The newbies’ guide to EOFY
Is this your first end of financial year? Welcome, you’re in for a fun ride.
EOFY is usually seen as an absolute pain. Countless forms demanding to be filled out, robbing you of time that’s just not there.
You might have some Business Activity Statements ticked off, but this is the big fella.
That’s because EOFY veterans know that EOFY goes way beyond paperwork – it gives you a snapshot to set up for next year’s success.
What shakes EOFY time from being an exercise in paperwork to driving you along the right path?
Get a trusted advisor
While saving a bit of cash can tempt you to try to do everything yourself, getting a trusted advisor such as an accountant or bookkeeper will spot opportunities you could miss.
If they’re a registered tax agent, there’s the double bonus of them filing the tax return with the ATO for you.
They’ll be across all your entitled tax deductions, and if this is your first year in business they’ll be much more than a number cruncher.
Here’s your business confidante, working with you to make things as easy as possible.
If you’re the sort who likes to get your head in the books, their expertise to identify areas will add to what you might miss.
If you’re the sort who just wants to hand everything over, they’re okay with that too.
Either way, it’s vital to find an advisor who you can trust.
Now you’ve got a trusted advisor in your court, you both need to work on these things for a speedy return and to be primed for future success.
Stuff to do before 30 June
- Make sure your accounting file is up to date and reconciled.
- Determine your year to date (YTD) profit or loss.
- Determine how much tax you will need to pay.
- Prepare your 2018/2019 expense budget.
- Prepare your 2018/2019 sales budget.
- Prepare your 2018/2019 schedule of fees/prices that will take effect from 1 July.
- Determine your level of wages, tax and superannuation that will take effect from 1 July.
- Prepare your annual trust income distribution minute (if you operate your business via a trust).
- Prepare for a stocktake.
Stuff to do before 31 July
- Prepare payment summaries and provide to employees by 14 July.
- Prepare ATO payment summary report and submit to the ATO by 14 August.
- Pay Super Guarantee (SG) for the quarter ended 30 June 2017 by 28 July 2018.
- Prepare ATO taxable payments reports and submit to the ATO by 28 August.
- Ensure your accounting file has been updated for new pricing to take effect from 1 July.
- Ensure your accounting file has been updated for new wage levels to take effect from first pay run of the year.
- Work on your goals and vision for the 2018/2019 year.
- Collate paperwork for your 2018 tax.
- Work on a system to file 2018/2019 paperwork (and stick to it!).
- Work on a monthly checklist system that will ensure that you can produce accurate monthly financial statements.
Seeing all those dot points can be daunting, but don’t give up!
Working with your advisor and smart cloud-based solutions like MYOB means all this can be done without sacrificing your precious time and sanity.
Because MYOB is cloud-enabled, your trusted advisor can log into your file and do work for you. You can get back to what you do best, running your business.
Want more info to set yourself up for success this EOFY? Keep tuned to The Pulse for more tips and tricks as we approach the deadline.
The information provided here is of a general nature for Australia and should not be your only source of information. Please consult an experienced and registered tax agent as each small business’ circumstances will vary for end of financial year.