S & H Tax Accountants

Author: Bizink

How to create good habits in business
If you’re like most small business owners, there are never enough hours in the day to complete every task on your list.
Often you’re faced with prioritizing what you need to do right now – deal with a customer, meet a deadline, attend an event – and the things you know you should do for the ongoing growth of your business.

Scheduling time to attend to these business activities on a regular basis is a great way to get on track for greater success.

Know your numbers

It’s not uncommon for business owners to lose touch with how well their business is performing on a day-to-day basis. But an awareness of your real time income and expenses is the key to making better decisions that will nurture growth.

Implement these changes and see the difference they make in your business:
- Switch to an online accounting solution that offers access to real time data anywhere, anytime
- Monitor your finances on a daily, weekly, monthly, and quarterly basis; review the data with your accountant often
- Check in on your other numbers, too – your website metrics and software analytics – so you know whether your marketing, lead generation, and sales tactics are working.
Update your business plan

Companies should update their business plan at least once a year—sooner if there’s an upcoming change that requires planning, financing, or re-assigning resources (for instance, a product launch, an opportunity to start importing/exporting, or a new side business).
Many business owners neglect to revise their plans on a regular basis. They end up operating on autopilot, losing sight of their bigger goals and the steps they planned to take their business to the next level.
The start of a new year is an excellent time to set goals, mark milestones, and start implementing your plans. The timing also lines up nicely with closing out the previous year’s books, so you can plan with your latest annual figures in mind.

Hire help

It sounds simple, but the self-sufficient, independent nature of many entrepreneurs can make it difficult to get comfortable delegating responsibility. Finding the right people to relieve the burden of doing everything, all the time, is the only way a business can scale and reach its potential.

Think carefully about how you spend your days. Are you still at the point where you want to – or need to – do it all? The ultimate success of any company is to reach the point where it can run without you, so you can enjoy a holiday, pass the business on to a family member, or sell it.
It can take time to find the right people that you can trust to perform their jobs well and continue to grow your business. A recruitment agency can help you craft an attractive job description and recruit so you can focus on strategies that can bring you greater enjoyment and success.
Developing new business habits takes time and commitment – but the pay off is well worth it! Which of these business habits is most important for you to commit to this year?
13/04/2021
COVID-19 Business Update – 7 April 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

Trans Tasman Travel Bubble to Begin 19 April

Australia and New Zealand will create a quarantine and COVID-testing free travel bubble starting 19 April. However, flights to and from some Australian states may cease if there are future outbreaks.

Australians made up 1.5 million or 40% of arrivals to New Zealand in 2019 before the pandemic, and it was expected that arrivals will reach 80% of that level by early 2022. This travel bubble will also allow the Trans-Tasman Super Rugby competition involving five teams from each country to proceed over five weeks from May 14.

Australia Calls for Release of 3.1 Million Vaccine Doses

The government will be asking the European Union (EU) to release more than 3.1 million doses of the AstraZeneca vaccine, after the EU denied blocking the shipment to the country.

This delay in receiving the additional doses is the reason why it has fallen behind in its scheduled vaccination. The government targeted 4 million people to be vaccinated by the end of March, but only 670,000 people have been inoculated so far.

Job Ads Increase to 12-Year High

Australian job advertisements grew 7.4%, soaring to their highest level in 12 years in March. This increase is a positive sign that the labour market’s recovery can withstand the lifting of some of the government’s support programmes.

Unemployment has also fallen much quicker than expected, hitting 5.8% in February, The Reserve Bank of Australia is aiming to drive it down to 4% or lower to finally lift wage growth and inflation.

Live Music Venue Support For Queensland-based Venues

Live music venues in Queensland can now apply for state government grants of up to $80,000 to help recover from the losses incurred from COVID-19 restrictions.

Smaller venues can apply for up to $60,000, while larger venues with a capacity of more than 500 people can request for grants up to $80,000. You can submit your applications here until April 19.

Australian Government Extends Energy Bill Support to June

The Federal Government has extended the COVID-19 energy support measures for consumers and small businesses until the end of June.

This means energy suppliers must work out and rearrange payment plans with customers who are experiencing financial hardship. This may include payment plans that mean no payments will be required for some period of time.

Energy companies will also not be allowed to cut the power to customers for unpaid bills as long as the customer is working with the supplier to find a suitable payment solution.

Australian Government Disaster Recovery Payment Available After NSW Floods

People adversely affected by the floods in New South Wales can claim a lump sum payment of $1,000 per adult and $400 for each child younger than 16 through the Australian Government Disaster Recovery Payment.

The complete list of local government areas that can claim this financial support until 20 September 2021 can be found here. You can read more about how to claim it here.

If you lost income as a direct result of the floods, you can also take advantage of the Disaster Recovery Allowance.

Stimulus Package for Tourism Industry: Cheap Flights, Loans and Financial Aid

The Australian government unveiled a $1.2 billion tourism support package to help boost local travel, while international borders remain closed.

Airline ticket subsidies for travellers, cheap loans to small tour companies and financial aid for the country’s two largest airlines are designed to keep this critical sector afloat until our international borders reopen.

Wage Subsidy Scheme for Apprentices to Be Expanded

The government will spend $1.2 billion on the wage subsidy scheme for apprentices, as JobKeeper ended last month.

Under the apprentice scheme, the government will pay half the wages of apprentices up to a maximum of $7,000 each quarter for 12 months. It will run until September 2022. Ask us if you have any questions.

Claiming the JobMaker Hiring Credit

The JobMaker Hiring Credit is available for eligible employers who create new positions for eligible young people between 7 October 2020 and 6 October 2021.

To receive JobMaker Hiring Credit payments, you don’t need to satisfy a fall in turnover test. All you need to do is complete three steps:
- Register – via ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
- Nominate your eligible additional employees – by running payroll events through your Single Touch Payroll (STP) enabled software by 27 April 2021.
- Claim payments – using ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
You can register at any time until the scheme ends. Ask us if you have any questions.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

21 April
- Lodge and pay March 2021 monthly business activity statement.
- Lodge and pay quarter 3,(January–March 2020–21) PAYG instalment activity statement for head companies of consolidated groups
28 April
- Lodge and pay quarter 3, 2020–21 activity statement if electing to receive and lodge by paper and not an active STP reporter.
- Pay quarter 3, 2020–21 instalment notice (form R, S or T). Lodge the notice only if you are varying the instalment amount.
- Make super guarantee contributions for quarter 3, 2020–21 to the funds by this date.
30 April
- Lodge TFN report for closely held trusts if any beneficiary quoted their TFN to a trustee in quarter 3, 2020–21.
- Lodge lost members report for the period 1 July 2020 to 31 December 2020.
Contact us if you have any questions.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

Five Startup Killers To Avoid

If you want your new business to succeed, you need to make smart decisions and be strategic. In this Forbes article, a business coach shared five business killers that you should avoid if you want your startup to be successful.
1. Too much overhead– Start with the bare necessities and focus on surviving your first year in business. By keeping your business lean in the early stages, you may have a positive cash flow.
2. Limited cash flow– The main reason new businesses have to close is because they don’t have enough money. Avoid making significant cash purchases and use other financing options so you can have sufficient cash in your bank.
3. Too much planning– Don’t overwhelm yourself with all the little details because there will always be little details.
4. Too little planning– While it’s better to start with version one than never start at all, this doesn’t mean you shouldn’t plan at all. You need to have a business plan, including processes and systems in place in order to succeed.
5. Not getting involved in the community– If you’re not networking within your community, you’ll be missing out on vital business connections. Your website and social media are great, but you may also need people in your community to establish your credibility when you’re just starting out.
Need more focused business advice for your startup? Get in touch with us today and let’s work out a plan together!

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
07/04/2021
5 Tips to Get Out of Debt Faster

Living a debt-free life is one of the dreams of many people. However, paying down your debt is easier said than done.

Some people struggle to keep up with their monthly bills and become overwhelmed with the amount of debt they have to pay. In these circumstances, it’s easy to “stick your head in the sand” instead of tackling the issue head-on. This approach only means you’ll be off track for longer, making it harder for you to recover.

In order to help you take back control of your financial situation, we’ve put together some common strategies to help you get out of debt faster. Please get in touch if you need help developing a financial plan that’s custom to your situation. The following options may not be the best solution for you.

Pay more than the minimum monthly payment.

Paying only the minimum amount due will keep you in debt for longer. Paying more than the required monthly payment will help you save on interest and speed up the payoff process.

Cut down your expenses.

