More Bang for your Buck

Start planning NOW to maximise your tax refund next year!

We do a lot of tax returns. One thing we constantly hear our clients say is “I didn’t know I could claim that!” or “I wish I had kept my receipts!”

What’s the best way to avoid disappointment at tax time? Start planning NOW.

To help our clients we’ve been thinking of what strategies they can implement to maximise their refund next financial year. Here are our top 3 strategies:

1. Keep a Log Book for your Motor Vehicle Expenses

If you use your motor vehicle for work make sure you keep a 12 week log book to work out the work % of your vehicle use. By doing this, you will be able to claim this % of all your expenses during the year including fuel, depreciation, insurance and registration.

2. Prepay the Interest on your Investment Loans

Your deductions are claimed in the financial year they are paid. Therefore, by prepaying the interest on any investment loans means you claim the deduction now instead of waiting to the following financial year.

3. Make sure you have Income Protection Insurance

Protecting your number one asset, your income, is extremely important. It’s also worth noting any premiums you pay outside of superannuation are tax deductible (and when you think about it, the tax refund you receive lowers the out-of-pocket cost of the premium).

The other way we help our clients is by introducing them to MyProsperity, our online wealth portal. MyProsperity has bank feeds linking into it allowing you to “tax-tag” your transactions. Not only do you have a simple way of keeping your receipts but now you print a simple list for your accountant at the end of the year.

Interested in getting More Bang for your Buck? Talk to us about planning now to maximise your tax refund next year.

Keeping your Business Alive

What’s your strategy to keep cash flowing through your business?

High sales and consistent profits are great aspects to have in your business, but without cash rolling in regularly you won’t be able to pay your suppliers, staff, even yourself! Give yourself some security by preparing a Cash Flow Forecast for your business.

What is a Cash Flow Forecast?

A cash flow forecast is a projection of all of your income and expenses for your business over the next 12 months, with an emphasis on when the cash from the income and expenses will be received and sent. This includes when your income locked up in Debtors will be received and when your Creditors will need to be paid.

Once you prepare your 12 month cash flow forecast you will be able to spot weaknesses in the year and plan for it. By taking a proactive approach and planning ahead means you can start making changes now to help you through those tight periods, such as introduce tighter credit policies with your customers or acquire a line of credit to help you through the period in the future.

What’s even better is banks love them! Are you looking to lease some new equipment? If you are looking for finance it’s going to be easier for the banks to approve you if they can see you have capacity to make loan repayments.

Would you like security in your business this year? Are you interested in preparing your own forecasts for the year? If you would like Jacoby Cameron & Co to prepare a 12 month cash flow forecast for your business give us a call or send us an email.

How to present

This month there was a good magazine to read from Michelle Bowden on how to present.

Here is the link to the July edition of the magazine: Link to July how to present magazine 

The minimum wage rises again! Are you ready?

1.8 million Australian employees set to receive a 2.5% pay increase.

From 1 July 2015, the minimum wages in Australia are set to rise by $16 a week.  It has been ruled that all Modern Award minimum wage rates and the National Minimum Wage will increase by 2.5%.

This means Australia’s minimum wage will go from $640.90 per week to $656.90, or $17.29 per hour.

It’s been reported that more than 1.8 million Australians who are paid the National Minimum Wage or an Award Minimum Wage will be directly affected by the ruling of the Fair Work Commission.

As an employer, what do I need to do?

It’s important, with July upon us to adjust your payroll software rates so that the increase will apply to the first full pay period on or after 1 July 2015, for any employees who are receiving the national minimum wage or are under the modern awards.

My employees are paid above the national minimum wage / modern award rates, do I need to worry about the increase?

Yes. Even if you pay your employees a rate above the minimum wage and modern award rates, you will have to check that they never fall below the new minimum wage rates.

The same goes for any employees you employ under an enterprise agreement, you will need to check that the base rates in their agreement remain at least equal to the new minimum Modern Award rates.

As an employee, what should I do?

Check with your employer as to what your current pay rates are, and ensure that when you receive your first full payslip for the period on or after 1 July 2015 any applicable increases that apply to you have been made.

Whether an employer or employee, you can contact us on 02 9267 7355 if you have any queries regarding these changes or if we can help you looking after your all round financial health.