Business budgeting tips for the new financial year

This financial year has forced businesses to face some pretty difficult and unforeseen obstacles.

However, the new financial year brings the opportunity of a fresh start, so it’s the perfect time to sit back, run your books and look at how you can make the next 12 months better than the last by planning out your business budget.

Business budgeting can be a pretty massive task, so we have compiled a list of things that we recommend reviewing in your business budget so that you can start this year off with your best foot forward. 

1. Review your profit and loss

Your profit and loss report is one of the first and most important things to review in a business budget. This report shows you whether your business is making or losing money.

To calculate this, all you need to do is subtract your business expenses from your income.

If you find that your business report comes out to a loss, this is a good time to look into getting professional help as running a business at a loss is not sustainable. However if you find your business is making a profit, then you still need to sit back and review your business budget to see if there is potential for an increase, if you can pay off any debts quicker, and to make sure that you don’t get too comfortable and complacent and turn that business profit into a loss.

2. Review your balance sheet

Your business balance sheet is what shows your businesses worth. It shows everything from your business’s tangible assets, cash in the bank and unpaid invoices to your business liabilities such as taxes, loans and other unpaid expenses.

Your business balance sheet is an important document to review and will give you a good overall idea of how your business is tracking. It will also quickly show you where the biggest incoming and outgoing expenses in your business come from which can be reviewed and adjusted if necessary.

3. Apply for affordable business financing as soon as you can

If you are tossing up whether or not to apply for a loan, line of credit or some other type of business financing product to help support growth, don’t sit back and wait.

The best time to apply for business financing is when your cash flow is strong and you don’t need it, and there aren’t any account-draining business concerns to deal with. Banks also prefer to give out loans to business’s who are in a stronger financial position.

With this in mind, don’t just take out a business loan because you can. Also consider the possibility of flexible business finance options such as a line of credit that doesn’t actually take out funding until your business needs it.

Either way, applying when you’re in a strong business position can help you lock in an affordable interest rate and terms that will pay dividends for your business later on.

4. Focus on your return of investment

Everything that you put into your business should be done so while keeping in mind the return it will bring.

Expenses like business marketing are well worth reviewing. For example, is the money that your business is putting into your marketing generating enough sales for your business to warrant the cost of the marketing itself?

Take a look over your business finances for the last month, quarter and year, and see what elements of the business had the best and worst return on investment, and go from there.

5. Cut down on fixed cost commitment

With the last few months proving how unpredictable everything can be, flexibility is more important than ever for a business.

Therefore it could be well worth while reviewing the subscription services in your business. Partly to cut down on any that your business don’t use regularly. But it is also worth potentially switching annual business subscriptions to monthly. This may be more expensive for your business in the long run, but it gives you the flexibility to cancel should unforeseen circumstances arise within the business. Your business shouldn’t be paying unnecessary outgoing costs if it doesn’t have too. This will end up being more expensive for your business than if you can just cancel when needed.

6. Get tech savvy

We live in a day and age where there is a program for just about everything, including your business budgeting.

Your time is money, so it could be worth researching different software that can help you streamline your workload and keep track of everything within the business.


When it comes to your business budgeting and business finance, you don’t want to take any serious risks, so it’s always worth while getting professional help.

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The 5% homebuyer deposit for first home buyers.

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The Australian Government’s expanded 5% Deposit Scheme, which commenced on October 1, offers a fast-tracked path to home ownership for many aspiring buyers. By drastically reducing the deposit required and eliminating Lenders Mortgage Insurance (LMI), this program aims to unlock the door to your very own home sooner than ever thought possible. However, like any major economic policy, it has significant implications that buyers and taxpayers must consider. Here is a breakdown of how the scheme works, who qualifies, and what the potential impact could be on the property market. What is the 5% Deposit Scheme and how does it work? The scheme is designed to make home ownership more achievable, particularly for those struggling to save a 20% deposit. Low Deposit: The home buyer secures a loan with a minimum deposit of 5% (for First Home Buyers) or 2% (for single parents/legal guardians). Government Guarantee: Instead of the buyer paying LMI (which protects the lender), the Australian Government provides a guarantee to a Participating Lender. This guarantee allows the lender to provide a home loan covering up to 95% or 98% of the home's value without the usual LMI fee. No LMI: The buyer avoids paying Lenders Mortgage Insurance, significantly reducing upfront costs.  Key features of the expanded program include no income caps, as well as unlimited spots and no waiting list. The Scheme also makes a wider choice of home types available (houses, apartments, house/land packages, vacant land with a building contract, new or existing homes). It’s not just for first home buyers!