If you’re living paycheck to paycheck because of your bills, you might want to consider cutting down your expenses, especially your unnecessary spending and expensive habits. And while you’re living on a strict budget, use the money you save to pay down your debts.

Get a part-time job or a side hustle.

Earning more money can improve your capacity to clear your debts. You may have an untapped skill you can use to earn more. Check out outsourcing platforms online or see who else you can collaborate with.

Use the debt snowball method.

The debt snowball method works like this: first, list down all your debts from smallest to largest. Next, commit to make minimum payments on all loans except for the smallest one, which you should pay as much money towards as you can.

Once you’ve paid off the smallest loan, move on to putting all your excess funds to the second smallest while paying the minimum amount due for the others. Do this until you’re debt-free.

Use “found money” to pay off your debts.

“Found money” could be an annual salary increase, a bonus or commission, an inheritance, or maybe a tax refund. Whatever that may be, if you come across an unusual source of income, you can use the money to reduce your debt or at least commit a certain percentage of it.

With discipline and commitment, it is indeed possible to achieve a worry-free life without debts. However, if you need a more focused debt paydown strategy from an expert, get in touch with us today and let’s work out a plan for your specific situation.

06/04/2021
Five Ways to Bring in More Cash for Your Business

Now is the perfect time to evaluate your financial position and come up with innovative ways to add revenue streams and generate cash. Here are five ways you might consider to improve your cash inflow:

1. Evaluate your current company assets.

Take a look at your assets, both fixed and human. Could you make slight pivots to create a new form of income?

For instance, if you run a coffee shop or restaurant, could you start a delivery service or offer a drive-thru pickup? Should you charge for delivery?

Think about what you currently have and how you can do more with the assets you already have.

2. Use the power of technology.

There are countless apps you can use to serve your customers better. If you don’t have a website, you should consider getting one built if you want to establish your presence online. You might also have online ordering options or online appointment booking for consultations. If you’re a professional services provider, consultations can be booked with tools like Calendly and go virtual through low-cost video conferencing options like Zoom and Go-To Meeting.

3. Sell merchandise.

You might start selling merchandise that is relevant to your business. You can ask your customers to support you through these difficult times by buying a hat, a shirt, or other products. This can work well if you partner with a charity or get your customers input into the merch you will sell.

4. Send invoices digitally and offer mobile/online payment options.

With social restrictions and lockdowns, it is important to give your customers a way to pay you without having to visit your office or store. You can find a lot of reasonably-priced invoicing systems which allow you to send digital invoices and get paid online. Drop us a message if you need help with this.

5. Offer discounts and promos.

Almost everyone else is having a tough time just like you. So if you can, you might want to consider offering discounts and special promotions to attract customers even during the COVID-19 crisis.

These are just some of the ways you can bring in more cash into your business. If you want to develop a focused approach and need tailored business advice, feel free to contact us so we can discuss your specific situation.

06/04/2021
COVID-19 Business Update – 31 March 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

Brisbane Looking at Easter Lockdown Extension

While the decision on the lockdown extension will not be made until Wednesday night, the spread of the UK variant of the coronavirus has increased the possibility of an extended shutdown in Greater Brisbane over the Easter weekend.

State border closures and disruptions to flights could continue with fears Brisbane’s lockdown could spread to the Gold Coast, a popular holiday destination around this time. This comes after eight new local cases of COVID-19 were reported on Tuesday and two on Wednesday.

Over 500,000 Australians Vaccinated Against COVID-19

More than 507,000 vaccines have been administered at the close of business last Friday as part of the Phase 1 rollout.

The roll out for the next week and further expansion is now well underway. The first of the 50 million Australian-made CSL doses of the AstraZeneca COVID-19 vaccine have already been distributed and will now be distributed on an ongoing basis.

Australian Government Extends Energy Bill Support to June

The Federal Government and the Australian Energy Regulator (AER) have extended the COVID-19 energy support measures for consumers and small businesses until the end of June.

This means energy suppliers must work out and rearrange payment plans with customers who are experiencing financial hardship. This may include payment plans that mean no payments will be required for some period of time.

Energy companies will also not be allowed to cut the power to customers for unpaid bills as long as the customer is working with the supplier to find a suitable payment solution.

Australian Government Disaster Recovery Payment Available After NSW Floods

People adversely affected by the floods in New South Wales can claim a lump sum payment of $1,000 per adult and $400 for each child younger than 16 through the Australian Government Disaster Recovery Payment.

The complete list of local government areas that can claim this financial support until 20 September 2021 can be found here. You can read more about how to claim it here.

If you lost income as a direct result of the floods, you can also take advantage of the Disaster Recovery Allowance.

Stimulus Package for Tourism Industry: Cheap Flights, Loans and Financial Aid

The Australian government unveiled a $1.2 billion tourism support package to help boost local travel, while international borders remain closed.

Airline ticket subsidies for travellers, cheap loans to small tour companies and financial aid for the country’s two largest airlines are designed to keep this critical sector afloat until our international borders reopen.

Wage Subsidy Scheme for Apprentices to Be Expanded

The government will spend $1.2 billion to expand its wage subsidy scheme for apprentices, as JobKeeper is set to end this month.

Under the apprentice scheme, the government will pay half the wages of apprentices up to a maximum of $7,000 each quarter for 12 months. It will run until September 2022. Ask us if you have any questions.

Claiming the JobMaker Hiring Credit

The JobMaker Hiring Credit is available for eligible employers who create new positions for eligible young people between 7 October 2020 and 6 October 2021.

To receive JobMaker Hiring Credit payments, you don’t need to satisfy a fall in turnover test. All you need to do is complete three steps:
- Register – via ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
- Nominate your eligible additional employees – by running payroll events through your Single Touch Payroll (STP) enabled software by 27 April 2021.
- Claim payments – using ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
You can register at any time until the scheme ends. Ask us if you have any questions.

Beware of Scammers Impersonating the ATO

The Australian Taxation Office (ATO) is warning about a new batch of scammers impersonating the ATO who are claiming they’ve suspended their target’s tax file number (TFN) following suspected fraudulent activity.

While the number of people falling victim to this scam is low, the large amounts being lost per person is alarming, according to Assistant Commissioner Trent Jakubowski.

So remember, the ATO does call taxpayers but will never:
- send unsolicited pre-recorded phone messages
- use aggressive or rude behaviour, or threaten you with immediate arrest, jail or deportation
- suspend your TFN
- request direct transfers of money to a personal bank account
- project their number onto your caller ID
If you receive a suspicious call, email, or SMS, report it to ato.gov.au/reportascam or call the ATO’s dedicated scam line 1800 008 540 to check if it was legitimate.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

21 April
- Lodge and pay quarter 3, 2020–21 PAYG instalment activity statement for head companies of consolidated groups.
- Lodge and pay March 2021 monthly business activity statement.
28 April
- Lodge and pay quarter 3, 2020–21 activity statement if electing to receive and lodge by paper and not an active STP reporter.
- Pay quarter 3, 2020–21 instalment notice (form R, S or T). Lodge the notice only if you are varying the instalment amount.
- Make super guarantee contributions for quarter 3, 2020–21 to the funds by this date.
30 April
- Lodge TFN report for closely held trusts if any beneficiary quoted their TFN to a trustee in quarter 3, 2020–21.
- Lodge lost members report for the period 1 July 2020 to 31 December 2020.
Contact us if you have any questions.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

4 Tips to Get Out of Debt

Getting out of debt can be difficult, but there are some strategies that can help you pay it down more easily:
- Pay more than the minimum payment required– Go through your finances and decide how much extra you can shell out to pay your debt. Paying more than the minimum amount will help you save on interest and pay it completely much faster.
- Use the debt snowball method– This approach involves paying the minimum amount on all your debts except for the smallest one, which you should pay as much as you can toward. Once you eliminate the smallest one quickly, you’ll move on to the second smallest debt while paying the minimum on the others.
- Debt refinancing– You’ll save in interest if you refinance your debt to a lower interest rate. Consider refinancing your mortgage, auto loan, or student loan.
- Commit windfalls to debt– For example, when you get a tax refund or a stimulus check, you can use the money to pay your debt or at least split it 50-50 between debt payment and having fun or saving in your bank account.
Do you want a more personalised debt paydown strategy? Get in touch with us today and let us help you enjoy a debt-free life.

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
31/03/2021
9 reasons to switch to cloud computing

Don’t be left up in the air by traditional IT solutions. Check out the top 9 advantages for small businesses switching to cloud computing.

Cloud computing is fast becoming the norm because storing information and using software hosted on the Internet has many advantages.

