However – it’s essential that EVERYONE keeps learning through their career in whatever profession they choose.  A plumber should be keeping up with training on new devices or guidelines, just as an Accountant or Bookkeeper needs to keep up to date with Tax changes.

As a business owner it is essential to keep staff up to date with their industry knowledge.  Many owners feel they lose time with sending staff to training or seminars, however the return on that investment is so much more – a highly trained employee adds so much value to the business.

A common roadblock is TIME.  Many businesses struggle to find the spare time to ensure their staff are trained – let alone themselves!  There are ways around this however and businesses need to be open to exploring different ways to train their staff.  Some examples are;

* Ensure that a buddy-system is in place during a new employee induction period.  This is great for the new employee, however if they are asking a lot of questions this can also prompt a lot of learning and stimulate the brain of the person training also.
* Treat education as a client.  Allow a certain number of hours to training just as a business would with a client.  Although businesses will see this as flexible time – do not cancel it!  Create a client in the business management software and allocate time in each employee’s calendar to this “client”.
* Have the staff investigate training options.  Have them actively involved in locating and getting excited about going to training or seminars.  Allow them to find training that suits their needs, such as an online diploma or weekly classroom learning.
* Ensure there is a staff member that is capable of taking care of the office for the occasional day so that the business owner can schedule further education for themselves.  There are so many courses or seminars available such as First Aid, Management courses, software courses or even motivational seminars that would add value to the business owner’s repertoire.
* Update website or social media pages to promote the education policies of the business.  This will not only be a great advertisement, but also ensure that the business is accountable to maintain its commitment.

The amount of time allocated to training is highly variable.  Some industry boards require a certain amount of education. As an example, a BAS Agent is currently required to undertake 45 hours of Continuing Professional Education over a 3-year period.  This is currently being reassessed by the Tax Practitioner Board and may increase to 120hrs over a 3-year period.

It is really important that business owners locate their industry board and open up lines of communication in regard to further education.  There may be no official requirements, but if an employee or business owner can keep their minds active with education it’s a win-win situation for everyone – including the client that will receive a much better outcome from a highly educated business.

• Employers with annual Victorian wages up to $3m have their 2019-2020 payroll tax waived
• JobKeeper payments are exempt from payroll tax calculations
• New Jobs Tax Credit encouraging rehiring and new jobs
• Deferring 2020-2021 payroll tax liabilities until 2022 financial year
• Threshold changes as of 1st July 2021

All of these combined allow businesses to have more flexibility in budgeting for their future expenses and investments. During a time when business confidence is low and cashflow is a major concern, these measures are a great opportunity to utilise the extra funds that would otherwise be earmarked for taxes.

The SRO have done an amazing job during these hard times and they are a great example of Government department listening to what businesses need.

For further details on this contact us or review the SRO website below;

https://www.sro.vic.gov.au/coronavirus-payroll-tax-relief

Many businesses have not weathered the storm, while others thrived with opportunities that had not presented themselves before. Online businesses have grown and this aspect of business has allowed many to jump onboard and make the most of the strange and challenging times.

Whatever your experience with 2020, it is almost over and as many businesses look forward to a more prosperous 2021 we can take some time over the holiday period to stop, relax and if possible, spend time with family and friends – depending on restrictions in your area.

We would like to wish you a very Merry Christmas and sincerely hope that your family, friends, employees and colleagues have a safe and happy holiday period.

If you are still struggling to finalise your compliance requirements for 2020, please do not hesitate to contact us so you can enjoy a break without the stress of worrying about your overdue obligations.

From our family to yours, MERRY CHRISTMAS and a very Happy New Year – may 2021 be much brighter, prosperous and Covid-Free than 2020. From the team at Calculated Accounts.

There has been frustration at our leadership, there has been anger at the lack of assistance for some businesses and there has been businesses that have simply thrown their hands in the air and closed up. Some businesses have fallen through the cracks where a small minor detail has deemed them ineligible for many grants and financial assistance.

Regardless of how you coped with the lockdown – there is light at the end of the tunnel. We are slowly opening up again and have to be commended for the hard yards that have been put in by those willing to commit to the cause. This pandemic is a killer and with everyone pulling together the way that we have is just phenomenal. Being one of the most strictest lockdowns in the world has forced us to look at our businesses differently and some have had to adapt to a new style of business. Moving online may not have been in the business plan, but when forced to change – businesses outdid themselves. The little one-man-band going online to sell because they HAD to has pushed them out of their comfort zone and into a brave new world.

