Pay-day-super

Payday Super Is Coming: What It Means for Your Business.

by Advice

In short: Super every payday – not every quarter.

From 1 July 2026, employers will need to pay their employees’ superannuation at the same time as wages, instead of quarterly.

That means every time you run payroll, your employees’ super will also need to be paid into their funds… not three months later.

Same money, just sooner.

This Isn’t a New Expense, It’s a Timing Shift

The amount of super you pay isn’t changing… what IS changing is when you need to pay it.

Right now, businesses have the benefit of:

  • Holding onto the cash for the whole quarter before it’s due, or
  • Building up the funds across three months to pay at the end.

From 1 July 2026, that buffer disappears. You will need to pay super with each pay run instead of quarterly.

There may be short-term cash flow pain, but a little planning goes a long way. Remember in July you will have the quarterly SGC payment due and the new Payday Super amounts.

What’s Actually Changing?

Here’s what the Treasury Laws Amendment (Payday Superannuation) Bill 2025 and related legislation will bring in:

  • Super must be received by the fund within seven business days of payday.
  • “Qualifying earnings” will replace “salary and wages” as the definition of what attracts super.
  • The ATO’s Small Business Superannuation Clearing House (SBSCH) will be decommissioned from 1 July 2026.
  • Super funds will have less time to allocate contributions (down from 20 business days to just 3).
  • The maximum contribution base will move from quarterly to annual.
  • Penalties will tighten: late or missed payments will accrue daily interest, plus administrative penalties.
  • The ATO will use Single Touch Payroll (STP) data to identify non-compliance in real time.

The goal? To close the “super gap” (the billions of dollars in unpaid or delayed super for individuals across Australia) and help employees grow their retirement savings faster.

Our Take …

Payday Super might sound like extra admin, but it’s really a cash-flow shift, not a new cost.

Once you adjust your systems and mindset, it’ll become just another part of your payroll routine, and your employees will benefit from seeing their super grow sooner.

If you’re unsure or need some assistance with payroll setup, reach out.  Activ8 will be more than happy to assist.

budget-breakdown

Budget Breakdown 2026

by Advice

Don’t restructure anything yet!

It’s been a bit chaotic since Budget night.  Wild headlines and dodgy case studies from reporters.  All this before we have even seen the draft legislation!

While there are some genuinely BIG proposed changes in this Budget, almost none of this is immediate. These are announcements. Many still need to pass Parliament. Some might change significantly. Some might never happen at all.

Here’s our quick breakdown of the major announcements and what actually matters right now.

Working Australians

There are three big announcements aimed squarely at everyday workers.

Income Tax Cuts:  The Government confirmed the next round of personal income tax cuts, aimed mostly at low-to-middle income earners.

From 1 July 2026, the 16% tax bracket drops to 15%. Then to 14% from 1 July 2027.

For taxpayers earning above $45,000, this could mean:

  • Up to $268 extra in your pocket from 2026–27
  • Increasing to around $536 annually from 2027–28

Will this completely change your financial future? Probably not.

The $250 Working Australians Tax Offset: From 2027–28, eligible workers may receive a permanent annual tax offset of up to $250. It’s essentially another little cost-of-living measure designed to slightly reduce the tax burden for working Australians.

The $1,000 Instant Work-Related Deduction: This one might become popular!  From 1 July 2026, workers may be able to claim up to $1,000 in work-related expenses without needing receipts or detailed substantiation.

So yes, the Government may finally be acknowledging that nobody enjoys digging through old email folders looking for a $14 Officeworks receipt from 11 months ago.

People who claim higher deductions can still use the normal rules if it benefits them more.

Small Business

The $20,000 Instant Asset Write-Off Is Becoming Permanent: From 1 July 2026, eligible businesses under $10 million turnover will permanently be able to immediately deduct eligible assets under $20,000.

This is less about creating huge tax savings and more about giving businesses confidence to actually plan ahead.

Loss Carry Back Returns: Loss carry-back rules are also making a comeback. Eligible companies will again be able to offset current-year losses against previously taxed profits to potentially generate cash refunds.

In plain English: if your business had a good year, paid tax, then got smacked by rising costs and tougher trading conditions… this could provide some very welcome cashflow relief.

