As June 30 approaches, many business owners find themselves scrambling to get their financial house in order. But if you’re working with q4 financial, there’s a better way.
EOFY (End of financial year) isn’t just about compliance — it’s about clarity and control. It’s a key opportunity to make smart decisions that can manage your tax, strengthen your business, and set you up for a successful start to the new financial year.
Here are our top recommendations — through an accountant’s lens, with a strategic mindset.
1. Know where you stand — Now, not later
By early June, you should already have a clear picture of your year-to-date profit. That means:
- Your bookkeeping is up to date
- Your accounts are reconciled
- You have a draft profit figure to work with
Without this, you’re flying blind. The best EOFY strategies rely on real data — not guesswork.
What to do now: Your q4 team has likely already been in touch, but if you still have questions, now is the time to clarify.
2. Lock in key tax planning moves
Once you know your projected profit, consider the following to legally reduce your tax:
- Prepay expenses (up to 12 months) for items like rent, insurance, or subscriptions
- Top up superannuation for yourself and your team (and ensure it’s paid before June 30)
- Bring forward any planned purchases of business-critical equipment
- Write off obsolete stock or bad debts
- Finalise trust resolutions and review taxable income across your wider family group
- Use the temporary full expensing threshold (currently capped at $20,000 until 30 June 2025 when it reverts back to $1,000)
Important: Not all deductions are created equal. Spending money purely for a tax deduction doesn’t add up — make decisions aligned with your actual business needs.
3. Get superannuation right
Superannuation is a common trip-up — but also a powerful tool:
- Employee super is only deductible when it’s received by the fund before June 30
- Owner contributions must also be cleared by June 30 to qualify for this year’s deduction
- The concessional contributions cap is now $30,000 per person, with potential catch-up opportunities
If you’re behind on super payments, act now. The ATO penalties are severe, and director liability rules continue to tighten.
4. Review your business structure and tax position
EOFY is a natural checkpoint to assess:
- Is your current structure (company, trust, sole trader, etc.) still the best fit for your goals?
- Are you making the most of income streaming across family groups?
- Are inter-entity loans and trust minutes properly documented?
These aren’t box-ticking exercises — they directly affect tax outcomes, asset protection, and long-term planning.
Our approach at q4: We don’t wait for your tax return to address these. We plan in advance, before June 30, so you can act with confidence.
5. Plan for Dividends, Director Loans & Profit Extraction
If you’ve had a strong year, now’s the time to plan how you’ll extract funds. Consider:
- Salary vs dividends
- Managing Division 7A loans
- Declaring dividends correctly, with all supporting documentation
These are areas the ATO reviews closely — so forward planning is critical.
6. Get EOFY-ready with your team and systems
EOFY isn’t just a job for your accountant. It takes coordination across your business:
- Finalise payroll and review your STP (Single Touch Payroll) reporting
- Schedule any necessary stocktakes
- Lock in annual leave plans for your team
- Make sure your internal finance team or bookkeeper is clear on what’s needed
Clear communication now prevents surprises later.
7. Prepare for a strong start to FY26
Once your tax planning is done, shift your focus forward:
- Set clear budgets and performance targets
- Reassess your pricing, margins, and cost base
- Review team roles, responsibilities, and reporting lines
- Create a monthly dashboard to track performance
This is how you make EOFY a launchpad — not a landing pad.
Final Thought: EOFY shouldn’t be a panic — It should be a strategic checkpoint
EOFY is a chance to:
- Optimise your after-tax position
- Clean up loose ends
- Clarify your financial standing
- Plan for future success
At q4 financial, we don’t just help you meet deadlines — we help you use them to your advantage.
By now, you’ll have heard from us to schedule a time to review your situation. If there’s anything you’re unsure about, or if you have outstanding questions, please don’t hesitate to get in touch — we’re here to support you through every step of EOFY.