1. Save money

Traditionally, a small business spends money licensing software or buying packages to install or download onto individual computers. Cloud computing, on the other hand, can provide ‘Software as a Service’ (SaaS) – including many programs that are available individually.

They’re stored on a service provider’s remote servers instead of on your hard drive so you don’t need a high-end computer to use them.

The automation provided by cloud computing also saves costs. Many companies have slashed their IT overheads because their service providers are directly taking care of updates and program maintenance for them.

2. Save time

Cloud computing was developed to be an on-tap service that requires little knowledge or input from the end user. As such, cloud computing has done away with the end user having to install programs, download updates. You won’t have to stop work for a download bar to fill on your screen or an IT staff member to install a program.

3. Share more

Staff don’t have to rely on email to contend with location issues. For example, a colleague on a fact-finding trip to Shanghai could find a company document online, rather than waiting for co-workers back at the office to find and email it.

4. Flexibility

Data storage is one of the core SaaS offerings of cloud computing – it allows even large corporates to access huge databases of information without having to operate their own floors of servers.

This outsourcing means that instead of having to invest in more hard drives and servers to increase capacity, a growing business can simply store everything on the cloud. All you need is an Internet connection and devices to access it.

5. Improve reliability

Cloud computing is proving that software as a service, rather than as a product, is more reliable. With so many people using a single program, instead of everyone using individual copies, service providers are directly managing software and being updated about issues immediately.

Fewer problems are arising because software isn’t being downloaded onto individually customised computers containing other programs and systems that the software might not be compatible with.

6. Be mobile

It’s almost as if cloud computing was designed specifically for mobile devices because you don’t rely on the device itself for storage capacity. You don’t have to email documents from home to work computers anymore.

7. Improve security

Security is the biggest issue people have with cloud computing because users have to hand over responsibility for data security to their service providers.

Cloud computing always makes sense when it comes to guarding against physical theft, such as a break-in at a business’s premises. However, the hacking or system failure of servers containing masses of user data remains a concern.

8. Quickly recover from disaster

Backing up important documents on a separate hard drive is important, whether you’re using cloud computing or not. But in the case of a natural disaster that denies you access to your premises, cloud computing can be advantageous.

Because you can access your documents anywhere there’s an Internet connection, cloud computing can be a vital tool to ensure business continuity.

9. Bankability

The cost and time savings implied by using cloud computing can be promoted as an advantage in business plans. It’s not just an alternative choice to traditional IT set-ups but an evolution of IT thinking. It can be applied to make a business leaner and more effective at service delivery.

Studies have evaluated the lifecycle cost savings of cloud computing at up to 50% for companies using high numbers of in-house servers. Add to that, the elimination of service interruptions caused by traditional IT issues, such as downloading updates and fixing system errors, and your company can move forward a lot faster than your competition.

30/03/2021
Still Doing Your Own Payroll? Here’s 3 Reasons Why You Should Stop

At face value, it seems like a great idea.

If you’re a small business owner with just a few employees, you probably think that hiring a payroll specialist is an expense that you can avoid.

You feel that you can handle it yourself. You have the best intentions to keep your staff paid right and on time. What could go wrong, right?

Well, lots actually. Below are the reasons why you should stop doing your own payroll.

It’s a time waster

If you don’t have a finance background, you’ll likely spend a substantial amount of time calculating employees’ work hours, computing for taxes and other deductions, creating payslips, processing, and filing.

And even if you do have a bit of a background in bookkeeping, are you sure you want to spend your precious time doing these tasks instead of focusing on the core aspects of your business?

You don’t need to study the ins and outs

Sure, you can learn about relevant tax adjustments and benefits procedures if you want to. But then again, you’d be spending more time educating yourself, not to mention the possibility of making costly mistakes.

A payroll specialist, on the other hand, knows the ins and outs of taxes, overtimes, contributions, sales commissions, and bonuses. The bottom line is: another professional can do it better, and while they’re at it, you can get back to doing what you do best– like growing your business!

It may cost you more to do it yourself

One of the most common mistakes of small business owners is that they think they’re saving money by doing everything on their own. Remember, time is money– and as mentioned earlier, instead of dedicating your time doing tasks such as payroll, you can spend it more efficiently on business activities that drive profits and growth.

Also, if you get your payroll wrong or you fail to do it on time, you can get penalties that are not fun. These are also avoidable if you entrust a payroll specialist.

A Better Approach

If you think hiring a full-time in-house payroll staff is not practical, you can always come to us and let us take care of your payroll. Whether you need weekly, fortnightly, or monthly processing, our team is flexible enough to do it for you.

As payroll experts, we can keep your employees happy with timely and accurate wages, maintain tax compliance, and ease your back office burden significantly.

So get in touch with us today and give yourself the peace of mind you deserve!

25/03/2021
5 Tips To Prepare Your Business for the End of JobKeeper

The Australian Government’s JobKeeper scheme is set to end on the 28th March 2021. Since this program was introduced in March last year, it has provided a lifeline to many businesses, protected jobs, and helped protect Australia’s economy. Now that it’s about to end, you may be worried about your business.

We’ve compiled our top tips to help you prepare your business for what’s next.

Create a cash flow forecast.

Cashflow forecasts are essential for business survival– use them to scan the horizon and manage your cash effectively.

Factor in your overhead costs, account for all incomings, and create a cash flow forecast at least three months ahead. Trust us, it’s easier to manage a shortfall if you know about it a few months in advance.

Our team can help you create and monitor these forecasts so you’re well prepared for what might happen.

Get in touch with your suppliers and clients.

Ask your clients and suppliers how they’re doing. If their business is in trouble, create a Plan B to prevent your business from being disrupted.

Even better, ask them how you can help ease their challenges. If you can help others out in times like these you will reap the rewards in the long run.

Fast track your accounts receivables.

We know everyone hates chasing overdue invoices. However, it needs to be done, as these outstanding payments will put pressure on your cash flow.

There are various strategies to get paid faster. One is to consider a payment gateway system that allows credit card or direct debit payments right from your invoices. Another is to offer flexible payment options or installments, especially for your regular customers. You might also want to consider requesting upfront deposits.

Remember! If you make it easier for people to pay you, you will likely get paid quicker.

Tweak your marketing strategy.

With everyone affected by the COVID-19 pandemic, there also come changes in consumer behavior. So it could be time to review your marketing strategy and adapt.

This may include changing how you use social media to engage with customers. Partnering with relevant small businesses and joining community initiatives are effective ways to expand your reach and stay on top of mind in your local community.

Tap into other government funding and support programs.

JobKeeper may be ending but there are other ongoing government grants, subsidies, funding, and support initiatives that you can still take advantage of. You can check them out here.

Talk to an advisor

Get in touch with a reliable advisor and gain access to expert advice on cash flow and how to cushion the impact of the end of JobKeeper. We can also help you explore your options for other government subsidies and stimuli. Contact our team today!

25/03/2021
COVID-19 Business Update – 24 March 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

Phase 1B of Vaccine Rollout Begins

Phase 1B of Australia’s COVID-19 vaccination rollout plan started this week to further cushion the health, social, and economic impacts of the pandemic.

Priority groups in Phase 1B include:
- elderly adults aged 80 years and over
- elderly adults aged 70 years and over
- health care workers not vaccinated in Phase 1A
- Aboriginal and Torres Strait Islander adults over 55
- adults with a specified medical condition
- adults with a severe disability who have a specified underlying medical condition
- critical and high risk workers including defence, police, fire, emergency services and meat processing.
Appointment availability will be increased as the number of clinics grow from 1,000 to over 4,000 in the next four weeks.

Business Events Australia Launches Free Marketing Toolkit

Business Events Australia has launched a marketing toolkit to help the Australian business events industry recover from the impact of COVID-19.

These free marketing assets include 30 and 60 second video vignettes, marketing collateral for the promotion of key business event destinations, fact sheets on funding programs, social media guide, and logos.

These broad range of assets can be used in event bids, pitch presentations, and across their social media and promotion channels.

$25,000 Grants for Cyclone-Impacted Primary Producers in North Queensland

Grants of up to $25,000 are now available to support the recovery of primary producers in North Queensland affected by the Tropical Cyclone Niran. This comes after primary producers in Cairns, Cassowary Coast, Hinchinbrook, Mareeba, and Tablelands reported between 20 to 100% crop loss and damage to plant machinery and equipment.

Total economic impact on primary producers is estimated at $146 million in the Cassowary Coast region alone. You can find out more about the assistance available to primary producers here.

