The end of the financial year (EOFY) isn’t a time many of us look forward to, and as the deadlines loom, the number of tasks on our to-do lists seems to multiply. This year, we’re encouraging you to look at EOFY a little differently – to view it as a time to get a little organised, get ahead, and wrap up the year on a high note. Here are six steps to prepare for EOFY with optimism and confidence and to get you well-positioned for the year ahead.

Step 1 – Get your paperwork in order

If your current accounting practices involve a few Excel sheets and shoeboxes of receipts, this step is likely to be the most daunting. Before you can start, you’ll need to collate all the relevant financial documents, including income statements, expense receipts, invoices, and any other tax-related documents. If you’re using an accounting software, the documentation will be readily at your fingertips. If you’re working with a registered accountant, they’ll take care of most of this for you!

The feasibility of working with an accountant or even using accounting software often depends on the size and profitability of your business, but don’t forget that these costs can be claimed as a business expense.

Step 2 – Review, reconcile, resolve, and maximise

If you’re running a small business, you’ll want to monitor your profit and loss (P&L) to ensure you pay ahead expenses, superannuation contributions or distributions to maximise tax benefits, and minimise tax payable where possible. Carefully consider any deductions and credits that may lessen your tax burden. This includes charitable donations and contributions to retirement accounts, and if it makes financial sense, it may be a good time to make any larger claimable business purchases to offset payable taxes.

• The best source of information on what you can claim (or not) is this Australian Taxation Office resource. It’s also prudent to reconcile your accounts and resolve any discrepancies, get on top of any outstanding invoices, pay off outstanding bills, and take stock of your current inventory. Don’t leave this until the end of June, as you’ll want any payments actioned and processed well before EOFY.

• If you have rental properties within your investment portfolio, your property manager should provide an annual statement of all income and expenses managed by their office. This will ensure you have the relevant information on hand when you need it, if your property manager isn’t providing you with this information, it might be time to find a new property manager.

Step 3 – Check in with your financial goals

Carve out time towards the end of the financial year to check in with your financial goals and refresh, reassess and tweak where necessary. It’s also a great time to formulate new goals and look for fresh opportunities. This could include investigating ways to grow your business or shift your focus to a more profitable opportunity. If you’re considering expanding or establishing a property investment portfolio or simply needing a polish, contact your local real estate partner for advice on rebalancing it to align with your financial goals and risk tolerance. This simple step can set you up for a prosperous year ahead.

Step 4 – Budget for the future

Once you’ve got a solid handle on your goals, review your budget with fresh eyes and identify areas that can be tweaked and revised. It’s now that you can reallocate funds to align with your goals – whether that’s paying off debt, investing in new opportunities or boosting your savings – and from a business perspective, revisit these eight simple tools that can help put your business in the best possible position. This can also be a good time to enlist expert advice from partners like financial advisors. Their fresh perspective and specialist knowledge are often invaluable sources of ideas and tips that can lead to smarter, more focussed financial decisions.

Step 5 – Prioritise personal development

A crucial step that’s often overlooked is making time for personal development. This could be laser-focussed education, like attending workshops or seminars, reading books and articles, or listening to podcasts on relevant financial topics. Or, on a deeper level, understanding your money mindset. While it might sound a bit airy fairy, it can go a long way in helping you shift deeply ingrained (and often subconscious) attitudes towards money or enabling you to harness the benefits of your current mindset.  The more you understand managing your finances, the better you’ll be equipped to make educated, informed decisions that propel you forward.

Step 6 – Celebrate and set the tone for the year ahead

Before you dive straight into the financial year ahead, schedule a celebration for what you’ve achieved over the last year. Soak up the wins you’ve had and the goals you’ve smashed, and recognise any positive changes you’ve made (professionally and personally) that have led to growth. This celebration could be anything from taking yourself out for a 3-course lunch, a small team Christmas in July get-together or a bigger bash if budget permits. Reflecting will help you re-energise and refocus, setting the tone for a positive financial year to come.

Look forward to a bright financial future

The end of the financial year doesn’t have to be stressful. With a few simple strategies, tools, and techniques, you’ll be able to streamline your finances, carve out time to celebrate what you’ve accomplished and be well-positioned to embrace the opportunities ahead. And if you still need more advice on getting your financials in tip-top shape, revisit these ten tips.