What Your Business Earns vs What You Can Actually Spend

In episode 122 of Prosperity on the Horizon, Julianna explains why business revenue and a healthy bank balance do not mean the money is yours to spend, because some funds are already committed to things like GST, superannuation and upcoming bills. She highlights GST as a major cause of confusion near the end of the financial year, including common GST coding errors that can either lead to overpaying or create unexpected liabilities and shares an example where correcting Xero coding reduced GST payable from $7,500 to $1,700. Julianna recommends treating cash as separate ‘buckets’ and gives three practical steps: check GST coding, calculate what is already committed and keep the books up to date. She also outlines what the Finish Strong workshop covers and mentions a free GST savings checklist and her Cash Flow Confidence Calculator.00:00 Welcome and Setup01:22 Why Bank Balance Lies03:24 GST Basics Explained04:37 Common GST Coding Errors06:20 Bucket Your Cash08:35 Three Steps to Clarity10:58 Finish Strong Workshop13:33 Recap and Next EpisodeIf you are listening to this podcast, chances are you are already on your way to exploring your numbers with a desire to understand and master your business finances, realising the transformative power that numbers hold for your business success.The EOFY Checklist will be available - if not there yet already - on our website under Resources.We have a new FREE resource, the GST Saving Checklist, that you can download from here. A simple, practical checklist that walks you through the exact areas to review in your Xero or other accounting file - so you can spot where you may be paying too much GST or missing out on credits you're entitled to claim.Complete our FREE ‘Business Health Check’ form to give you insights into where you’re strong or weak in your business, where there are opportunities to improve, how your business is performing in terms of profitability, cash and time.Where to find us:Available on all major podcast platforms: Apple Podcasts, Spotify, Youtube and Amazon.Subscribe on your favourite podcast app to stay in the loop with every insightful episode.If you’d like to find out more about Julianna and her business, visit www.horizonaccounts.com.au or follow her on LinkedIn and Instagram @horizonaccounts or book a free 30 minute Business Diagnostic Review Call.Prosperity on the Horizon is on Youtube as well, where you can find useful shorts and other resources as well.Stay tuned for the next episode of Prosperity on the Horizon, the podcast that transforms businesses through the power of numbers and the story behind them.