RBizz Corporate Accountants - Resources by RBizz Team

Essential Compliance Timetable for Pty Ltd Companies (with Penalties & Fees)

Mon, 30 Jun 2025 21:25:36 +1000

Essential Compliance Timetable for Pty Ltd Companies (with Penalties & Fees)

Staying compliant is essential for your company’s success and avoiding unnecessary costs. Below, you’ll find key compliance dates, what applies to your business, and a full breakdown of all relevant fees, penalties, and interest rates.

1. Business Activity Statements (BAS)

Who must lodge?

All companies registered for GST, PAYG withholding, or PAYG instalments.

BAS Due Dates

Lodgement Frequency	Period Covered	Due Date (Each Year)
Quarterly	Jul–Sep	28 October
	Oct–Dec	28 February
	Jan–Mar	28 April
	Apr–Jun	28 July
Monthly	Each calendar month	21st of following month

If you are registered with a tax or BAS agent, you may be eligible for an extension for some BAS lodgements^.

BAS Late Lodgement Penalties (Failure to Lodge on Time)

Entity Size	Penalty per 28 Days Late	Maximum Penalty (5 periods)
Small (turnover <$1m)	$330	$1,650
Medium ($1m–$20m)	$660	$3,300
Large (>$20m)	$1,650	$8,250
Significant Global	$165,000	$825,000

Penalties apply per BAS, per period overdue. The ATO may not apply penalties for isolated late lodgements, but repeat late lodgement increases risk^.

Interest on Late BAS Payments

Interest Type	Rate (from 1 July 2025)	Notes
General Interest Charge (GIC)	10.78% p.a.	No longer tax-deductible from 1 July 2025

2. Company Tax Return

Who must lodge?

All Pty Ltd companies.

Company Tax Return Due Dates

Lodgement Method	Due Date (Each Year)
Self-lodgement	31 October (following financial year end) - if you are lodging yourself
Lodgement via tax agent	Usually 15 May (following financial year end) - if registered with a tax agent by 31 October

Late Lodgement Penalties

Entity Size	Penalty per 28 Days Late	Maximum Penalty (5 periods)
Small (turnover <$1m)	$330	$1,650
Medium ($1m–$20m)	$660	$3,300
Large (>$20m)	$1,650	$8,250
Significant Global	$165,000	$825,000

Penalties apply per overdue return. The ATO may issue warnings before applying penalties^.

Interest on Late Tax Payments

Interest Type	Rate (from 1 July 2025)	Notes
General Interest Charge (GIC)	10.78% p.a.	No longer tax-deductible from 1 July 2025

3. ASIC Compliance

Who must comply?

All Pty Ltd companies.

Key ASIC Obligations

Obligation	Due Date (Each Year)	Fee (from 1 July 2025)
Annual review fee	On company anniversary	$329
Notify changes (officers, address)	Within 28 days of the change	No fee for timely lodgement

ASIC Late Fees (from 1 July 2025)

Type of Late Fee	Up to 1 Month Late	Over 1 Month Late
Late payment or lodgement	$98	$411

Late fees apply on top of the original fee. Failure to pay can lead to company deregistration^.

4. Employment Compliance

Who must comply?

All Pty Ltd companies who employ staff.

A. Single Touch Payroll (STP)

Business Size	Penalty per 28 Days Late	Maximum Penalty
Small (<$10m turnover)	$210	$1,050
Medium	$420	$2,100
Large	$1,050	$5,250
Significant Global	$105,000	$525,000

Penalties apply for each period of 28 days that a report is overdue. The ATO generally applies penalties for repeated or serious non-compliance^.

B. Superannuation Guarantee (SG)

Quarter	Period Covered	Super Due Date (Each Year)
Q1	Jul–Sep	28 October
Q2	Oct–Dec	28 January
Q3	Jan–Mar	28 April
Q4	Apr–Jun	28 July

Penalties for Late Super Payments

Penalty Type	Details
Superannuation Guarantee Charge (SGC)	Includes unpaid super, 10% p.a. interest (from quarter start to payment date), $20 admin fee per employee per quarter. Not tax-deductible.
Director liability	Directors may become personally liable for unpaid SGC.

