NEW FINANCIAL YEAR – NEW OPPORTUNITIES
We all recognise the signs. Both TV and Radio advertising blast us material about End of Financial Year sales/clearances that are too good to miss. On a personal front, we all start raiding our shoe boxes or wherever we choose to keep our financial records “safe”. Though despite this frenzy, what are the best ways we can ensure that we close off the financial year properly and prepare for the new financial year?
Aside from the allure and potentially exciting prospect of new products for you and your business. There are some more mundane activities that we all need to execute in order to close the financial year. Whilst we make no claims to be financial services or advice house at The Acquire Group there are a few pointers we can offer to assist
The most common reason why people don’t take advantage of tax deductions is simply that they don’t keep receipts. While keeping receipts for big-ticket items is necessary, you don’t always need a receipt for the smaller items such as stationery and books. If the total amount you are claiming for work-related expenses is $300 or less, you need to be able to show how you worked out your claims, but you do not need written evidence.
Superannuation can be a tax-effective investment. If you’re an employee, you could look at contributing to superannuation through salary sacrifice, thereby reducing your taxable income. In the long term, salary sacrificing has many benefits as it not only helps to increase your superannuation savings but could also reduce the amount of tax you pay. You could even salary sacrifice your annual bonus into superannuation, but this needs to be arranged in advance with your employer.
Whilst the Net Medical Expenses Tax Offset is being phased out from 1 July 2019, the offset will continue to be available for taxpayers with out-of-pocket medical expenses relating to disability aids, attendant care or aged care expenses above the relevant threshold until this date. Your Medicare financial tax statement will help you claim the offset on your tax return. The statement shows you how much you have paid for medical expenses and how much you have claimed back from Medicare.
Super can be a tax effective investment. If you’re an employee, you could look at contributing to super through salary sacrifice, thereby reducing your taxable income. In the long term, salary sacrificing has many benefits as it not only helps to increase your super savings but could also reduce the amount of tax you pay. You could even salary sacrifice your annual bonus into super, but this needs to be arranged in advance with your employer.
Hopefully, these simple but effective strategies will assist you over the next couple of months as we move through the year-end period. With your financial affairs in order, it will allow you the time to invest in your career.
From a recruitment perspective, year-end is generally a period which see’s a spike in financial accounting recruitment for obvious reasons. However, the nearer to June 30th we get the “quitter” hiring seems to be as senior finance leaders are tied up. At The Acquire Group, we are getting set for the next big push and have a number of opportunities pending over the next couple of months. If you would like to chat about these upcoming opportunities feel free to reach out. Otherwise good luck with finding those receipts!!!