When it comes to EOFY, many business owners are quite unprepared and find themselves in a mad rush right up until 31 March, but there’s no need for the panic.

One month out from the end of financial year, many business owners suddenly realise that EOFY is creeping up on them and the haphazardly go about planning for the looming deadline.

However, with the right plan and a clear mindset the last month of the financial year doesn’t need to be spent in a panic.

Here are some tips to help you with tax preparation and get ahead of the game.

Get your payroll sorted

As the end of the financial year approaches, you need to process all your final pays for the year, including processing the March pays as you normally would.

Your final pay of the year will be determined by the payment date. If the date’s on or before 31 March, then the pay falls into the current year. Anything from 1 April falls into next year.

To start your first pay period, change the ‘current pay ended’ in MYOB to your first pay date in April.

Remember, if an employee’s holiday anniversary or sick leave anniversary occurs between your last pay and the first pay date in April, you will need to update their leave details.

Once the last payroll has been processed, review your bank statement as at 31 March to make sure no payroll transactions slipped through that have not yet been recorded (eg. a bounced pay or a last minute bonus payment).

Begin end-of-financial-year tasks

Complete these tasks before you finalise the financial year:

• Make sure all supplier bills are entered and all customer invoices are issued
• Review Debtor and Creditor balances and make any required adjustments
• Reconcile all bank accounts (including loan, credit cards, petty cash)
• Review your asset accounts to check for capital purchases or the sale of assets made for the year. Provide details to your accountant for depreciation purposes. For any Asset Purchases made, it’s a good idea to have tax invoice copies on hand to give to your accountant
• Review your P&L and Balance Sheet accounts to make sure all balances look correct

Make sure your software is up to date

If you’re using MYOB Essentials then this is taken care of for you automatically.

Make sure you have the latest updates installed if you have any other MYOB accounting software products as well.

Connect with your accountant

Once you feel you have completed everything that you can, arrange for your accountant to be invited into your MYOB file.

Email any documents your accountant will need to be able to start on your financials.

At the very least you will need to send:

• 31 March Bank Statements for all bank accounts
• Tax Invoice copies for Asset Purchases
• Documents for any new loans/hire-purchase agreements
• Motor vehicle log book (if applicable)
• If you happen to use MYOB that is not yet online, a back-up of your data file

Hopefully these steps will help you to have a happy end of financial year!