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Property maintenance business bookkeeping case study

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Online bookkeeping well in hand for property maintenance business

Powered by Notch Above’s Peace of Mind bookkeeping package

Any dutiful tradie knows that the last place they want to be is sitting behind a desk! And that goes for Notch Above client and property fixit guru Keith Mulhall at KEM Carpentry and Building Services in Sydney.

When Keith first came to us he was, like many small business owners, invoicing his customers using a Word document.

Keith could never be certain who owed him what and he is the first to admit that using the ‘Word invoicing system’ didn’t lend itself to properly collecting payments, so he often lost track (and hard-earned money). It is a word processing system after all.

On top of that, business expenses may have been missed and therefore underclaimed at tax time due to Keith paying for work costs from separate accounts and not recording each one correctly.

Keith is not unique and the team at Notch Above soon saw the familiar flaws in his set up. Once he bought his bookkeeping across to us, the first thing we did was introduce him to Xero and got him onto a Xero file.

The benefits of doing so were immediate.

Real-time bank feeds could be seen in the business Xero file online so all income and expenses were accounted for.

Keith could raise invoices as each job was done so cash started coming into his business much quicker than the old paper-and-payment way whenever he got around to it.

Keith now reconciles every two or three days so, at any given time, he knows exactly who owes him what.

And, as Keith’s offsite bookkeeping team, Notch Above provides peace of mind with financial support so he can get on with doing his small building repairs and keeping his property management customers happy.

“When I started my business, bookkeeping was my biggest worry,” admits Keith.

“Bookkeeping used to terrify me but now I can focus on my day to day work because Notch Above makes sure that things are correct and they are only a call or email away.”

To maintain your residential or commercial property with professional care and upkeep in Eastern Sydney, call Keith on 0415 442 959 or email him at kemcarpentry@gmail.com.

To find out more about how Notch Above Bookkeeping can help your trade services business, call us on 1300 015 130 or check out all our bookkeeping packages at https://notchabove.com.au/services/packages/.

Copyright 2020. @NotchAboveBAS Xero Remote Business Bookkeeping

Federal Audio Brisbane

Online bookkeeping change saves time… and trees

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Powered by Notch Above’s Time Saver bookkeeping package

Notch Above Bookkeeping client, Federal Audio, is the Australian distributor for ADAM Audio professional monitors, supplying tools for the discerning audio craftsman.

Based in Brisbane since 2010, they supply studio monitoring solutions, headphones, racks, modules, microphones and cables to many of the industry’s renowned recording studios, audio engineers and producers.

When we first started keeping the books for owner Cris Stevens, he was diligently printing and posting his paperwork to us each quarter which took an inordinate amount of time and wasn’t doing the trees any favours either!

Cris tells his customers that if their audio monitoring is compromised in any way, that information can be unreliable. The same message rings true for business. As Federal Audio runs an online business powered by Shopify, it made sense to consider the online options when it came to the business’ bookkeeping not only to streamline the process but to provide accurate data to assist decision making.

Accordingly, we introduced Cris to ‘cloud bookkeeping’ and helped him to implement an electronic submission method so that, as invoices came in, he could forward those to us and use an app to submit sundry spend receipts as they happened.

Rather than Cris’ bookkeeping being a quarterly affair, it is now processed more regularly, which saves time each quarter plus provides him with real-time reporting if needed for business decision making.

Apart from saving reams of paper, Cris has also experienced the time saving of not having to block his time out each quarter to prepare the paperwork for us.

“I did actually print my paperwork for one final quarter before fully changing over, just to double-check that everything was running smoothly,” Cris admits.

“The team at Notch Above handles any queries we have and I’m very comfortable with the new set up, so I won’t be printing out any hardcopy bookkeeping paperwork anymore.”

Federal Audio believes the choice of monitoring is the most important pro audio decisions you’ll make. Read more or purchase equipment from their website at https://federalaudio.com.au/.

To find out more about how Notch Above Bookkeeping can help your professional business, call us on 1300 015 130 or peruse all our bookkeeping service packages at https://notchabove.com.au/services/packages/.

Copyright 2020. @NotchAboveBAS Taking Your Business a Notch Above with Remote Xero Business Bookkeeping

cash flow

Know your boosts inside and out

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If you’ve received a cash flow boost, you may be wondering if the amounts you’ve received affect your income or deductions this tax time.

