What a tumultuous financial year the 2023 year was. 2024 looks like it might be more of the same. NZ continues to have elevated inflation, higher (although historically pretty reasonable) interest rates, reducing property prices, trimmed milk price forecast, shortage of labour, excess demand, and a plethora of other factors determining how the year will play out.
However, there is nothing that happens in business that you can’t prepare for. And an important first part of being prepared is creating a budget. Yep, time to sit down and work out how you expect the financial year to shake out.
Why is a budget important? Simply, it helps you make better financial decisions. Whether that’s keeping track of revenue, understanding your finance requirements or provisioning for stuff like tax, a budget will help you prepare. And if you do stray from the expected path, a budget will help you recognise quickly if things are starting to go pear-shaped.
To learn a bit more about budgeting, check out this article from Xero
If you need a hand with budgeting, get in contact.
Paying the minimum
If you employ staff who receive the minimum wage or the starting-out wage, then good news for them – they’ve just had a pay rise.
Effective from 1 April 2023, minimum wage is now:
$22.70 per hour
The starting-out (training) wage is now:
$18.16 per hour
So make sure your payroll is up to date.
Check out this from Employment New Zealand to find out more.
Have a great April!