In Australia, bookkeeping costs vary depending on the specific tasks.

Hourly rates for general bookkeeping typically fall between $80 to $100 and around $150 to $200 for ongoing bookkeeping support.

For other services, including setting up bookkeeping software, bank reconciliation services, and accounts payable, you could pay between $120 and $300 an hour.

If your business is registered for Goods and Services Tax (GST), you need to lodge quarterly Business Activity Statements (BAS) to the Australian Taxation Office (ATO). A bookkeeper may charge between $250 and $300 per hour for BAS and GST services.

Absolutely! Having a bookkeeper saves you time and stress, allowing you to focus more on running your business. How so?

A bookkeeper handles financial tasks such as reconciling bank statements, generating financial reports, and ensuring compliance with financial regulations. They may also assist with invoicing, payroll, and managing accounts payable and receivable.

Having a bookkeeper can save you money too. They will help you stay on top of your bills and invoices, improving your business’s cash flow. And their preparation of necessary financial statements and tax obligations like BAS will save you from potential fines.

No, a bookkeeper and a full-charge bookkeeper are not the same.

A regular bookkeeper handles basic financial transactions, such as recording income and expenses and managing invoices and payments.

On the other hand, a full-charge bookkeeper has full responsibility for all accounting tasks. They typically manage payroll, prepare financial statements, oversee budgeting, and reconcile bank accounts. In some cases, they also handle tax preparation.

Given the broader responsibilities and greater expertise required of a full-charge bookkeeper compared to a standard bookkeeper, they usually charge a higher fee.

When running a business, a bookkeeper can be a more cost-effective choice than an accountant for your day-to-day financial management.

Bookkeepers record and organise all your financial transactions, keeping your records accurate and up-to-date. This regular oversight ensures you have real-time information about your business’s financial health.

While essential for auditing, tax filing, and strategic financial advice, accountants are generally more expensive and might not be needed as frequently.

Hiring a bookkeeper for routine tasks and an accountant for more complex financial issues or occasional requirements is a smart way to manage your business finances.

Outsourcing payroll costs in Australia can vary widely based on the size of your business and the complexity of your payroll.

You could expect to pay anywhere from $5 to $20 per employee per pay run for basic payroll services. Costs for more complex services, such as handling superannuation contributions or tax calculations, may increase.

Many providers also offer packages for small businesses, which could range between $25 and $100 per month.

Outsourcing payroll has several advantages.

It can save you time, allowing you to focus more on your core business tasks. Outsourcing also guarantees accuracy in calculations and compliance with payroll laws, reducing the risk of penalties. Additionally, professional payroll services often offer access to advanced systems, which can streamline your processes.

However, there are also some drawbacks to consider.

Outsourcing payroll can be more expensive than handling it in-house, especially for smaller businesses. You’ll also have less control over the process, and having an outside company handling sensitive employee data could be a concern for confidentiality purposes.

Be sure to weigh these pros and cons before outsourcing your payroll.

Choosing a payroll system involves considering several key factors.

First, think about your business size and needs. Smaller businesses might benefit from simpler, more user-friendly systems, while larger ones may require advanced features. It comes down to choosing a system that can handle your payroll frequency and different pay types.

You also want a system that automates tax calculations and superannuation contributions while complying with Australian payroll regulations. Plus, the system must be able to integrate with your existing software.

Finally, consider the cost- not only the initial price but also ongoing costs like updates or additional services. Always trial the software, if possible, before making a decision.

First, collect details from your employees, including their tax file number and superannuation information. Next, determine the payment frequency and calculate the gross wages for each employee.

Then comes deductions. Deduct tax based on the Australian Taxation Office (ATO) tax tables. Then, subtract superannuation contributions- currently 10.5% of an employee’s ordinary time earnings (set to rise to 11% on July 1, 2023).

After deductions, you’ll have the net pay you pay the employee. Lastly, report these details to the ATO using Single Touch Payroll (STP).

You can manage payroll in-house or outsource to a payroll service provider.