Imagine what you could do with tax savings? You could:

• Reduce your home loan
• Top up your super
• Save for a holiday (when we can travel again)
• Deposit for an Investment Property
• Pay for your children’s education
• Upgrade your car

The most important thing to remember is that there is no point in spending money to get a tax deduction unless it’s going to result in something useful for you.

HOME OFFICE EXPENSES

If you have been working from home, you may have expenses you can claim a tax deduction for. The ATO allows you to claim using a “Revised Fixed Rate Method” an amount of $0.67 per work hour for the 2024 year. This amount covers most expenses from working from home, and you need to keep a detailed record of how you calculated the number of hours you are claiming. You can also claim expenses using an “Actual Cost” method – so please keep all invoice and receipts during the entire year to prove all claims.

SUPERANNUATION CONTRIBUTIONS

While you might not be flush with cash now and able to put large amounts into superannuation, it’s important that you are aware of what is possible to maximise your super balance and possibly reduce your personal tax at the same time.

DEDUCTIBLE SUPER CAP OF $27,500 FOR EVERYONE

The tax-deductible super contribution limit (or “cap”) is $27,500 for all individuals under age 75. Individuals need to pass a work test if over age 67.

To save tax, consider making the maximum tax-deductible super contribution this year before 30 June 2024. The advantage of this strategy is that superannuation contributions are taxed at between 15% to 30% compared to typical personal income tax rates of between 34.5% and 47%.

 CARRIED FORWARD CONTRIBUTIONS

Carry-forward contributions are not a new type of contribution, they are simply new rules that allow super fund members to use any of their unused concessional contributions cap on a rolling basis for five years.

This means if you don’t use the full amount of your concessional contribution cap ($25,000 from 2019 to 2021, and $27,500 for 2021 and 2022), you may qualify to carry-forward the unused amount and take advantage of it up to five years later.

Carry-forward contributions are calculated on a rolling basis over five years, but any amount not used after five years expires. These carry-forward rules only relate to concessional contributions into super, not non-concessional contributions, as they have different caps.

SPOUSE SUPER CONTRIBUTIONS

You can make super contributions on behalf of your spouse (married or de facto), provided you meet eligibility criteria, and your super fund allows it. This is known as contribution splitting.

Doing this not only helps to boost your spouse’s retirement savings, but it can also help you save tax if your spouse has limited income.

You may be eligible for a tax offset of up to $540 on super contributions of up to $3,000 that you make on behalf of your spouse if your spouse’s income is $37,000 p.a. or less.

The offset gradually reduces for income above $37,000 p.a. and completely phases out at $40,000 p.a. and above.

ADDITIONAL TAX ON SUPER CONTRIBUTIONS BY HIGH INCOME EARNERS

The income threshold at which the additional 15% (‘Division 293’) tax is payable on super $250,000 p.a. Where you are required to pay this additional tax, making super contributions within the cap is still a tax effective strategy.

With super contributions taxed at a maximum of 30% and investment earnings in super taxed at a maximum of 15%, both these tax points are more favourable when compared to the highest marginal tax rate of 47% (including the Medicare levy).

17 Ways to Reduce Your Personal Tax

GOVERNMENT CO-CONTRIBUTION TO YOUR SUPER

If you are on a lower income and earn at least 10% of your income from employment or carrying on a business and make a “non-concessional contribution” to super, you may be eligible for a Government co-contribution of up to $500.

In 2024, the maximum co-contribution is available if you contribute $1,000 and earn $43,445 or less. A lower amount may be received if you contribute less than $1,000 and/or earn between $43445 and $58,445.

OWNERSHIP OF INVESTMENTS

A longer-term tax planning strategy can be reviewing the ownership of your investments. Any change of ownership needs to be carefully planned due to capital gains tax and stamp duty implications. Please seek advice from your Accountant prior to making any changes.

Investments may be owned by a Family Trust, which has the key advantage of providing flexibility in distributing income on an annual basis and an ability for up to $416 per year to be distributed to children or grandchildren tax-free.

PROPERTY DEPRECIATION REPORT

If you have an investment property, a Property Depreciation Report (prepared by a Quantity Surveyor) will allow you to claim depreciation and capital works deductions on capital items within the property and on the property itself.

The cost of this report is generally recouped several times over by the tax savings in the first year of property ownership.

MOTOR VEHICLE LOGBOOK

Ensure that you have kept an accurate and complete Motor Vehicle Logbook for at least a 12-week period. The start date for the 12-week period must be on or before 30 June 2025. You should make a record of your odometer reading as at 30 June 2024 and keep all receipts/invoices for your motor vehicle expenses. Once prepared, a logbook can generally be used for a 5-year period.

An alternative (with no logbook needed) is to simply claim up to 5,000 business kilometres (based on a reasonable estimate) using the cents per km method.

SACRIFICE YOUR SALARY TO SUPER

If your annual income is $45,000 or more, salary sacrifice can be a great way to boost your superannuation and pay less tax. By putting pre-tax salary into super rather than having it taxed as normal income at your marginal rate you may save tax. This can be especially beneficial for employees nearing their retirement age.