EV Tax Benefits Are Slowly Driving Off Into The Sunset

The generous EV Fringe Benefits Tax concessions introduced over the past few years are being gradually scaled back.

The full exemption remains until March 2027, but higher-value EVs will start losing some of the tax advantages after that.

Importantly: existing arrangements are expected to be grandfathered. So no — there’s no need to panic-sell your Tesla tomorrow morning.

But if you’re considering:

  • Salary packaging an EV,
  • Entering a novated lease,
  • Or upgrading a fleet…

…timing may become increasingly important over the next couple of years.

Capital Gains Tax

Obviously one of the big-ticket items from the Budget.

From 1 July 2027, the Government is proposing to scrap the 50% Capital Gains Tax discount and replace it with a CPI indexation model plus a 30% minimum tax framework.

And importantly: this isn’t just about residential property.  It pretty much covers all investments.

BUT there are still a LOT of unanswered questions here.

The transitional rules appear to preserve pre-2027 gains, and taxpayers may have options around valuations and formulas. But the actual mechanics still need serious clarification.

What we do know is this: if passed, these changes could significantly alter long-term investment and tax planning strategies in Australia.

Negative Gearing

Another major proposed shift is around negative gearing.

From July 2027, tax deductions tied to negatively geared residential properties may only apply to “eligible new builds.” Existing properties purchased before the announcement are expected to be grandfathered under the current rules.

So despite what social media is currently telling everyone: negative gearing is not disappearing tomorrow.

The clear theme though? The Government appears to be trying to redirect investment toward creating new housing supply, rather than existing property turnover.

Now… whether this actually improves affordability, rental supply or investor behaviour long-term? That debate is only just getting started.

Trusts At 30%: The Biggest Structural Shift?

This is probably the measure generating the most genuine shock across business owners, investors and advisors.

From 1 July 2028, discretionary trusts are proposed to face a minimum 30% tax rate.

This could fundamentally reshape how Australian families and businesses structure their affairs.

For decades, discretionary trusts have been everywhere:

  • Business structures
  • Family investment entities
  • Asset protection strategies
  • Wealth planning

And now suddenly, many people are asking: “Do trusts even still make sense?”

The answer right now is: maybe… maybe not.

Because tax has never been the only reason trusts exist. Flexibility, asset protection and estate planning still matter enormously.

Also, this one has a long way to go before it is passed through Parliament.

Our Thoughts …

When you combine:

  • Trust changes
  • CGT changes
  • And negative gearing restrictions…

…it becomes pretty clear this Budget is signalling a broader philosophical shift in how the Government wants Australians to invest and structure wealth moving forward.

Some of these proposed changes are genuinely massive. Potentially “once-in-a-generation tax reform” massive.  But right now? They are still proposals.

The reality is: there is still legislation to draft, Parliament to navigate, details to clarify, and probably multiple versions of these measures before anything becomes final.

So our advice today is pretty simple:

  • Don’t panic.
  • Don’t rush into restructuring everything.
  • Don’t make emotional financial decisions based on headlines.
  • And definitely don’t rely on Facebook comments for tax advice.

We’ll keep unpacking the detail as it develops.

pandas

Budget 2025 – What’s In It?

by Advice

What’s in it for Individuals & Families?

Flat White tax cuts — but not until July 2026

· The bottom tax bracket (from $18,201 to $45,000) drops from 16% to 15% in July 2026, and to 14% in July 2027

· Max saving: $268 in 2026–27, and $536 from 2027–28

· Roughly $5 per week from 1 July 2026 (barely enough for a Flat White Coffee), followed by roughly $10 per week 12 months after that

Medicare levy thresholds lifted for low-income earners

· Only applies to very low earners (e.g. $27,222 for singles, $45,907 for families in 2025–26)

· Reduces or removes Medicare levy for those under the thresholds

$150 energy rebate

· Applies to households and small businesses

· Paid in $75.00 quarterly chunks from July to December 2025

Subsidised childcare (income tested)

· From 1 Jan 2026: 3 days of subsidised childcare per week

· Replaces the current activity test

Cheaper medicines and better Medicare access

· $1.8B over 5 years for PBS

· $8.5B for more clinics and bulk billing

· $240M for women’s health (including menopause care)

HECS/HELP relief

· 20% cut to existing debt

· Repayment thresholds eased from 1 July 2025

Help to Buy scheme expanded

· Government can now chip in up to 40% equity in a new home

· Income threshold raised to $100k (single) and $160k (joint)

· Still not open for applications

What’s in it for Small Businesses?

