Model your ute finance repayments and compare chattel mortgage, hire purchase, and finance lease structures side by side. Toggle carrying capacity to see how the ATO car limit affects your depreciation and GST credits.
1+ tonne carrying capacity — not subject to the car limit. Full depreciation on the purchase price and full GST credit (no cap).
| Frequency | Repayment | Total interest | Total cost |
|---|---|---|---|
| Weekly | $250.85 | $10,222 | $65,222 |
| Fortnightly | $501.99 | $10,259 | $65,259 |
| Monthly(selected) | $1,089.07 | $10,344 | $65,344 |
Same ute, same inputs. Different structures change the tax treatment and total cost. Tax benefits shown reflect uncapped depreciation (1+ tonne).
| Chattel Mortgage | Hire Purchase | Finance Lease | |
|---|---|---|---|
| Monthly payment | $1,089.07 | $1,089.07 | $1,089.07 |
| Total cost | $65,344 | $65,344 | $65,344 |
| Total interest | $10,344 | $10,344 | $10,344 |
| GST credit | $5,000 | On each payment | On each payment |
| Annual depreciation benefit | $1,563 | $1,563 | N/A (payments deductible) |
| Annual interest deduction | $517 | Not until ownership | Included in payments |
| Est. total tax benefit | $15,398 | $7,813 | $16,336 |
| Est. net cost after tax | $49,945 | $57,531 | $49,008 |
Tax benefit estimates are indicative only and based on simplified assumptions. Carrying capacity classification affects whether the ATO car limit applies. Actual tax outcomes depend on your individual circumstances, business structure, and other factors. Consult your accountant or tax adviser for advice specific to your situation.
Switching from monthly to weekly repayments could save you $122 in interest over the life of this finance.
Toggle between under 1 tonne and 1+ tonne carrying capacity to see the difference in tax treatment. Utes over 1 tonne get uncapped depreciation and full GST credits.
The structure comparison table shows how chattel mortgage, hire purchase, and finance lease differ for the same inputs. The tax treatment varies significantly between structures.
A higher balloon reduces your regular repayments but increases the total cost and creates a lump sum obligation at the end. Use the slider to see the trade-off across all three structures.
Base rate entities (turnover under $50M) pay 25% company tax. Non-base rate entities pay 30%. The tax rate affects the value of every deduction, so switching between them shows a meaningful difference in net cost.
Most lenders want to see at least 12-24 months of trading history. Newer businesses may need to provide additional financials or a larger deposit.
Lenders review your business financials (profit and loss, balance sheet, or recent tax returns) to assess serviceability. Healthy cash flow is the key indicator.
The age, condition, and value of the ute affect the rate and terms. Most lenders have maximum age limits (e.g. no more than 12-15 years old at the end of the loan term). Popular models like HiLux and Ranger hold value well.
Your personal and business credit history influences the rate. A clean credit file opens access to the most competitive rates. Some non-bank lenders can work with less-than-perfect credit.
Compare ute finance from 50+ lenders. Find a structure and rate that works for your business.
Subject to lender approval, terms and conditions apply.
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It depends on your GST registration, carrying capacity, and cash flow needs. Utes over 1 tonne carrying capacity get significantly better tax treatment because they are not subject to the ATO car depreciation limit. Chattel mortgage lets you own from day one and claim GST upfront. Hire purchase spreads GST across instalments. Finance lease keeps payments fully deductible.
Utes with a carrying capacity of 1 tonne or more (e.g. HiLux, Ranger, Triton) are not classified as cars by the ATO. This means they are not subject to the car depreciation limit ($68,108 for 2025-26). The full purchase price can be depreciated, and you can claim the full GST credit — not just the capped amount.
For utes under 1 tonne carrying capacity, the car limit of $68,108 applies — your write-off is capped at that amount. For utes over 1 tonne carrying capacity, there is no cap. The full value of the ute can be written off if you meet the eligibility requirements for the instant asset write-off.
If you are GST registered: for utes under 1 tonne carrying capacity, the GST credit is capped at $6,192 (the car limit divided by 11). For utes over 1 tonne carrying capacity, you can claim the full GST credit (purchase price divided by 11) with no cap.
Typically 0-20% of the purchase price. A lower deposit means higher repayments and more interest over the life of the loan. Some lenders offer 100% finance for ABN holders with strong trading history.
Yes. Ute finance is available for sole traders, partnerships, companies, and trusts. ABN finance is common for tradies and businesses. You will need a valid ABN and typically 12-24 months of trading history. Some lenders offer options for newer businesses with additional documentation.
Results are estimates only and should not be relied upon for financial decisions. Actual ute finance repayments will depend on the lender, your credit profile, and the specific terms offered. Interest rates used are for illustration purposes only and may not reflect current market rates.
Subject to lender approval, terms and conditions apply.
This calculator is general information only and is not financial advice.