5. Taxable Payments Annual Report (TPAR)

Who must lodge?

If ATO asks you to lodge.

Obligation	Due Date (Each Year)	Penalties (as at 1 July 2025)
Lodge TPAR	28 August	$330 per 28 days late, up to $1,650 (small entities); higher for medium/large.

6. Frequently Asked Questions

Q: Do all companies need to lodge all these forms?
No. Requirements depend on your business activities (e.g., TPAR only for certain industries, STP and super only if you have employees).

Q: What if a deadline falls on a weekend or public holiday?
The due date moves to the next business day.

Q: Can I get an extension?
If you are registered with a tax or BAS agent, you may be eligible for extensions on some lodgements.

Summary 1: Compliance Timetable by Compliance Type

Compliance Type	Obligation	Due Date(s) (Each Year)	Penalty/Interest (as at 1 July 2025)
BAS (Quarterly)	Lodge & pay	28 Oct, 28 Feb, 28 Apr, 28 Jul	$330 per 28 days late (small), up to $1,650; GIC 11.17% p.a.
BAS (Monthly)	Lodge & pay	21st of following month	Same as above
Company Tax Return	Lodge & pay	31 Oct (self), 15 May (via agent)	Same as above
ASIC Review	Pay annual fee	Company anniversary	$340 fee; $100 late (<1 mo), $415 (>1 mo)
ASIC Changes	Notify changes	Within 28 days of change	$100 late (<1 mo), $415 (>1 mo)
Superannuation	Pay SG	28 Oct, 28 Jan, 28 Apr, 28 Jul	SGC: 10% p.a. interest, $20/employee/quarter, not tax-deductible
STP Reporting	Report payroll	On or before each payday	$210 per 28 days late (small), up to $1,050
STP Finalisation	Finalise payroll	14 July	Same as above
TPAR	Lodge report	28 August	$330 per 28 days late (small), up to $1,650

Summary 2: Compliance Timetable by Month

Month	Key Compliance Deadlines (Each Year)	Penalties/Fees (as at 1 July 2025)
January	28 Jan – Superannuation (Q2)	SGC if late
February	21 Feb – BAS (monthly), 28 Feb – BAS (Q2)	$330 per 28 days late (small)
April	21 Apr – BAS (monthly), 28 Apr – BAS (Q3), Super (Q3)	Same as above
July	14 Jul – STP Finalisation, 21 Jul – BAS (monthly), 28 Jul – BAS (Q4), Super (Q4)	SGC if late, $330 per 28 days late (small)
August	21 Aug – BAS (monthly), 28 Aug – TPAR	$330 per 28 days late (small)
October	21 Oct – BAS (monthly), 28 Oct – BAS (Q1), Super (Q1), 31 Oct – Company Tax Return (self-lodgement)	SGC if late, $330 per 28 days late (small)
November	21 Nov – BAS (monthly)	$330 per 28 days late (small)
December	21 Dec – BAS (monthly)	$330 per 28 days late (small)
Ongoing	ASIC annual review (company anniversary), Notify ASIC of changes (within 28 days), STP reporting (each payday)	$340 fee; $100/$415 late

All penalty amounts, fees, and interest rates listed above are current as at 1 July 2025. For tailored advice, or if you need help managing your compliance, please contact our team.

Bringing your cashflow processes into the digital age

Wed, 01 May 2024 16:53:00 +1000

Bringing your cashflow processes into the digital age

Keeping on top of your cashflow is even more important during tough economic times.

With global uncertainty, recent high inflation, energy prices soaring, supply chain challenges, cash is likely to be tight over the coming year. Cloud technology and fintech apps, can give your business the best possible control over its cash.

Why is cashflow so important?
To keep your business operating, you need enough money coming into the business to cover your outgoings – with enough surplus cash to deliver a profit.

