If this isn't the case, then you might be best buying a car outright as you would definitely still be liable for the lease payments whilst on leave.