Xero and other recent accounting software solutions make it very easy to complete a bank reconciliation, i.e. matching accounting transactions to bank statement lines. A new client asked: how often should I do it? This post answers that question.
Australia runs a self-assessment tax system, which means that the ATO accepts your initial lodgement but may request evidence at a later date. If you can not provide the evidence, the ATO will disallow your claim and charge a penalty and/or interest. This post covers what records to keep, how long to keep them, and what […]
It is quite simple to run your business in your own name, but there are four other types of legal entities to choose from: partnership, trust, self-managed superannuation fund, and company. Some entities may be more appropriate to your situation than others, but they can be complicated to understand initially. This post provides an overview […]
One of the difficulties with Australia’s system of Awards is determining the correct Award to use. In some cases, it is quite simple, for example the Award covering hairdressers starts with “Hair”. This post describes the process to follow to determine the correct Award, using the example of a furniture removalist.
There is a large learning curve for first-time employers, and it can be difficult to find the information in one place. This post is an introduction to the compliance issues and contains lots of links to further information.
Some people save money for their next tax payment by putting it in a separate bank account. This is a great method to avoid spending that money before it is due. I don’t have a separate bank account, but I still like to keep track of how much to leave in my bank account for […]
Running your personal and business finances through the same bank account or credit card? Bad idea!
As a business grows in size and complexity, spreadsheets and other simple do-it-yourself bookkeeping systems will be increasingly time-consuming and cost-inefficient, and it will be worthwhile investing in accounting software. The ideal time to invest in accounting software is a grey area and will occur at a different time for each business, so in this post I outline a few […]
This is part three of a three-part series on bookkeeping with spreadsheets. The first post covered the benefits and limitations of bookkeeping with spreadsheets. The second post outlined the steps to create a bookkeeping spreadsheet template. This post details how to use the bookkeeping spreadsheet template.
This is part two of a three-part series on bookkeeping with spreadsheets. The first post covered the benefits and limitations of bookkeeping with spreadsheets. This post outlines the steps to create the template spreadsheet. Skip to the end of the post for the quick version.