CASH FLOW – 2 Dirty, Four-Letter Words.

CASH FLOW – 2 Dirty, Four-Letter Words.

Why everyone should have a “stash account” and how to use it!

It’s still the most sweat-generating issue that prevents business owners

from sleeping at night.

‘Always was an issue and always will be’.

The question is…

How do I rest easy knowing that my obligations

are catered for when it comes to ….

  • GST

  • PAYG

  • Super

The magic pill is DISCIPLINE and PROCEDURE.

DISCIPLINE: To stash money aside that IS NOT YOURS

PROCEDURE: Set up a routine that automatically

transfers these monies to your reserve account.

Of course, bills appear to be easier to manage

because we all grew up hearing talk around the dinner table around managing bills

and we, well, we just DO IT! Don’t we?

But GST, PAYG, Super and other similar obligations seem to “stump” us.

Let’s assume, for now, you have your normal bills under control.

Time to get down and dirty on the hidden figures that sneak up on you, like GST, PAYG & Super.

Read on about Cash Flow Tactics.

1 Run these reports

Bank Reconciliation – Check that it balances with the original bank statement via your banks software

GST Summary Report for the month

Payroll Activity Summary Report for the month

From these reports, you should get your figures for

  • GST

  • PAYG

  • Super

Put them into a spreadsheet like this each month

Your spreadsheet might look like this.

Put aside the money into a ”Stash” account and forget about it.

It’s not yours.

Also, create a “bill” for these liabilities monthly, so they show up on your creditors list. Then you'll never forget them.

That's it my friends!

For further help, call us and we’ll talk you through the process. Ph 0400 880 886

Alternatively, we do this monthly for some of our clients, so they can sleep easy about keeping a track of their external financial obligations.

PS Always create your "bill' AFTER the bank reconciliation has been completed for the period.

That's all folks!

4 views0 comments

Recent Posts

See All

© 2021 Soft Options Pty Ltd 

ACN 637623520

T/A Soft Options Business Services

Level 1, 181 Bay St Brighton Vic 3186 Brighton Melbourne Victoria Australia