Australian Government Disaster Recovery Payment Available After NSW Floods

People adversely affected by the floods in New South Wales can claim a lump sum payment of $1,000 per adult and $400 for each child younger than 16 through the Australian Government Disaster Recovery Payment.

The complete list of local government areas that can claim this financial support until 20 September 2021 can be found here. You can read more about how to claim it here.

If you lost income as a direct result of the floods, you can also take advantage of the Disaster Recovery Allowance.

Stimulus Package for Tourism Industry: Cheap Flights, Loans and Financial Aid

The Australian government unveiled a $1.2 billion tourism support package to help boost local travel, while international borders remain closed.

Airline ticket subsidies for travellers, cheap loans to small tour companies and financial aid for the country’s two largest airlines are designed to keep this critical sector afloat until our international borders reopen.

Wage Subsidy Scheme for Apprentices to Be Expanded

The government will spend $1.2 billion to expand its wage subsidy scheme for apprentices, as JobKeeper is set to end this month.

Under the apprentice scheme, the government will pay half the wages of apprentices up to a maximum of $7,000 each quarter for 12 months. It will run until September 2022. Ask us if you have any questions.

Second Round of ‘Boosting Female Founders Initiative’

The federal government has launched a second round of funding for the Boosting Female Founders Initiative worth $11.6 million. This will support female entrepreneurs to build their businesses and create local jobs.

Through this government support, grants between $25,000 and $400,000 will be provided to Australian start-up businesses that are female-founded or majority owned and led by women.

Applications opened on 8 March 2021, International Women’s Day.

JobKeeper ends soon: what to do if you’re worried about your business

If your business is struggling with cashflow or other issues at the moment, it’s time to have a chat. It’s a good time to take stock and think about your business more broadly. It’s likely that any underlying issues have been compounded by the COVID-19 crisis, magnifying and accelerating the impact of these issues.

If you are worried about how your business will make ends meet without JobKeeper, you should speak with your advisor to find out your options. It’s crucial to be proactive and act early if you feel you will be in financial distress. Get in touch with us to find out how we can help you weather this storm. We’ll make sure you have a solid understanding of your business’ current financial position so you can make informed decisions.

The final JobKeeper payment will be processed in April 2021.

If you haven’t yet enrolled there’s still time. If you’re eligible you can enrol at any time until the end of March 2021.

If you already receive JobKeeper payments for your eligible employees, you don’t have to do anything when the program closes.

However, you will need to complete your final monthly business declaration for March by 14 April 2021.

If you still need assistance you may be eligible for the JobMaker Hiring Credit or other help, just ask us.

Claiming the JobMaker Hiring Credit

The JobMaker Hiring Credit is available for eligible employers who create new positions for eligible young people between 7 October 2020 and 6 October 2021.

To receive JobMaker Hiring Credit payments, you don’t need to satisfy a fall in turnover test. All you need to do is complete three steps:
- Register – via ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
- Nominate your eligible additional employees – by running payroll events through your Single Touch Payroll (STP) enabled software by 27 April 2021.
- Claim payments – using ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
You can register at any time until the scheme ends. Ask us if you have any questions.

Beware of Scammers Impersonating the ATO

The Australian Taxation Office (ATO) is warning about a new batch of scammers impersonating the ATO who are claiming they’ve suspended their target’s tax file number (TFN) following suspected fraudulent activity.

While the number of people falling victim to this scam is low, the large amounts being lost per person is alarming, according to Assistant Commissioner Trent Jakubowski.

So remember, the ATO does call taxpayers but will never:
- send unsolicited pre-recorded phone messages
- use aggressive or rude behaviour, or threaten you with immediate arrest, jail or deportation
- suspend your TFN
- request direct transfers of money to a personal bank account
- project their number onto your caller ID
If you receive a suspicious call, email, or SMS, report it to ato.gov.au/reportascam or call the ATO’s dedicated scam line 1800 008 540 to check if it was legitimate.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

31 March
- Lodge tax return for companies and super funds with total income of more than $2 million in the latest year lodged (excluding large/medium taxpayers), unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for the head company of a consolidated group (excluding large/medium), with a member who had a total income in excess of $2 million in their latest year lodged, unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for individuals and trusts whose latest return resulted in a tax liability of $20,000 or more, excluding large/medium trusts. Payment is due as advised on their notice of assessment.
Contact us if you have any questions.

It’s time to review your fringe benefits

The fringe benefits tax (FBT) year ends on 31 March. That means it’s time to review the benefits you’ve provided to your employees for the last 12 months and work out which of those attract FBT.

Examples of fringe benefits include:
- private use of work cars
- entertainment (e.g. concert tickets)
- reimbursement of employees’ expenses (e.g. school fees)
- salary sacrifice arrangements.
Over the past year there have been many changes and restrictions due to COVID. To adapt, you may have provided your employees different benefits to those you usually provide, and these may be exempt from FBT.

Generally, you do not need to pay FBT for:
- items provided to employees to enable them to work from home (e.g. laptop or portable device)
- emergency accommodation, food and transport
- emergency health care.
You can find out more about when it is (and isn’t) a fringe benefit here and read about the FBT COVID changes here.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

Understanding Contribution Margin and Why You Need It

When you run a business, you obviously would like to know how profitable it is. You can check your profit margin to understand by how much your revenue exceeds costs.

However, if you’d like to dig deeper and learn how a certain product contributes to your profit, you have to look at the contribution margin.

When you create a product or deliver a service and deduct the variable cost of offering it, the leftover revenue becomes the contribution margin.

So simply put,

Contribution margin= revenue – variable costs

By knowing the contribution margins, you can decide whether to add or subtract a product line, how to price it, and how to structure sales commissions.

If a product’s contribution margin is negative, it means your company is losing money producing it. Your course of action could be to discontinue the product or increase its price. Meanwhile, if a product has a positive contribution margin, you would want to keep it.

However, the first step in calculating for the contribution margin is to use your income statement and identify all your fixed and variable costs. This is not as straightforward as it sounds because it’s not always clear which ones fall into each category.

So if you want to save time and ensure that you get the contribution margins right, get in touch with us so we can help you make informed business decisions.

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
24/03/2021
Efficient business systems really pay off

Too many businesses fall over because the owner has not established efficient business systems. This typically happens because the business owner is so caught up in the day-to day running of the business that the fundamentals of good business management get forgotten. Often too it must be said that the owner simply doesn’t like bookkeeping or other administrative tasks, so these get put on the back burner.

(more…)

23/03/2021
COVID-19 Business Update – 17 March 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

Phase 1b Vaccination Roll Out to Commence on 22 March 2021

Phase 1b vaccinations will commence on 22 March 2021, and more than 1,000 general practices will join the COVID-19 vaccination program from next week to further strengthen the capacity and ensure an efficient distribution of vaccines across the country.

Phase 1B includes vulnerable groups, such as older people and people with certain underlying medical conditions. Those eligible for Phase 1B will be able to find a vaccination provider through the new national vaccination information and location service, at the Department of Health website.

You can also check which phase of the vaccine rollout you’re in through the Eligibility Checker.

Over $1.1 Billion to Extend Australia’s COVID-19 Health Response

The government will invest more than $1.1 billion to extend Australia’s national COVID-19 health response and suppression strategy until 31 December 2021.

This $1.1 billion is in addition to more than $22 billion spent in these areas, including over $6 billion to support the COVID-19 vaccine roll out. This investment will extend the focus on containing the virus through testing, tracing and border and travel measures, building and investing in the capacity of the health system, and collaborating with states and territories, the health sector and others.

More information on the specific measures that will be supported can be found here.

Stimulus Package for Tourism Industry: Cheap Flights, Loans and Financial Aid

The Australian government unveiled a $1.2 billion tourism support package to help boost local travel, while international borders remain closed.

Airline ticket subsidies for travellers, cheap loans to small tour companies and financial aid for the country’s two largest airlines are designed to keep this critical sector afloat until our international borders reopen.

Wage Subsidy Scheme for Apprentices to Be Expanded

The government will spend $1.2 billion to expand its wage subsidy scheme for apprentices, as JobKeeper is set to end this month.

Under the apprentice scheme, the government will pay half the wages of apprentices up to a maximum of $7,000 each quarter for 12 months. It will run until September 2022. Ask us if you have any questions.

Second Round of ‘Boosting Female Founders Initiative’

The federal government has launched a second round of funding for the Boosting Female Founders Initiative worth $11.6 million. This will support female entrepreneurs to build their businesses and create local jobs.

