January Check-in: 3 things NZ businesses can do now to prepare for year end

January is that in-between month. The holidays are winding down, emails are picking up again, and suddenly the end of the financial year doesn’t feel that far away.

If you’re a business owner, this is actually one of the best times to get ahead without the pressure that comes with leaving everything until March.

Here are three simple things you can do in January to make the time leading up to 31 March far less stressful.

1. Clean up the admin while things are quieter

January is a great time to tackle the “I’ll get to it later” list:

• Reconcile bank accounts

• Chase up missing invoices or receipts

• Review subscriptions and recurring costs

• Make sure payroll and GST are up to date

  
  

None of this is exciting, but a tidy set of records now gives you clearer numbers to work with and more time to make decisions before the year ends, rather than reacting afterwards.

2. Thinking about buying an asset? Timing matters

If you’ve been considering upgrading equipment, vehicles, tools or technology, now is a good time to revisit that decision.

Under the Investment Boost, eligible new assets may qualify for a 20% deduction in the year of purchase, on top of normal depreciation. If the timing and asset type are right, this can make a meaningful difference to your tax position.

This doesn’t mean buying something just for the tax deduction but if the purchase already makes sense for your business, when you buy it can matter.

Before going ahead, it’s worth checking:

• Is the asset eligible?

• Will it be in use before year end?

• Does it work for your cashflow?

  
  

A quick chat with us can help you avoid expensive assumptions.

3. Stock on hand (including livestock)

If your business holds stock, January is a great time to get organised early, and that includes livestock.

For retail, manufacturing and wholesale businesses, this means checking inventory levels and identifying slow-moving or obsolete stock. For farming and agri businesses, it’s about making sure livestock numbers are accurate and up to date.

Leaving stocktakes until late March often leads to rushed counts, estimates and unnecessary stress. Doing a preliminary tidy-up now helps ensure:

• Old or obsolete stock is identified early

• Write-downs aren’t missed

• Livestock numbers are recorded correctly

• Your final stocktake is faster and more accurate

It’s one of those unglamorous jobs, but whether it’s products on shelves or animals on farm, a bit of work now can make a big difference at year end.

Don’t wait until March to ask questions

One of the biggest mistakes we see is businesses waiting until the financial year has ended before asking what they could have done differently.

January and February give you options. March mostly gives you deadlines.

If you’re unsure about asset purchases, deductions, cashflow or what your tax bill might look like, now is the time to talk it through. If you’d like help making sense of your numbers before things get busy, we’re always happy to help.

Contact Us