So – stand up and be proud Victoria. Corona Virus is not going away in a hurry and it will resurface in Victoria – but we know that if we keep it contained and managed, we will not have to go through another severe lockdown. If you need help with getting back on track, investigating possible grants or assistance with your accounts, please contact us for help.

Stay safe Australia.

The perfect example of this currently is JobKeeper. We’ve had Jobkeeper 1.0, JobKeeper 2.0 is planned for October and JobKeeper 3.0 is planned for January. So what are we referring to the recent changes in JobKeeper 1.0? We’ve decided to go with JobKeeper 1.1 to cover the summary of changes below.

Eligible Employees for JobKeeper 1.0 had to have been employed as of the 1st March 2020 as Part or Full timers OR had been regular and systematic Casuals for a full 12mths. As of the ATO Fortnight 10 (payments made from 3rd August to 16th August) the eligibility date has now moved to the 1st July. This now allows the new employees to become eligible for JobKeeper 1.1. The process needs to be clear – send the newly eligible employees a Nomination Form to ensure they wish to receive it, then register them via your STP enabled software immediately.

Any top-ups that have not yet been made to these newly eligible employees must be paid by the 31st August and reported accordingly to the ATO.

Please remember that business owners do not need to go through all this confusion and change alone. There is help out there and as BAS Agents, we are qualified to provide advice on this program and other potential assistance for you.

For full details on the JobKeeper program and the changes, do not hesitate to contact us if you need help or peruse the ATO website here. We are able to contact the ATO on your behalf if needed and get you the help you need quickly.

Stay Safe and remember – we’re all in this together so don’t do it alone!

With Victoria still in the midst of a pandemic explosion, JobKeeper needed to be extended, revamped or just continued as businesses struggle on.

With this in mind, JobKeeper 2.0 has been announced and is due to take over the current JobKeeper on the 28th September. See below for some quick facts that may assist you with determining what help you may receive come September. As always, feel free to contact us if you have any questions so that we may guide and assist with these packages.

EMPLOYER ELIGIBILITY (New recipients included)

• 28th September 2020 to 3rd January 2021;
  30% decline in actual turnover in BOTH the June and September 2020 quarters compared to a comparative 2019 period.
• 4th January 2021 to 28th March 2021;
  30% decline in actual turnover in ALL June, September and December 2020 quarters compared to a comparative 2019 period.

EMPLOYEE ELIGIBILITY

• Must pass the 20+ work hours “look-back” test;
  For the full $1200 per fortnight rate, the employee must have worked and average of 20 hours or more for the 4 weeks preceding the 1st March 2020.
  The lower $750 per fortnight rate applies to those under the 20+ work hours test.
  Eligibility rules still apply in regards to joining the scheme (ie; employment period)

SOLE TRADERS AND BUSINESS PARTICIPANTS

• The same 20+ hour work “look-back” test applies also to Sole Traders and eligible Business Participants from the 28th September 2020.

These are very strange and unprecedented times all around the world, so don’t forget to ask for help and not struggle through the completely unknown uninformed, confused and stressed.

Stay Safe

JOBKEEPER

• You must pay $1500 per eligible registered employee per fortnight. The ATO fortnights are based on PAYMENT dates of payroll and nothing to do with your pay cycle. Please check the ATO calendar in regards to their payment fortnights.
• Remember that the $1500 is before tax, therefore you must withhold the appropriate PAYG on the payroll.
• For the business, the JobKeeper payments are assessable for income tax purposes (not BAS purposes), and not subject to GST.
• Monthly reporting is required by the 7th of the month (for the previous month) which involves employee numbers, Business Participant numbers, actual turnover figures and estimated turnover figures for current month.

CASHFLOW BOOST

• This scheme is a refund for eligible businesses PAYG for the March and June periods to a maximum of $50,000 and with a minimum of $10,000.
• If your ATO Integrated Client Account (ICA) balance is less than your credit, a refund will be issued to your bank account. Please ensure these bank details are up to date with the ATO.
• Most eligible businesses should have already seen the refund appear on their ICA. If this has not happened please contact us to help – or contact the ATO directly.
• For the business, the Cashflow Boost payments are non-assessable non-exempt income.

Please remember that as a business it is really difficult to run your business, keep on top of all the compliance and ensure you are getting the best outcome for you financially. If you need help, reach out and contact us to take the burden off you.