Through this government support, grants between $25,000 and $400,000 will be provided to Australian start-up businesses that are female-founded or majority owned and led by women.

Applications opened on 8 March 2021, International Women’s Day.

JobKeeper ends soon: what to do if you’re worried about your business

If your business is struggling with cashflow or other issues at the moment, it’s time to have a chat. It’s a good time to take stock and think about your business more broadly. It’s likely that any underlying issues have been compounded by the COVID-19 crisis, magnifying and accelerating the impact of these issues.

If you are worried about how your business will make ends meet without JobKeeper, you should speak with your advisor to find out your options. It’s crucial to be proactive and act early if you feel you will be in financial distress. Get in touch with us to find out how we can help you weather this storm. We’ll make sure you have a solid understanding of your business’ current financial position so you can make informed decisions.

The final JobKeeper payment will be processed in April 2021.

If you haven’t yet enrolled there’s still time. If you’re eligible you can enrol at any time until the end of March 2021.

If you already receive JobKeeper payments for your eligible employees, you don’t have to do anything when the program closes.

However, you will need to complete your final monthly business declaration for March by 14 April 2021.

If you still need assistance you may be eligible for the JobMaker Hiring Credit or other help, just ask us.

Claiming the JobMaker Hiring Credit

The JobMaker Hiring Credit is available for eligible employers who create new positions for eligible young people between 7 October 2020 and 6 October 2021.

To receive JobMaker Hiring Credit payments, you don’t need to satisfy a fall in turnover test. All you need to do is complete three steps:
- Register – via ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
- Nominate your eligible additional employees – by running payroll events through your Single Touch Payroll (STP) enabled software by 27 April 2021.
- Claim payments – using ATO online services, Online services for business or the Business portal, or through your registered tax or BAS agent.
You can register at any time until the scheme ends. Ask us if you have any questions.

Beware of Scammers Impersonating the ATO

The Australian Taxation Office (ATO) is warning about a new batch of scammers impersonating the ATO who are claiming they’ve suspended their target’s tax file number (TFN) following suspected fraudulent activity.

While the number of people falling victim to this scam is low, the large amounts being lost per person is alarming, according to Assistant Commissioner Trent Jakubowski.

So remember, the ATO does call taxpayers but will never:
- send unsolicited pre-recorded phone messages
- use aggressive or rude behaviour, or threaten you with immediate arrest, jail or deportation
- suspend your TFN
- request direct transfers of money to a personal bank account
- project their number onto your caller ID
If you receive a suspicious call, email, or SMS, report it to ato.gov.au/reportascam or call the ATO’s dedicated scam line 1800 008 540 to check if it was legitimate.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

21 March
- February monthly activity statements – final date for lodgment and payment.
31 March
- Lodge tax return for companies and super funds with total income of more than $2 million in the latest year lodged (excluding large/medium taxpayers), unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for the head company of a consolidated group (excluding large/medium), with a member who had a total income in excess of $2 million in their latest year lodged, unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for individuals and trusts whose latest return resulted in a tax liability of $20,000 or more, excluding large/medium trusts. Payment is due as advised on their notice of assessment.
Contact us if you have any questions.

It’s time to review your fringe benefits

The fringe benefits tax (FBT) year ends on 31 March. That means it’s time to review the benefits you’ve provided to your employees for the last 12 months and work out which of those attract FBT.

Examples of fringe benefits include:
- private use of work cars
- entertainment (e.g. concert tickets)
- reimbursement of employees’ expenses (e.g. school fees)
- salary sacrifice arrangements.
Over the past year there have been many changes and restrictions due to COVID. To adapt, you may have provided your employees different benefits to those you usually provide, and these may be exempt from FBT.

Generally, you do not need to pay FBT for:
- items provided to employees to enable them to work from home (e.g. laptop or portable device)
- emergency accommodation, food and transport
- emergency health care.
You can find out more about when it is (and isn’t) a fringe benefit here and read about the FBT COVID changes here.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

6 Financial Documents Any Small Business Needs

Drawing up the right financial documents matters to your small business’ success more than you think they do. They can give you a clear view of your financial health and can help you make sound decisions.

Below are the six most useful financial documents that you can benefit from:
1. Income statement- This shows your revenue and expenses and indicates if your business is profitable.
2. Cash flow statement- This documents how cash is coming in and going out of your business. Most importantly, this shows which parts of your business are generating the most cash and which ones are spending the most cash. It can be really helpful when creating upcoming budgets.
3. Balance sheet- This shows if your assets balance with your liabilities. If you have more liabilities than assets, you’re losing money and must reevaluate.
4. Accounts receivable aging report- This is a list of overdue customer invoices. It covers how late the payment is and how to contact the client for collection.
5. Budget report- This compares the actual results of your business with a pre-established budget. It is used to determine how much funds each area of the business is given and how well they use the funds to achieve the goals of your business.
6. Business plan- This maps out where your business is, where you want it to go, and how you plan to get there.
If you need help generating or understanding these financial documents, simply get in touch with us. Our reliable team can explain these in language that’s easy-to-understand.

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
17/03/2021
Improving cash flow: How to get paid faster

Maintaining positive cash flow can be challenging for small businesses, whether you’re just starting out or have been running your company for years.

The difficulty often comes down to waiting for clients to pay their invoices. One or two chronic late payers cost valuable time and money when you have to chase them down; if reliable clients also fall behind one month, the result can be devastating.

These tips will help you get paid faster, so you can avoid a dangerous cash flow crunch.

Stagger your schedule

By billing some of your clients mid-month and the rest at month end, you can facilitate a steady stream of ongoing cashflow.

Invoice quickly – and accurately

When a contract wraps up or it’s your scheduled billing day, send your invoices straight away. Automating your invoicing with a cloud-based accounting solution will eliminate the need for time-intensive manual billing and ensure you never fall behind. Before you send an invoice, be sure it’s addressed to the right contact. It also helps to itemize costs in detail so no questions arise that delay payment processing.

Set a deadline

Make it clear on every invoice when payment is due – for instance, “Payment due on receipt” or “Payment due within 30 days”. Ideally you’ll have outlined your payment terms in writing, including any penalties for late or non-payment, when you start working with a client. Summarize your terms on each invoice as a reminder.

Set payment policies

You might choose to reward customers who pay early with a small discount or reward as an incentive—or charge a penalty for late payments. Consider a 5% reduction on invoices paid within a week, or a 2% penalty for every week overdue. Outline on your invoice the different amounts your customer will owe, depending on the date they choose to pay.

Follow up

If a client doesn’t acknowledge receipt of your invoice, check in to make sure it was received. Inquire about the status of your cheque as soon as a deadline is missed, then resend the invoice with a friendly reminder.

Be willing to negotiate
Sometimes a client intends to pay but needs a bit of time to come up with the cash. Be open to negotiating a payment plan; it’s better to receive payments in small increments than not at all.

Final tips

Although no small business owner wants to resort to legal action, if you’ve tried repeatedly to contact a customer you may have no other option except to claim the loss as a business deduction.

One of the best ways to encourage customers to pay on time is to maintain a friendly relationship. Encourage goodwill by adding a handwritten note to your invoices, remember your customers’ birthdays, and be sure to thank them from time to time for their ongoing business.

It’s a simple fact: when your customers feel a connection to the person behind the business that serves them, they’ll be more inclined to take care of their invoices quickly.

16/03/2021
If my business is making a profit, where is the cash?

Some small business owners find themselves in the difficult position of running a business that appears to be profitable but still has no money in the bank. It’s an important situation to address. After all, a lack of adequate cash flow is one of the main causes of small business failure.

Here are three reasons profitable businesses have little money in the bank, and what business owners can do to address these situations.

1. Using business money for personal reasons

Owners may be using their business bank account as a personal bank account, withdrawing the money as they see fit. Of course, business owners need to earn a living. Instead of using the business account like a personal account, entrepreneurs should give themselves a wage and transfer that from the business account to their personal account at set intervals. If their personal money runs out, they can’t go back to the business account for more money until their next withdrawal date.

Regular use of the business account, even for relatively small amounts, adds up and can have a drastic effect on a business’s cash flow.

2. Not collecting payments

Businesses need to make money, and they do so when customers pay their bills. Not sending out invoices in a timely manner, not following up when customers fail to pay and not conducting adequate credit checks on customers all put cash flow in jeopardy.

It’s best for business owners to send out invoices with clear payment terms and follow up immediately if customers violate those. They can also put procedures in place to avoid customers who are unlikely to pay for work done or to mitigate the damage if clients attempt to get away without paying. Requiring deposits, for example, are a great way to manage both cash flow and customers.