In recessionary periods consumers have less disposable income to spend on your products and services. Business customers will be looking to reign in their spending on suppliers. As a net result, your business is likely to make fewer sales and will bring in smaller revenues.

This means:

- Reduced income coming into the business.
- Less cash in the business to cover your operational expenses.
- Not enough money in the bank to pay suppliers, utility providers or payroll costs.
- In the worst-case scenario, insufficient cashflow for you to continue trading.

What can you do to improve your cashflow situation?

The more informed you are about your cash position, the more you can do to prepare for any cashflow gaps. It’s this foresight that can make all the difference when you’re battling against tough external economic forces and a downturn in sales.

If you want to safeguard your cashflow, these are some sensible steps to take:

- Switch to cloud accounting – accounting and finance technology has moved on in leaps and bounds in the past decade. The best cloud accounting platforms all offer a detailed reporting of your cash position. These software tools will generally offer real-time data, giving you up to date cash numbers.

- Integrate with cashflow forecasting apps – cloud accounting platforms let you add third party apps to create a custom app stack of helpful business tools. There are plenty of cashflow forecasting apps to choose from, giving you the ability to predict your future cashflow position.

- Plan ahead for the cashflow gaps – when your forecast shows a shortfall of cash coming up, that’s the time to take evasive action. If you can see that there’s a cash hole approaching next month, it’s time to look at ways of raising extra finance to fill that hole. That could mean extending your bank overdraft, taking out a small business loan or taking out an invoice finance facility with a lender.

- Look for opportunities to cut your overheads – one way to even up your cashflow is to cut down on your expenditure. If you can cut back on overheads, expenses and unnecessary costs, this can help you re-balance your cash position, even when cashflow is getting tight. Look for cheaper suppliers, buy in smaller quantities and take every opportunity to cut costs and keep your spending more sensible.

- Update your prices and your sales strategy – raising your prices is one way to bring in more cash, with the same volume of sales. But it's a balancing act. Putting your prices up can alienate existing customers and could see you losing customers, but if you can find the sweet spot for your pricing AND also drum up more sales, you can quickly increase revenue and give your cash inflows a healthy boost.

- Review your cashflow reports regularly – it’s important to look at your cashflow numbers and reporting regularly, not just at period-end. This is particularly important when economic times are tough. With the most current cash information to hand, you can make informed business decisions and aim to keep the business operational. Talk to us about updating your cashflow processes

With your business in a healthy cashflow position, you give yourself some solid financial foundations for riding out the global recession. No business is invulnerable in these conditions, but with liquid cash in the business, you have more flexibility and more capital to play with.

Book a meeting and let’s see how we can improve your cashflow processes.

Government superannuation contributions to be added to paid parental leave   

Sat, 06 Apr 2024 15:09:00 +1100

Government superannuation contributions to be added to paid parental leave   

From 1 July 2025, parents will receive 12% superannuation on government-funded paid parental leave (PPL) on top of the minimum weekly wage of $882.75 per week.If enacted, this measure will provide parents who access the PPL government scheme with super contributions paid into their nominated super account equivalent to 12% of their leave pay.

Current eligibility for PPL

Residency test

A person must meet the residency requirements from the day they become the child’s primary carer until the end of the PPL period.The parent must be an Australian citizen, permanent resident or an eligible temporary visa holder.

Work test

To meet the paid parental leave work test, an individual must have:

- worked for at least 10 of the 13 months (295 days in a 392-day period) prior to the birth or adoption of the child
- worked for at least 330 hours in the 10-month period (at least 7.6 hours a week on average)
- had no more than an 8-week gap between 2 consecutive working days.

Income test

Eligibility for the government scheme is limited by taxable income measured in the year prior to having the child. For the 2023–24 year, the income threshold is $168,865 or $350,000 for a 2-parent family.

In a 2-parent family, parents may share the current 20-week PPL between them.

Introduction of super payments by the government

From 1 July 2025, parents accessing the government scheme would also receive government-funded superannuation contributions into their nominated super account, at 12% of the leave pay.