Stay safe Australia!

There are people who have had to wait 5 weeks to receive JobSeeker after losing their job. How are these people able to buy food? Pay their rent? The Government have tried hard to accommodate everyone and generally, they have done well. But the inability of Services Australia (Centrelink) or the ATO to get funds flowing quickly is a real failure.

The Bookkeepers and Accountants in Australia have been stretched to capacity – many working 7 days a week to get their clients access to funds by completing numerous eligibility tests, updating software and completing online forms that are onerous, constantly changing and unnecessary. Researching these packages is mostly not charged to the client – especially in the Bookkeeping / BAS Agent arena. This is hours and hours of work to keep up with the constant changing landscape of JobKeeper, Cashflow Boost and other State or Federal packages.

The flow-on effect from Covid-19 will not just be the economy struggling to recoup after such massive event – it’s the hidden factors that are not being seen that is of huge concern. Depression, homelessness, financial hardship and relationship breakdowns. At the end of the day it is the people who run the country and should be the focus of Australia recovering. If they are content, then the businesses will follow.

If you or anyone you know is struggling to keep heads above water in these unprecedented times, please ask for help. Many people do not have families to turn to, so please check on your neighbours and friends. It is very common for people not to ask for help as it makes them feel inadequate, but a simple “can I help?” will sometimes be all that they need to start accepting it. Always remember that Beyond Blue is an amazing resource for help also.

If your business is struggling to keep going in these uncertain times and you need help – please contact us. Calculated Accounts have been working very hard on getting clients access to help when they most need it as quickly as possible. We can take the stress off you as a business owner and do what needs to be done in the right order to satisfy the ATO’s stringent requirements.

Stay safe Australia.

As a Bookkeeper and BAS Agent, Calculated Accounts need to keep up to date with all these changes and packages so that we can get our clients the best possible outcome considering this unprecedented climate. This means that the businesses will be no worse off than they would be IF this Covid-19 situation did not arise. In saying this, our whole industry should not be prepared to wrought the system to allow clients to make further financial gain.

In recent weeks it has been communicated from various industry colleagues that clients are expecting us to claim more than they should out of these packages. They are asking wages to be increased or changed so that the Cash Boost package is more beneficial to them. This is not acceptable. Bookkeepers and Accountants asked to do this need to take the same united line and decline these requests. The ATO can easily monitor trends of wages (for example) and see changes occur. This could lead to them reclaiming this money later and could lead to the BAS Agent or Accountant losing their tax agent registrations.

The ATO themselves have quoted “Any sudden changes to the characterisation of payments made may cause us to investigate whether the payments are in fact wages.”
“If the payments are wages, we may consider the characterisation of past payments, including whether they should have been subject to PAYGW and whether super guarantee contributions should have been made. You may also have FBT obligations that have not yet been met.”

To ensure that your business is getting all that they are entitled, please contact us so that we can work through your eligibility for assistance. This will be done correctly and honestly without any fear of repercussions later down the track. We are all in this together and by keeping honest, we as a country can ensure that the businesses and people who sincerely need the most help will receive it.

The main factors in this second announcement are *;
– Increasing the PAYG credits (to eligible businesses and Not-For-Profits) from the original 50% to 100%. The criteria remains that businesses must have a turnover of under $50m, however the minimum payment is now $20,000 and the maximum is $100,000.
– A new loan scheme which enables the government to guarantee half of bank loans up to $250,000 starting the 1st April for businesses impacted by the pandemic. No repayments are required for the first 6 months.
– Quicker and more funds for JobSeeker allowance.
– Access to $10,000 per year for the next 2 years from your Superannuation funds. Applications will be online to determine criteria and this will be TAX-FREE.
– Welfare recipients will receive an additional $750 payment.

It would also ring-true to be eligible for all of this assistance, businesses must be up to date with the ATO. This means IAS and BAS lodgments, payment plans and income tax obligations. If you need assistance with getting everything up to date quickly, so that you can also take advantage of the packages when they are needed, please contact us. As a business, we are also helping by offering some discounted services, longer payment terms and an free initial consultation.

Many businesses feel that Bookkeeping is something that can be cut back during times like these, however the opposite is true. To enable you to analyse your cash-flow, apply for loans and apply for government assistance your books need to be current ASAP. Let us help with this so that you can continue to concentrate on your business and keep your staff employed during these confusing and unprecedented times.

For details of this package, keep updated here

* Details subject to change by the Australian Government