3. Not preparing for tax season

Many small business owners see taxes as something they can worry about later. Then tax season rolls around and they don’t have enough money set aside to pay the collector. In some cases, a business may have suddenly had a large profit increase but not increased the amount set aside for taxes.

Business owners must treat their taxes as a regular expense. Set money aside each month to pay taxes. If there is a drastic increase in profits, set aside even more money. Being prepared is far better than being caught with too little.

Final thoughts

There are steps business owners can take to ensure that their business makes a profit and has money in the bank. First, they should learn how to read and understand their balance sheet and debtors’ ledger. These show how much money is coming in and where it’s going. It also highlights which customers aren’t paying their bills.

Entrepreneurs should also avoid using the business bank account for personal expenses. Instead, they should pull a set amount of funds to their personal account and limit their personal expenses to that amount.

Finally, business owners must understand their liabilities. Liabilities affect how much cash is available for their business and even small liabilities add up quickly. Know how much is owed, how much is paid monthly and when those bills are due.

By keeping track of the money coming into their business and where it goes when it leaves, entrepreneurs can get a better handle on ensuring their business not only makes a profit but actually has money in the bank.

Got a question about your business? Let’s talk.

12/03/2021
COVID-19 Business Update – 10 March 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

COVID-19 Vaccination Drive On Track, Says PM

Prime Minister Scott Morrison said the vaccination drive against COVID-19 is on track to meet the target of having everyone inoculated by October, despite delays.

As of 7 March 2021, the total number of people who have been vaccinated stands at 86,369.

Business Confidence Hit Decade Highs

The National Australia Bank’s index of business confidence reached decade highs, as it rose by four points to +16 in February. This comes after sales, profits, and employment all picked up sharply– a positive sign that the country’s economy is recovering from last year’s recession caused by the pandemic.

Australian-Focused Online Marketplace Launched

‘Buy Aussie Now‘, an Australian-focused online marketplace was launched, featuring a ‘Tick of Approval’ to identify products that are Australian-made and owned.

The online store, which is the first of its kind in the country, features about 15,000 Aussie products across nine categories from 6,500 registered businesses.

Wage Subsidy Scheme for Apprentices to Be Expanded

The government will spend $1.2 billion to expand its wage subsidy scheme for apprentices, as JobKeeper is set to end this month.

Under the apprentice scheme, the government will pay half the wages of apprentices up to a maximum of $7,000 each quarter for 12 months. It will run until September 2022. Ask us if you have any questions.

Second Round of ‘Boosting Female Founders Initiative’

The federal government has launched a second round of funding for the Boosting Female Founders Initiative worth $11.6 million. This will support female entrepreneurs to build their businesses and create local jobs.

Through this government support, grants between $25,000 and $400,000 will be provided to Australian start-up businesses that are female-founded or majority owned and led by women.

Applications have opened on 8 March 2021, the International Women’s Day.

JobKeeper ends soon: here’s what to do if you’re worried about your business

If your business is struggling with cashflow or other issues at the moment, it’s time to have a chat. It’s a good time to take stock and think about your business more broadly. It’s likely that any underlying issues have been compounded by the COVID-19 crisis, magnifying and accelerating the impact of these issues.

If you are worried about how your business will make ends meet without JobKeeper, you should speak with your advisor to find out your options. It’s crucial to be proactive and act early if you feel you will be in financial distress. Get in touch with us to find out how we can help you weather this storm. We’ll make sure you have a solid understanding of your business’ current financial position so you can make informed decisions.

JobSeeker Rate Increases by $50 a Fortnight

The JobSeeker rate will increase by $50 a fortnight from April 1 after the government scraps its coronavirus supplement.

Currently, those eligible with no children are paid $715.70 a fortnight– of this, $565.70 consists of the JobSeeker payment and $150 accounts for the coronavirus supplement.

When the coronavirus supplement ends on 31 March 2021, the new JobSeeker rate will be brought to $620.80 a fortnight, equating to $310.40 a week, or just over $44 a day.

$143 Million Cash Boost For Victorian Businesses

The Circuit Breaker Support Package worth a total of $143 million will be given to businesses in events, tourism, hospitality, and accommodation to help return revenue lost over the five-day lockdown.

The travel voucher scheme has also been expanded to offer 40,000 $200 vouchers for travel in greater Melbourne, along with an additional 10,000 for travel in regional Victoria.

Beware of Scammers Impersonating the ATO

The Australian Taxation Office (ATO) is warning about a new batch of scammers impersonating the ATO who are claiming they’ve suspended their target’s tax file number (TFN) following suspected fraudulent activity.

While the number of people falling victim to this scam is low, the large amounts being lost per person is alarming, according to Assistant Commissioner Trent Jakubowski.

So remember, the ATO does call taxpayers but will never:
- send unsolicited pre-recorded phone messages
- use aggressive or rude behaviour, or threaten you with immediate arrest, jail or deportation
- suspend your TFN
- request direct transfers of money to a personal bank account
- project their number onto your caller ID
If you receive a suspicious call, email, or SMS, report it to ato.gov.au/reportascam or call the ATO’s dedicated scam line 1800 008 540 to check if it was legitimate.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

21 March
- February monthly activity statements – final date for lodgment and payment.
31 March
- Lodge tax return for companies and super funds with total income of more than $2 million in the latest year lodged (excluding large/medium taxpayers), unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for the head company of a consolidated group (excluding large/medium), with a member who had a total income in excess of $2 million in their latest year lodged, unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for individuals and trusts whose latest return resulted in a tax liability of $20,000 or more, excluding large/medium trusts. Payment is due as advised on their notice of assessment.
Contact us if you have any questions.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

Xero Launches Xero Verify

Xero has launched its own authentication app, Xero Verify, to give small businesses world-class data protection. The new app makes it easy for users to set up multi-factor authentication (MFA) on their Xero accounts.

It eliminates the need for codes and sends push notifications to your device for a fast and easy way to authenticate your login.

How it works

When you log in, Xero Verify will send a pop-up message to your phone. All you have to do is to open the notification and tap once to authenticate.

If you lose your device where the authenticator app is installed, you just need to turn off MFA, change your password, and then set up MFA on your new device.

How to Set Up MFA With Xero Verify

Follow these steps to set up MFA with Xero Verify on your device.

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
10/03/2021
Pandemic Preparedness Tips for Your Business

The COVID-19 pandemic has caught most of us off guard. Who would’ve thought that the world would spend the year battling a virus?

This unprecedented global crisis is a reminder that these business threats are very real and acts as a wake-up call for business leaders. Even if the scenario may seem far-fetched, it pays to prepare for the worst. When a pandemic hits, businesses play a crucial role in protecting the health of their employees and limiting the adverse impact on the community and the wider domestic economy.

In this guide, we will help you prepare for future outbreaks and similar events, as well as offer tips for managing your business during a pandemic.

Develop a Business Continuity and Crisis Plan

A business continuity plan reduces the impact of a crisis on your business and allows for the speedy resumption of business activities in case you are forced to scale back or temporarily shut down. A business continuity plan doesn’t make your business immune from threats, but it does mean you’re prepared for them.

Important factors to consider when creating your business continuity plan include the critical services and positions that you should keep to continue running your business and the decision-making process in such troubled times.

You should also prepare for safeguarding essential corporate records and documents, as well as internal and external communications for relevant stakeholders. Most importantly, you need to have a concrete action plan for your recovery.

Planning for the Potential Impact on Your Business

To be able to plan accordingly, you must first assess the risk of the pandemic on your employees, customers, suppliers, and other relevant stakeholders. Next, you must be prepared for staff absences and ready to implement flexible work arrangements for such circumstances.

In line with this, make sure that you have the right technologies in place and all your staff are well-trained in using these tools. Beside your business operations, you should also look into your financials and assess the potential impact of the event, threat or pandemic.

Create a plan for multiple possible scenarios that may lead to an increase or decrease in demand for your offerings. How will you cope in case of disruption to supply of necessary materials? How will you adapt to social restrictions and increased public fear that will cause people to avoid public places? Do you have access to a line of credit in case of cash flow troubles brought about by reduced business activity?

Additionally, you must have an emergency communications plan which includes key contacts and the chain of communications. The key contacts should have sources of timely and accurate information related to local public health and emergency management.

Planning for the Potential Impact on Your Employees

Because your employees are your greatest assets, you must have concrete steps to protect their health and safety. This includes planning for infection control practices, protective and preventative equipment, healthcare services available for your staff, flexible work sites and schedules, as well as new employee leave policies that will take effect in such a unique situation.