Under the current minimum weekly wage of $882.75 per week, the super that will be paid by the government amounts to $106 per week.

Other matters

Announced in the 2022–23 Federal Budget and pending parliamentary approval, 2 additional weeks of PPL will be added each year from 1 July 2024 to the current 20 weeks until it reaches a total of 26 weeks by July 2026.

With this Bill, each parent will be provided a reserved leave of 4 weeks from July 2026 intended to encourage shared care. Also included in the Bill is concurrent leave, which means that from July 2026, both parents can take 4 weeks of PPL at the same time if they wish to do so.

Next steps

This measure will have implications for both employees and employers.

Employees

If enacted, the benefit a single parent may receive for 2 children would amount to $4,240 (based on the current 20-week PPL period). Compounded annually for an average of 30 years, this will result in a more than $20,000 increase in superannuation balances upon retirement.

Employers

This measure does not change how employer-run PPL programs are conducted. Although some employers choose to pay super, the introduction of this measure does not mandate employers to make superannuation contributions for any PPL they may pay to their employees.

Please feel free to contact our office if you have any queries in relation to this matter.

The ABCs of bookkeeping

Fri, 05 Apr 2024 17:04:00 +1100

The ABCs of bookkeeping

In today's digital times, you're probably used to having unrivalled access to your financial numbers, key performance indicators (KPIs) and cashflow metrics. Without good bookkeeping, the speed and quality of your reporting can quickly fall down.

So, why is fast and accurate bookkeeping so important? And what are the main bookkeeping tasks that your business should be getting right?

The financial importance of good bookkeeping

Bookkeeping is a fundamental part of your financial process as a business. Without it, your accounting software has no financial data to work with, your FD doesn’t have the most current numbers, and your accountant can’t see the current financial health of the business.

Inputting your financial transaction into some form of record-keeping system is also a mandatory commitment if you’re a registered business and paying goods and services or value-added tax. Bookkeeping is what provides you with a historic breadcrumb trail of your finances – allowing you to track your cashflow, revenues and profits over a given period.

How to maximise your bookkeeping

So, bookkeeping is a vital part of your financial management. And the key to having your transactions recorded, available for reporting and accessible whenever you need them.

But how should the bookkeeping process work, in an ideal world? Let’s walk through the core bookkeeping steps and how you can get the most from this financial admin task.

To keep on top of your bookkeeping:

    - Scan all financial paperwork – the initial part of the bookkeeping process is to scan and record all receipts, invoices and remittances. This gives you a digital copy of the paperwork that relates to your income and expenses – important when you get around to filing tax returns and expense claims etc.
    - Record all transactions immediately – getting your transaction recorded and in the books ASAP is vital. This includes recording both your income and expenses, as soon as they occur, and matching them with the scanned paperwork. This not only helps you stay organised but also means your financial data is always up-to-date and can provide real-time reporting and numbers. This can be a huge help when running the business.
    - Categorise transactions accurately – when recording transactions, make sure you’re accurate and categorise each item correctly. Not only does this remove the potential for errors and miss-keying in your books, it also helps you track your spending and income more accurately, so your reports are an honest reflection of your financial health.
    - Reconcile your accounts regularly – reconciliation is the process of matching your transactions (both income and expenses) against your bank statement and other financial statements. It’s a key part of your bookkeeping and should be done regularly, to ensure that your balances are correct and that your records are totally up to date.
    - Use a cloud-based accounting system – bookkeeping doesn’t involve books (ledgers, in accounting-speak) anymore. In the digital world, you can use cloud-based accounting software, like Xero, to record your transactions and access your financial data in the cloud from anywhere, at any time. This makes it easier to keep on top of your numbers when out of the office (and Xero will even automate the reconciliation process too).
    - Outsource your bookkeeping to a professional – yes, you can do your own bookkeeping. But there’s a LOT of value to delegating all the hard work to a professional bookkeeper. If you don't have the time or expertise to manage your bookkeeping yourself, outsourcing is a smart move. A bookkeeper will make sure your books are always accurate and under control. Plus, they can produce cashflow statements, revenue forecasts and other reports to help your business decision-making.

