Welcome to June! The countdown to June 30 is beginning. We can start to wrap up the books for the 2023 Financial Year!

We are here to support you with a comprehensive overview of everything you need to get your business up to date and compliant as we head into the new financial year.

This month there are two key dates you need to note and make sure you don’t miss:

Wednesday 21 June

Lodge and pay May 2023 monthly Activity Statement.

Friday 30 June

Super guarantee contributions must be paid by 30 June 2023 to qualify for a tax deduction in the 2022-23 financial year.

If you receive Child Care Subsidy and Family Tax Benefit payments from Services Australia, you and your partner must lodge your 2021/22 tax return by 30 June 2023, regardless of any deferrals in place.

The Superannuation Guarantee Rate will be increasing from 10.5% to 11% as of 01 July 2023.
The new rate will apply to the first pay run of the 2024 Financial year. 

Superannuation Guarantee is compulsory on Ordinary Time Earnings.
This includes:

• Casual Work and Commissions

• Bonuses

• Leave

Payments that are not Ordinary Time Earnings.
This includes:

• Overtime

• Allowances

Single Touch Payroll (STP) is the way you report your employees tax and super information to the ATO.

Most employers are now reporting through STP. You will need to start reporting if you have not transitioned yet as it is compulsory, unless you have an exemption or a deferral.

STP works by sending tax and super information from your STP-enabled payroll or accounting solution to the ATO when you run your payroll.

Finalise by Friday 14 July 2023 or the last pay run of the financial year. 

We are seeing a continuation of the Fair Work changes that kicked off 2023. The following summary is to keep you on top of your HR compliance obligations.

This alert will highlight the following: 

• Minimum wage increase.
• Changes to Shutdown Provisions.
• Upcoming changes to Secure Jobs, Better Pay
• Training obligations specifically regarding policies and procedures.

The Fair Work Commission has increased the national minimum wage in all modern awards by 5.75 per cent. It will reach $882.80 per week or $23.23 per hour. These increases will take effect from the first full pay period commencing on or after 01 July 2023.

We acknowledge this can be a confronting change for business owners. 

At JH & Co we have been brainstorming ways that we can assist during these times. Inflation has hit businesses hard with a lot of people struggling with rising costs and struggling to keep the doors open. Please do not hesitate to contact us and arrange a meeting so we can assist during these changes. 

In the meantime, please click below for more information. 

Changes to the Fair Work Act have come into effect on 06 June 2023 through the Secure Jobs, Better Pay legislative amendments.

These will include: 

• Changes to agreement making. 

• Increased access to multi employer bargaining through single-interest bargaining,  supported bargaining and cooperative bargaining.

• Changes to extending unpaid parental leave, including giving the Fair Work Commission the power to deal with disputes.

• More employees being able to access flexible working arrangements.

Starting from 01 May, 2023, 78 Awards have implemented updated rules on taking annual leave during a shutdown. Employers cannot require an employee to take unpaid leave without written agreement. A shutdown is when a business temporarily closes, such as Christmas and New Year.

Key considerations when asking your employees to take leave during the shutdown:

• Employers can ask their employees to use their paid annual leave when there is a temporary shutdown.
• Employers must give a written notice of at least 28 days to all affected employees before the shutdown starts.
• The requirement to take annual leave should be fair and reasonable.
• The notice period can be shorter if the employer and most of the affected employees agree.
• If an employee doesn’t have enough paid annual leave for the entire shutdown, they can talk to their employer about other options for the remaining days, like using their saved time off, taking advance annual leave or taking unpaid leave.
• If there are public holidays during the shutdown that they employee would normally work, they will still be paid for those days.

It is critical to have clear and easily understandable policies and procedures that are backed up with meaningful training and education.  

Recent changes introduced by the Respect@Work Bill imposes a responsibility on employers to actively eliminate sex discrimination and harassment in the workplace where the tick and forget does not cut it.

Recent overturned unfair dismissal cases by the Fair Work Commission due to deficiencies in policies and training, have highlighted the importance of having comprehensive policies and effective training programs, and to ensure that your people are aware of the policies in place and their responsibilities.

The end of financial year is one of the biggest times of the year with lots of processes to be completed before heading into the new year or during the month of July.

Here are some tips on what you can look at doing to help with finalising year end:

• Ensure you review and complete your WorkCover declarations for the year ended 30 June 2023, and ensure you do an estimated remuneration into the new financial year.
• Ensure all of your creditors and debtors are entered in your accounting software as of 30 June 2023. 
• Ensure your accounting software is up to date and all bank transactions have been allocated to the correct account. Also ensure you have reconciled all accounts to 30 June 2023. 
• Keep invoices and payment of expenses consistent to previous months and avoid doing anything out of the ordinary to stay compliant.
• If you are planning to purchase an asset (motor vehicle or equipment) ensure it is purchased and ready for use by 30 June 2023 to ensure you can claim a 100% immediate tax deduction.
• Make sure any additional super is paid before 30 June 2023 for tax deduction purposes. You may also want to pay the June quarter super before month end to claim as a tax deduction.
• Once you’ve completed the last pay run for the financial year, you need to report a final to the ATO via STP.
• If you are registered for pay roll tax, complete and lodge your annual reconciliation with the State Revenue Office by 21 July 2023. 
• Keep a neat folder for all invoices and receipts, so they are easily accessible and you don’t misplace anything.
• Destroy any paperwork you’ve digitized securely, if you are legally able to. Some records must be kept for between five and seven years.  If that’s needed, get them in labelled archive boxes and stored safely.

For more tips and regular updates click the button below and join our page.

It’s time to prepare your business records for end of financial year. This includes:

• Stock take – for retail stock and livestock. Accurate stock numbers help achieve the best tax outcome for your business. Ensure this is completed on Friday 30 June 2023 for accuracy. 
• Collate all your paperwork and receipts.
• Get your bank reconciliations up to date.

Are you looking for funding for an event, project, new business, or growing your current business? 

Both Business Victoria and Greater Shepparton City Council have grants open right now – but some have deadlines so act fast if you wish to apply. 

Community Grants Program – Greater Shepparton City Council

The below community grant is currently open and ongoing. 

• New Business Grant

The New Business Grant has been established in order to assist with economic development opportunities and investment in Greater Shepparton. Funding will be provided for infrastructure or initiatives that support the establishment of new businesses in Greater Shepparton. 

Grants and Programs – Business Victoria

The below grants are currently open and ongoing. 

• Business Relief Service

• Small Business Bus

• Workforce skills set fund 

The below grants are currently open but have deadlines.

• Business Groups Flood Recovery Grants – 31 October 2023

• Ready for growth – Closing 01 June 2024

HR Blueprint, our business partner are available to discuss your concerns that these changes are going to have on your business. Reach out to them for a consultation by emailing admin@hrblueprint.com.au

If JH & Co assists with your annual tax return, please be aware checklists will begin going out mid July 2023. 

Call us on 5831 1466 or email admin@jhco.com.au and we’ll organise a time for a confidential chat.