Equally important to consider is your employees’ mental health. This means taking focus on how you can manage fear, anxiety, and misinformation among your people through effective communication practices and providing access to mental health services during a pandemic and a possible quarantine.

Taking Advantage of Tools and Guidelines from the Government

Just as businesses plan for a pandemic or crises, government agencies usually have a suite of tools, templates, and guidelines that you can take advantage of in these situations. There may also be a business continuity guide available which highlights the essential factors to take into consideration as you create one for your business.

You should also be aware of sources of federal, state/provincial, and local public health information, as well as free business advice and consultation that may be available in your region

Being Prepared Makes All the Difference

External threats like the COVID-19 pandemic don’t just claim lives, they also create significant economic damage. We have seen how extended periods of lockdown and temporary closures have hit businesses hard. While some were able to pivot, many are still distressed and on the verge of bankruptcy. This experience teaches us that staying prepared can make the difference in mitigating risks and cushioning the blows of a pandemic or any other events that can trigger a crisis.

If you need assistance in crafting your business continuity plan or professional support moving forward, don’t hesitate to drop get in touch.

09/03/2021
Signs You’re Undercharging for Your Work

When it comes to the overall success of your business, one of the most important decisions you’ll face is how to price for the work you do. Charge too much and you could scare away potential customers. Charge too little and you could run yourself out of business.

Figuring out how much to charge is stressful, but it’s worth it. If your business doesn’t bring in enough money to pay all the bills and compensate you, it isn’t going to last long.

So, how can you tell if you’re asking too little for your services? Here are some signs you need to consider charging more, and soon.

1. The work isn’t worth the money

Many small business owners have periods where they don’t feel motivated to work. That’s normal. But what’s not normal is repeatedly taking on projects (or clients) that you don’t feel are worth the money they bring in. You may feel obligated to do the work, but there might also be a sense of resentment about it. Working may feel like a chore.

If the work doesn’t feel as though it’s worth the money you’re making, that’s a sign you need to charge more. You don’t always have to feel keen to work, but you should feel as though you’re being fairly compensated for what you do.

Which brings us to the second sign…

2. You’re not taking home a salary

Small business owners have a tendency to make sure everyone else is taken care of first. There are bills to pay, marketing to take care of and, sometimes, employees who need to earn a living. You can’t forget about yourself, however.

If your business doesn’t bring in enough to make sure you bring home a reasonable salary then you aren’t charging enough for your services. You own a small business so you can be in control of the work you do—you should also be in control of your salary. If you don’t make a salary, you need to charge more and you need to do so quickly.

3. Your prices haven’t changed in years

If you can’t remember the last time you raised your prices—or you can but it was a long time ago, then you need to increase your rates. The cost of living is constantly on the rise and so is the cost of doing business. If your cost of doing business increases but your prices don’t, you’re earning far less from your small business than you used to, or than you should. Don’t go longer than two years without reviewing and increasing your prices. Ideally, you should review your prices annually.

Final thoughts

It can be daunting to think about raising your prices, but it’s important to do. You work hard as a small business owner and you deserve compensation for the time you put into your business. You also need to charge enough to ensure all your business expenses are paid for and that you can withstand a cost of doing business increase.

If changing your prices for current customers seems overwhelming, start small. Set higher prices for your services and charge new customers those rates. If you’re concerned about losing existing clients by raising prices too high too quickly, increase their rates incrementally. You can also give your clients plenty of notice about the increased rates, so they have time to become used to the idea.

The really good customers and clients will understand that you need to raise the rates and will support you for doing so. Those who don’t probably weren’t great clients to begin with.

Got a question about your business? Get in touch with us today.

03/03/2021
COVID-19 Business Update – 3 March 2021
Welcome back to our Weekly Digest. Read on for the latest updates and some ideas to help us all move forward.

Government Committed to Vaccinating All Australians by October

Although the vaccinations are currently behind the target set for the end of February, Federal Health Minister Greg Hunt says the government stays committed to getting all Australians inoculated by the end of October.

The Australian Defence Force will also assist with the vaccine rollout. Military doctors and nurses will help administer the vaccine in aged care homes starting next week.

Second Phase of Public Information Campaign on COVID-19 Vaccination Has Launched

With the vaccination program underway, the next phase of the $31 million information campaign has launched.

The initial round of advertising campaign rolled out in January focused on informing the public regarding the Therapeutic Goods Administration’s world-leading independent approval process. Meanwhile, this second phase informs the community about Phase 1a of the vaccination program where high risk individuals were prioritised.

The campaign will run across multiple channels including television, radio, press, digital, social, mobile, search, as well as in medical and shopping centres.

Property Prices Rose at Fastest Pace in 17 Years

Australia’s property prices increased by 2.1% in February, marking the strongest national growth in 17 years according to CoreLogic. This comes after every market rebounds simultaneously amid the record-low interest rates and a ‘fear of missing out’.

JobKeeper ends soon: here’s what to do if you’re worried about your business

If your business is struggling with cashflow or other issues at the moment, it’s time to have a chat. It’s a good time to take stock and think about your business more broadly. It’s likely that any underlying issues have been compounded by the COVID-19 crisis, magnifying and accelerating the impact of these issues.

If you are worried about how your business will make ends meet without JobKeeper, you should speak with your advisor to find out your options. It’s crucial to be proactive and act early if you feel you will be in financial distress. Get in touch with us to find out how we can help you weather this storm. We’ll make sure you have a solid understanding of your business’ current financial position so you can make informed decisions.

JobSeeker Rate Increases by $50 a Fortnight

The JobSeeker rate will increase by $50 a fortnight from April 1 after the government scraps its coronavirus supplement.

Currently, those eligible with no children are paid $715.70 a fortnight– of this, $565.70 consists of the JobSeeker payment and $150 accounts for the coronavirus supplement.

When the coronavirus supplement ends on 31 March 2021, the new JobSeeker rate will be brought to $620.80 a fortnight, equating to $310.40 a week, or just over $44 a day.

$143 Million Cash Boost For Victorian Businesses

The Circuit Breaker Support Package worth a total of $143 million will be given to businesses in events, tourism, hospitality, and accommodation to help return revenue lost over the five-day lockdown.

The travel voucher scheme has also been expanded to offer 40,000 $200 vouchers for travel in greater Melbourne, along with an additional 10,000 for travel in regional Victoria.

Beware of Scammers Impersonating the ATO

The Australian Taxation Office (ATO) is warning about a new batch of scammers impersonating the ATO who are claiming they’ve suspended their target’s tax file number (TFN) following suspected fraudulent activity.

While the number of people falling victim to this scam is low, the large amounts being lost per person is alarming, according to Assistant Commissioner Trent Jakubowski.

So remember, the ATO does call taxpayers but will never:
- send unsolicited pre-recorded phone messages
- use aggressive or rude behaviour, or threaten you with immediate arrest, jail or deportation
- suspend your TFN
- request direct transfers of money to a personal bank account
- project their number onto your caller ID
If you receive a suspicious call, email, or SMS, report it to ato.gov.au/reportascam or call the ATO’s dedicated scam line 1800 008 540 to check if it was legitimate.

Upcoming Key Dates

Upcoming key lodgment and payment dates for businesses:

21 March
- February monthly activity statements – final date for lodgment and payment.
31 March
- Lodge tax return for companies and super funds with total income of more than $2 million in the latest year lodged (excluding large/medium taxpayers), unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for the head company of a consolidated group (excluding large/medium), with a member who had a total income in excess of $2 million in their latest year lodged, unless the return was due earlier. Payment is also due by this date.
- Lodge tax return for individuals and trusts whose latest return resulted in a tax liability of $20,000 or more, excluding large/medium trusts. Payment is due as advised on their notice of assessment.
Contact us if you have any questions.

Government-backed COVID-19 Loans Extended

The government is extending its small business COVID-19 loans scheme until June 2021. If you need help to access these loans or you want to find out if you are eligible, don’t hesitate to drop us a message.

Digital Payment Options Worth Considering

Digital payment methods are increasingly becoming relevant amid the COVID-19 pandemic. Aside from the safety of contactless transactions, digital payments are undoubtedly more convenient.

