Minimum Wage to Rise From April 1 ($23.15 per Hour)
Mar 10, 2024
The minimum wage will be rising to $23.15 per hour from 1 April 2024. - a 2% increase from the current hourly rate of $22.70. The Starting-Out and Training minimum wage rates will both increase to $18.52 per hour, remaining at 80% of the adult minimum wage.
It's important to get your ducks in a row before this change comes into effect. This includes:
- Advising your minimum wage team members of the increase
- Checking your payroll systems and processes
- Updating your employment agreements if relevant
- Updating your business budget.
Costs are increasing
In addition to the cost of labour, inflation has put upward pressure on everyday items. That will likely increase your general running costs and the price of materials. Petrol prices are up, for instance, and supply chain issues have driven up the cost of many imported products.
Is it time to review your pricing
Ideally, your business should increase costs by a tiny amount each year, rather than by a big jump every five years, for instance. Small increases help prevent price shocks for customers, and keep your business in line with the rest of the market.
Can you cut costs?
If you don’t think increasing your prices is an option, or you still need to make more of a change, you may need to cut back your spending. We look at your business line by line, so we can help you identify areas where you might be able to trim the fat.
Give us a call on 04 970 1182 today – we’re here to help
The beginning of a new calendar year is an excellent time to review the year just finished, reflecting on what worked, what didn’t, and what changes you'd like to implement. By taking the time to plan, you can ensure that you are on track to achieving your financial goals and are well-prepared for any challenges that may arise. To help make sure you can take advantage of the financial new year, we’ve gathered some goal-setting tips to consider below that are both simple and effective. Your Yearly Business Review - Questions to consider What were the most significant impacts on your business in the last 12 months? How well did you meet the challenges? What worked well last year? What systems, technology, products or services were successful? What accomplishments can you celebrate? What situation, event or experience provided the biggest learning opportunity? What is the biggest challenge or frustration you face as you prepare for the year ahead? What did you most enjoy during the year? Do more of it. What did you least enjoy? Do less of it! Analyse your financial reports. Are you earning what you'd like to? Is the business sustainably profitable? Find your inspiration: It’s always a good idea to start with the bigger picture and ask yourself what it is that you want to achieve through your business. What is it about the business that makes you jump out of bed every morning? Start broad and identify the driving force behind what you do. Is it to create wealth, or to are you planning on building up the business to resell at some point to make a profit? Whatever the reason, knowing the ‘why’ will help you gain clarity on your goals and allow you to start working towards them. Pick something you can measure: Vague goals aren’t as helpful as those you can measure and monitor (SMART Goals). Think about what you already measure in your business and how you’d like to see those metrics change. For example: A 3% increase in net profit year-on-year A 2% reduction in expenses 1 new customer per month Reduce average payment time to under 50 days 4 weeks of holiday during which you don’t go into the office at all Break it down: Once you’re clear on your overarching goal or vision, then start breaking it down into smaller actionable steps. It’s a lot harder to achieve one large goal, and a lot easier making smaller incremental progress. For example, instead of setting yourself a lofty goal of tripling revenue over a number of years, plan out how that might eventuate by breaking it out into a series of smaller, actionable steps. For instance, the first of these steps might be to increase the range of products you sell if you run an ecommerce, or to increase revenue by 20% per quarter. We can help: While there are many metrics you could evaluate to track business performance, we’ve provided just a few ideas to inspire your business planning for a positive start to the year. Whether you're a startup, a growing business, or an established enterprise, our team of knowledgeable accountants and business advisors is here to support and guide you every step of the way. We can help you review your goals and set a plan to accomplish them, propelling your business forward in 2024. Ready to take your business to the next level? Let's make the next financial year your best one yet. If you’d like to chat about what you can do differently this year to enable your business to thrive, book a time with us today at 04 970 1182.
