Category: Accounting

How can tax be a great outcome? Living in Australia is great and knowing the tax system timing helps all businesses large and small operate a cashflow plan smoothly without worrying about one or the other. Smooth out timing to win.

By having a chat with a tax agent, you gain access to the timing of all. Once you have the timing, then put that in your cashflow plan to help save for the expensive times and earn a little extra money along the way.

No cashflow plan? Ok, here are some of the key items to draft one up.

Cashflow plan

History helps define your future income, but unless you are on wages or a constant contract it can be a bit tough to work out. Constant contracts are a good heading starting point. Make a brief series of headings down the left of a page that describe your key income areas. Like Constant contracts or Referrals, Advertising sales etc.

Write the months of income across the top of the page. Next comes the tough bit.

Tough bit

Own your expenditure. Did you know this section also reveals your attitudes and spending towards sustainability, biodiversity, investment in plant and equipment to run your business, renewables, employee spending and investment in your community.

Who would have thought expenditure reveals so much about a business. Why does this matter? Selling your business once you have built it up, or handing it on to your children? Succession planning is something to put in every annual cashflow plan. Not only does insurance spending reveal your risk coverage. Future purchasers or planners are always keen to see how profitable a business is.

Objective summary

This cashflow plan segment wraps it all together neatly. Income less expenditure equals your cashflow during the month. Add another line for how much is owed to you and how much do you owe. By understanding your cashflow plan, when you look at your accounting reports, they will show you ways to adjust your business and widen a smile.

Planning has great outcomes, including tax planning. Give it a go!

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Capital budgeting core is to evaluate the feasibility of a new long-term use of an idea. Future plans involve actual and perception costs.

Accountants listen carefully to the many inputs to begin capital budgeting. That capital budget plan is founded in the seeds of an idea from research and development activity in a business. The activity may or may not be formalised. Nimble responses to market development can make or break a small business.

When a plan of any idea is developed, it always is best to include the accountants at the beginning. Why? Investment is not always about profitability margin. Sure, that is very important in business. So is community perception which drives the purchasing of the idea.

Accountants not only will apply costs of developing an idea. They will apply contingency cost to the unexpected consequence of an idea that simply is not a great fit to the community perception. In the keenness to get a launch up and running and ahead of the opposition, lack of a fully costed plan is akin leads to many unintended outcomes.

Give creating a plan with accountants a go, you never know!

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Capital budgeting, careful purchasing, and single-source dependency risks shape business success.

Purchasing for the future. Capital budgeting offers an objective view into the inputs of running a business. Reducing expenditure on asset maintenance or replacement is an early flag of the loss of culture and depletion.

Raw inputs fail under degradation conditions. It is essential to choose critical purchases carefully. Cultural change to hide degradation below the surface carries high failover risks.
Professional accountants are highly experienced and understand planned obsolescence.

The weaknesses bring a different valuation to the future of the whole business model.
When markets innovate to suit a new concept, supplier pressure arrives. Single-source dependency leads to rising costs from many points as the end game must maintain its inputs to prevent failover.

Socially savvy businesses measure social costs as an effective means of gaining more sales at the risk of using a weak capital item and running the risk of exposure in the ESG report.

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

High-risk safety activity and high insurance premiums are an unavoidable correlation. Self-insuring is a strategy when a set sum of money provides for the eventuality. Fun in the workplace is an expensive element for investors, owners and management. This element is taken seriously for safety and fun to coexist.

Providing health treatment is a costly medical debt risk. Unexpected pain points arrive when the gap between insurance benefits and medical debt widens. Professional accountants understand the factors behind different expense elements, insurance types to calculate your business inputs.

The continuous monitoring of business risk and its associated cost elements. Enables margins and sales to be maintained. That is a massive benefit to businesses continuously operating in the inexperienced workforce sectors.

Self-reliance is a calculated gamble based on many factors in business and community cultural attitudes, which can affect policy adherence to operating production.

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Disease, obsolete or tainted stock sourced from workplace practices is avoidable. A good ESG policy when deployed throughout the business combines all aspects of accounting for slow and obsolete stock with advertising and sales campaigns.