Instant Asset Write-Off: Back to $1,000?

· The $20,000 write-off for 2024–25 has only just been passed into law, however…

· No extension for 2025–26, so from 1 July 2025 it reverts to the old $1,000 threshold

· Note the coalition has promised a permanent instant asset write-off threshold of $30,000 if elected.

Beer excise frozen

· From August 2025, beer won’t get more expensive due to indexation

· Alcohol producers get a small increase in support caps ($400k from July 2026)

· Overall: more headline than help

Non-compete clauses banned (from 2027)

· For lower and middle-income workers (<$175k)

· In practice, many small businesses don’t use these anyway

· Doesn’t affect non-solicitation clauses (which are still enforceable)

Phoenixing in the Construction Industry

· $3M to ASIC to improve the ability to identify and prosecute those involved in illegal phoenixing conduct – particularly within the construction industry.

ATO ramps up audits

· $1B allocated to expand compliance!

· Expect more attention on SMEs, high net worth’s and the cash economy

Housing & Foreign Investor Changes

· Foreign buyers banned from purchasing established homes for 2 years (from April 2025)

· CGT changes for foreign residents delayed until October 2025 at the earliest

Big Picture: The Economy

· GDP growth: 2.25% (2025–26), 2.5% (2026–27)

· Unemployment: Expected to peak at 4.25%

· Inflation: Tracking back to 2.5%

· Wages: Real wages growing slowly

· Budget deficit: -$42.1B in 2025–26

· National debt: Forecast to hit 23.1% of GDP by 2028/29 – $1.1 trillion

Our Take

There’s not much new here — a handful of sweeteners, but not a lot of substance.

As with the rest of the Budget, there’s unlikely to be an overwhelming reaction to the announcements. Forward estimates of inflation under control sooner than expected may bolster confidence in the broader market, as it brings into question whether interest rates can come down sooner, which supports business and share prices. From a tax perspective, cuts of 70c a day are unlikely to cause domestic listed retailers and service providers to whoop with joy.

The theme running through this year’s budget is ostensibly easing cost-of-living pressures for individuals and small businesses, but truth be told, it’s a pretty much “beige budget,” aimed more at pre-election pandering than implementing significant structural changes. However, amongst the serious fiscal measures, there’s funding for Giant Pandas ($3.8 million is being allocated to Adelaide Zoo over 5 years).

Contractor

What is the Difference Between Employees and Contractors, and Why Does it Matter?

by Advice

There are key differences between employees and contractors, and as with most things, there’s pros & cons for both. Understanding the obligations for your choices in business is key to your success, so let’s get clear on the type of people you work with in your business.

The Critical Differences Between an Employee and an Independent Contractor.

An employee works in your business and performs their role as a representative of your business. An independent contractor will provide a service TO your business and performs work to further their own personal business.

An employee represents your business, where as a contractor represents themselves and is more self-interested.

There is More Flexibility with Contractors.

An independent contractor has more control to choose how, when and where their work is done, they represent themselves and often work for a fixed fee. A contractor has the ability to subcontract or delegate to others and is responsible for providing their own tools and equipment, as well as bearing the commercial risk for any costs arising out of injury or defect in their work.

Where there is risk there can be reward. The flexibility can be very appealing but obviously for business owners an employee is likely going to be more reliable in the long term.

For Superannuation, a Contractor Can, and Often is, Still Considered an Employee…

Often the choice to lean towards putting on contractors instead of employees is driven by the desire to avoid paying their superannuation. Unfortunately, that is a bit of a misguided notion.

Even if someone is labelled as an independent contractor, have their own ABN, and work infrequently for short periods, they can still be considered an employee for super purposes.

This is When You Still Need to Pay Your Contractor Superannuation.

