Outsourced Bookkeeping Services – BBW Business Services

Outsourcing bookkeeping facilitate business owner’s to work on their core expertise. Outsourcing bookkeeping services includes Accounts receivable and payable, Bank reconciliation, Online Payments, Debtor Management, Business Reports, Budgeting and Payroll.

The main advantage of Outsourced Bookkeeping Services can be summarize as below:

1 Saving money: If you want to save your money for paying full-time and part time wages then Outsourcing bookkeeping is the best solution. Many times productivity of an employee decreased after certain period but when it comes to outsourced bookkeeping the productivity is ensured and target is achieved within the time limit. Thus by outsourcing bookkeeping, you have to pay only for what you need nothing more.
2 More time: Back-end office functions may prove to be a heavy distraction from the day-to-day running of things; also in-house bookkeeping can lead to a conflict of interests. To free up the valuable time that can be utilized in many business activity for betterment and growth you should hire outsourced bookkeeping services.
3 Expertise on your side: When you handover your books into the hands of a highly skilled staff who understand the best practices and how to properly staff for certain tasks, your job becomes a whole lot easier and effective. So outsourcing gives you a great way to have full-time knowledge of your team without having to pay wages for it around the clock.
4 Team staff versus individual: Outsourcing your bookkeeping services means you are placing your financial records in the hands of a staff that thrives on teamwork. Unfortunately, one bookkeeper is often not skillful to find every subtle nuance that can give benefit to your company. In outsourced bookkeeping, you have a team of workers and managers who check and double check each other’s work that ensures you to receive the best services.
5 Access to top systems: There are several benefits of outsource bookkeeping like more access to the top tools in the industry. Most businesses organizations cannot afford paying for the extremely expensive bookkeeping services. They also cannot afford to spend much time in keeping up with changing laws and regulations. By outsourcing bookkeeping you get free from all those complex and expensive services at a very reasonable and reliable team.

BBW Business Services is a Leader in financial outsourcing services and bookkeeping in the world. Along with services mentioned above the company is highly trained in various business and financial disciplines. Their professional insight provides professional and executive clients with excellent options. From personal tax strategies to business structure to project management. The company is direct to Businesses and Accountants & known for its service commitment in terms of low-cost, reliable and efficient outsourcing services. Bookkeeping services can be availed by this company at a expense of almost half to that of internal staff's salary.
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Best Accountants in Australia (Melbourne, Brisbane and Sydney)

If you are running a Business firm, an accountant will help you understand the necessary paperwork, and will aid in organizing all of the necessary documentation. Accounting services not only helps you maximize your money to create multiple income streams but also improve tax-effectiveness & protect your assets. BBW Business Services have well qualified team of experienced accounting professionals for you at low prices which increase cash flow & profit. The skilled team is specialized in the provision of financial accounting services for reporting and non-reporting entities, completing accounts to A-IFRS standards. BBW Business Services focuses on steering your business closer to your financial goals through accurate record keeping and reporting. The accounting outsourcing services provided BBW Business Services are as follow:

1. Outsourced Financial accounting
2. Outsourced Management Accounting
3. Outsourced Not for Profit Accounting
4. Tax Accounts
5. Management Accounts
6. A-IFRS Accounts – Reporting and Non-Reporting
7. Development of Key Performance Indicators and benchmarking tools
8. Ensuring all of your statutory external reporting obligations are fulfilled

What makes BBW Business Services different from other?

Low Cost Accounting Services with an experienced accounting staff is what make BBW Business Services different. At BBW we ensure that full reconciliation and work-papers are provided at all times and all work is reviewed and signed off by two levels of qualified accounting staff to ensure the accuracy of the accounts and correct interpretation of information provided.

Falling Aussie Dollar Outlook Lifts Manufacturers’Spirits

GROWING expectations of a further sharp fall in the Australian dollar to as low as US70c are bringing a smile to the nation’s manufacturers, and could help plug the federal government’s haemorrhaging bottom line.

The Commonwealth Bank has slashed its outlook over the next two years, forecasting the dollar to sink to US73c by June next year before rising to US78c the following March.

