The end of the financial year is here, but we have some good news for you. We talked to our favorite tradie accountant, Jimmy Clyne from Melbourne-based accounting firm Clyne Partners, to get his take on how tradies can make the most of the recent 21-22 federal budget announcement.
Here are Jimmy’s top 3 tips for taking advantage of the budget announcements as the end of the financial year looms. For more information on the budget, read Budget 21-22: What does it mean for tradies?
#1: Check your payslip.
There’s going to be a tax cut for earners under $90,000. Make sure to check out your payslip if this applies to you.
#2: Know what you can write-off.
The government has extended the immediate asset write-off in hopes that this will stimulate the economy. That means that if you’re planning on buying tools or equipment for work, you can get an instant write-off. Just make sure that it’s only for work purchases and know what the limits are — especially when related to luxury cars.
#3: Make sure you know how Homebuilder will affect your future business.
Be knowledgeable about how the extension of the Homebuilder scheme could affect your customers in 6 or 12 months. Trades could be extremely busy over the next year due to the scheme and you might want to plan accordingly.
