01 Apr How to Save Money & Time at End of Financial Year
The End of FInancial Year in Australia is nearing.
Do you want to save time and money this “End of financial year”?
I’m sure you do!
Who wouldn’t, right?
Today I share some simple tips that can make the “End of Financial Year” a smooth process, & stress FREE!
I do know from experience that EOFY can be a stressful time…
But it doesn’t have to be.
In this blog I share my top 10 tips to help you make the process smooth, easy, and stress free.
Here are my top tips to
SAVE TIME & MONEY
this “END OF FINANCIAL YEAR“
1. Use technology to streamline your processes
We are living in the digital age, so take advantage of it!
There are many tools and technology platforms that can help you simplify processes in your business, including your Financial Reporting & bookkeeping and a couple of my favourites are Xero (which is my personal favourite), QuickBooks & MYOB.
Find the one that suits you and your business best!
2. Keep all of your business records
It is important to maintain good records of all your financial transactions so you don’t waste time looking for receipts when you need them.
This includes tax invoices for your expenses and details of your income.
One tip to keep track of your expenses is to upload your receipts to an online folder in a manner that keeps them organised and easy to find when necessary.
3. Does your accountant have a checklist?
Each year your financial & personal tax affairs are generally the same so ask your accountant for a checklist that is specific to your business & your personal circumstances.
Having a checklist makes it easy for you to collate all of the information your accountant will need to prepare your year end accounts and tax return.
By providing all of your information at one time to your accountant will save you $$$ in accounting fees. This is because your accountant will be able to complete your work efficiently, as time is money.
4. Reconcile all your accounts.
It is important to make sure that all of your business financial accounts are up-to-date and all accounts reconcile at year end.
If you are not sure how to do this yourself, I highly recommend investing in a qualified bookkeeper to assist you with the process.
The bookkeeper can make sure your bank accounts, and all other necessary accounts are reconciled correctly and once all of your financial accounts are reconciled, and everything is coded correctly your accounting file is ready for your accountant.
5. Changes to assets
Did you have any changes in your personal or business assets?
For example, did you buy or sell a motor vehicle?
It’s very important to keep all the documentation relating to the purchase and sale of assets.
Your accountant requires this information to ensure your tax return is prepared correctly.
6. Know what tax deductions you can claim
It’s vital to know what you can claim so understanding what you can claim in your business is vital so that you are not missing out on any allowable tax deductions and if you are not sure about this, ask your accountant and they’ll be able to tell you what you can and can’t claim.
You definitely don’t want to miss out on anything that is deductible and you want to make sure that you get the best tax outcome at year end.
7. Provide details of all income to your accountant
This can include business income, employment income, and investment income.
A lot of this information is reported to the tax office and the accountant can access the information through the tax office website but however, it is good to provide all details to the accountant to make sure nothing is missed.
8. Pay your superannuation on time
If you want to claim a tax deduction for your superannuation contributions make sure they are paid before the 30th of June.
9. Ensure all employee reporting is up to date
Employees love to get their tax returns done ASAP because they rely on you to make sure their information is recorded to the tax office correctly and on time so they can do their tax return soon after year end so have a process in place for reporting your employees details to the tax office correctly and on time each year.
10. Plan for the coming financial year
The end of financial year is a great time to review what happened in the previous financial year and set a plan in place for the new year so have a calendar appointment with yourself to make sure you do your review and plan for the new year before 30 June.
Do you have a profitable business, but don’t know where all the cash has gone and are ready to take your business to the next level?
I am on a mission to shine a light on your business Profit & Cash Flow, and assist you in creating a business that you are passionate about and lights you up so please listen to today’s Podcast episode and if you love it, then please subscribe and leave a review.
End of Financial Year is a great time to REFLECT ON:
- What worked,
- What didn’t work,
- The things you enjoy about your business,
- The type of clients you loved working with,
- The amount of income you generated,
- Whether you want to set bigger goals for the new year, and
- What your plans are for the coming financial year.
I host a Business Planning Mastermind right before the end of the financial year, if you are interested in finding out click the Button below.
LISTEN TO THE REST OF THE PODCAST!
71. Profit Lever Six – Boom your Gross Profit Margin – Profit 2 Cash
Hi, I’m Phoebe. and I love business! As a sought-after qualified accountant, I come from a place of experience, with over 15 years of running my own accountancy firm, MGA Accountants, I scaled the business to double the size before successfully selling in 2015. Now I am focusing on what I love, helping Professional and Trade service business owners step up from being the Technician to the true CEO of their business, to create more profit and time freedom to live the life of their dreams.