Are you on track to receiving the full annual Government Kiwisaver contribution? A reminder that you have until 30 June 2024 to make sure you have contributed at least $1042.86 into your KiwiSaver account to maximise the Government KiwiSaver Contribution top-up. Every dollar counts! Do you need to make a one-off payment to get yourself over the line? So how does it work? If you’re eligible, the Government will contribute 50 cents for every dollar you contribute to your KiwiSaver account, up to a maximum of $521.43 each year. All you need to do is contribute at least $1,042.86 of your own money between 1 July to 30 June each year. For salary and wage earners, your employer will pay your Kiwisaver contributions on your behalf. However, if you are self-employed, you can set up an automatic payment to your Kiwisaver provider. To be eligible, you must: - be a Kiwisaver member - live in New Zealand - be 18 years old or younger than 65 - make one-off or regular contributions by 30 June each year. More information is available on the Inland Revenue website, which can be accessed by visiting the link below. https://www.ird.govt.nz/.../getting-the-kiwisaver...
Have you accidentally deleted a bill or voided a transaction and now need to retrieve the information? No problem! Just follow the simple steps below, and you'll be able to quickly locate your transaction within a matter of seconds. In the “Business” menu, select “Bills to pay” In the search bar, type the specific invoice details, which may include the company name, amount, or reference. Click on the "Filter" icon on the right-hand side next to "Columns." Under the "Deleted & Voided" section, select "Show" from the drop-down menu and then click on the bill to open it. To retrieve the information, go to the right-hand side of the bill, click on "Bill Options," and then select "Copy." This can now be saved as a new bill
View our May 2024 General Ledger: - 2024 Annual Accounts Questionnaires - Goal-Setting for the New Financial Year: Planning for Success - Inland Revenue Important Notices - New GST Rules Affecting Short-Stay Accommodation Providers - Xero: Classic Invoicing Is Retiring - 2 September 2024 - Xero Tip of the Month: Retrieve Deleted or Voided Bills - Tax Question of the Month: Is Expenditure on Newly Purchased Earthquake-Damaged Rental Property Deductible? - IRD Upcoming Tax Payment Dates https://public2.bomamarketing.com/email/6939
In today’s digital age, where travelers turn to the internet to research, book, and review hotels and motels, having a robust digital marketing strategy is vital for these establishments to stay competitive. By embracing digital marketing, hotels and motels can expand their reach beyond traditional marketing channels and tap into a global audience. This allows them to showcase their unique offerings, highligh amenities, and differentiate themselves from competitors in a crowded marketplace. Moreover, digital marketing enables hotels to target specific customer segments and personalise their marketing efforts. By utilising data-driven insights, hoteliers and moteliers can create tailored campaigns that resonate with their target audience, increasing the chances of conversion and repeat business. Through effective digital marketing strategies, hotels can build brand loyalty, enhance customer engagement, and ultimately drive revenue growth. At All Accounted For, we offer more than just traditional accounting and financial services. Our expertise extends to invaluable business advisory services, including marketing advice and strategies to set you apart from the competition. To learn more about how we can help your business thrive, call us today at 04 970 1182.
Did you know that you can use your accounting data to estimate your business' carbon footprint? While carbon accounting may feel new, the demand for it is quickly increasing, with many businesses throughout New Zealand enjoying the benefits, from cost savings and competitive advantage to enhanced reputation through environmental responsibility. The good news is you don’t have to have all your ducks in a row to get started! Xero simplifies carbon accounting with its selection of excellent apps (carbon calculators) available via the online app store, providing you with a streamlined and transparent way to measure and manage your environmental impact. Simply connect a carbon calculator app to your Xero account, and let it do the hard work for you. Easy! Visit apps.xero.com to explore the carbon apps available in your area. Once you understand your carbon footprint, you can start working on plans to reduce and offset your emissions. Learn how to do this at Xero's #SustainableBusiness hub: https://www.xero.com/us/sustainability/small-business/ ?