“The dollar decline is a Christmas bonus for dollar-¬exposed ¬industries such as manufacturing and tourism who are now ¬enjoying the dollar at its lowest level since June 2010, or for some 4½ years,” said Ai Group chief executive Innes Willox.

From its 2014 peak of above US95c, the local currency fell as low as US81.35c this week. The local currency has been victim to an improving economic outlook in the US and in particular sharp falls in the price of Australia’s key exports of iron ore and coal.

“The economic ramification of a decline in Australia’s terms of trade is a contraction in our real domestic income growth, and a somewhat weaker Australian economy,” said Richard Grace, Commonwealth Bank’s chief currency strategist.

The Reserve Bank has called for a lower Australian dollar to help boost Australia’s non--resource exports and make local holidays more appealing. This month, governor Glenn Stevens indicated US75c would be a beneficial level for the economy.

“The lower dollar will also help Australia’s fiscal position by raising the Australian dollar-value of exports and in so doing offset lower commodity prices to some extent,” Mr Willox said.

The government’s updated budget forecasts are predicated on a US84c exchange rate, down from a US93c assumption in the May budget.

Every 1 per cent fall to the trade-weighted index, which measures the Australian dollar against a basket of key currencies, boosted the budget bottom line by $500 million a year, said Chris Richardson, a partner at Deloitte Access Economics.

The US dollar makes up about 10 per cent of Australia’s TWI, which has fallen from about 72 in June to just below 66 yesterday, but they are highly correlated. A fall of US10c in the dollar, as projected by CBA, could improve the government’s budget position up to $5 billion a year as Australian companies’ foreign profits and company tax payments increase in value.

“But the falling dollar does not give instant gratification to some producers, including the many manufacturers who adjusted their business models to protect themselves from the high dollar, such as by importing components,” Mr Willox added.

Separately, the government’s monthly financial statements showed the cash deficit was $24.8bn for the first five months of the financial year.

In May, the government forecast a $29bn deficit for this whole financial year, but now expects a $40.4bn deficit.

Since the dollar was floated in 1983, it has averaged a value of US76c.

This news story is reprinted from www.theaustralian.com.au

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What is Payroll Services

A company constitute of CEO, Managers, Team-leader and workers. The all get different salary and wages for their jobs. The sum of all financial records of salaries for an employee, wages, bonuses and deductions is called payroll. In accounting, payroll refers to the amount paid to employees for services they provided during a certain period of time. When an account is established, the employer simply provides the payroll service with a list of all employees, the hours they worked, and any variances like bonus and appraisal. This data is then processed and the funds are transferred from the employer's bank to the payroll service's account.

The overview for running payroll can be understood as below:

• Calculating Wages: Every employee get different salary as per their work and designation. When it comes to calculating wages, the employer must identify if the person they're hiring is considered an employee or an independent contractor because each kind fall under different rules. The employer may have to pay back employment taxes if such is identified incorrectly. Employers must then calculate the correct taxes on compensation, which can include everything from regular pay, overtime, vacation and sick pay to commissions, bonuses, and benefits, as well as worker's compensation.

• Paying Payroll Taxes: Every employer must have to pay payroll taxes to the federal government for each employee. Confusion may create if not properly understood the rules, due dates, and requirements of each tax for different case.

• Outsourcing Payroll: As payroll is a complex process to run, one doesn't want to take the time and/or energy to learn all the complexities of running a payroll, on that occasion outsourcing payroll company is a good solution. By Handing over all payroll duties to an accountant who is trained in that matter can take a load off a business owner's shoulders. They're specifically trained to handle the task, so hiring one frees up the employer to concentrate on more important aspects of the company

Payroll Outsourcing

Payroll outsourcing company service provider have responsibility for computing payroll and associated taxes, prints and distributes checks, and generates reports. The company can also establish direct deposit for employees, file your payroll taxes, issue Forms W-2, deduct workers' 401(k) contributions, and track employee benefits.

Advantage of Payroll services.

• Save considerable time, which may be utilizes in various activity to focus the growth of company

• Cost savings: By outsourcing, you can spend time that would otherwise be consumed by these tasks on profit-generating activities.

