Most business owners treat 1 July like any other day. The ones who don’t are usually the ones who end up ahead.
A new financial year isn’t just a date on a calendar. It’s a genuine reset point where the rules update, the thresholds change, your obligations refresh and you get a clean run at the next 12 months. The business owners who use July well tend to spend less time scrambling in June the following year.
This is a practical guide to the seven things worth doing right now, while the new financial year is fresh and before the noise of the day-to-day takes over.
Quick Summary– Award and minimum wage rates increase by 4.75% from the first full pay period on or after 1 July 2026 |
1. Check Your Payroll Is Set Up Correctly for the New Year
Before you run a single pay in July, take ten minutes to verify your payroll setup is current. A few things changed on 1 July that directly affect what comes out of each pay run.
Award and minimum wage rates have been updated following the Fair Work Commission’s 2026 Annual Wage Review. A 4.75% increase to minimum wages applies from the first full pay period on or after 1 July 2026. The lowest ongoing award rate must be at least $1,004.90 per week or $26.44 per hour. If you pay anyone under a Modern Award or the national minimum wage, check that your payroll software reflects the new rates before you process your first July pay run.
PAYG withholding tax tables have also been updated by the ATO for 2026-27. All 15 withholding schedules and 12 tax tables apply from 1 July 2026. Most payroll software updates these automatically, but it is worth confirming rather than assuming.
A pay run processed on the wrong rates is a headache to fix. A few minutes of checking now saves hours later.
2. Confirm Your Super Setup Under the New Payday Rules
If you employ staff, Payday Super is now law. From 1 July 2026, superannuation guarantee contributions must be paid at the same time as wages, and must reach the employee’s super fund within 7 business days of payday. The previous quarterly payment system no longer applies.
We have covered everything you need to know about Payday Super in detail in our dedicated article at https://cotchy.com.au/articles/payday-super-is-here-1-july-2026/. If you haven’t read it yet, now is the time.
The short version: your clearing house needs to be set up, your payroll software needs to be configured, and your cash flow needs to account for super going out with every pay run rather than in a quarterly lump. If any of those are not yet in place, please call us today.
3. Update Your BAS Schedule and Key Dates for the Year
Pull up a calendar and block in every BAS lodgement date for the year ahead. It takes five minutes and removes one of the most common sources of unnecessary stress for business owners.
For most quarterly BAS lodgers, the 2026-27 due dates are:
- Q1 (July to September): 28 October 2026
- Q2 (October to December): 28 February 2027
- Q3 (January to March): 28 April 2027
- Q4 (April to June): 28 July 2027
If you lodge monthly, your BAS is generally due on the 21st of the following month. Missing a BAS deadline attracts penalties and interest. Knowing the dates in advance means you can plan around them rather than scramble toward them.
4. Review Your Cloud Accounting Software Setup
A new financial year is the perfect time to make sure your accounting software is working for you, not against you.
Ask yourself honestly: are your bank feeds up to date and reconciling cleanly? Are your expense categories set up correctly? Are you actually looking at your reports, or just hoping the numbers are right?
If you are still doing your books manually or using a spreadsheet, July is the ideal time to make the switch to cloud accounting. If you are already on a platform, check whether your subscription plan still suits the size and complexity of your business. A five-minute review of your setup now can save meaningful time and money over the next twelve months.
5. Set a Budget and Cash Flow Forecast for 2026-27
Most business owners know what happened last year. Far fewer know what they are planning for this year.
A budget doesn’t need to be complicated. Even a straightforward monthly forecast of your expected income and expenses gives you something to measure against. It helps you spot problems early, make better decisions about spending, and have more informed conversations with your accountant or bank.
July is the best possible time to do this because you have a full year of clean 2025-26 data to draw from. Use last year’s figures as your baseline, adjust for any known changes, and give yourself a plan to work from. If you’ve never done a cash flow forecast before, ask us.
6. Check the New Thresholds That Apply to Your Business
Several figures updated on 1 July that could directly affect your business decisions this year.
Superannuation guarantee rate: remains at 12% for 2026-27.
