The end of the financial year is always a busy time. We want to ensure you’re fully equipped and ready to smooth sail into the new financial year!
Cleaning up any loose ends will help reduce business risk, giving you an overall view of your company’s financial health and year-to-year growth. This will provide you with a clear picture of where your business is at financially, which then allows you to make reliable business decisions going forward.
Follow these 5 steps to ensure you’re well prepared!
1. Process your final payroll run and super contributions
If you want to claim end of month payroll and superannuation payment in the current 17-18 financial year, it is important that the money leaves your bank account by June 30th.
It is extremely important to reconcile your total payroll and superannuation contribution for the financial year in Agrimaster and Wagemaster (or alternative payroll program) to ensure that they reconcile.
The reason for this is that your payroll product should be your single source of truth for your wages. This way when Single Touch Payroll becomes applicable to your business, the process will then be less disruptive to you.
They say it takes 30 days to change a habit - with Single Touch Payroll, it will be more like 30 pays! Start your best practice now, don't wait.
2. Reconcile your accounts
Reconcile all bank accounts, including credit cards and loan accounts. By reconciling your accounts, you have an accurate snapshot of your financial position.
3. Review your receipts and payments
You want to start the new financial year with a clean slate. Ensure all cheques and EFT payments have been submitted and chase up any outstanding enhanced invoices. It may take a bit of time but it will ensure your BAS is correct and save you having to adjust it later. Plus when budgeting, you will have a true reflection on the position of your business when running an actuals vs budget comparison report.
4. Generate a payroll report for all types of accrued employee leave
On the last day of the financial year, generate an employee leave liability report. This will provide you with an accurate idea of what your business’ leave liability is at the end of the financial year.
You always want to ensure all your work is saved and secure. By backing up, you will have peace of mind should anything happen, your data is safe and ready for you. It will save you time having to re-do anything and you'll be all set-up and ready to go for the new financial year.
If you are unsure about what you need to do, make sure you seek your accountant's advice.
For a more in-depth checklist of everything you need to do prior, click this link here.
The start of the new financial year is a great time to start with a new payroll program. It gives you a fresh beginning and ensures you're fully compliant for the whole year. Check out our new product offering called Agrimaster-Plus to find out more!