You still need to pay your contractors superannuation in these circumstances:

  • if the worker works under a contract that is wholly or principally for their labour
  • if they are a sportsperson, artist or entertainer paid to perform, present, or participate in any music, play, dance, entertainment, sport, display or promotional activity, or similar activity
  • if the person is paid to provide services in connection with any performance, presentation or participation in these activities
  • if the person is paid to perform services related to the making of a film, tape, disc, television or radio broadcast.

If a person’s contract is mainly for labour, super will most likely need to be paid, so as an employer you would need to be negotiating rates of pay to contractors while taking this into account.

Workers Compensation Also Needs to be Considered When Looking at Contractors.

As an employer you need to provide workers compensation for workers and ‘deemed workers’, but not for contractors, sub-contractors and labour-hire workers. Important to note that some contractors are deemed workers for compensation and insurance purposes. Here is an online link that can be used to check what your workers would be classified as.

Payroll Tax

Payroll Tax only applies if the total wages, contractor payments and superannuation exceeds the annual threshold of $1.3 million. Generally, payments by employers that relate to work performed by contractors are liable for payroll tax unless an exemption applies. Any part of the payments which are for materials, tools or equipment are not liable for payroll tax.

Employees and Contractors Can Both be Very Complicated to Negotiate.

Each situation is unique and can vary from situation to situation. There is no easy way around the obligations of business ownership and sometimes a legal specialist can be a good idea if there is any doubt.

Bearing in mind, an accountant who specialises in working with business owners (*us*) can make it a whole lot easier.

It’s Important You Understand Your Obligations as an Employer.

Knowing the difference between employees and contractors is crucial to your decision-making in the hiring process. Jumping into a scenario in an attempt to cut corners without the right advice can lead to unwanted consequences.

We are Accountants for Growing Businesses in Brisbane and Beyond.

We work exclusively with business owners who are serious about growing their businesses.

Diving into the world of employees and contractors? Talk to a business accountant who can handle all of your business’s financial obligations.

3 Reasons You Should Have a Self Managed Super Fund

3 Reasons You Should Have a Self Managed Super Fund (SMSF) and 3 Reasons You Shouldn’t.

by Advice

When it comes to your money, goals and life situation, no two set of circumstances are the same. There’s always a lot to consider – you want to be sure you’re making the right choice.

*Remember the following information is general in nature, and doesn’t take your specific situation into account. Before diving into a Self Managed Super Fund, make sure you speak to a qualified Financial Advisor.

In terms of your superannuation, there’s a lot of future-focused thinking that comes into play. For a Self Managed Super Fund (or SMSF) there are pros and cons.

Here’s 3 reasons we think you should consider an SMSF for your super, and 3 reasons you should avoid it.

You’ll have greater control.

A traditional super fund will invest your money for you, they’ll likely do it in a very safe way in order to keep your money safe and your investment growing at a stable rate.

A self managed super fund allows you to direct your money into the investments of your choosing – for example, you could put your money into property, shares, term deposits and a range of alternative options depending on your personal risk tolerance (some of us are more conservative than others). With the right knowledge or guidance behind you, this flexibility can be extremely beneficial and could really enhance the superannuation you build for your later years & retirement.

There’s a good amount of flexibility.

Bendy like a pretzel. There is a great amount of flexibility when it comes to choosing how your superannuation allocates your investments. If you choose to have a self managed super, you can move where your money is invested as you see fit.

An SMSF also provides more flexibility when it comes to estate planning, giving you more control over how and when your superannuation benefits are distributed to beneficiaries upon death. They can also be structured to provide tax effective pensions to surviving dependants, making it a valuable tool for family wealth preservation.

It can save you some hard-earned cash.

For individuals with significant superannuation balances (often over $200,000 to $300,000), an SMSF can be more cost-effective than other superannuation funds. While SMSFs have fixed administrative costs, these can be spread over a larger balance, potentially reducing the per-member cost compared to retail or industry funds.

It can be a tax efficient choice.

Don’t want to pay any more tax than you need to? Neither do we.

Concessional Tax Treatment: Like other superannuation funds, SMSFs benefit from a concessional tax rate. The earnings on investments are taxed at a rate of 15% in the accumulation phase and can be tax-free in the pension phase.

