With eight weeks to go until 30 June, now is the time to plan for that end of financial year (EOFY) deadline.
Unlike the end of the calendar year, when people are looking forward to celebrations, EOFY can be a stressful time for many business owners.
Here are a few ideas for you to consider and action, so you can proactively plan for the deadline now, and take the front foot for the financial year ahead.
Engage with your advisors| Make an appointment to discuss your business and your current situation with your trusted advisors. These trained professionals may include your financial planner, accountant, lawyer, bookkeeper, mortgage broker, business coach, etc. Meeting with them well in advance of the EOFY deadline will give you time to plan and action any outcomes of your meetings.
EOFY Financial reporting | Make sure you understand your financials and your EOFY reporting requirements as it is up to you to know your numbers and you are legally responsible for the information submitted to the Australian Taxation Office (ATO). Find some useful EOFY tips about this and more from here.
Instant asset write-off | This year’s 2 April Federal Budget contained provisions to boost the instant asset write-off to $30,000, meaning businesses can claim up to $30,000 for assets purchased post budget and up to $25,000 for assets purchased pre-budget. This may be a discussion point with your accountant when you are doing your tax planning.
Single Touch Payroll | Single Touch Payroll (STP) is a new way for businesses to report tax and super information to the ATO each time they run their payroll or pay staff. While businesses with 20 or more employees have been required to use STP since 1 July 2018, from 1 July 2019 these requirements will now apply to smaller employers that employ 19 or fewer staff members. This development is particularly relevant to the Sutherland Shire area, where local businesses have an average number of 3.9 full-time employees. Here are further details about STP and the reporting methods that might be available to your business.
Beware of online scams | Scammers are also ramping up their activities around this time of year, posing as the Australian Investment and Securities Commission (ASIC) or the ATO. The Australian Government’s Staysmartonline website has some great tips to help you protect your business.
Looking at EOFY requirements and issues now will not only provide an insight into the health of your business, it will also set up your success over the coming months.
By Joanne Ryan
Joanne Ryan is Managing Director of Infodec Communications, a communications, strategy and marketing company located in Miranda. She currently works with a number of not for profit organisations on grant and sponsorship projects and she is part of the NSW Office of the Small Business Commissioner’s Procurement Reference Group.