When I first moved out of my parent's home, I was so excited. I had a lovely flat and a great job, but I quickly realised I knew nothing about the financial world. I'm not talking about stock investing or anything like that, but I am talking about finance basics. So, this is why I have created my blog. I want to teach others about budgeting, different types of bank accounts, savings and personal loans. Finance does not have to be boring, especially when you get something you want at the end of it. So, if you desire a brand new car or a trip overseas, these blog posts will help you manage your money, so you reach that goal sooner rather than later.
If cash flow is tight at your Australian business, bringing on an accountant may seem counterintuitive. However, skilled business accountants can actually save your company significant amounts of money each year through strategic planning and diligent oversight. Do not write off professional accounting as an unnecessary expense—it can provide positive ROI if you choose the right accountant.
Here are four key ways that business accountants can save your Australian company money this year.
1. Identify Tax Deductions You Are Missing
The Australian tax code contains loads of potential deductions, credits and incentives for businesses. But if you do not know they exist, you can't take advantage of them. An accountant with expertise in Australian business taxes can uncover deductions you are currently missing out on and ensure you maximally benefit from tax relief measures. This alone could save thousands in unnecessary tax payments.
2. Lower Your Tax Liability Legally
In addition to deductions, your accountant can advise legal ways to structure your business finances to minimise your annual tax liability. This may involve choosing certain accounting methods, optimising expense timing, setting up a separate legal entity or income splitting. Your accountant can also file extensions or amended returns to recover overpayments from prior years. All of these tactics can lower your tax bill.
3. Negotiate Better Rates and Payment Terms
From insurance policies to supplier contracts, a good accountant can help negotiate better rates and payment terms that improve your cash flow. They know what terms are typical for your industry and where you may have room to push for better deals. Over time, the savings add up from improved agreements your accountant helped secure.
4. Get Better Insights From Financial Data
With their analytical skills and financial acumen, accountants can derive valuable insights from your company's existing data. By creating insightful reports, forecasts and models, they can identify cost-saving opportunities you may have previously missed. An accountant can also set up metrics and dashboards that enable smarter business decisions that cut costs.
The key is finding an accountant experienced with Australian business taxes, regulations and finance. They should take the time to understand your business operations and needs. With the right accountant partner, you can tap into specialised expertise that more than covers their fees through the money they can save your overall organisation. Do not underestimate the potential value business accountants can provide your Australian business this year.
Share22 August 2023