Capital Gains Tax (CGT) Discounts: SMSFs can benefit from capital gains tax discounts on assets held for over 12 months, with a tax rate of 10% applying to those long-term gains.

Pension Phase Tax Advantages: If the SMSF moves into the pension phase (after retirement), the earnings on assets supporting a pension can be tax-free.

…and then there’s the cons.

where there is an upside, there’s usually a downside.

It can be time-consuming.

Time is money. A traditional superannuation fund will work away in the background and is not something you need to worry about in an ongoing fashion.

Managing a Self-Managed Super Fund (SMSF) can take up more time because, as a trustee, are responsible for all compliance, regulatory, and administrative tasks. This includes ensuring the fund complies with Australian Tax Office (ATO) regulations, handling annual audits, preparing financial reports, lodging tax returns, and maintaining detailed records of all investment decisions. You also need to stay informed about changes in superannuation laws and update your investment strategy and operations accordingly, which requires continuous monitoring and research. These tasks can be complex and require significant attention to detail to avoid penalties.

Bearing in mind, an accountant who specialises in SMSF management (*us*) can do all of the above mentioned management for you, making it vastly less complicated.

There is more risk involved.

Having your superannuation in an SMSF carries significant compliance risks, as you are personally responsible for ensuring the fund adheres to regulations set by the ATO. If you fail to comply with these rules, such as contribution limits, investment restrictions, or reporting deadlines, it can result in penalties, fines, or even the disqualification of the fund. The risk of making errors is higher because SMSF trustees need to stay updated on changing superannuation and tax laws, making it a bit of a challenge for anyone unfamiliar with the legal requirements.

With the benefit of making your own investment choices, that also comes with its own set of risks, especially if you’ve chosen something a bit more volatile. Obviously with a high risk investment, the reward can be huge, but the chances of it going poorly are there and that can and will affect your retirement savings if it doesn’t perform as you’d hoped.

An SMSF can be costly to set up and manage.

When you’re re-inventing the superannuation wheel, so to speak, you don’t want to get lost in a web of self sabotage. If you want to have that self managed super fund done in the most effective and tax efficient way, you’ll need to pay a professional to help you – and unfortunately, accountants are not working for free (bummer, I know).

When engaging an accountant, you want to make sure you have the right kind of person in your corner so you don’t get ripped off. You need to trust them implicitly or there’s potential that you’ll feel like you’re getting lead down the garden path.

Having a Self Managed Superannuation Fund can be a fantastic choice, and we love partnering with driven and ambitious business owners, to package up their business needs along with their SMSF.

rental-property

Ensuring Tax Compliance for Your Rental Property

by Advice

Be prepared come tax time so you don’t fall on the side of the ATO’s auditing targets.

‍Perhaps you’ve heard the news about the Australian Taxation Office (ATO)  announcing its efforts to target landlords who are over-claiming tax deductions and failing to report income. According to data, it estimates, approximately 9 our out 10 of landlords are inaccurately reporting their net income from rental properties. This misreporting has resulted in a significant shortfall of around $1.3 billion, highlighting the discrepancy between the amount collected and the amount that should have been paid.

As a property owner and rental provider, it is crucial to be aware of your income tax reporting obligations and ensure compliance. Don’t fret, though. This article is here to help and remind you about your income tax reporting obligations as well as share some handy insights on ATO deductions.

What’s the situation and how can you prepare for it?

The ATO has advised that some landlords tend to leave out rental income or make mistakes when claiming property-related deductions and they want to tackle this issue head-on. This year they have pinpointed three main concerns related to landlord tax compliance. These include the misuse of investment loans for personal expenses, incorrectly categorising repair costs as capital works, and claiming expenses for personal use of the property.

Being on top of your tax game is simpler than it seems. Here are two things that you can do to help avoid issues:

  1. File Correct and Honest Tax Returns: It’s stating the obvious, but ensure you accurately report your rental income and claim deductions that you’re entitled to. Honesty is key when meeting your tax obligations.
  2. ‍Seek Professional Guidance: Don’t be afraid to reach out to a tax professional or accountant who specialises in property taxation (*us*). They can offer expert advice on which deductions you can claim and guide you through the ins and outs of rental property taxation.‍

What Can Landlords Claim?

