Good Business Practices to Start the Year Strong
Happy new year! Today is as good a day as ever to start the year on the right foot. Running a business and managing tax can be complicated but establishing good habits not only gives us the best chance of success but can also give you peace of mind to free up our focus to work on the business rather than just in the business.
When we see businesses operating well, the common theme is getting the basics right.
- Using digital tools and business software can help you streamline processes, spend less time on administration, and concentrate on areas that will improve your cash flow position.
- Keeping good records ensures you have the right information to meet your obligations, avoid mistakes, and better assess the financial health of your business. Clarity on where your business is at financially and using data enables us to make better informed decisions.
- Getting advice from trusted sources, like your tax professional, trusted business advisors or the ATO website.
- Setting aside GST, pay as you go (PAYG) withholding and super from your cash flow, so you have the funds available when it’s time to lodge and pay.
Practicing good business habits will help:
- manage your cash flow and meet your tax and super obligations
- accurately report business income in your tax return
- know which expenses you’re entitled to claim, and separate your business and private expenses correctly
- lodge and pay your business activity statements (BAS) correctly and on time
- know what you need to record and report for tax incentives your business receives
- understand the tax implications of your business decisions such as taking money out of your business for your own use
- manage your tax and super obligations and prove your claims.
If you have any questions or queries about business and setting up good habits, don’t hesitate to get in contact us at STS Accounting.