Here are the four essentials you need to know when lodging your tax return:

  1. You don’t pay tax on cash flow boost amounts as they’re non-assessable non-exempt income. You may still need to report the amounts in your tax return for other purposes. Read the relevant tax return instructions for your business structure for more information.
  2. You’re still entitled to a deduction for the payments made to your workers provided you have complied with the pay as you go (PAYG) withholding and reporting obligations for that payment.
  3. If you pass the cash flow boost on to others, there may be tax consequences for the recipient.
  4. If you claim the research and development tax offset, your claim isn’t affected by any cash flow boost you receive.

Remember, a registered tax agent can help you with your tax; please check with your accountant for further information on the tax consequences of the cash flow boost.

From builders to pharmacies, medical clinics to dental practices, Notch Above Bookkeeping has your business BAS covered. If you have questions in relation to eligibility and reporting requirements please call our team on 1300 015 130 for specific advice regarding your business.

Source: Know your boosts inside and out. (2020). Retrieved from https://www.ato.gov.au/Newsroom/smallbusiness/Employers/Know-your-boosts-inside-and-out/

Extension of the JobKeeper payment2020. Notch Above Bookkeeping

Who in your business is eligible for JobKeeper?

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Did you know that if your business is enrolled for the JobKeeper Payment, you may be able to claim payments for an eligible business participant?

An eligible business participant is an individual who is not an employee of your business, but who is actively engaged in its operation.

For example, they might manage the sale of your business’s goods or exercise control over your business strategy.

To be eligible for JobKeeper payments, the business participant must be an individual who is:

  • a sole trader (and is not bankrupt)
  • a director of a company
  • a shareholder in a company
  • a partner of a partnership (but not through an interposed entity, for example an individual trustee of a trust that is a partner in a partnership)
  • an adult beneficiary of a trust (who is not the trustee).

The individual must also meet other criteria, including having been actively engaged in the business at 1 March 2020.

You can only nominate one eligible business participant, even if several people meet the criteria.

Unlike employees, the key date for assessing business participants’ eligibility is still 1 March 2020.

As of 20 July 2020, approved providers of child care services can’t claim JobKeeper payments for business participants.

The individual must be engaged in the fortnight that the JobKeeper payment is claimed. For instance, if your eligible business participant is on leave, you cannot claim JobKeeper payments for JobKeeper fortnights that fall in that time period.

From builders to pharmacies, medical clinics to dental practices, Notch Above Bookkeeping has your business payroll covered. If you have questions in relation to eligibility and reporting requirements for the JobKeeper Payment scheme call our team on 1300 015 130 for specific advice regarding your business.

Source: Who in your business is eligible for JobKeeper?. (2020). Retrieved from https://www.ato.gov.au/Newsroom/smallbusiness/General/Who-in-your-business-is-eligible-for-JobKeeper-/

insurance broker in meeting

Insurance broker’s bookkeeping now a breeze

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Powered by Notch Above’s Time Saver bookkeeping package

Client-focused insurance professionals who are busy servicing clients have precious other time to focus on their bookkeeping.

According to our client who is an insurance broker, managing her own bookkeeping before handing it over to Notch Above was a very laborious process!

“I would enter my income and expense items onto a manual spreadsheet, which was time-consuming and not always 100 per cent accurate,” she said.

“Payroll was the same each week so paying my two staff members was relatively easy, but when it came to SuperStream and Single Touch Payroll I wasn’t fully across the requirements of how we needed to comply.”

This opened up to her business to potential Fair Work claims and Tax Office fines for non-compliance.

In frustration, she reached out to Notch Above Bookkeeping Consultant Annie Caulfield who assessed her needs and recommended our Time Saver bookkeeping package.

The first thing we did was get Xero Payroll up and running to take care of the compliance requirements for the business. Not only that, but it suddenly became quick and easy to supply each employee with a compliant payslip every fortnight.

“Holiday calculations are now accurate and always up to date so each employee is aware of how much leave they are entitled to,” said Annie.

“Each month income statements are emailed directly to us so we can code up the income monthly when it hits the bank account. This income does need splitting as costs are deducted directly from this with different GST treatments, so it’s essential to get it right so that the GST claim is maximised.”