By understanding what you can claim, you can maximise your deductions and minimise any risk of non-compliance. Here are a few things you may be able to claim:

Mortgage Interest: Ah, the sweet relief of claiming the interest you pay on your mortgage as a deduction. Just make sure you accurately apportion it if you use the property for personal purposes too.

Utilities, Insurance, and Operational Costs: If you foot the bill for these expenses, you can claim them as deductions. Just keep those receipts handy!

Property Maintenance and Repairs: Any costs incurred to keep your property in tip-top shape for tenants, such as fixing leaky pipes or giving the place a fresh coat of paint, can be claimed as deductions. That’s some good news for your wallet!

What can you do to prepare for an audit?

‍In light of the ATO’s scrutiny, it is essential for landlords to ensure that their tax returns accurately reflect their rental property income and expenses.

We don’t want you stressing over a potential audit, but it’s always wise to be prepared, just in case.

Stay organised and maintain detailed records of all income and expenses related to your rental property. This includes rental income, receipts, invoices, and documentation for all claimed deductions. A little extra effort now can save you headaches later.

If a discrepancy or error is detected during the lodgement of a tax return, the ATO temporarily halts the processing and contacts the taxpayer to request an explanation. In some cases, the ATO may conduct further investigations after the return has been processed and ask taxpayers to review and make any necessary amendments to their return.

Time to review your records system?

A property records system is a tool that allows you to keep track of all the details related to your rental property in one place. You have a couple of options.  It might be in the form of excel spreadsheets and folders on drive or cloud, or it might be a software packagehelps you maintain your records.  Either way we suggest your system covers the following areas:

  • Tenant and lease information/documentation
  • Property condition reports
  • Bond collection
  • Maintenance requests and work orders
  • Financial records such as rent payments and expenses
  • Reports and analytics

‍‍A property records system allows you to keep everything in one place and easily accessible, so you can always stay organised and on top of things.

By keeping a good system in place to manage things, understanding the deductions you can claim and seeking professional guidance when needed you’ll be well-prepared to navigate the ATO’s watchful eye. Remember, there’s no need to panic. With a little organisation and the help of Activ8, you can be prepared and stay ahead!

reserve-bank-Aus

Interest Rates – Has the RBA Stuffed It Up?

by Advice

The tide is turning against the RBA, with more and more economists starting to think they’ve got it badly wrong.

Headline inflation is back in the target range, underlying inflation is moving ever closer to target, and yet the Reserve Bank of Australia remains stone-faced, the monolith of Martin Place. The RBA says it can’t cut rates, not yet. Not with unemployment so low.

The idea is that if there is an economy-wide shortage of workers then it’s a zero-sum game. Businesses that lose workers to businesses paying higher wages will, in turn, bid up wages to fill their vacant positions. The result is rapidly rising wages. These higher wages eat into the profits of businesses, so businesses use their market power to put up their prices which causes inflation.

This is known as a wage-price spiral. Simply put, the RBA believes low unemployment leads to higher inflation.

The RBA reckons we need unemployment to rise to somewhere around 4.5 per cent from where it is now. That would mean tens of thousands more people looking for work. Not a pleasant prospect.

However, the unemployment rate has tracked sideways at around 4.1% for the past 6 months and the inflation rate has been tracking downward during this period.  Wages growth is already falling and it’s wages growth that is really the feedback loop from low unemployment to high inflation.

 

 

It can also be argued that the RBA estimate of how low unemployment needs to be to set off a wage-price spiral is wrong.  The RBA Review released in 2023 pointed out the errors in this thinking pre-Covid.  The RBA is repeating its mistakes now.  Wage growth is falling, GDP per capita is 2.5% below the long-term trend – only being held at that level due to government spending on infrastructure,  and household consumption is back to 2018 levels.

Interest rates have sat at 4.35% now for more than a year as inflation has fallen.  As always, the rate rises took a few months to have their impact, but right now they are smashing the economy.   The next RBA Board meeting is not until mid-February.  Hopefully the data the RBA gets then opens the way to rate cuts earlier rather than later.

