To be eligible to claim working from home (WFH) expenses, you need to be genuinely working from home to fulfil your employment duties, not just checking emails or taking occasional calls. You must also incur additional running expenses because of your WFH arrangement. These additional costs can typically include energy expenses for heating, cooling and lighting, home and mobile internet or data, phone expenses, and stationery or office supplies. When it comes to calculating your deductions, you can choose the “fixed rate method” or the “actual cost method”. For both methods, you’ll need records that accurately track your WFH hours. You can keep a diary or timesheets covering a representative four-week period showing your usual work pattern, or you can maintain a record of your entire year’s WFH hours. You’ll also need documentation showing you’ve incurred additional expenses, such as receipts and bills, and be able to demonstrate the proportion that relates to work. Fixed rate method: This approach simplifies your calculations by applying a set rate for each hour you work from home. For the 2024–2025 income year, this rate is 70 cents per hour. To calculate your deduction, simply multiply your total WFH hours by 70 cents. Remember, if you choose this method, you can’t claim additional separate deductions for expenses already covered under the fixed rate method, such as stationery supplies. Actual cost method: This approach requires you to keep detailed records of all additional costs incurred while working from home. You’ll need to track your WFH hours and maintain comprehensive records for all your WFH expenses. You can make separate claims for expenses not covered by either of the above methods, such as work-related technology and office furniture like chairs, desks, computers and bookshelves, as well as repairs or maintenance on these items. If you’re unsure whether an item you want to claim qualifies as an allowable work-related expense, check the ATO website for guidance or speak with your registered tax agent before including it in your return. If you would like to know more, you can visit Here

Starting 1 July 2025, the Fair Work Commission has announced a 3.5% increase to both the National Minimum Wage and minimum award wages. Key Details: New National Minimum Wage: $24.95 per hour or $948 per week. Applies to: Employees not covered by an award or enterprise agreement. Effective Date: From the first full pay period on or after 1 July 2025. For employees covered by awards—which outline minimum pay rates and conditions for specific industries or occupations—the same 3.5% increase applies. This adjustment will also take effect from the first full pay period starting on or after 1 July 2025. What This Means: For Employees: You can expect a pay increase reflecting the 3.5% rise, depending on your current wage and coverage under an award or agreement. For Employers: Ensure that payroll systems are updated to accommodate the new wage rates from the applicable date. The Fair Work Ombudsman will update its Pay and Conditions Tool and other resources to reflect these changes. It's advisable to check these tools closer to 1 July to confirm the specific rates applicable to your situation.  If you want to learn more about the minimum wage increase, contact us today. P- 03)5571 0111 or click Here