Reducing taints is a training cost that is readily shareable by knowledge transfer. Accounting for obsolescence is a speciality that professional accountants utilise. Various techniques to value inventory to benefit the business and community are available.

Source training for procurement staff is another educational technique that rapidly eliminates the issue. Treating obsolescence and taints has an expansive community cost as the source is identified and progressively halted. Sharing the story of taint reduction in its various forms in ESG reporting is a supportable measurement of interest to investors and management alike.

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Downtime is the silent killer of margin. Professional accountants help businesses by calculating the full circle of sales with financial models, including the hidden absence costs.

Pre-production development valuing early intervention into leave issues effectively reduces the length and severity of absence. Flow on benefits from this approach provides calculations to reduce premium impacts by reducing claims.

A systematic approach to duration testing provides an economic advantage in financial and medical day reviews. A carry-on approach at all times is costly when the staff takes leave later.

Health and time management education remains essential in maintaining healthy production and final product sales.

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Budgeting for costs each quarter is enabled when the business is divided and designated.
Designating cost review areas within a business footprint changes when new technology is introduced to the business, advertising claims or a change in workflow is triggered. A business occupies many footprints, and all its costs contribute to the business sales. When a change crosses an invisible demarcation line, value reassessment for the new flows highlights completeness.

Budgeting is a profitable task, as it is a valuable measurement that crosses many reporting and sales zones. Professional accountants are highly skilled within a business footprint and processes.
By measuring all consumer, energy, technology, maintenance, and new capital inputs, we provide comprehensive social (ESG) measurements. This thorough approach can be viewed favourably (or not) by all who interact with the new footprint, instilling confidence in business management.

Are you enjoying our short cartoons? You can help us to pay it forward by grabbing yours to add a touch of irony or humour to your next toolbox or in-house sensitive or complex topic. We sourced ours from The Masked Comic.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

A common budgeting misstep that needs attention is overlooking training planning for task education and knowledge updates in each quarter of expenses.
When time budgeting constitutes a crisis, safety and focus join the critical drivers. Emphasizing these aspects will instil a sense of security and direction, helping your team navigate crises effectively.
Natural stresses accompany all tasks, but tangible actions, when taken, help a workforce adapt to changing conditions. Those adaptions keep everything on track—safety, costs and sales.
The tipping point of budgeting missteps is when connecting with ourselves takes a back seat.
Professional accountants help build models that consider known and future values. Managing cash flow and margin interruptions from costly time and effort errors is integrated.
Collaboration between tasks enables realistic self-reliance and diversity of understanding.

We grabbed our image to help deliver this explanation from https://www.do2c.com.au for a touch of irony.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.

Training costs against hiring expenses. Weighing this business growth means creating a space for education. Education creates a unique business point of difference that affects all operations.

Accounting for training is a budget item often trimmed or overlooked in a growing business. After all, every business wants its staff to know what they are doing, right? Who is responsible for keeping them up to date? Should they be accountable for their training?

The answers to these questions depend on the industry and the amount of speciality within your business. Suppose your business/machines are unique and highly specialised. Those skills you teach your staff are valuable to you but less valuable to them than to demonstrate to new employers that they are good learners.

Putting a cost value on staff training becomes a decision between the cost of constantly training new staff or rewarding loyal workers. Knowledge sharing in the fledgling period triggers future experience advantages for measurement—both approaches reward. Accountants, when assembling a budget, review all spaces and inputs. These calculate a whole business effect, which is shown in the reporting. E. G an ESG model. This technical report to investors, which a professional accountant creates, looks at the business’s future potential.

Learning and quickly applying the business owner’s approach to staff training will reveal which growth paths lead to profitable outcomes.

We grabbed our image to help deliver this explanation from https://www.do2c.com.au for a touch of irony.

We hope you’re enjoying our Illum jottings, just a note though. The information provided here is intended for general informational and educational purposes only. While we aim for accuracy, we can’t guarantee that this content will apply to your specific situation—everyone’s circumstances are unique.

Illum’s is not a substitute for personalized advice from a qualified accountant, tax advisor, or any other professional. If you have questions specific to your individual circumstances, we strongly recommend consulting a professional for tailored advice.