Talk to us about outsourcing your booking

With today’s cloud accounting software, bookkeeping is a far less tedious task than it used to be. But it’s still a regular, time-consuming job that can take you away from running the business.

If you’re thinking about outsourcing your bookkeeping, and freeing up that admin time, we’d love to talk to you. Our outsourced bookkeeping service will take on your bookkeeping tasks, to streamline the whole process. We’ll also introduce you to automated data-entry tools like Dext Prepare, Auto Entry and Hubdoc, that make snapping receipts and scanning invoices a breeze.

Let us do the books, so you can get back to talking to customers and winning work.

Get in touch to discuss our outsourced bookkeeping.

Are you hiring the best talent for your business culture?

Thu, 04 Apr 2024 15:35:00 +1100

Are you hiring the best talent for your business culture?

Your people are a vital asset, so when you hire a new starter it’s critical that this new employee fits perfectly into your operations, your culture and your values as a company.

But how do you know if a potential hire is a ‘good fit’? Will they drive your business to bigger and better success, or could this new employee become a potential spanner in the works?

    - Be transparent about your company values
Your company values are central to your mission as a business. So making sure those values are clearly outlined and shared is essential for hiring the right talent. By clearly defining and sharing these fundamental values, you’ll attract candidates who share your ethics, values and core motivations – making them a great potential fit for your company culture.

To do this:

- Identify your core values and what’s important to you as a business and an owner.
- Communicate your core values to your employees and all new starters
- Live your values. Reflect them in the way you do business and how you treat people

    - Communicate your values, mission and culture in your job advert

When you’re hiring, this process isn’t just about you choosing an employee – it’s also about a worker choosing your company and understanding what you stand for. Make sure your job advert gives the best possible indication of what the job entails, but also what you’re like as a workplace. This is a great way to appeal to like-minded people with the best skills.

When advertising and interviewing:

- Describe your mission and ask candidates if they are on board with these goals
- Talk about your culture and ask candidates why this might appeal to them
- Paint the most honest and appealing picture of your workplace

    - Ask interview questions that reveal the real candidate

You obviously want to know that a prospective hire has the right mix of experience, knowledge and professional skills. That’s a given. But it’s also sensible to ask questions that reveal more about their underlying values, morality, work ethic and interpersonal skills. This will help you to assess whether the candidate is a good fit for your company culture.

Here are some examples of interview questions that did a little deeper:

- What do you look for in an ideal employer? And how important are their core values?
- Tell us about a time your faced conflict in the workplace, and how you resolved it
- Our culture is front and centre. How do you see yourself fitting into our culture?
- How do you see your career evolving as a valued team member in our business?

    - Ask your team for feedback on candidates

You may think a candidate is the bee’s knees, but what do the rest of your team think? Gauging the opinions of your management team and other team members is vitally important. These people will be working directly with this new hire, so they have to get a good vibe from them.

To encourage objective feedback, give your team members a chance to meet the candidate and take their feedback into account when making a hiring decision.

    - Monitor your new hire and have regular, ongoing performance reviews
Once you’ve made a hiring decision and have a new employee on the team, it’s vital to have regular and ongoing informal catch-ups and more formalised performance reviews. This helps you to measure how your new employee is settling in. It’s also an opportunity to gauge whether there are areas where they may need support from you and the wider team.

Don’t hold back. Be as open and transparent as possible:

- Ask them how they’re feeling about their role, workload and their performance so far
- Check their progress against set targets and objectives for their first three months.
- Find out if they need help, support, further information or more onboarding support.
- Check if they feel they are fitting into the team, and if they are feeling happy
- Look out for potential issues that may be causing conflict in the team.

Having the very best talent in your team is central to achieving your goals for the business. So, making sure you hire the right people is actually a business-critical decision to make.