• Improved security: Most payroll providers offer secure systems for sensitive employee and company data. They employ redundant backup systems, multiple server locations, and the latest technology to protect client data.

• Regulatory compliance: It is a challenging job to keep up with payroll laws. But when you hire outsourcing services you can stay relax since Payroll providers know payroll backward and forward

Why Is The Cost Of GST Compliance So Much More In Australia

The cost of GST compliance is 50% higher in Australia as compared to neighbouring countries. The total cost of Australian GST compliance contributes around 58% of the total compliance cost for small businesses in Australia. Whereas, it costs around 40% to small businesses in South Africa, Britain and Canada. It has been often discussed that the revenue earned through GST can be utilised in community service. Businesses often play the role of ‘unpaid tax collectors’ in case of GST collection. Every year, small businesses pay a cost of around $11950 for collection of GST. According to Mr. Stacey, further changes into Australian tax policy should be able to minimise the cost of GST compliance.

A possible reason of this higher cost could be the fussy process where Australians need to provide details of their PAYG and other details in one single form. The GST limit is also higher in various sectors in Australia. Whereas, other jurisdictions show less expenditure to small businesses in every sector. The whole system of tax collection and tax policy needs to be taken care of in case of Australian small business. These insights were brought out by a research that was funded by Australian taxation office. In future, such research will help in forecasting and revolutionising GST compliance in Australian taxation system.

Tax Rate Uninvestable Rio Tinto

A top mining executive has warned the industry's global competitiveness is at stake amid claims it should pay more tax, as a new survey shows the combined tax take on resources companies surged towards 50 per cent in 2012-13.

The tax take on the mining industry – company tax and royalties – jumped to 47.1 per cent of pre-royalty profits in 2012-13, the highest in the six years covered by the survey. It was 43.2 per cent the previous year.

The take is heading higher because minerals price plunges and state royalty hikes have continued since 2013, predict the survey authors, the Minerals Council of Australia and Deloitte Access Economics.

Phil Edmands, managing director of Rio Tinto Australia, said corporations and miners especially were "usual -suspects" in the quest by governments for more revenues to plug stubborn budget deficits.

"But really, you do need to ask the question, 'what is a reasonable amount of tax to pay and what is competitive'?" he said. "You can't ultimately degrade the competitiveness of the country simply by taxing more and more because there is some profit left."

Mr Edmands said the total tax take found by the rate was in line with Rio Tinto's global tax rate in 2012-13, while the company's tax take in Australia – where it pays the vast bulk of its taxes – would have been a little bit higher.

He said this was a fair amount of tax but it was high relative to competitors, and any further increases would handicap Australian miners in the global battle for investment capital.

"That is fair and that is reasonable, and given that it is actually high ¬compared to competitors, there's not really scope for increased taxation," Mr Edmands told Fairfax Media.
The 47.1 per cent tax take found by the latest minerals industry tax survey for 2012-13 includes corporation taxes and state royalties. It compares with an average 42.5 per cent rate over the six years since 2007-08 and a low of 39.8 per cent in 2010-11, the year ¬industry profits peaked.

The survey of 24 companies covering about 84 per cent of mining income does not include the mining tax and carbon tax. These were enacted by Julia Gillard's Labor government and repealed by Tony Abbott's Coalition government this year.

State royalties are levied on revenues rather than profits. Unlike corporation taxes, royalties increase as a percentage of profits as mineral prices and profits fall, but they fall as a percentage in ¬rising minerals markets such as the five boom years to 2008-09.

Western Australia raised its iron ore royalty rate in 2012 and again in 2013. Queensland raised its coal royalty rate for coal sold at $100 a tonne or more in 2012. Royalties as a share of pre-royalty profits jumped to 24.4 per cent in 2012-13, from a low of 13.9 per cent in 2010-11.

Minerals Council deputy chief ¬ executive John Kunkel said the overall tax take had been pretty high and stable for most of the six years covered by the survey period.

But it was now pushing up towards 50 per cent, a rate at which things become "uninvestable".