Co-working-space

Co-working Space for Lease

by Uncategorized

Looking for a functional, and affordable co-working space in the Grange? Welcome to your new office at 197 Days Road! For freelancers, startups and established businesses, we offer flexible terms, with the ability to lease 1 to 5+ desks, at our shared office space.

The space features a collaborative and open plan fit-out, with a stylish reception, a back veranda, great meeting room, great tech and good vibes!

You’ll also get a communal kitchen stocked with Lavazza coffee and English Breakfast tea. Door signage is available.

Pricing is all inclusive and fixed at a low cost of $550 per desk, per month. You can take up a lease for 1 month, 1 year or more. We have desks available so please get in touch to view and discuss the needs of your team and business.

Amenities

Standard amenities

High-speed Wi-Fi

Hook yourself up to hard-wired Ethernet or secure Wi-Fi, including IT support and guest log-in functionality.

Boardroom

This versatile room can be set up to allow teams to gather, meet, participate in video conferences, or give a presentation—virtually or in-person.

Cleaning services

We will work to clean and disinfect our spaces by following our cleaning schedules and practices, to protect the wellbeing of our members and employees.

Business class printers

Access to a business class printer, office supplies, and paper shredder.

cash flow management

Cash Is King

by Advice

In these times of seemingly ever-increasing costs, improving cash flow is crucial for the financial health of a business. Here are some strategies to help you do that:

  1. Invoice Promptly: Send out invoices as soon as goods or services are delivered. Consider offering early payment incentives to encourage faster payments.
  2. Follow up on Payments: Establish a system for following up on overdue payments. This might involve sending reminders, making phone calls, or even offering payment plans.
  3. Manage Expenses: Analyse your expenses and cut any unnecessary costs. Look for opportunities to negotiate better terms with suppliers.
  4. Inventory Management: Avoid overstocking inventory, as it ties up cash. Use just-in-time inventory practices when possible.
  5. Tighten Credit Policies: Be cautious with extending credit to customers. Screen new customers for creditworthiness and set clear credit terms.
  6. Reduce Operating Costs: Evaluate your fixed and variable costs. Look for ways to reduce expenses without sacrificing quality or service.
  7. Increase Sales: Focus on marketing and sales efforts to boost revenue. Consider diversifying your product or service offerings to attract more customers.
  8. Improve Cash Reserves: Build up cash reserves during periods of strong cash flow to cushion against lean times.
  9. Negotiate with Suppliers: Negotiate favourable payment terms with suppliers. Extended payment terms can provide some breathing room.
  10. Consider Financing: Explore financing options such as business loans or lines of credit to cover short-term cash flow gaps.
  11. Monitor Cash Flow: Keep a close eye on your cash flow through regular financial reporting. This will help you spot issues early and take corrective action.
  12. Forecast Cash Flow: Create cash flow forecasts to anticipate future needs and plan accordingly.
  13. Streamline Operations: Look for ways to make your business processes more efficient, which can reduce costs and improve cash flow.
  14. Offer Discounts for Early Payment: Consider offering discounts to customers who pay their invoices early to incentivise prompt payments.
  15. Debt Management: Manage your existing debt wisely, ensuring that interest payments and principal repayments fit comfortably within your cash flow.

A list like this can be a bit overwhelming so just pick one or two to start off with.  Focus on those for the next month or so and see how you go.  Then pick another strategy and build from there.

Remember that improving cash flow often requires a combination of strategies tailored to your specific business needs and circumstances. It’s essential to regularly review your financial statements and adjust your approach as needed to maintain healthy cash flow.

A crucial part of the equation is having accurate and up-to-date financials.  None of these will work if you are flying in the dark.  That’s where we come in.  Activ8 can do the number crunching so you can focus on your business.  No more losing sleep over the books.  Give us a call on (07) 3367 3366.

Family-leave

Paid Family & Domestic Violence Leave From August 1

by Advice

Paid family and domestic violence leave (FDVL) kicked off for large employers on February 1. Now it’s time for small businesses to get on board.

Ten days’ paid family and domestic violence is a significant new entitlement for employees.

The obligation to provide paid family and domestic violence leave applies:

  • from 1 February 2023, for employees of businesses that are not small businesses (i.e. on 1 February 2023, the business employed 15 or more employees); and
  • from 1 August 2023, for employees of small businesses (i.e. on 1 February 2023, the business employed fewer than 15 employees).

