Bookkeeping Blog
Advice and tips for Australian Businesses
COVID-19 CRISIS Do you really want to withdraw your Superannuation early, the Government has allowed early access?
The Government has allowed early release of Superannuation, allowing individuals affected by COVID-19 to access up to $10,000 of their superannuation in 2019-20 and a further $10,000 in 2020-21.
The best thing is, that individuals will not need to pay tax on amounts released and it won’t affect payments such as Centrelink or Veteran Affairs payments. The dates the Government has imposed for the first amount you can apply from mid-April up to before 1st July 2020, the further $10,000 you can access from 1st July 2020 until 24th September 2020, after that it will not be available.
So, there are a couple of requirements though, they are:
- If you are unemployed
- You are eligible to receive a job seeker payment, youth allowance, parenting payment (including those on single and partnered payments) special benefit or farm household allowance.
- Or you have been made redundant
- Your working hours have been reduced more than 20% or more
- If you are a sole trader and your business has either suspended or there was a reduction in your turnover of 20% or more
But is it wise to actually access your superannuation? It really comes down to case by case, but remember, once it’s taken, that $20,000 will take some time to build again into your Superannuation fund, so it’s food for thought.
Maree Punzet
Maree’s Mobile Bookkeeping | Over 20 years Bookkeeping experience | Qualified BAS Agent
M: 0429 363 047
www.mareesmobilebookkeeping.com.au
Information about the Instant Asset Write off and what these changes mean to you
This link is really important, so a good one to read in more detail. But basically, in a nutshell the instant asset write-off threshold has been increased from $30,000 to $150,000 and expanded to include those businesses with an annual turnover of less than $500 million, up from 50 mil. It came into effect from 12 March 2020 until 30 June 2020.
The best way to apply is you need to check your business’s eligibility and ensure you apply the correct threshold amount as stated by the ATO.
Now, if you are totally confused about this or need assistance, then give me a call anytime on 0429 363 047, I’ll definitely be able to help you as I’m getting a number of calls from clients.
Maree Punzet
Maree’s Mobile Bookkeeping
0429 363 047
Qualified BAS agent with over 20 years Bookkeeping experience
www.mareesmobilebookkeeping.com.au
COVID-19 Crisis: Small businesses can defer loan repayments for 6 months
As of Monday 23rd March 2020, banks are allowing small-businesses to defer loan repayments for 6 months
This is a great incentive brought in by the Australian Banking Association and one of necessity.
What that means is due to the COVID-19 virus the banks have allowed small businesses to defer any loan repayments for the next 6 months. This relief package is estimated to apply to $100 billion small business loans, but it will look at putting as much as $8 billion back into the economy.
This lifeline will provide small businesses the option of keeping their doors open to customers and keeping their staff in jobs, which is brilliant.
If you are a small business and have loan repayments, you can contact your bank as from Monday 23rd March to discuss the support package.
Small businesses are the backbone of Australia, due to the serious impact the COVID-19 will have on the economy, not only now but in months down the track, this will certainly bring relief to many small businesses in Australia.
Let me know if you have any questions about anything during this time, I am only a phone call away.
Maree Punzet
Maree’s Mobile Bookkeeping | Over 20 years Bookkeeping experience | Qualified BAS Agent
M: 0429 363 047
www.mareesmobilebookkeeping.com.au
