Why everyone’s talking about Xero

If you’re a small business owner, chances are that you’ve had many people ask you whether you use Xero.

Xero is the user-friendly software employed by business owners to perform bookkeeping and accounting tasks. Xero’s capabilities include:

  • Submitting and calculating company expenses
  • Submitting detailed timesheets and managing payslips
  • Calculating leave balances and applying for leave
  • Invoicing and paying bills

If you’d like to learn more about bookkeeping and accounting software for small businesses, get in touch.

 

Learn more about Xero

Withholding employee tax

Are you unsure about the amount you should be withholding from your employees’ wages for tax contributions? Making sure you withhold the right amount of tax is the most important way of ensuring that your employees’ EOFY requirements are met, and they aren’t left owing the ATO money. 

You can work out how much tax to withhold by downloading useful tax tables and other resources from the ATO’s website, using their calculators.

 

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We’re here for you

In this return of harsh lockdowns and uncertainty, we’re here for you. The COVID-19 Delta variant’s arrival has impacted a huge amount of business, both big and small. While some support for employers is available, it can be difficult to find unless you speak to a professional. We’re constantly staying informed with the latest in financial support, incentives and assistance under these ever-changing circumstances. 

 

To find out how we can support you best, speak to us today.

Consequences for employees making late super payments

Last month we spoke about the consequences of avoiding payroll tax for employers. However, if you’re an employer, it’s equally important to make sure that you’re paying your employees’ super on time. Missing the due dates for superannuation contributions results in extra fees for your business, such as a ‘super guarantee charge.’

 

Learn more

Those impacted by drought set for government assistance

With all that has happened surrounding COVID-19 since 2020, it’s easy to forget what came before. Bushfires in Australia were a devastating result of the drought that continues to plague some of us. The result of this is increased financial pressures – but if you’re an eligible small business, the ATO may be able to help you.

Find out how 

The ATO’s advice on getting your tax returns right

Avoiding mistakes in your tax return is important. Part of getting your tax return right is consistently maintaining all your records – something we can help you with. The ATO cites the following as the most important things to do:

  • Declare all of your income accurately, including capital gains.

  • Record what funds have been taken out of your business.

  • Separate your business expenses from private expenses.

  • Make only the claims you’re entitled to.

If you need help with your tax return, get in touch with us.

Read the ATO’s article

Company Money vs. Your Money

When you’re an owner, a shareholder, or director of a company, it’s easy to blur the lines between your company as a “separate legal entity” and yourself as a person. It’s important to remember that company money cannot be used flippantly for personal transactions, as the funds belong to the company, not you.

The Australian Tax Office requires that all company transactions are recorded and declared. It is not illegal to use company money for personal reasons, however, it’s important to make the distinction and keep all records. There are many ways that you can report these transactions, including dividends, fringe benefits, and salary payments.

For more information, read this article from the ATO Small Business Newsroom.

If you’re not sure whether you’re correctly keeping your records and reporting transactions correctly, get in touch with us to straighten things out.

Get in touch with us

Payroll Tax: Pay It!

Account Daily’s article warns business owners of the increased penalties associated with avoiding payroll tax payments. Points to note from the article are as follows:

  • Penalties to increase by 400%

  • Penalties include jail time and fines of up to $110,000.

  • Revenue NSW may ‘name and shame’ offending businesses. This information is to be made available to Fair Work in supporting wage theft investigations.

  • Penalties will apply to those disposing of, falsifying, or poorly keeping their records.

  • Second-time offenders found avoiding payroll tax will incur harsher penalties.

The government is also calling for the establishment of a national framework to thwart wage theft.

Read the article

The end is nigh: JobKeeper.

Due to the mounting needs of the workforce created by COVID-19, the end of JobKeeper was extended from September 2020 until March 2021. However, this still will come as a blow to several employers and employees who have relied on government funding for almost a year. The JobKeeper program is set to officially end with businesses receiving final payments in April. 

Are you an employer interested in other government funding schemes?

Learn about your options

Protect yourself against scammers with us

Melissa Caddick was last seen in November and disappeared after accusations against her emerged about financial misconduct. Her case is one that has captivated the nation – not just because she is a missing person with evidence of her ill fate being found, but because her crimes are ones we’re all afraid of.

Although she made a living as a so-called ‘financial advisor,’ Caddick didn’t possess an Australian Financial Services License and fooled many who trusted her into losing millions of dollars. Bank statements, tax returns, spreadsheets, and other documents were all falsified by Melissa Caddick as manipulation tools.

The scam conducted by Caddick and her disappearance is tragic for her family and for those individuals and businesses that she received investments from. While all of us hope this never happens to us, employing the services of BAS, bookkeeping, and accounting to protect you and your business has never been more important.

We’re here to help you with our services and keep things safe and above board.

See our services