Your guide to claiming working from home expenses for 2023–24 income year

Thu, 28 Mar 2024 14:52:00 +1100

Your guide to claiming working from home expenses for 2023–24 income year

A taxpayer who carries on part or all their business or employment activities at home may be entitled to a deduction for part of their outgoings related to working from home.

There are two ways to calculate a work from home deduction:

Fixed rate method

From 1 July 2022, the revised fixed rate method allows individuals to claim running expenses incurred as a result of working from home at 67 cents per hour (PCG 2023/1).

The revised rate accounts for energy (electricity and gas), phone, internet, stationery and consumable expenses.

Also, a taxpayer is no longer required to maintain a dedicated workspace at their home.

To claim the fixed cost method, taxpayers must keep a record of:

- the total number of hours worked from home (for the entire year)

- the additional running expenses covered by the rate per hour (for example, phone bill, electricity bill, stationery and computer consumables etc.)

- any depreciating assets (and how much of their use of that asset was work-related).

A separate deduction may be claimed for any depreciating assets (not included in the rate per hour), like office furniture or technology.

Actual cost method

The actual cost method allows you to claim a deduction for the actual expenses incurred as a result of working from home.

To claim the actual cost method, taxpayers must keep a record of:

- the number of hours worked from home (whether that be the total hours, or a continuous four-week period representing the usual pattern of work, if their hours are consistent throughout the year)
- their additional running expenses (for example, phone bills, electricity bills)
- how the deduction was calculated.

Contact us

Please feel free to contact our office, should you need help with collating the necessary information or preparing draft calculations to claim your work from home expenses.

FBT record-keeping simplification - determinations finalised

Sun, 24 Mar 2024 17:51:00 +1100

FBT record-keeping simplification - determinations finalised

First announced in the 2020–21 Federal Budget, a bill introducing legislative amendments aiming to simplify FBT record keeping obligations received royal assent on 23 June 2023.

Before the enactment of this measure, you were required to obtain and maintain a number of employee declarations and other prescribed forms each FBT year, all before the lodgment due date. With the introduction of this measure, the Commissioner has the power to apply your existing corporate records as substantiation documentation to comply with these record-keeping obligations.

Record-keeping options for employers

Previous law — employers must keep and retain the designated statutory evidentiary documents in the approved form for each fringe benefit for FBT-record keeping purposes.

New law — employers have the option, for each fringe benefit, to:

• rely on adequate alternative records (as determined by the Commissioner) which contain the information required for FBT record-keeping purposes, or

• keep and retain the designated statutory evidentiary documents in the approved form for FBT record-keeping purposes.

Adequate alternative substantiation records

Factors the Commissioner may specify and consider when issuing a determination will include:

• one or more years of tax

• one or more classes of individuals

• the classes of statutory evidentiary documents applying to the relevant fringe benefit, and

• the kind of alternative documents or records an employer may use to satisfy their record-keeping obligations.

Information sources may include, but are not limited to employment contracts, payroll records, job descriptions etc.

Treasury has finalised, as per Commissioner's directive, 11 FBT determinations that provide details of the adequate alternative records that will be accepted by the commissioner as an adequate alternative to the relevant employee declarations.

We anticipate more such determinations to be released in the due course. Please feel free to reach out to us if you wish to learn more about these draft determinations.

Contact us

We can assist you with navigating through the changes and prepare a record-keeping checklist for you once more information is on hand.

Should you have any queries, or if you would like to discuss further, please feel free to contact our office.

The Art of Networking: 5 Ways to Build Stronger Connections

Mon, 12 Feb 2024 16:14:00 +1100

The Art of Networking: 5 Ways To Build Stronger Connections

Leading a business can be hard work. But the good news is that you're not the only founder, owner-manager or CEO who's treading this path. Networking with your peers is a great way to make connections with other entrepreneurs, while also looking for new business opportunities.

5 ways to improve your networking skills

Being part of a wide network of entrepreneurs and business leaders is about being part of the business community. It’s about giving to the community, as well as being supported by it – and knowing that you’re surrounded by other entrepreneurs who share very similar goals.

