Top Tips for EOFY
Can you believe the end of the financial year is only 7 weeks away? My goodness, the year is flying! If you want to get the most out of EOFY, there are things you should be doing now. Once 30 June hits, it’s already too late. Read on for my Top Tips for EOFY with your numbers.
Tax Review with your Tax Agent
If you haven’t already booked a review with your tax agent, the time is now. Sit down and go through your income, deductions and they’ll estimate what you will need to pay. Strategise how you can perhaps lower this. Do you need a new computer? This could be an instant tax write off! What about a charity donation? Review now so there aren’t any surprises once you complete your tax return.
Disclaimer – I’ve said it before, I’ll say it again. Spending money to save taxes, is not a good strategy, it’s just madness TBH. IF you have money to spend on something you actually NEED for your biz, def look at your options! Don’t spend $3000 to save $50 in tax – savvy??
Schedule In A Stocktake
This is a really important step if you sell physical products! You need to count and check your inventory and make sure your records are accurate. Once you’ve got an accurate reading, you’ll be able to value your stock for your end of year figures. Which your fave BAS Agent or Tax Agent will ask you for.
It’s also a good excuse to plan your EOFY sale if you’re having one! More money in the bank and less items to count win win 😉
Get your books in order
Your bookkeeping records are (of course) used to prepare your tax return. Cleaner books means a quicker and less expensive tax return. If you’re DIY-ing your bookkeeping, set aside some time to allocate expenses, record income and tidy up your records.
Hot tip – run a transaction report to review which bucket you put everything into and check it over. We’re all only human and there could be some mistakes to fix up.
KonMarie Your Accounts Receivable
Chase those debtors! Ideally you want all your invoices to be finalised before 30th June and get that money in your account. If it’s a no go zone, write that money off. You don’t want to leave sales open you’ll never actually receive.
Pay your Creditors
Majority of small biz are on ‘cash’. Guess what this means. In a nutshell, if you don’t pay an invoice before 30th June, you can’t claim it as a business expense until next financial year. So, pay those bills!
Not sure if you’re on cash – check with your BAS or Tax Agent.
Buy Yourself Something Pretty
If you’ve ticked everything off your list and you’ve got some cash to splash, why not treat yourself as a thanks for all the hard yards you put into 20/21? If it’s for the business, check with your accountant to see if you can claim the expense. Double bonus!
I’ll be adding to my Avarcas collection for sure! If only shoes were a business expense ‘sigh’.
Disclaimer with my sensible hat on – if you’ve got excess cash, make sure you’ve squirrelled away money for said taxes and any GST before lashing out.
There you have it my Top Tips for EOFY. Are you now ready for EOFY? Need some more advice? Feel free to join my Accounted For You Numbers Club group on Facebook to learn more about GST and increase your knowledge of business/number related things.
Happy getting ready for EOFY!
