For many owners, the Business Activity Statement arrives as a quarterly scramble: hunting for receipts, reconciling months of transactions and hoping the GST figure does not come as a shock. It does not have to be that way.
Reconcile little and often
The biggest change you can make is to reconcile your bank accounts in your accounting software weekly or monthly, rather than once a quarter. Small batches are quicker, details are fresh in your mind and errors are easier to spot.
Keep receipts as you go
Use your accounting software’s mobile app or a dedicated folder to capture receipts when you get them. A photo taken at the counter saves a search through the glovebox three months later.
Set money aside for GST
The GST you collect from customers is not yours to spend. Moving a set percentage of each payment into a separate account means the money is there when the BAS is due.
If BAS time regularly hurts your cash flow, the problem is usually a missing habit, not a missing skill.
A simple monthly checklist
- Reconcile all bank and credit card accounts
- Check for unpaid invoices and chase overdue ones
- Make sure all bills and receipts are entered
- Review any unusual transactions while you still remember them
- Top up your GST and tax savings account
Know your dates
Lodgement and payment dates depend on how you lodge and whether you use a registered tax or BAS agent. Check your dates with the ATO or your agent and put them in your calendar with a reminder two weeks ahead.
When to get help
If reconciling feels overwhelming, or you are not sure the figures are right, a bookkeeper or BAS agent can get things back on track and set up a routine that fits your business.
