Why STP is an opportunity for your small business
Never waste a crisis! Being forced to make STP lodgements may turn out to be a blessing in disguise.
Upgrade your systems and run your business more efficiently. Moving to a cloud system like Xero will let you take advantage of bank feeds which will save time, prevent typos and speed up processing with rules and machine learning. Integrating other business apps will minimise double handling of data and could streamline your business processes.
Cloud apps can be used on any device, anywhere! The cloud will free you from your desk – for some small business owners, this will make holidays possible for the first time in ages.
Moving our clients to Xero allows us to provide support remotely, so little issues can be sorted out straight away.
Are you paying staff correctly? Using an app to calculate wages may alert you to issues with your calculations and make it much easier to calculate termination payments. Apps like Xero will create compliant payslips and the employee portal will allow staff to download them whenever they like.
Are you taxing correctly? Are you using the latest tax scales? Xero will automatically apply the correct years scale based on the payment date.
Not sure of leave balances? Setting up leave types mean leave will accrue as you process each payrun, which will allow you to track leave balances and respond to staff questions straight away.
Increase the value of your business – make it saleable. Setting up systems and having them documented would allow someone else to buy your business and walk straight in. Antiquated systems are unlikely to be attractive to a buyer. Being able to sell your business could make a big difference to your retirement!
STP may be a wonderful opportunity to modernise your business, don’t wait til the last moment – get your research started now so you are setup and ready to move on 1st July.
Don’t forget that getting proper advice from qualified experts upfront will most likely save you time, money and effort in the long run.
Here’s a link to the ATO for the official word on STP
https://www.ato.gov.au/business/single-touch-payroll/
Having said all of that, if you are part of our crew – don’t opt in yet!
(We need special authority and we don’t have all the details just yet)
