Cash Flow Advice for Small Businesses

Solid cash flow management is vital to ensuring your business survives, but not everyone understands what cash flow is or how to manage it. That’s likely what makes it a leading cause of stress for small business owners. In fact, a Capital One study found that 42% of small business owners say cash flow management is a major concern for them. Cash flow refers to the movement of money into…  Read more

3 Tips to Make the Most of the End of Financial Year

Preparing your End of Financial Year (EOFY) information often feels stressful—there are receipts to sort out and reports to review, and you need to make sure you have all the necessary information about your income and expenses. It can be overwhelming, and it can make the EOFY feel daunting. The end of the financial year isn’t just a time to collect receipts and find invoices, however. It’s also a time to…  Read more

Why outsource your accounting?

4 REASONS WHY YOU SHOULD OUTSOURCE YOUR BOOKKEEPING AND ACCOUNTING TO 118ACCOUNTING  As a small business owner, running your business takes priority – accounting for the accounting in your business…. probably only happens when you have a gap – why not look at ways to make that process simpler and faster, by outsourcing your bookkeeping and accounting to 118Accounting? 1 Lower Cost How do you value your time?  Every small business owner knows that time is one of your most valuable assets. Having more…  Read more

Why a good accountant is critical for small business.

Why a good accountant is critical for small business. In order to know how well your business is doing you need accurate and up to date financial information and peace of mind that you are tax compliant. It sounds obvious but often as a small businessperson you are so focused on your passion of delivering great service to your customers, whatever that may be, that these pesky administrative details can…  Read more

Rental Income / Deductible Expenses

  Owning a secondary property could be rewarding as it creates wealth by generating rental income on your investment and also through long term capital growth. It could also supplement your monthly income. However, not disclosing the rental income or incorrectly claiming expenses that are not in the production of income could result in you been penalised by SARS. Examples of taxable rental income that must be declared to SARS:…  Read more

Xero For Small Business

Why Xero online accounting is good for Small Business Xero’s online accounting software is designed to make Small Businesses run smoothly and easily. Xero is a powerful all-in-one solution for your business, which keeps your accounts running like clockwork, your records tidy and makes compliance a breeze. Because you can use Xero on any device you can work anywhere at any time! How Xero works for you: Connect to your…  Read more

Xero Expenses

  XERO EXPENSES  If your operations involve any of the following:  Reimbursement of daily/weekly expenses,   Reimbursement of mileage claims,   then Xero Expenses is for you.   Xero Expenses is a claims management tool that connects directly to your accounting software, saving small business owners countless hours of manually capturing shoebox receipts and cigarette box mileage claims.   With Xero Expenses, you and your employees can;  capture costs as and when they happen – simply snap or scan a pic of your receipt from your mobile phone (Android and iOS), complete the expense claim and…  Read more

Tax and Medical Expenses

Medical Expenses Do you feel as though your monthly medical expenses are consuming and exhausting your income? With the rising costs of medication and medical aid premiums, this could have a financial strain on your disposable income.  If you are a registered taxpayer and earn taxable income, you are entitled to claim back valid medical expenses that have been incurred and if you contribute towards a registered medical scheme you…  Read more

Provisional Tax

  What is Provisional Tax?  Provisional Tax is not a separate form of Income Tax.  It is the method of paying your income tax liability in advance to ensure that you don’t have a large tax liability on assessment.  A third payment is optional after the end of the tax year but before the issuing of the assessment by SARS – Sars.gov.za  Provisional Tax is generally paid by individuals who earn non-salary income, for example, from a…  Read more

Time has run out for on-line tax return filers

Time has run out for on–line tax return filers  If you are not aware of it, yesterday was the deadline for submission of 2020 tax returns for taxpayers that submit tax returns via e-filing.  As a reminder these are the due dates for the 2020 tax season for individuals:  22 October 2020 – manual filing at a SARS branch (now closed)  16 November 2020 – non -provisional taxpayers filing electronically on SARS E-Efiling. …  Read more

Xero’s new mobile app

The app that keeps you connected to your business, anywhere at any time. Xero mobile is an application available to android and IOS users, that connects you to your Xero organisation During 2020, Xero have focused much of their development efforts on their mobile application space, making managing and running your business on the move so much easier.  Here are some of the features that benefit business owners who use…  Read more

5 Ways to help your small business thrive.

How has Covid-19 affected business and what have we learnt.Small businesses are the backbone of our community. Although they are resilient and creative, they are also vulnerable.In June 2020 Xero commissioned The Next Chapter for Small Business study by Forrester Consulting to uncover the impact of the pandemic on small businesses and how they responded.These are the 5 key recommendations to help small businesses recover and to help them build…  Read more

Do you need to submit a Tax Return?

Tax Return Submission – ITR12 (Individuals) Thinking about whether you are liable to submit an annual tax return? Maybe just flip a coin and let luck decide on that? Sorry, but it’s not as simple as that, and not following the correct SARS filing process could land you in hot water with the “TAXMAN”. Trust me guys, nobody wants to be non-compliant and have an outstanding debt or a bad…  Read more

Xero’s new short-term cash flow tool

  Xero has recently released a simple, yet powerful tool to help businesses track and manage their short term cashflow. This interactive tool visually projects your bank balance from between the next 7 and 30 days. The tool uses the due dates of your invoices and bills to plot a graph of your expected bank balance during the next 7 to 30 days. It is a great tool to help…  Read more

Bookkeeping tips for Small Business and Entrepreneurs

If you have a small business or plan on starting one here are a few tips to help you keep track of your finances. Planning is everything. You need to know what is expected of you, what information you need to record. What tax do you need to pay, what’s your income and expenditure? Don’t mix your private money with your business – Open a separate business account and keep…  Read more

Do Good and Save on your tax

How about doing good and saving on your taxes? If you donate to a company that is on the SARS list of Public Benefit Organisations, you might be able to claim back on your donation.The donation you make needs to be to a Public Benefit Organisation (PBO), which can be a not for profit company (in terms of the New Companies Act) or any other association that has registered with…  Read more

The Retirement Annuity

Retirement Annuity (RA)Does the thought of `retirement’ send shivers down your spine? Ever considered what it would be like reaching the age of retirement and not being able to retire? This is reality and something that every one of us will face at some stage in life.Most people have goals of achieving financial freedom at retirement but in order to attain this, it requires strategic financial planning and discipline. Nobody…  Read more

Xero on air

  Now.New.Next… Xero has adopted a new approach to connecting and sharing with accountants, bookkeepers, and small business owners through a series of bite-sized videos. Xero recently released over 30 videos between 5-12 minutes each, sharing information, tips, and insights with their Xero community around the world. In the first episode, we are introduced to Xero On Air by CEO Steve Vamos, as he explains why connecting and sharing in…  Read more

Trusts as a tax planning tool

Trusts have largely fallen out of favour as a tax planning tool, because of various anti-avoidance provisions that SARS have introduced over the last couple of years.Despite this fact, there is still a solid business case for establishing a Trust in South Africa, if your personal circumstances fit the profile explained below. The primary tax planning benefits of establishing a Trust are as follows: Long terms savings in Estate duty;…  Read more

Tax-Free Savings Account (TFSA)

The famous saying goes there are 2 things that are certain in life, death and taxes” with the latter being more of a concerning issue for some of you. Most people are not too generous when it comes to the point of digging deep into their pockets to pay the due taxes received on their hard-earned investment income. What if I were to tell you that amongst the hundreds of…  Read more

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