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Christmas can be the most wonderful time of the year—it can also be one of the most expensive. The key to enjoying the festive season and reducing the risk of financial stress is careful planning. As your financial partners at Ascent Accountants, we want you to focus on what truly matters—time with friends, family, and peace of mind. Six essential budgeting tips to help you take control of your Christmas spending. 1. Make a detailed budget list. The sooner you start, the more control you have. Begin by listing every expense you anticipate, including gifts, food, clothes, travel, and entertainment. Once you have your total, check it against your available funds. If the total feels too high, look at where you can cut back or spread the cost. Being realistic from the beginning prevents surprises later. 2. Prioritise what truly matters (and pay your priority debts!). When money is tight, focus your funds on the essentials and the things that genuinely bring the most joy. Order your list by priority (e.g., gifts for children first, then shared family meals, then travel). It’s okay—and essential—to say 'no' to extras that don’t fit your budget. Always consider your priority payments and debts before any other Christmas spending. Priority debts, like rent, electricity, or car insurance, must always come first as they significantly impact your day-to-day life if left unpaid. 3. Be cautious with credit and 'Buy Now, Pay Later' arrangements. It's tempting to use a credit card or a Buy Now, Pay Later option, especially when promotions promise delayed payments. However, small instalments add up quickly, and missing a payment can result in fees and/or negatively impact your credit record. If you do use credit, only borrow what you can comfortably afford to repay, and make a solid plan to pay it off as soon as possible in the new year. 4. Compare prices & shop smart. Always take time to research before you buy. Comparing online and in-store prices can result in significant savings. Be wary of high-pressure sales events like Black Friday, which often encourage impulse spending. Before purchasing, ask yourself three questions: Do I really need this? Is this on my original budget list, or is it extra? Is this truly a bargain if I don't actually need it? 5. Suggest a 'Secret Santa'. If your family or friend group has traditionally bought gifts for everyone, suggest switching to a Secret Santa arrangement. Setting a sensible spending limit or pooling funds for one thoughtful gift makes things easier and less expensive for everyone. Often, homemade gifts or vouchers for experiences are more meaningful and last longer in the memory than expensive presents. 6. Plan ahead for next year. The best way to guarantee a calm, affordable Christmas next year is to start preparing now. After this year's holidays, take note of exactly what you spent and where the money went. Set a goal for next year and start a small savings fund. Even setting aside $5 or $10 a week can make a monumental difference in managing next Christmas without stress. Need to tidy up your finances after the holidays? If the Christmas period leaves you needing advice on debt consolidation, setting up a savings plan, or just better budgeting habits for the new year, contact the team at Ascent Accountants. We can help you build the confidence to hit your financial goals!

FBT on Work Christmas Parties & Gifts

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As the end of the year approaches, businesses are gearing up for the festive season, which means planning the annual Christmas party and showing appreciation with gifts. While the cheer is high, so too are the complexities of Fringe Benefits Tax (FBT). Getting the FBT treatment wrong can turn a simple celebration into an unexpected tax bill. As your trusted advisors at Ascent Accountants, here is a breakdown of the key tax rules, with a focus on the crucial $300 per person limit, to ensure your end-of-year generosity is tax-effective. The critical $300 minor benefit threshold. The Minor Benefits Exemption is your best friend for managing FBT. A benefit is generally exempt from FBT if its total notional taxable value is less than $300 (GST inclusive) per person, and it is provided infrequently and irregularly. Christmas parties (entertainment) The location and cost of your party are the key factors for FBT.

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Does your business need public liability insurance?

November 12, 2025
If your business interacts with the public in any way (from welcoming customers into your shop to visiting client sites) then public liability insurance isn’t just “nice to have.” It’s essential protection. Whether you’re a sole trader, a café owner, or running a construction company, public liability insurance helps safeguard your business against unexpected (and often costly) accidents. What Is public liability insurance? Public liability insurance covers your business if a member of the public suffers injury, death, or property damage as a result of your business activities. In simple terms, it’s there to protect you financially if something goes wrong—such as a customer slipping in your store, a tradie damaging a client’s property, or a product you sell causing harm. Without it, you could be personally liable for significant compensation and legal costs. What does it cover? A typical policy covers: Injury or death to a third party caused by your business operations. Damage to property belonging to someone else. Compensation and legal costs you’re ordered to pay following a covered claim. For example, if a customer trips over a cable in your office or a carpenter cracks a client’s TV while working onsite, public liability insurance steps in to cover the costs. What isn’t covered?  While every policy is different, public liability insurance usually won’t cover: Damage involving vehicles. Defective work. Breach of professional duty or negligence in advice (that’s covered by professional indemnity insurance). Defamation or advertising liability. Understanding these exclusions helps you choose the right combination of cover for your business. Who needs public liability insurance? If your business has any level of public interaction, you likely need it. Common examples include: Customer or supplier visits: If anyone comes to your premises or you work on theirs. Public events: Markets, expos, and pop-ups. Retail, trade, and construction: High public contact increases your risk. Leased premises: Many shopping centres and landlords require proof of cover. Contractor or license requirements: Many trade licenses (like electricians and plumbers) require it to operate. Even if it’s not legally required, most Australian businesses choose to have public liability insurance for peace of mind. How much cover do you need? The level of cover depends on your industry, business size, and risk exposure. Most businesses opt for between $5 million and $20 million. It’s worth reviewing your policy regularly, especially if your operations expand or you start working in new environments. Is it compulsory in Australia? Public liability insurance isn’t legally mandatory for all businesses, but some industries and licences make it a condition of operation. For example, in Queensland, electrical contractors must hold a minimum of $5 million in public and product liability cover. Similarly, councils or venue owners may require proof of insurance before approving an event or leasing a space. Don’t risk a law suit. Being sued for negligence can be financially devastating. Even a minor incident can mean you lose hundreds of thousands—not to mention the impact on your brand and business reputation. Public liability insurance ensures your business can keep operating, even when the unexpected happens. If you’re unsure whether your current cover is adequate, our team at Ascent Accountants can help you review your business risks and recommend the right level of protection for your situation. Contact us today to learn more.
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