Monthly Archives: May 2016

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The End Is Near! The Financial Year End!!

Category : Services , Xero

 

Financial Year-End Check-list for Small Business

 

Financial year end is approaching. It is a busy and important time for small businesses; the time when financial reports take scrupulous attention to details. Compiling financial reports basically involve the process of closing books/accounts, making financial statements, and paying your tax obligations. There is a lot of hard works in, but it does help to keep your business organized and make better plans for the upcoming year. Here are some of the most important tasks to complete for EOFY (end of financial year) reporting.

 

  1. Reconcile your bank accounts

 

Year-end statements and book balances need to be equal. If you are entering every number by hand without using any computation process, make sure that all credit cards, bank statements, and money are properly reconciled. Even when you are using accounting software, it is best to double-check.

 

  1. Income tax assessment

 

Small businesses receive notice of assessment after they lodge their tax returns. Notice of assessment declares the amount of tax you must pay, due date for the payment, and your payment reference number. Remember, you need to lodge to get the notice.

 

  1. PAYG payment summaries

 

You must provide payment summaries to your employees no later than 14 July. The form provides detailed outline of all the payments you made during the current financial year including information about the amounts you withheld. Once the form is completed, you need to send it to ATO by 14 August. Note that you must send the original form for scanning. There can be mistakes in the payment summary due to various reasons; you must provide an amended payment summary in case one or more of the following points are incorrect:

 

  • payment amount
  • amount of tax withheld
  • payment codes

 

  1. Reconcile GST and Payroll Tax

 

At the end of financial year, you will be required to complete a tax form known as BAS (Business Activity Statement) containing information about GST collected on sales income. GST is also payable if you have taxable supply. Another important thing is to reconcile payroll tax; the purpose is to make sure that there will be no changes to make to the payroll figures in the original calculation. State Revenue Office requires you to review whole year (including June) financial statements to calculate payroll tax payable annually and deduct the June payment from the total amount.

 

Contact 360 Accounting

 

End of financial year statement requires great deal of attention and best left to professional bookkeeper or accountant. Not all small business owners, however, can afford to hire full-time professional to handle the bookkeeping tasks.  provides consultation, advice, as well as accounting services to take care of your bookkeeping needs. We cover data entry/bank accounts reconciliations along with the entire range of related tasks including financial statement preparation. We are here to help you during accounting difficulties so you can focus on what you do best, developing your company.


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How Technology Has Changed Bookkeeping

Category : Training , Xero

Time for Training

The responsibilities of bookkeeper have never changed in thousands of years. They record all economic activities including all transactions and make sure everything is neatly and properly documented for future reference. Bookkeeping jobs remain the same, but the tools have evolved from simple quill and pot of ink or pencil and paper to modern calculator, computer, and cloud storage services. In the most basic sense, technology refers to anything that makes the job easier. Back in the days of quill and ink, they were also considered cutting edge technologies. As business is getting more complex and involving large frequent transactions, however, bookkeeping jobs are more demanding as well. They require the proper tools to handle all the complicated record-making systems.

Accuracy

 All those technologies provide leverage for bookkeepers to improve accuracy in every detail. Bookkeeping is not merely about writing down all transactions, but also about ensuring that they are accurate. It makes no sense to document transactions without great attention to precise financial calculations. Invoices have more than a simple line item and there are also taxes involved. In the old days where transactions used only cash (or even barter system), pencil and paper are enough technologies, but in the modern world where credit card and cryptocurrency are all around, more capable technologies with automated calculation systems are indispensable.

Speed

Human mind and physical properties have limitation to how fast they can operate, and this is where technology comes in. It is never enough to memorize all transactions with all the different amount of money so keeping proper documentations are the only workaround. When business reaches a point where hundreds or more transactions take place on daily basis, bookkeepers need more than pencils and papers; they need faster way to handle the jobs so they use calculators and computers. Bookkeepers are required to do their jobs quickly and make reports in a timely manner.

Cloud

 One of the latest innovations to hit the bookkeeping world is cloud service. Instead of installing the entire accounting program to an office computer, cloud accounting allows bookkeeper to save the record in the cloud, where there is nearly zero possibility of damaged or missing data. In most cases, cloud storage act as backup measure; redundancy makes the data safer. Another advantage is that it is possible to access the data from another computer from everywhere via Internet because they are not stored only on a physical hard drive of a computer.

The Need for Basic Training

 Accounting technologies that come as both hardware and software still require capable bookkeepers to make them work. Even the most expensive computer equipped with an entire range of accounting software makes no use in the hands of untrained bookkeeper. At the end of the day, it is always the bookkeepers who should posses the expertise to take advantage of technology at their disposal. For a complete range of training courses in modern bookkeeping and the use of cloud accounting for business, 360 Accounting provides comprehensive lessons for all levels from beginners, intermediate, to advanced bookkeepers to improve their skills.