As 30 June approaches, it is important to review your financial position and complete any actions required before the end of the financial year.
EOFY planning is not simply about meeting deadlines. It is an opportunity to confirm your records are accurate, review your tax position, consider timing opportunities and prepare for the year ahead with greater clarity.
This year, planning may require additional attention due to recent Federal Budget announcements and upcoming changes such as Payday Super.
Review your income, expenses and records
A practical first step is to ensure your records are complete and up to date.
This includes issuing invoices for work completed before 30 June, entering supplier invoices where goods or services have been received, and ensuring bank reconciliations are current.
Accurate records provide the foundation for meaningful tax planning. Without a clear view of your current position, it is difficult to make informed decisions about deductions, income timing, cash flow or future obligations.
Superannuation contributions
Superannuation is one of the most important areas to review before 30 June.
To be deductible in the 2025-26 financial year, employer superannuation contributions must be paid and received by the relevant super fund before 30 June. It is not enough for the payment to simply be initiated by that date.
Employers should also reconcile superannuation accrued in payroll against payments made to super funds to ensure obligations have been met.
This is particularly important this year because Payday Super commences from 1 July 2026. From that date, employers will be required to pay superannuation at the same time as wages, rather than following the current quarterly payment cycle.
While the overall cost of superannuation does not change, the timing of payments will. Businesses should ensure payroll systems and cash flow planning are ready for the new requirements.
Trust distributions
If your business or investment structure includes a discretionary trust, trustee resolutions must be prepared and documented before 30 June.
These resolutions determine how trust income will be distributed for the financial year. Failing to prepare them correctly and on time can lead to unintended tax outcomes.
Given the Budget announcements relating to trust distributions, this is also an appropriate time to review whether your current structure remains suitable for future years.
Asset purchases and timing
Businesses may also wish to review any planned asset purchases before year-end.
The timing of purchasing and installing assets can affect when deductions are available. However, asset decisions should be made based on commercial need, cash flow and broader tax planning, rather than tax outcomes alone.
If you are considering a significant purchase, it is worth seeking advice before proceeding.
Review performance and plan ahead
EOFY is also a useful time to review actual performance against budget and begin planning for the next 12 months.
This may include looking at:
- revenue and margin trends
- cash flow performance
- debtors and creditors
- staffing costs
- upcoming tax and superannuation obligations
- expected changes in business activity
A clear understanding of the year just completed can help guide better decisions for the year ahead.
Use the Pre-30 June Checklist
Our updated Pre-30 June Checklist is available to help you work through the key areas that may require attention before year-end.
Not every item will apply to every business, but the checklist is a useful prompt to ensure important matters are not missed.
If you are unsure what applies to your circumstances, or if you would like assistance working through your year-end position, please contact our team.