So, networking is a valuable thing to take part in, whether you’re a brand new founder, or a seasoned business owner who’s been around the track a few times. But how do you get GOOD at networking? There’s no simple answer to this, but we’ve highlighted five key things you can do to get more from your networking and to give more back to your community.

To become a better networker:

- Be authentic and relational– if you’re going to make a success of networking, it naturally makes sense to appeal to people. Being genuine and interested in getting to know your peers will help a lot. Be yourself, be friendly and take the time to learn about the people you meet. Ask questions about their work, their interests, their goals and what generally makes them tick. This isn’t just about ‘doing business’, remember; it’s about getting to know people as people, and being part of this community.

- Be a good listener and ask thoughtful questions – in networking, listening is just as important as talking. When you're talking to someone, listen intently, look people in the eye and pay real attention. Resist the temptation to interrupt or start thinking about what you're going to say next. Instead, focus on understanding their perspective and asking thoughtful questions. Ultimately, you want to make it clear that you’re interested in what this person has to say, and that you’ve found some common ground together.

-Be helpful and offer your expertise – one of the best ways to build relationships is to be an asset to your industry community. Look for ways to use your experience and skills, and offer ideas, advice and help (if people are looking for assistance). This could mean sharing your industry knowledge, providing resources, or making introductions to other people in your network. When you help others, you help the community, underline that you’re a valuable resource and that you’re interested in building relationships.

- Be an asset to your niche/sector/industry– share new ideas, drive innovation and be a voice that stands out in the network. If you want to make an impact, it’s important to stand out from the crowd. A good approach is to be someone who’s known for their expertise, creativity and thought leadership. Get involved in industry discussions, and write articles and blog posts about the big issues in your sector. The more you contribute to your niche/sector/industry, the faster your star will rise.

- Follow up after networking events – getting the networking right is one thing, but it’s important to also get your follow-ups right too. Get people’s business cards, phone numbers or emails and get in touch after the event to touch base. A quick email or LinkedIn message could well be the start of a blossoming new business relationship or friendship. It’s also a good idea to connect on social media and to comment, share and repost your new contact’s posts.

What are the best places for networking?

- Industry-specific events and conferences– industry events are great places to rub shoulders with other professionals in your field. You can get involved in discussions, learn about the latest trends and developments and even present your own sessions.

- Social media platforms – you’re spoilt for choice when it comes to social media sites to help your industry networking. LinkedIn, X(Twitter), Facebook, Threads and BlueSky all help you connect with the people you’ve met through your networking, and build on those relationships to share your insights and ideas more widely.

- Local meetups and workshops– most cities and towns will have regular business meetups and workshops that you can dip into. Business breakfast events and evening get-togethers are a great way to meet local business owners and to find out what’s going on in your local community.

If you’re looking to raise your profile and improve your networking, we’d love to lend a helping hand. We’re connected to hundreds of different business owners and leaders – and we’re more than happy to introduce you.

Review your business expenses – and save

Sat, 03 Feb 2024 17:10:00 +1100

Review your business expenses – and save

Running a business costs money. There are always costs, overheads and supplier bills that mount up – and these expenses will gradually chip away at your cash position, making it more difficult to grow and make a profit.

So, what can you do to reduce your spend levels? And what impact will this have on your overall margins, profits and ability to fund the next stage in your business journey?

Getting proactive with your spend management

Spend management is all about getting in control of your expenses – and, where possible, aiming to reduce the level of costs and overheads that you incur as a company.

Excessive spending eats into your cashflow, reduces your profit margins and stops you from achieving the profits that you’re capable of as a business. So if you can get proactive with your spend management, you can actually make your company a far more financially productive enterprise – and that’s great for your overall business health.

So, what can you do to reduce spend and slim down your company expenses?