Enhancements to capture bills and receipts

We also set up Hubdoc for our insurance client. Hubdoc is like an electronic inbox which sits behind Xero where we as bookkeepers can get the information on how to code her expenses correctly, ensuring the maximum claims are made.

Now, as our client spends money or receives a bill to pay, she can either photograph it with the Hubdoc app on her smartphone or email the bill directly to Hubdoc. (Watch more about this feature on our YouTube Channel here »)

This insurance broker now has peace of mind knowing that Notch Above’s bookkeeping processes produce accurate monthly data which is available to her whenever she needs it. It not only helps her in her business decision-making but it also makes for easy end-of-financial-year processing.

To find out more about how Notch Above Bookkeeping can help your professional business, call us on 1300 015 130 or peruse our bookkeeping service packages at notchabove.com.au/services/packages/.

Copyright 2020. Notch Above Bookkeeping Remote Xero Business Bookkeeping @NotchAboveBAS

Xero File Review Service

Xero File Review Service

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Streamline your business with Notch Above

Streamlining is about improving business processes to create efficiency – including operations, automation, planning and strategy.

As a business owner, it’s easy to get caught up in the day-to-day, especially when you’ve got a thousand items on your to-do list!

Streamlining your business, starting with your accounting processes, is a great way to help you save time and more effectively manage your workload.

In a nutshell, streamlining is about improving your business processes to ensure you’re operating as efficiently as possible. This is especially important for businesses with limited resources, where inefficiencies can have a significant impact.

The good news is that, with the right tools and methods, you can streamline your business processes to save time, cut costs and give you the space required to focus on growth.

So, what’s the first step to streamlining your business?

Get started with Notch Above Bookkeeping’s Xero File Review where we deep dive into your Xero file via a one on one online session:

This process will give you the peace of mind that your business accounting data is accurate and therefore providing information that enables you to make informed financial decisions to sustain and push your business forward despite COVID-19.

Using technology to automate laborious or repetitive tasks is one of the biggest time-savers for businesses today. Automation can be used to streamline payments and invoicing to stock management, customer service, accounting and many other functions. In the digital age, businesses need to optimise their workflows to maintain a competitive edge, and automation enables you to do just that.

Likewise, regularly reviewing your people and processes is key to being agile and refining your approach to stay efficient as you grow. This includes monitoring everything from staff numbers and job roles to meetings, communication strategies and operational protocols.

Call the team at Notch Above Bookkeeping on 1300 015 130 to book your session.

1300015130

New 1300 number for Notch Above

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Notch’s new phone number

Still keeping your business a notch above the rest with even easier phone access.

We’re pleased to be able to advise all clients (and potential clients) of Notch Above Bookkeeping of our change in business phone number.

Effective immediately, our new phone number is 1300 015 130.

Kindly delete the old one from your records and replace it with this new one for all your Xero business bookkeeping needs.

It is our privilege to be able to provide cloud-based Xero bookkeeping services and support to small business owners. Taking care of our clients’ needs is always our number one priority so please feel free to contact our team anytime on our new number for assistance on our range of hassle-free bookkeeping packages.

All the Notch Above team looks forward to being of service to you next time we talk.

city lights

Contact your energy retailer to get help in COVID-19

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Small business struggling with power bills as a result of COVID-19 should contact their energy provider as soon as possible to get help.

The Australian Energy Regulator’s (AER) Statement of Expectations 2 is calling on energy retailers to extend their support to small businesses and households until at least the end of October 2020.

AER’s message is simple; they expect retailers to offer small business or residential customers who may be in financial stress a payment plan – even if they can’t afford to pay anything right now.

Any customer who is in contact with their retailer should not be disconnected.

If you are struggling to pay your energy bill help is available. Don’t ignore the problem and hope it will go away. Contact your retailer and agree a payment plan that you feel you can afford.

Preliminary data shows that the average energy debt held by households has increased by about 18 per cent between March 2020 and July 2020. With households and businesses financially struggling, and winter bills on their way, your energy provider can provide a range of support to help manage your bills.

