Employee benefits create value when they provide meaningful financial benefits without creating undue complexity for employers or employees. Employers must coordinate payroll deductions and benefit administration, while employees need to understand vehicle costs, eligibility and the financial impact of their decisions before they sign a lease.
Smartgroup (ASX: SIQ) connects these requirements through its salary packaging and novated leasing services. Through Smartleasing, its specialist novated leasing brand, the company helps employers offer vehicle leasing as an employee benefit, supported by lease administration and customer service.
The company caters to employers across government, healthcare, education, corporate and not-for-profit sectors, each with distinct workforce structures and administrative requirements. Its portfolio also includes Smartsalary, Smartfleet, Autopia, AccessPay and PBI Solutions, bringing related employee services under one corporate group.
Smartgroup helps eligible employees assess vehicle options alongside the potential financial benefits of salary packaging. Its novated leasing calculator and comparison tools allow customers to evaluate estimated costs for electric, hybrid and conventional vehicles against their individual circumstances before committing to a lease. These comparisons bring potential costs and savings into the vehicle selection process, helping employees understand the financial implications of different options before making a decision.
Reducing Administrative Work for Employers
Offering novated leasing creates responsibilities beyond arranging finance. Employers must have processes for payroll deductions, handling employee inquiries, documentation and ongoing administration. When companies lack the right expertise, these activities add to the workload of HR and payroll teams, which can make a benefit that should be attractive to employees harder to administer.
Smartgroup takes on key administrative responsibilities through its employee services model. Its solutions support employer implementation, employee education, lease administration and reporting, with service arrangements tailored to different organizational requirements. Employers gain access to specialist capabilities without having to develop every part of the program internally.
Technology supports these services by making relevant information and processes more accessible. Digital tools and online account management give employees ways to engage with their benefits, while employer-facing systems provide access to information needed for program administration. These tools complement specialist assistance and give employees another way to manage their benefits.
Smartgroup’s broader salary packaging portfolio also allows employers to work with one provider across multiple employee benefits. Depending on eligibility and employer arrangements, its services extend beyond vehicles to other forms of salary packaging and workforce-related benefits. Employers can coordinate numerous programs through a specialist partner rather than manage each service independently.
It supports employee understanding through its benefits education, digital tools and specialist assistance. These services help employees navigate eligibility, understand payment arrangements and access relevant information about their benefits. By giving employees clearer routes to information and support, Smartgroup also helps employers manage benefit-related inquiries and explain available options to their workforces.
Introducing Leasing at the Point of Sale
Employees usually start their search for a vehicle at a dealership, with the ultimate choice being based on price, financing and running costs. By announcing novated leasing at this stage, eligible buyers have the opportunity to consider salary packaging with their vehicle choices, rather than only looking into the arrangement once a car has been chosen.
Smartgroup has developed automotive partnerships to tie these decisions more closely. In May 2026, it announced a partnership with Chery and Omoda Jaecoo to provide novated leasing through a combined network of 91 dealerships. At the time of sale, novated lease quotes can be provided by the sales staff, so that eligible employees can see the financial impact at the same time as selecting their vehicle.
A separate partnership with BYD and its premium brand DENZA, announced in July 2026, extended this approach to electric vehicle customers. Eligible employees can explore novated leasing while considering vehicles from the two brands. Smart provides access to its salary packaging expertise and helps customers understand potential tax benefits and total ownership costs.
Evaluating the Financial Case for Electric Vehicles
Smartgroup now has a large offering of electric vehicles in its novated leasing portfolio. The Fringe Benefits Tax exemption may apply to eligible electric vehicles under Australia’s Electric Car Discount policy, provided certain conditions are met. This treatment can be beneficial to the financial case for an eligible vehicle financed via a novated lease, but individual results will depend on the rules and circumstances that apply.
It provides educational resources and comparison tools to help employees evaluate vehicle choices. The company's novated leasing calculator allows customers to compare estimated costs and potential benefits for electric, hybrid and conventional vehicles. These comparisons help employees examine the financial implications of different vehicle types before choosing an arrangement.
Eligibility remains important when evaluating electric vehicles under the Electric Car Discount. Smartgroup’s resources help employees understand the applicable requirements and compare vehicle options against their individual circumstances before committing to a lease.
Operational Scale and Measurable Business Performance
Smartgroup’s operational scale is reflected in the number of salary packaging customers it serves, novated leases it manages and fleet vehicles under its administration.
In its 2025 annual reporting, Smartgroup recorded 491,000 active salary packaging customers, 85,300 novated leases under management and 35,200 managed fleet vehicles. These figures demonstrate the breadth of its operations and the volume of customer and employer relationships its services support.
Smartgroup’s 2025 results also reported an increase in novated leasing settlements compared with the previous year. Its broader performance reflected growth in revenue and operating earnings, alongside investment in digital journeys, personalized support and simpler customer processes. These developments show how the business is investing in the customer experience alongside its established service operations.
Smartgroup’s recognition as the Top Employee Vehicle Leasing Services in APAC 2026 reflects its novated leasing administration, employee support and automotive partnerships. Together, these services connect vehicle financing with workplace salary packaging, giving employers another benefit to offer and employees a structured way to consider their vehicle choices.