He said there was some global evidence that once you get to that point, "it's very hard to attract investment in the competitive global regime".

"The government has a tough job on the fiscal side but you can't ignore the [issue of] structural competitiveness as well," Mr Kunkel said.

Rio Tinto paid $US5.7 billion ($6.9 billion) in Australian corporate taxes and mining royalties in 2012-13, and $US1.1 billion in the US, mainly payroll taxes.

A top mining executive has warned the industry's global competitiveness is at stake amid claims it should pay more tax, as a new survey shows the combined tax take on resources companies surged towards 50 per cent in 2012-13.

The tax take on the mining industry – company tax and royalties – jumped to 47.1 per cent of pre-royalty profits in 2012-13, the highest in the six years covered by the survey. It was 43.2 per cent the previous year.

The take is heading higher because minerals price plunges and state royalty hikes have continued since 2013, predict the survey authors, the Minerals Council of Australia and Deloitte Access Economics.

Phil Edmands, managing director of Rio Tinto Australia, said corporations and miners especially were "usual -suspects" in the quest by governments for more revenues to plug stubborn budget deficits.

"But really, you do need to ask the question, 'what is a reasonable amount of tax to pay and what is competitive'?" he said. "You can't ultimately degrade the competitiveness of the country simply by taxing more and more because there is some profit left."

Mr Edmands said the total tax take found by the rate was in line with Rio Tinto's global tax rate in 2012-13, while the company's tax take in Australia – where it pays the vast bulk of its taxes – would have been a little bit higher.

He said this was a fair amount of tax but it was high relative to competitors, and any further increases would handicap Australian miners in the global battle for investment capital.

"That is fair and that is reasonable, and given that it is actually high ¬compared to competitors, there's not really scope for increased taxation," Mr Edmands told Fairfax Media.

The 47.1 per cent tax take found by the latest minerals industry tax survey for 2012-13 includes corporation taxes and state royalties. It compares with an average 42.5 per cent rate over the six years since 2007-08 and a low of 39.8 per cent in 2010-11, the year ¬industry profits peaked.

The survey of 24 companies covering about 84 per cent of mining income does not include the mining tax and carbon tax. These were enacted by Julia Gillard's Labor government and repealed by Tony Abbott's Coalition government this year.

State royalties are levied on revenues rather than profits. Unlike corporation taxes, royalties increase as a percentage of profits as mineral prices and profits fall, but they fall as a percentage in ¬rising minerals markets such as the five boom years to 2008-09.

Western Australia raised its iron ore royalty rate in 2012 and again in 2013. Queensland raised its coal royalty rate for coal sold at $100 a tonne or more in 2012. Royalties as a share of pre-royalty profits jumped to 24.4 per cent in 2012-13, from a low of 13.9 per cent in 2010-11.

Minerals Council deputy chief ¬executive John Kunkel said the overall tax take had been pretty high and stable for most of the six years covered by the survey period.

But it was now pushing up towards 50 per cent, a rate at which things become "uninvestable".

He said there was some global evidence that once you get to that point, "it's very hard to attract investment in the competitive global regime".

"The government has a tough job on the fiscal side but you can't ignore the [issue of] structural competitiveness as well," Mr Kunkel said.

Rio Tinto paid $US5.7 billion ($6.9 billion) in Australian corporate taxes and mining royalties in 2012-13, and $US1.1 billion in the US, mainly payroll taxes.

This news story is reprinted from www.smh.com.au

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Senates Orders Tax Office To Reveal Mining Tax Revenue

The Senate has passed a motion ordering the Tax Office to reveal how much revenue the mining tax has raised since it was introduced last year. 

There has been growing pressure on the Government to detail what money has been collected, despite Labor's insistence that it is not legally allowed to because of privacy provisions in the tax laws. 

According to media reports, the Minerals Resource Rent Tax has not raised any revenue during its first six months of operation. 

Today's motion, put forward by Greens leader Christine Milne, was supported by the Coalition. 

It said the revenue details were "in the public interest" in order to provide confidence in how the tax was working. 

