It is that time of year again, the holiday period is just around the corner and the excitement of the work Christmas party is setting in.
As a business owner what are the things to consider?
Legally responsible Christmas
End of year celebrations are an important way for employers and staff to reflect on the progress they have made as a team throughout the year. However, as an employer you need to consider the potential hazards which may arise from the end of year events, such as:
- Being liable for any injury which occurs at an event as well as injuries to and from the venue
- Facing issues arising from sexual or emotional harassment
Remind your employees of their responsibilities and set clear rules. Check your internal procedures and insurances.
You can find more tips here http://www.smartcompany.com.au
Don’t get an FBT hangover
We all know downside of the day after a party: the clean-up, hangovers and possibly a few karaoke regrets. Unfortunately, staff parties can also attract (fringe benefits tax) FBT.
Consider your exemptions, such as those provided on a working day on your business premises and consumed by current employees or minor benefits (if the cost of the party is less than $300 per employee and certain conditions are met).
When Christmas falls in September
If Christmas is your busy period, chances are that you start readying yourself for Christmas well ahead. You need to consider how long it takes you to get your product to your customers, what stock and staff levels you are going to need.
You don’t want to run the risk of:
- Not having enough stock and having to turn away a potential customer or having too much and tying up your cash/ increasing your waste
- Getting your staffing levels wrong and either letting your customers leave with poor experience or losing your money in unnecessary wage expenses
Ensure you maximise the use of your accounting software. If your current software doesn’t offer you these, it may be time to look around.
If you need training on your current accounting software, add on or need help finding a suitable one, get in touch.
Watch your cash flow
Holiday season is usually either the busiest or slowest time of the year. Either way, cash management is critical.
If this is a high-income time, budget for next year and put money in a reserve account. If this is a lean time, reduce expenses as much as possible and when your income increases, start a reserve account to get you through next year’s holiday.
Keep your priorities straight
Above all, remember things that are really important to you: family, friends and community. Spend time with those you care for and give to those who are less fortunate.
Merry Christmas from all of us @XperionLive