Car thresholds: the car limit for depreciation purposes is now $69,883. The luxury car tax thresholds are $91,661 for fuel-efficient vehicles and $80,809 for all other vehicles. The cents per kilometre rate increases to 91 cents per kilometre. If you are planning a vehicle purchase this year, these figures matter before you sign anything. We have covered the full car thresholds for 2026-27 at https://cotchy.com.au/articles/ato-car-thresholds-2026-27/
Instant asset write-off: the Government has announced a permanent $20,000 instant asset write-off for small businesses with aggregated turnover under $10 million from 1 July 2026. Note: as at the date of publication this measure has been announced but is not yet law. Speak to your accountant before making purchasing decisions on this basis.
7. Book a Check-In With Your Accountant
This one is simple but it might be the most valuable thing on this list.
July is the quietest time in the accounting calendar. Your accountant isn’t under the pressure they face in October or May. That makes it the best time for a proper conversation about your business, not just a compliance catch-up, but a genuine planning discussion.
What does a strong 2026-27 look like for your business? Are there structural changes worth considering? Are there things that came up last year that you want to handle differently this time?
The business owners who get the most from their accountant are the ones who talk to them at the start of the year, not just at the end of it.
Whether you’re already a Cotchy client or you’re looking for an accountant who will stay across your business throughout the year, we’d love to help. Book a check-in with our friendly team at https://cotchy.com.au/contact-us/.
A New Year Is Only as Good as What You Do With It
The business owners who finish 2026-27 in a better position than they started will not be the ones who were luckiest. They’ll be the ones who made a few deliberate decisions in July while everyone else was waiting to see what the year brought.
None of the seven things above require a lot of time. Most of them require less than an hour. But done consistently, they change the way your business runs for the rest of the year.
If you want help with any of them, that’s exactly what we’re here for.
1800 COTCHY (1800 268 249) | zoet86.sg-host.com/contact-us/
Frequently Asked Questions
What changes on 1 July 2026 for Australian businesses?
Several things change from 1 July 2026, including the start of Payday Super (super must now be paid on each payday and reach the fund within 7 business days), updated Fair Work minimum wage rates (4.75% increase), new ATO PAYG withholding tax tables, updated car thresholds and a Government announcement to permanently extend the $20,000 instant asset write-off for eligible small businesses (not yet law as at 1 July 2026).
What is the superannuation guarantee rate for 2026-27?
The superannuation guarantee rate remains at 12% for the 2026-27 financial year.
When are BAS due dates for 2026-27?
For quarterly lodgers: 28 October 2026, 28 February 2027, 28 April 2027 and 28 July 2027. Monthly lodgers are generally due on the 21st of the following month.
What is the car limit for 2026-27?
The car limit for depreciation purposes is $69,883 from 1 July 2026.
What is the cents per kilometre rate for 2026-27?
The cents per kilometre rate is 91 cents per kilometre for 2026-27, up from 88 cents in 2025-26.
What is the minimum wage from 1 July 2026?
Following the 2026 Annual Wage Review, minimum award wages increase by 4.75% from the first full pay period on or after 1 July 2026. The lowest ongoing award rate must be at least $1,004.90 per week or $26.44 per hour.
Do I need to do anything differently with super from 1 July 2026?
Yes. Under the new Payday Super rules, super must be paid on every payday and must reach the employee’s super fund within 7 business days of payday. The previous quarterly system no longer applies.
Is July a good time to talk to an accountant?
Yes. July is one of the quietest periods in the accounting calendar, which makes it an ideal time for a planning conversation rather than a compliance catch-up. Getting advice at the start of the year tends to produce better outcomes than waiting until tax time.
Sources:
Payday Super rules and 7 business day deadline: https://www.ato.gov.au/businesses-and-organisations/super-for-employers/payday-super/about-payday-super
Car thresholds from 1 July 2026: https://www.ato.gov.au/businesses-and-organisations/small-business-newsroom/car-thresholds-from-1-july
Cents per kilometre rate 2026-27 (LI 2026/D12): https://www.ato.gov.au/law/view/document?DocID=OPS%2FLI2026D12%2F00001
$20,000 instant asset write-off (announced, not yet law): https://www.ato.gov.au/about-ato/new-legislation/in-detail/businesses/20000-dollars-instant-asset-write-off
Minimum wage increase from 1 July 2026: https://www.fairwork.gov.au/about-us/workplace-laws/annual-wage-review/annual-wage-review-2026