The motion continues: "The Senate orders the Commissioner of Taxation to provide to the Economics References Committee, by no later than 15 February 2013, details of the revenue collected from the Minerals Resource Rent Tax by the Australian Taxation Office since 1 July 2012, noting that the disclosure pertains to companies and does not breach the confidentiality of natural persons." 

In a statement, a spokesman for Treasurer Wayne Swan told the ABC the Government had "always supported" increased transparency in the tax system. 

"The Assistant Treasurer is leading the Government's work to improve the transparency of Australia's business tax system so that this kind of information can rightly be released," the statement said. 

"Through this, the Government wants to broaden transparency in the business tax system, including in relation to MRRT revenue, and remove any ambiguity from reporting requirements. 

"Protecting taxpayer confidentiality for individuals is essential, but I believe there is a case to examine whether large and multinational businesses should have the same level of confidentiality about the taxes they have paid." 

The ABC has contacted the Tax Office for comment. 

This news story is reprinted from www.smartcompany.com.au 

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Evolution of Advertising Practices in Australian Accounting

Australian accounting has a deep link to the colonial accounting practices once popular in Britain. During the colonial rule, Australia was significantly influenced with the traditional pattern of marketing in accounting services. Earlier a greater number of restrictions existed on Australian accounting organisations and professionals, so their ways and modes of promoting themselves were also very restricted.

Earlier there were restrictions on the size and type of content that can be used in marketing materials, so accounting firms were not more inclined towards marketing or advertising on big scale. With relaxation in marketing standards after 1984, Australian accounting firms started taking marketing seriously. Australian accounting firms have shown better understanding towards marketing and its various benefits.

The traditional ways of marketing in accounting services are:

• Client Referrals – It is the most preferred technique used for spreading accounting services. This method is believed to be the most ancient way of bringing in new clients to any accounting firm. With passing time, accounting firms have also changed their perception about marketing. Now, bigger as well as smaller firms show seriousness towards their marketing plans and are concerned about their company’s image.

• Accounting Seminars – these accounting seminars are conducted by Australian accounting firms periodically to influence, educate and also promote their services to prospective clients.

Changing Client perceptions:

With the improvement in accounting services, clients have also become much informed and demanding. Earlier clients used to make their decisions on the basis of personal experience or referral etc. But nowadays, clients are more aware and accounting service providers’ first need to resolve their queries. Client communication has become an integral part of the marketing campaigns in Australian accounting.

Accounting firms show quick response to queries from their clients and also encourage their clients to give feedback. Under modern marketing approach, accounting firms employ a variety of methods to reach upto their clients. Some of these methods are:

• Online presence: strong image building by website and blog page. • Social media: clever use of social media to increase consumer awareness and interaction with the company / service provider

• Free information: distribution of free information, consultation and free seminars or webinars to inform, educate and increase the goodwill among people.

CEOs Share Views On Economic Outlook

Growth, productivity improvements and a need for Canberra to remain disciplined in its fiscal settings are among the key issues facing the Australian economy, the chief executives of BHP Billiton, Qantas and Wesfarmers have told The Australian.

BHP Billiton’s Andrew Mackenzie argues Australia must further deepen its links with Asia while there is an “urgent” need to lock reform of the tax system to ensure revenue keeps up with changes in the nation’s economy and business landscape.

Qantas chief Alan Joyce believes finding the means of funding the infrastructure needed to lift national productivity and help realise the nation’s economic potential.

The comments are part of The Australian’s exclusive survey of the nation’s business leaders to be published tomorrow.

More than 70 chief executives of the nation’s biggest companies — from resources to banking -have spoken frankly to The Australian about their view of the market outlook; the major concern of their clients and the top three “big picture” issues facing the nation.

Among chief executives surveyed include Commonwealth Bank’s Ian Narev, Westpac’s Gail Kelly, Woolworths’ Grant O’Brien, Telstra’s David Thodey, Rio Tinto’s Sam Walsh and ANZ’s Mike Smith.

Amid the sharp price falls in iron ore and oil, BHP’s Mr Mackenzie acknowledges the market outlook “remains challenging” for a number of commodities in the short-term. However he said demand for BHP’s globally traded commodities remains strong.