Here are some key ways to reduce expenses:

- Reduce your overheads – your overheads are the unavoidable costs of running your business, producing your products or supplying your services. If you have bricks and mortar premises, these overheads will include rental payments, utility bills and the cost of paying your staff. Drill down into the numbers and see where there are opportunities to reduce these overhead costs. That could mean moving to smaller premises, or reducing the size of your workforce, to reduce payroll expenditure.

- Put limits on staff expenses – if your employees can claim expenses, or buy raw materials and equipment with the company’s money, these costs can soon start to rack up. It’s a good idea to put a spending limit in place, so each staff member can only spend up to an agreed amount. Having a clear expenses policy helps, as will training up your staff in good spend management techniques. Expenses cards or expense managment software will allow you to quickly set spend limits, track expenses and pull your expenses data through to your cloud accounting platform for processing.

- Look for cheaper suppliers – if you can reduce your supplier costs, this will go a long way to bringing down your overall spend. If you’ve been with certain key suppliers for years, look around for new quotes, look at current market prices and see if you can negotiate better deals. And if your old suppliers aren’t flexible enough, try swapping to newer, more eager suppliers who will be willing to meet you in the middle on price.

- Make your operations leaner – the bigger your operational costs are, the less margin you’ll make on your end products and services. One way to resolve this is to aim for a ‘lean approach’, paring back your staff, resources and operational complexity to the bare minimum. By making the business as lean as possible, whilst still delivering the same output, you keep your revenue stable, but reduce the spend level that’s eating into your cost of goods sold (COGS). The smaller your COGS, the more profit you make on each unit or sale – and that means better cashflow, more working capital and bigger profits.

- Explore tax reliefs – you might assume that tax costs are an unavoidable expense when running your business, but it’s worth exploring which tax reliefs, grants or other business benefits you may benefit from. For example, research and development (R&D) tax credits that help cut your corporation tax expenses if you can demonstrate that you’re involved in innovation and groundbreaking R&D within your industry or specialism.

Talk to us about improving your spend management

If you’d like to get in control of your expenses, we’d love to chat. We’ll review your current costs and will highlight the key areas where expenses can be cut. Then we’ll help you formulate a proactive spend management programme, to reduce your unnecessary spending.

Changes to personal tax rates announced by the federal government

Tue, 30 Jan 2024 12:17:00 +1100

Changes to personal tax rates announced by the federal government

The federal government has announced an overhaul of the previous Coalition government stage 3 tax cuts and introduced various changes in the personal tax rates that apply from 2024-25 income year and onwards.

Changing the original course of action, as announced by the previous Coalition Government, the new tax changes aim to focus on the low and middle income earners to help with the cost-of-living pressures.

The following changes have been announced to the personal tax rates:

- the lowest rate of income tax will be reduced form 19 cents in a dollar, down to 16 cents, this means a taxpayer earning $50,000 per year will receive a tax cut worth over $900 a year.

- the second tax rate will be cut from 32.5 percent down to 30 per cent and that will apply to an annual income of up to $135,000.

- The 37 per cent rate will be retained and will now apply from $135,000 - an increase up from $120,000.

- In the first increase since 2008, the threshold for the top tax rate of 45 per cent will also be increased. It will now kick in at $190,000, up from $180,000.

You will roughly receive the following tax cuts, based on your annual income:

Income (per annum)Annual tax cut

$45,000 $804

$75,000 $1,154

$100,000 $2,179

$150,000 $3,729

Other matters

In addition to changing the tax rates and thresholds, the Government will also increase the low-income Medicare threshold and exempt more low-income earners from the 2% Medicare levy charge, it is yet to be seen if this increase will be the usual increase by consumer price index (CPI) or more.

A 12-month long price enquiry will be conducted by the Australian Competition and Consumer Commission (ACCC) to scrutinise the supermarket pricing and the difference between farmgate and retail pricing shoppers end up paying.

Please note, the proposed changes are currently in the announcement stage and require parliamentary approval to become law.

Contact us

We can help you work out the exact tax cuts you may receive based on your current or expected annual income post 1 July 2024.

Please feel free to contact our office if you have any queries in relation to this matter.