PREPAY EXPENSES AND INTEREST

Expenses relating to investment activities can be prepaid before 30 June 2024. You can prepay up to 12 months of interest before 30 June on a loan for a property or share investment and claim a tax deduction this financial year. Also, other expenses in relation to your investments can be prepaid before 30 June, including rental property repairs, memberships, subscriptions, and journals.

INSURANCE PREMIUMS

Possibly your greatest financial asset is your ability to earn an income. Income Protection Insurance generally replaces up to 75% of your salary if you are unable to work due to sickness or an accident. The insurance premium is normally tax deductible, plus you get the benefit of protecting your family’s lifestyle if you cannot work due to sickness or an accident. It’s a small price to pay for peace of mind. Like rental property interest, income protection premiums can also be pre-paid for 12 months to increase your deductions.

WORK RELATED EXPENSES

Don’t forget to keep any receipts for work-related expenses such as uniforms, training courses and learning materials, as these may be tax-deductible.

REALISE CAPITAL LOSSES

Tax is normally payable on any capital gains. You should consider selling any non-performing investments you hold before 30 June 2025 to crystallise a capital loss and reduce or even eliminate any potential capital gains tax liability. Unused capital losses can be carried forward to offset future capital gains.

DEFER INVESTMENT INCOME & CAPITAL GAINS

If practical, arrange for the receipt of Investment Income (e.g. interest on term deposits) and the Contract Date for the sale of Capital Gains assets, to occur AFTER 30 June 2024.

The Contract Date (not the Settlement Date) is generally the key date for working out when a sale or purchase occurred.

IMPORTANT INFORMATION IF YOU WANT TO REDUCE YOUR PERSONAL TAX

This is general advice only and does not take into account your financial circumstances, needs and objectives. Before making any decision based on this document, you should assess your own circumstances or seek advice from your financial adviser and seek tax advice from your accountants at Middleton Business Advisers Information is current at the date of issue and may change.

Talk to us TODAY before the 30 June 2026 deadline for assistance to reduce your personal tax!

The post Reduce Your Personal Tax With This 2025 Tax Planning Guide appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Want to reduce your tax and boost your cash flow before 30 June?

Here’s how:

 Instant Asset Write-Off – Deduct assets under $20K
 25% Company Tax Rate – For eligible base rate entities
 Maximise Super Contributions – Up to $27,500
 Prepay Expenses – Rent, subscriptions, interest
 Defer Income / Bring Forward Expenses
 Write Off Bad Debts & Obsolete Stock
 FBT-Exempt Tools – Laptops, phones, software
 Trustee Resolutions – Must be signed before EOFY

Need help with EOFY planning?
Contact Middleton Business Advisers today.

The post Minimise Your Business Tax With This 2025 Tax Planning Guide appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Who needs a director ID

You need a director ID if you’re an eligible officer of:

• a company, registered Australian body, or registered foreign company under the Corporations Act 2001 (Corporations Act)
• an Aboriginal and Torres Strait Islander corporation registered under the Corporations (Aboriginal and Torres Strait Islander) Act 2006 (CATSI Act).

An eligible officer is a person who is appointed as either:

• a director
• an alternate director who is acting in that capacity.

You will only ever need one director ID. You don’t have to apply for another one if you become a director of other companies or corporations.

You must apply for your own director ID to verify your identity. No one can apply on your behalf.

When you need to apply

You can apply for a director ID now.

When you need to apply is determined by when you were first appointed, and under which Act.

If you plan to become a director, you can apply before you’re appointed.

Corporations Act directors

When you must apply for your director ID depends on the date you first become a director.

If you can’t apply by the date you need to, you can complete an Application for an extension of time to apply for a director ID (NAT 75390, PDF 271KB). We are continually working to improve the accessibility of this website and our forms. If you need further assistance, you can contact us.

To be a director under the Corporations Act, you must:

• be an individual who is at least 18 years old
• not be disqualified from managing corporations, unless the appointment is made with the permission of ASIC or the Court.

Notice

Note: If you were already a director on or before 31 October 2021, you have until 30 November 2022 to apply. That’s still the case even if you become a director of another company after 31 October 2021.

CATSI Act directors

When you must apply for your director ID depends on the date you become a director.

To be a director under the CATSI Act, you must:

• be an individual who is at least 18 years old
• be a member of the Aboriginal and Torres Strait Islander corporation and an Aboriginal and Torres Strait Islander person (unless the corporation’s constitution or rule book says otherwise)
• not be disqualified from managing an Aboriginal and Torres Strait Islander corporation, unless the appointment is made with the permission of the Registrar of Aboriginal and Torres Strait Islander Corporations or the Court.

For more information please visit Australian Business Registry Services here.

The post Have You Set Up Your Director ID Yet? appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Whether it’s registering as a limited company, or setting up an accounting system that meets the latest digital requirements, it’s important to get the basics right.