“The gradual shift from construction to consumption in the Chinese economy, and a return to more sustainable levels of growth reinforces the need for Australia to continue to improve its competitive position and lift productivity in every industry — not just resources,” he says.

Wesfarmers chief executive Richard Goyder also acknowledges tax reform is in need for focus. The head of the Perth-based retailing conglomerate is upbeat about the outlook for corporate Australia.

“We are well situation to the growth region of Australia,” Mr Goyder says.

This news story is reprinted from www.businessspectator.com.au

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Accounting Salary Trend In Australia 2013

Current salary trend in Australian accounting world is a prominent part of various accounting salary guides and surveys released by various experts. We have summarised salaries taken by main accounting job profiles in Australia.

 These figures have been taken from payscale.com and finance and accounting salaries may vary depending on company size, job role, employee’s calibre and employer’s financial situation. There are various factors affecting the salaries in Australian accounting profession, some of these are: 

• An expansion in growth of the accounting businesses; 
• Rising workloads
• Mergers or acquisitions
• Financial system upgrades
• New regulatory requirements in Australia 

In Australia, every year some registered firms and experts in the accounting domain release a detailed report about salary survey and hiring trends in Australia. These surveys are mainly done by:

• MySalaryPortal.com
• Hays
• Michael Page International
• Advantage Professional
• Robert Half International
• Perceptor Salary Review 
• Hudson
• Lloyd Morgan

 Looking for Outsourced Accounting Services

Equity Interest Arising Through Connected Entities

The Commissioner provisionally considers that s 974-80(1)(d) of ITAA 1997 is not satisfied merely because a non-resident entity has chosen to invest indirectly in a debt interest issued by an Australian resident company and there is one or more equity interests interposed between the resident entity and the entity holding the debt interest.

The fact that a non-resident entity has decided to invest indirectly in an Australian resident company through one or more interposed entities, and the final leg in the chain is a debt interest, will not of itself be sufficient to form a conclusion under s 974-80(1)(d) that there is a scheme, or a series of schemes, designed to operate so that the returns on the debt interest are used to fund returns on an equity interest held by another person.

This news story is reprinted from CCH Tax Week

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China Stimulus Hopes Lift Australian Mining Shares

Growing expectations that the Chinese government will introduce stimulus to boost its economy has sparked a rise in commodities prices, which in turn lifted local mining stocks.

Local equities also benefited from strong performances from Wall Street which was buoyed by US consumer confidence climbing to a six-year high.

Australia's benchmark S&P/ASX200 rose 40.2 points, or 0.8 per cent to 5376.8. The broader All Ordinaries finished 36.2 points, or 0.7 per cent, higher at 5387.2.

However, there are still significant headwinds for the Australian economy moving forward, Avoca Investment Management small companies portfolio manager Jeremy Bendeich said.

"On China, it's around the bear case as to whether or not they will be another downdraft in terms of expectations of economic growth and the uncertainty around the murky financial sector that no one seems know anything about," Mr Bendeich said.

Following the local reporting season, the Australian market has had limited corporate activity to drive the market one way or the other. Traders are cautious about a recovery from sectors which rely on domestic consumption.

"We're now in the phase where every Chinese economic number that comes out that's bad, we're now going 'well, they're going to have to stimulate'," BBY private client advisor Henry Jennings said. "We're sort of six or seven weeks out from the budget and that gives me a little bit of caution."

Overnight the price of iron ore jumped 1.2 per cent to $US111.80 per tonne. This led to gains in mining stocks. BHP Billiton rose 1.8 per cent to $36.55, Rio Tinto added 2.1 per cent to $63.67 and Fortescue finished up 3.1 per cent at $5.33.

Investment banks representing Myer and David Jones will begin talks to discuss the possible merger of the two ailing department stores. Myer chief executive Bernie Brooks said there had been no fresh talks on Wednesday, but said the discussions would likely talk place in the next week. David Jones shares gained 1 per cent to $3.20, while Myer slipped 0.9 per cent to $2.27.