Through the AER Statement of Expectations the AER is asking retailers to help small business and residential customers by:

  • providing information about concessions, rebates and other support
  • offering a payment plan that’s based on their capacity to pay with a no payment window if required
  • not disconnecting anyone who is in contact with them
  • immediately reconnecting anyone who may be disconnected once they make contact and waiving any associated fees
  • not referring them to debt collection agencies for recovery actions or credit default listing.

The COVID-19 pandemic is unpredictable and the situation can turn quickly. Australians who have lost their jobs or income from their business should expect some protection when it comes to an essential service like power.

It is important though that if you can pay your bill, you do pay your bill. A payment deferral is not a waiver and the AER doesn’t want to see customers taking on unnecessary energy debts.

The AER understands, for a whole range of reasons, it can be more difficult for some customers to get in touch. Retailers should make it as easy as possible for people to get in touch and with pro-active strategies to engage with their customers.

The AER recognises many networks and retailers are providing additional assistance to customers and are reaching out to their customers and encouraging them to get help. This needs to continue, particularly through the coming months.

Source: Contact your energy retailer to get help in COVID-19. (2020). Retrieved from https://www.aer.gov.au/news-release/contact-your-energy-retailer-to-get-help-in-covid-19

JobKeeper2020 Notch Above Bookkeeping

JobKeeper is changing

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Here’s what you need to know

Many Australian small businesses say JobKeeper has been a lifesaver in these difficult times, and Xero Small Business Insights data seems to bear that out. So it’s good to hear JobKeeper has been extended, with some notable changes. We’ve tried to capture what’s new with the wage-subsidy program below.

There are some complexities, so we recommend you see your trusted bookkeeper or accountant for the fullest picture, as well as visit the ATO’s JobKeeper extension page.

Eyes on September

If you want the JobKeeper changes summarised in 15 words, the Institute of Certified Bookkeepers has captured them nicely: “Nothing changes before end-September. Then some employers become ineligible, and some receive less.”

You may remember that in your original application for JobKeeper, you had to document a one-time drop in business revenue of at least 30%. It only applied to eligible employees who were with you before 1 March 2020.

After end-September 2020, you’ll need to document an ongoing actual decline of 30% or more. And the decline must be quarterly, whereas at JobKeeper’s launch, you had more flexibility in choosing a period. It will still apply only to eligible employees who were with you before 1 March.

What does this change look like in practice?

For employers to be eligible for JobKeeper payments from 28 September 2020 to 3 January 2021, they must have recorded an actual decline in turnover of 30% or more in both:

  • the quarter ended 30 June 2020 (compared with the same quarter in 2019)
  • the quarter ended 30 September 2020 (compared with the same quarter in 2019)

In the new year, the same pattern holds. To be eligible for JobKeeper payments from 4 January to 28 March 2021, you must have also had an actual decline in turnover of 30% or more in the quarter ending 31 December 2020 compared with the same period in 2019. You can rely on the team at Notch Above Bookkeeping to help you crunch the numbers. And note the ATO does allow for alternative tests.

Smaller subsidy

If you remain eligible for JobKeeper payments after September, you’ll find that the wage subsidy is less generous. The $1,500 flat payment per employee, per fortnight, could drop by more than half. There are no changes to employee eligibility requirements. The changes are as follows.

For eligible employees who work 20 hours or more per week:

  • $1,500 per fortnight payment continues until the fortnight ended 27 September
  • $1,200 per fortnight until 3 January 2021
  • $1,000 per fortnight until 28 March 2021

It remains to be seen whether JobKeeper will extend past March 2021.

For eligible employees who work less than 20 hours per week:

  • $1,500 per fortnight payment continues until the fortnight ended 27 September
  • $750 per fortnight until 3 January 2021
  • $650 per fortnight until 28 March 2021

Remember that as an employer, you must pay your staff before claiming the reimbursement from JobKeeper. So you’ll want to take a close look at your revenue, your payroll and determine how these changes will affect your cash flow. Again, it’s advisable to speak with your bookkeeper or BAS agent to ensure you’re factoring in everything.

From builders to pharmacies, medical clinics to dental practices, Notch Above Bookkeeping has your business payroll covered. If you have questions in relation to eligibility and reporting requirements for the JobKeeper Payment scheme call our team on 1300 015 130 for specific advice regarding your business.

Source: Xero