JOBKEEPER - HOW DOES MY BUSINESS SURVIVE WITHOUT IT?
JobKeeper ends on 27 September 2020 for those no longer eligible.
If you have already asked yourself the three key questions to access JobKeeper payments from 28 September 2020...
- Is my business eligible?
- Am I and/or my employees eligible? and
- What JobKeeper rate applies?
and you have concluded that you are no longer eligible, here are some of the next steps you should immediately take before 27 September 2020.
1. Sit down and forecast
First and foremost you must sit down and forecast what your business would need to earn to survive over the next 6-12months. To do this, you should have a clear understanding of what is realistic in terms of turnover and profit. Next, you will factor in your variable and non-variable expenses. Forecasting is absolutely key to having a clear understanding of what your business goals will be and if you need to make any tough decisions.
2. Seek human resources advice
If you employ staff, without JobKeeper you mightn't be able to have them return in the same capacity as before the pandemic. An important step in this process is to seek human resources advice around the legal requirements to change someone's hours or in the worst case scenario, how to make them redundant.
3. Reconcile before your first payroll
Once you know who you can employ and how much you can pay them, reconcile this in your payroll system before the first pay. You will not be able to recoup JobKeeper payments incorrectly processed.
4. Reduce expenses
Critically see where you can reduce expenses within your business wherever possible. Get a second opinion from an expert to show you where you might be able to reduce further costs.
If you require accounting advice and/or support, contact Wrights Chartered Accountants today.