Below are some payment methods that you can adopt for your small business:
- PayPal– One of the most popular platforms for online payment, PayPal supports sending and receiving invoices and recurring transactions. It also offers PayPal Here credit card reader that you can install in your physical store.
- Payoneer– A digital wallet that supports over 150 currencies, Payoneer is ideal for global transactions because of its low transaction fees and competitive conversion rates.
- Google Pay– Google Pay is a platform that supports peer-to-peer transactions through mobile and offers an easy checkout process for online shopping. It is available in both iOS and Android, and can also be used via Gmail.
- Shopify– It covers everything from ecommerce to secure mobile payments and POS systems. Shopify supports Visa, MasterCard, American Express, Apple Pay, Android Pay, and other popular payment methods.
- Square– Square is an affordable option perfect for small businesses and startups. You can use it to set up an online store free of charge and sell from there. You can also use it as a store window and redirect customers to your own site. Aside from allowing payments through its mobile app, Square also offers credit card readers for in-person payments.
Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.

Contact us
03/03/2021
Ideas for business goals this year
The start of the year is the perfect time to dust off last year’s business plan and set some new goals for the future.

While some entrepreneurs love planning, others feel overwhelmed by the process. How do you decide on just a handful of goals that take priority, with so many moving parts that make up a business?

These tips can help you get started brainstorming how your company can plan for greater success in the years ahead.

Redefine your brand

Is the elevator pitch you used a year ago – even six months ago – still accurate? Unless you are crystal clear on who you are as a company, whom you’re here to serve, and what you hope to achieve in the next one to three years, it’s going to be hard to come up with meaningful goals.

Take a look at your company vision, mission statement, and core values. If they need tweaking to reflect where your business is today and where you want it to go, start there. Then you can move on to setting some useful long and short term goals.

Big picture planning

Entrepreneurs dream big—and they should! Thinking big can lead to ground breaking products and services that become the foundation of innovative, successful companies.

When it comes to goal-setting, thinking big is great, too. But in order to make those big ideas like “increasing market share” or “growing profits” happen, you need to break them down into smaller, specific goals and strategies tied to a budget and timeline.

For instance, while your overarching objective may be to “grow profits by 50% by December 31”, your smaller goals might include:
- Launching a social media campaign the first week of March to attract 2,500 new prospects by months’ end; or
- Increasing total sales by 40% with the opening of an online store by July 1^st.
The key is to define goals that are measurable and achievable.

Define smaller goals

Thinking through how you’ll achieve your larger objectives can be a fun exercise – one you can turn into a group activity, including your entire team. Sit down and discuss what you know about your customers. Review your historical sales data and look over your up-to-date budget and forecasting.

With all the relevant information at hand and everyone at the table, you can come up with strategies that align with your company vision, assign deadlines, and get buy-in on what everyone needs to do to see your ideas through to completion.

Final tips

It’s worthwhile to take some time to reflect on your personal goals as you think through your business goals. Maybe you’ve been wanting to get involved in mentoring, improve your networking skills, or attend more conferences. Self-development is, in a sense, professional development – and vice versa, so include them in your plans.

Of course, coming up with business goals is just one part of the equation. You’ll also need to monitor your progress, noting milestones and sharing your company achievements with your team on a regular basis. Tracking your results will help your employees stay motivated – and it also gives you the chance to adjust your goals and strategies in time to achieve the best possible results by year’s end.
02/03/2021
A Beginner’s Guide to Cash Flow Forecasting
Nobody wants their business to fail. Although it’s impossible to predict the future with 100% accuracy, a cash flow forecast is a tool that will help you prepare for different possible scenarios in the future.

In a nutshell, cash flow forecasting involves estimating how much cash will be coming in and out of your business within a certain period and gives you a clearer picture of your business’s financial health

What is Cash Flow Forecast?

Cash flow forecasting is the process of estimating how much cash you’ll have and ensuring you have a sufficient amount to meet your obligations. By focusing on the revenue you expect to generate and the expenses you need to pay, cash flow forecasting can help you better manage your working capital and plan for various positive or difficult scenarios.

A cash flow forecast is composed of three key elements: beginning cash balance, cash inflows (e.g., cash sales, receivables collections), and cash outflows (e.g., expenses for utilities, rent, loan payments, payroll).

Building Out Cash Flow Scenario Models

It’s always good to create best-case, worst-case, and moderate financial scenarios. Through cash flow forecasting, you’ll be able to see the impact of these three scenarios and implement a suitable course of action. You can use the models to predict what needs to happen especially during difficult and uncertain times.

In situations where variables shift quickly such as during a recession, it is highly recommended to review and update your cash flow forecasts regularly on a monthly or even weekly basis. By monitoring your cash flow forecast closely, you’ll be able to identify warning signs such as declining revenue or increasing expenses.

How to Improve the Accuracy of Your Cash Flow Forecast

In cash flow forecasting, your estimates are based on historical data. This means having accurate historical data is critical. Below are some tips for improving its accuracy:
- At the end of the week or the month, input your actual results or the cash that was received and cash spent. This will allow you to identify which items you got wrong in your estimates and evaluate why you got it wrong. This analysis may lead you to identify bigger issues and help you make adjustments to your assumptions.
- Carefully evaluate all of your assumptions. Just because it’s correct now doesn’t mean it will be true for the future. Go through everything, especially when it comes to sales, and validate it.
- Don’t forget to include annual payments, loan payments, credit card debt payments, and estimated taxes.
- It’s almost impossible to forecast where your business is going to be longer than one year out. You’ll introduce more risk and greater uncertainty the further out your financial scenario models go.
Get Expert Help With Cash Flow Forecasting

Whether your business is growing, fighting for survival, or you simply want to run your business better, a cash flow forecast can help you make business-critical decisions that impact the financial health of your business.

To get expert assistance with your cash flow, chat with our team. Get in touch to book a one-on-one consultation with our advisors and we’ll work out a plan to help you keep more money in your pocket.

We understand that the cost of living has risen now, which now may affect the cash flow forecasting. S & H Tax Accountants are able to guide you and your business into a more stable financial position. We have an excellent team of accountants that are well qualified , experienced and always willing to help. Book an appointment today with S & H Tax Accountants, call us at 03 8759 5532 or email us at info@sahtax.com.au.
19/02/2021
5 Xero Mistakes Business Owners Make and How To Avoid Them

If you’ve just started working with Xero, it is normal to make a few mistakes while you’re learning. We see mistakes that are quite common – and unfortunately costly – so you should be aware of them if you want to get the most out of Xero’s powerful cloud accounting system.

1. Not connecting all the bank and credit card accounts dedicated for your business

Make sure that you keep all your business bank and credit card accounts synced to Xero to ensure that you don’t miss any sales or expenses in your reports.

Also, make sure that you separate your business accounts with your personal ones to avoid hassles during tax season. Trust us…your accountant and bookkeeper will thank you! Doing this also helps you make accurate business decisions.

2. Not reconciling the bank account in Xero to bank statements

Run a reconciliation report in Xero on a regular basis and then compare it to your bank statements to ensure there aren’t any errors or duplications.

Many business owners miss this critical step, which means that they are looking at inaccurate or incomplete data when they check their reports.

3. Not checking user access and permission levels

Many business owners simply give key team members full access to their business’ Xero system and don’t review the user permissions at all.

However, the best practice is to provide access on an “as needed” basis and review who has access to the system and what permission level they have on a quarterly basis.

Also, when your staff members leave, remember to revoke their Xero access immediately.

4. Not setting financial SOPs (standard operating procedures)

Create a proper financial SOP which describes who is responsible for what and by when, as well as the step-by-step process on how to get things done.

For instance, you can assign your operations manager to run the aged receivables report in the system so you’ll know who owes your business money. Then, map out a clear action plan of what happens in specific scenarios such as a payment that’s 2 weeks late. You can also have standard replies that the team can send as needed.

5. Mishandling transactions when you’ve paid with your personal money

We find that many business owners don’t know how to handle transactions when they’ve paid for a business expense using their personal account. There are actually ways to capture such expenses paid on the wrong card in Xero so you can still claim the tax deduction.

You may need to get in touch with your advisors to make the adjustments accordingly.

Avoid Xero Mistakes by Working with a Specialist Advisor

The best way to ensure that you’re taking full advantage of all the features in Xero and avoiding costly financial mistakes is to work with an experienced advisor who knows the ins and outs of this cloud accounting system.

We’re Xero Certified and would be happy to take a look at your file to give you some suggestions.

Get in touch with us today and let us help you save time and make smarter decisions that are supported by data.

We at S & H Tax accountants are expert in xero and we have been using this since 7 years. We can help you to manage your books if you need them. We offer services to small business in cranbourne. We have office in cranbourne. We offer accounting and tax services to small businesses in Cranbourne and surrounding suburbs.

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11/02/2021