Shares in Westfield Retail fell 1.3 per cent to $3.01 after the shopping centre behemoth announced it secured $22 billion in finance to fund its restructure plans. The company is aiming to split its Australian shopping centres from its less profitable global assets.

National Australia Bank shares lifted 0.8 per cent to $35.05 following a move from its UK business, Clydesdale and Yorkshire bank, to close 28 branches and invest £45 million ($81.5 million) in mobile banking and branch development. The recovery in the UK economy has led to gradual improvement from NAB's UK assets, which have weighed on the bank since the GFC.

In a late night Parliament speech on Tuesday, Liberal Party senator Alan Eggleston accused the Commonwealth Bank of Australia of defaulting business customers of Bankwest unjustly, in an attempt to make back the money it spent on the acquisition of the bank in the financial crisis. CBA shares rose 0.7 per cent to $76.39.

Improvement in the Australian housing market has led to a profit upgrade Australand, which is now expecting a 10 per cent jump in full-year profit. Shares in the construction firm pushed 0.7 per cent higher to $4.21. The idea of growing profit will likely put pressure on Stockland, which is believed to be planning a takeover bid, to act fast.

Insurance Australia Group's proposed acquisition of Wesfarmers' insurance underwriting business was given the green light from the Australian Competition and Consumer Commission. IAG shares jumped 1.1 per cent to $5.50, while Wesfarmers shares dipped 0.4 per cent to $41.69.

This news story is reprinted from www.smh.com.au

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Superannuation And Other Barriers To Older People Working Need To Go

The older workforce in Australia may now be able to stretch its working life to few more years. A recent report released by the federal government reflects the same. The report titled “Access All Ages – Older Workers and Commonwealth Laws” was created by Australian Law Reform Commission. The commission believes that strict policies on social security and superannuation contribution have discouraged older workforce from continuing their profession after ageing upto 65 years. Many argue that loosing this experienced population is a kind of loss of human resource for small as well as bigger firms. These human resources can be utilised to coach new workforce. 

Various aspects of a working individual were taken into consideration for research conducted by the law commission. These are shown in the flowchart below:

The report recommends loosening the strict laws which directly affect older workforce. These areas are: 

1) Superannuation
2) Social Security
3) Employment
4) Insurance 
5) Compensation Law 
Employment Minister, Bill Shorten said that “the Australian government has relaxed the super guarantee maximum age limit. Due to this, people aged 70 and over would be able to contribute to their Australian superannuation retirement savings. He also told that the government will consider all aspects of the report released by Australian Law Reform Commission and would make sure that the experience and knowledge of senior professionals is properly utilised.

Outsource Bookkeeping Services in Australia

Bookkeeping includes keeping track of records of financial transactions for client businesses. Although it varies from accounting as it does not involve the preparation of financial statements. Bookkeeping is an outsourced service and is particularly popular among very small businesses such as sole proprietors and small partnerships. In many cases the operators of these businesses are specialists in their business’ area of expertise, rather than in the administrative side of running a business. They outsource the bookkeeping duties in order to focus on core business activities and avoid the need to dedicate in-house resources to the role.

 The demand for Bookkeeping services is derived from the government, businesses and individuals requiring a variety of services including compliance with statutory, tax and internal information requirements. This includes financial information regarding their own affairs, such as corporate structure, taxation planning, cash-flow projections, budgeting, business plans, general accounting services, and bookkeeping.

Changes to legislation can boost demand for compliance related services. In general, changes to reporting requirements of small businesses tend to result in more outsourcing of accounting and bookkeeping functions, which benefits the industry. The move to International Accounting Standards and International Financial Reporting Standards has also seen accounting fees rise for large clients that are required to comply, due to the increased time taken in reporting and auditing particularly in the transition period.

The different services provided by accountancy firms have varying relationships with the overall business cycle. Demand for the traditional general accounting, tax and auditing services is less sensitive to changes in the business cycle. Demand for insolvency and receivership services tends to be more highly sensitive, growing as the economy moves into recession and declining during periods of stronger economic activity. Demand for many advisory services such as advice on acquisitions and expansion is also quite sensitive to the economic cycle, moving pro-cyclically.