What is Family and Domestic Violence leave?

Paid family or domestic violence leave will be available in the event that the employee needs to do something to deal with the impact of the family and domestic violence and it is impractical for them to do it outside their ordinary hours of work.

For example, making arrangements for their safety or the safety of a family member (including relocation), attending urgent court hearings, or accessing police services.

Family and domestic violence – What is it?

A family or domestic violence incident is defined as violent, threatening, or abusive behaviour directed at an employee by a former or current intimate partner, a household member, or a close relative in an effort to coerce or control them.

A close relative of an employee is considered the following:

  • Spouse or former spouse
  • Current or former de facto partner
  • Child
  • Parent/s
  • Grandparent
  • Grandchild
  • Sibling
  • Family members of an employee’s current or former partner, including siblings, children, parents, and grandparents
  • Individuals who are related to the employee according to Aboriginal or Torres Strait Islander kinship rules.

The following types of behaviour are examples of family and domestic violence:

  • Financial abuse
  • Stalking
  • Emotional abuse
  • Sexual assault
  • Physical violence
  • Controlling behaviour

When does Family and Domestic Violence Leave apply?

Employees (including part-time and casual employees) can take this paid leave if they need to do something to deal with the impact of family and domestic violence. For example:

  • Making arrangements for their safety or the safety of a close relative (including relocation)
  • Attending court hearings
  • Accessing police services
  • Attending counselling sessions, medical appointments, financial consultations, or legal consultations.

Who is entitled to Paid Family and Domestic Violence Leave?

Employees covered by the Fair Work System, including full-time, part-time, and casual employees, are entitled to ten days of paid leave for domestic and family violence. For every 12 months of employment, employees will receive ten days paid for family and domestic violence; the entitlement is provided up-front at the start of each 12-month period. The leave does not accumulate like annual leave.

Employees who started employment on or after 1 February 2023 are entitled to the full 10 days from their starting day.

How is pay calculated for Family and Domestic Violence Leave?

The type of employment determines the amount of pay for paid family and domestic violence leave.

Both part-time and full-time employees are entitled to receive full pay for the hours they would have worked if they did not need to take family or domestic violence leave.

Casual employees are paid their full pay rate for the hours they were scheduled to work if they need to take leave due to family or domestic violence.

Family and Domestic Violence Leave pay slip data and record keeping

The employer must ensure that any information regarding paid family and domestic violence leave balances or leave taken is not included in payslips. This safety measure aims to reduce any risk for employees that need to use their family and domestic violence leave.

Employers must keep a record of all employees’ leave balances and leave taken for Family and Domestic Violence.

What are the employee’s obligations when taking Paid Family and Domestic Violence Leave?

As soon as practicably possible, the employee should notify their employer they are taking family and domestic violence leave and how long they expect to be away from work. The notification can be after the employee has taken the leave.

Employers may request evidence that shows the leave taken was to deal with the impact of family or domestic violence and that it was not feasible to manage this outside of working hours. Evidence can be documentation issued by the police, a court of law, family support services or a statutory declaration.

The employer can only use the information provided to determine whether the employee is entitled to family and domestic violence leave.

Key takeaways:

The Paid Family and Domestic Violence Leave legislation key points:

  • On 1 February 2023, the new paid family and domestic violence leave is available to employees for businesses with at least 15 employees or over.
  • The start date for paid family and domestic violence leave for employers with less than 15 employees is 1 August 2023.
  • Over 12 months, full-time, part-time, and casual employees can take up to 10 days of paid family and domestic violence leave.
  • The leave is pro-rated for part-time or casual employees.
  • No matter how many hours employees work per week, they are entitled to 10 days of family and domestic violence leave.
  • Employees who started employment on or after 1 February 2023 are entitled to the full 10 days from their starting day.
  • The paid family and domestic violence leave renewal is on the employee’s start date anniversary, not on the 1 February every year.
  • The 10-day entitlement does not accumulate year after year, like annual leave.
  • An employee’s pay slip must not contain any information regarding paid family and domestic violence leave as of 1 February 2023.

For more information on paid family and domestic violence leave, visit fairwork.gov.au.