Q. I’m not good at saving, how can I make sure I have enough money for the tax man at the end of the quarter/year?
A. BOB has developed a system specifically for contractors, sole traders and small business to ensure tax liabilities are taken care of before the bill comes in the mail. BOB uses a transactional Business bank account in your name to keep your tax money aside and safe until it is required.
Q. My insurance costs are through the roof, how can I get a better deal?
A. BOB has used the bargaining power of a large pool of contractors to negotiate a group discounted rate on our insurances. What does this mean? Contractors can gain automatic acceptance onto the Back Office Biz umbrella policy at cheaper rates than an individual contractors could generally source. BOB insurances include Public Liability and Income Protection.
Q. Do I have to use BOB insurances?
A. NO – A BOB client is required to be covered by Income Protection and Public Liability but if you can find a cheaper rate or have a preferred insurance provider we encourage you to use their services. We can still assist you with insurance payments, updating reminders and forwarding on to clients/customers.
Q. I directly engage contractors, how do I know if they are compliant?
A. In 2007 the Australian Government passed the Independent Contractors Act (2007). In laymans language, the Act stated that a contractor could work outside of employment legislation as long as they met the common law terms which primarily amount to 22 tests. Some of the more common tests include the 80/20 rule, payment by results and delegation. For a free consultation with a BOB Broker please call 1300 275 262.
Q. What are the consequences if my contractors are deemed to be employees?
A. Incorrectly engaging employees as contractors has consequences for both the business and the contractor. Getting it wrong or not tidying up the structural details can cost you personally or your company a lot of money with retrospective payments being sought as well as penalties. Penalties can include:
- Workers Compensation
- Taxation liabilities
- Superannuation contributions
- Employee entitlements e.g. annual leave
- Risk of unfair dismissal
- State and Federal award application
- Potential fines
Q. I have no time to run my contracting business with all the paperwork I need to do, how can BOB help?
A. BOB has developed an automated system that will produce tax reports and withhold tax liabilities, make insurance payments, make superannuation payments and produce draft Business Activity Statements (BAS). Additionally you are provided with weekly BOB statements so you can keep track of your money. Say goodbye to the calculator, receipts and messy paperwork BOB does it all for you.
Q. How can I source extra work opportunities?
A. BOBNett is an online job board allowing contractors to post their qualifications and abilities for free. Hirers from a wide range of industries regularly post work opportunities, if you have the qualifications to complete the task you will be offered the work.