How to tick the right compliance boxes

As a director, it’s your job to make sure your new business meets its regulatory requirements and stays compliant with the latest business and tax laws.

To help you get the basics sorted, here are 5 core areas to consider:

• Become a limited company – becoming incorporated shows you’re serious and limits your liability, separating your personal wealth from your business profits.
• Set up a bank account – as a limited company, you’re legally obliged to set up a bank account in your company name. Use this for all business transactions, and keep the company’s money separate from your personal banking.
• Choose an accounting system – keeping records of your financial transactions is mandatory, and cloud accounting software, like Xero, makes this easy – track all income and spending and give your accountant the data needed to produce accounts.
• Register for business taxes – you’ll qualify to pay corporation tax, and probably goods and services taxes too, so you need to register with your local tax authority.
• Check your other regulatory requirements – depending on your size, turnover and number of employees, there may be other legal requirements you need to factor in.

Talk to us about setting up the right foundations

As you can see, ticking those compliance boxes can get complicated. We’ll help you lighten the compliance load by getting the legal and financial foundations sorted.

Get in touch to see how we can help.

The post Setting up the right legal and financial foundations appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Your business plan is the route map that defines your goals, explains your strategy and gives real direction to the everyday running of the company.

So what should you include in your plan?

5 key elements to include in your business plan

To create a truly robust and meaningful plan:

• Outline your vision – explain WHY you’re in business and how you intend to add value for customers. For example ‘We promote a healthy lifestyle through organic produce’.
• Set out your goals – outline your personal goals as a founder, and your wider strategic goals for the business. Then explain how these key goals are aligned. If your aim is to exit in 10 years, build this into your long-term plan.
• Define your funding and budget – to start trading, you need finance, so outline the investment that’s needed and how you’ll access that funding. Then break down this initial investment pot into clear budgets for each operational area.
• Forecast sales and cashflow – define the profit number you need, then calculate the volume of sales needed to deliver that income – and give a clear breakdown of the cash inflows and outflows needed to achieve positive cashflow.
• Set your timelines for success – set key milestones and give the business some concrete deadlines for meeting the goals, sales and revenues that you’ve projected.

Talk to us about creating a watertight business plan.

We’ll help you define your purpose as a business, and systematically set out how you’ll achieve your aims, giving you the best possible blueprint for success.

Get in touch and let’s start planning.

The post You need a plan for your business appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Keywords: business start-up support WA, ASIC business registration help, tax planning for small businesses WA

Intro:
Starting a business is exciting—but it can also be overwhelming. From choosing the right structure to registering with ASIC, there’s a lot to consider. That’s where we come in.

Body:
Our business start-up support includes:

• Choosing between sole trader, partnership, or company
• Registering your business name and ABN
• Setting up cloud accounting systems
• Tax planning and compliance advice

Whether you’re launching a café, consultancy, or farm-based venture, Middleton Business Advisers provides the tools and guidance to help you succeed.

Conclusion:
Let us help you turn your business idea into reality. Contact our Merredin office for expert start-up support.

The post Starting a Business in WA? Here’s What You Need to Know appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

Keywords: succession planning for farmers WA, estate planning Western Australia, rural business financial advice

Intro:
Succession planning isn’t just about retirement—it’s about protecting your legacy. For farmers and rural business owners in Western Australia, having a clear plan ensures your hard work continues for generations.

Body:
Key elements of succession planning include:

• Identifying successors and roles
• Legal and financial structuring
• Estate planning and asset protection
• Communication with family and stakeholders

At Middleton Business Advisers, we understand the unique challenges of rural businesses. Our advisers work closely with legal professionals to create robust succession and estate plans tailored to your goals.

Conclusion:
Don’t leave your future to chance. Book a consultation with our Merredin-based team and start planning today.

The post Succession Planning for WA Farmers—Why It’s Never Too Early appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.

The dashboard is where you’ll see what’s in your bank account, who’s paid your invoices, and which supplier bills are due for payment – all customisable to show you the important numbers and metrics you need to stay in control of your business accounts.

The hub for your key numbers

Getting to grips with your finances can be confusing. Xero’s approach is to keep everything as simple as possible, giving you the core numbers and key performance indicators (KPIs) you need, while also tracking the accounting and tax information required by your accountant.

When you log into your Xero Dashboard, you’ll see:

• Your Xero direct bank feed– showing your bank account, balance and statement
• Invoices you’ve raised– and when your customers are due to pay you
• Bills you need to settle– and the dates when you need to pay them
• Cash in and out of the business– broken down by month to keep you in control
• Your custom KPIs– tailored to show the important metrics in your dashboard

Find out more about the dashboard in this Xero TV video

Talk to us about getting more from your Xero Dashboard.

If you’d like to customise your Xero Dashboard, we can help you create a bespoke view of your key numbers – and get you in real control of the financial health of your business.

The post Getting to know the Xero Dashboard appeared first on Middleton Business Advisers, Accountants Merredin, Business Advisers Merredin.