In today's highly competitive accommodation industry, hotels and motels face numerous challenges in maintaining profitability and staying ahead of the curve. Fluctuations in demand, seasonal trends, and unexpected events can significantly impact how money flows in and out. Therefore, it has become imperative for hoteliers and moteliers to make informed decisions based on accurate predictions, through the use of effective cashflow management and forecasting strategies. As experts in the accommodation sector, we intimately understand these challenges and can help you develop comprehensive cash flow forecasts that provide a detailed outlook on anticipated revenues and expenses. By analysing historical data, market trends, and industry benchmarks, we can help predict cash flow patterns, allowing hotels to make informed decisions about resource allocation, operational planning, and investment strategies. Our financial insights and expertise also enable us to identify potential areas for cost savings, optimise working capital, and improve overall financial efficiency. Are you ready to take your accommodation business to new heights? Give us a call today on 04 970 1182 and together, let's get your business firing on all cylinders.
For a website to succeed in growing your business, it must not only attract people to your site but also excel at retaining those visitors once they land and begin exploring. Your website serves as the heart of your outreach, where you guide people to learn more about your business, schedule an appointment, sign up for your webinar, purchase your products, and more. Curious about how your website compares to your competition? Digital Boost offers a FREE diagnostic tool called Checkable, which evaluates your website's performance and identifies small changes that can make a big difference. Digital Boost is a Government-funded initiative that's free for Kiwi small businesses. If you haven't already signed up, check it out at https://digitalboost.business.govt.nz/
In the unpredictable world of startups, maintaining a cash surplus can be a lifesaver. It provides a safety net in case sales don’t meet expectations or unexpected expenses arise. Aside from providing security, surplus cash also paves the way for expansion opportunities, handling large bills, or purchasing essential equipment. While injecting personal capital or taking out a loan can aid in creating a cash surplus, let’s explore some other effective strategies for improving cash flow in your startup. Streamlining operations: Before dipping into external funds, consider if there are ways to free up cash internally. A few potential approaches include: Encouraging customers to make early payments by offering discounts or facilitating immediate payment options such as online or mobile payments. Consider selling rarely used assets and renting the equipment as needed. Reducing personal drawings from the business during periods of slow revenue growth. Inventory management can also tie up significant amounts of your cash. Improve your cash flow by: Implementing ‘just in time’ inventory practices to reduce stockpiling. Discontinuing slow-moving items and holding sales to clear obsolete inventory. Regularly reviewing inventory levels and turnover rates to ensure you’re stocking only what’s necessary. Credit management: Rather than letting cash be tied up in accounts receivable, consider not offering credit, or accepting credit card payments to improve cash flow. For long-term projects, consider invoicing for periodic progress payments. This ensures a steady cash flow throughout the project instead of waiting for the end to invoice. Price adjustments: A straightforward method for enhancing cash flow is price increases. Evaluate where you can increase prices without dampening demand. Encouraging prepayments: Request customers to prepay or pay a deposit, especially for large contracts. A consistent payment system, like monthly payments or a subscription model, can also spread out cash flow evenly. Supplier negotiations: Negotiating beneficial terms with suppliers, such as consignment or extended payment terms, can free up your cash. If you’re in a tight spot, consider returning goods to suppliers for a credit. Operational improvements: Creating better cash flow may also involve: Implementing stricter credit control and debt collection procedures. Sourcing less expensive materials or supplies. Identifying and curtailing rising expenses. Focusing on high margin work and saying no to low margin projects. Conducting market research to identify challenges and taking appropriate action. Regular Savings Set up regular contributions into a business savings account, such as a percentage of sales every month or surplus profit each quarter. Make sure the savings won’t impact your business operations. Every business has the potential to find extra cash in different areas, if you can get creative and make some cuts where needed. And even if you still need a business loan, it might not be as much as you thought if you can find other ways to generate some cash surplus. Uncertain about managing your startup’s finances? We are here to guide you. Contact us to schedule a consultation and let’s unlock the financial potential of your business.
