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How To Handle Staff Resignations

When an employee announces that they want to resign from their position, it can be inconvenient and disruptive for the business.

Suddenly, the business is faced with a number of things that must be considered – how will the former employee’s responsibilities be covered? How will the team be affected? How should the business go about hiring and training a new employee? While it can be inconvenient dealing with these changes, there are ways to learn from the situation and encourage a smooth transition.

Identify why the employee is leaving

Employees often resign for personal reasons such as moving away, changing careers, or new commitments, however, there are cases where the employee may have an issue with the company itself. Perhaps they are dissatisfied with internal career advancement opportunities, are unhappy with the workplace environment or other staff members, or feel overworked and underappreciated. Understanding the internal problems the employee may not have wanted to admit prior to their resignation can be an opportunity to make improvements that will benefit the future of the workplace environment.

Conduct an exit interview

It can be beneficial for both the employer and employee to conduct an exit interview, where these reasons for resignation can be discussed and the employer can assess whether any changes should be made within the company based on this feedback. This could also be an opportunity to ensure all relevant matters between the employee and the company are settled before they leave.

Make a hiring plan

Hiring a new employee can be time consuming and stressful, so it can be useful to plan guidelines, recruitment tools, goals, and time frames to keep things on track. This can also help you better prepare for the interview process as you know going in what you are looking for in a new employee.

Reassure the rest of the team

Having one less employee can make the other staff feel overburdened with the extra workload. Talking to the employees and acknowledging this problem can help maintain morale and reassure them that this is temporary and they are being appreciated.

The Elements Of A Sale

The purpose of the sales process is to effectively convey the benefits you offer to a prospective client.

There are many elements that go into a sale, each being as in depth and important as the next. Setting realistic sales targets can help you meet your overall business goals. Sales techniques are used to convert more potential customers into paying customers, and while the closing of a sale is the end goal, maintaining a good relationship afterwards is crucial. Sales are all about a cohesive strategy and execution.

Before the sale

Every business is different and sales goals will vary depending on the different stages of the business cycle. Setting sales targets in areas that will boost growth and development will help direct and prepare business owners for the sales process. Sales targets will vary according to seasonal factors, marketing, production and supply costs. A good way to work out a sales target for your business is to calculate the minimum requirements. To determine your minimum sales requirement, work out how much you need to sell to cover fixed costs, your salary, and desired profit. Sales targets need to be realistic and take into consideration external factors, such as the economy, competition and volatile markets. These variables will significantly impact sales goals and therefore, it is critical to constantly monitor the business’ environment to adjust sales targets accordingly. Setting goals purely based on the previous year’s sales can be damaging to a business and lead to over-ambitious sales targets.

During the sale

A sales prospect can usually identify when a salesperson is running off an agenda. This approach can appear insincere and impersonal, thereby creating the opposite effect and driving the prospect away. Instead, ask about the prospect’s concerns and challenges by asking them questions to see if your product/service is suitable. Find out what is important to them and their expectations. If your products/services are a solution for them, pitch to them or provide alternatives. Do not expect that your product or service is going to be a solution for everyone. Value is a critical factor in a prospect’s purchasing behaviour. Using value-based selling can be helpful in generating more sales as it focuses on addressing the prospect’s problems by showing them the benefits of your product/service. Furthermore, providing examples of results, client testimonials and so forth can demonstrate more value to the prospect.

After the sale

Once the sale is complete, you will still need to look after your customers. Businesses with excellent customer service have an increased chance of maintaining and increasing their customer base. Following up after a sale demonstrates a continued interest in your client which can then create future opportunities, either from a returning customer or through referrals. Creating a referral program where the referring customer gains a discount or reward is a good way to boost your word-of-mouth marketing. Not only do you benefit from the new customer but it gives your existing customer an incentive to spread the word.

You may also consider creating a formal customer service program to ensure all customers receive the same level of service. Train, encourage and support your staff to help implement the program. Well-trained staff are your first point of call in ensuring your business has happy, satisfied customers.

Important Tax Dates

31 October 2019
Final date to add new clients to your client list to ensure their 2019 tax return is covered by the lodgement program.
Lodge tax returns for all entities if one or more prior year returns were outstanding as at 30 June 2019.

28 November 2019
Lodge and pay October 2019 monthly business activity statement

25 November 2019
Lodge and pay quarter 1, 2019–20 Superannuation guarantee charge statement – quarterly if the employer did not pay enough contributions on time.

1 December 2019
Pay income tax for taxable large/medium taxpayers, companies and super funds. Lodgement of return is due 15 January 2020.

Meet Tomoka Kawamoto

Beginning her career with Harris Black as a graduate accountant in 2010, Tomoka has honed her knowledge and expertise to be appointed into her current role as Senior Manager. Tomoka holds a Bachelor of Commerce from the University of Queensland and is an active member of Chartered Accountants Australia and New Zealand and the Taxation Institute of Australia.

Some interesting facts about Tomoka… Born in Kumamoto, Japan, Tomoka speaks fluent Japanese. Her proudest accomplishment is “placing 3rd in the National Karate Championships of Australia at 15 years old”. Interestingly, if she could eat one meal for the rest of her life, it would be “salt and vinegar chips and melting moment cookies”! Over the coming months, Tomoka is mostly looking forward to “being a mum” and a skill she would like to master is “handling two dogs and a baby”.

An excerpt of the interview with Tomoka is below.

To view the full interview, please click here.

Harris Black – New Website New Look

A recent review of our branding has culminated in an upgrade to Harris Black styles, document presentation and marketing materials. Whilst we all think the introduction of purple to our colour palette is pretty cool, the most exciting outcome is our fresh new look website (www.harrisblack.com.au) and the introduction of our Help.Achieve Blog (www.helpachieve.com.au)! Our Blog will keep you up to date with all the Harris Black happenings! We’ll also be posting articles on our Blog site that will help you comply with tax obligations and provide you with tips to grow your business and personal wealth too.

What won’t be changing of course is our approach to providing quality service to our valued clients… At Harris Black, we’re driven by a simple focus: We help You achieve. We’re passionate about helping our clients achieve their goals. We work collaboratively with you to understand your challenges and deliver strategic solutions with insight and clarity to improve your position.

ATO Sets Its Sights On Undisclosed Foreign Income

Do you have any amounts of offshore income you haven’t declared to the ATO – perhaps interest from a foreign bank account? Even if it seems like a small amount, you must declare it. International data-sharing arrangements are making your overseas financial affairs increasingly transparent, so don’t get caught out.

The ATO is keen to emphasise that its techniques for detecting offshore amounts are becoming increasingly effective. Cross-border cooperation between different tax jurisdictions means your financial information is being shared more than ever before.

If you’re an Australian resident for tax purposes, you’re taxed on your worldwide income. This means you must declare all foreign income sources in your return.
If you’re a non-resident, you generally only pay tax on your Australian-sourced income.

TIP: The main test for tax residency is whether you “reside” in Australia. There’s no single factor that determines whether you meet this test.
What if you’ve already paid tax on the income overseas? You still need to declare it to the ATO. However, you may be able to claim an offset for the tax already paid in order to prevent double taxation.

Got any amounts you’ve overlooked? Now is a great time to get help from your tax adviser with making a voluntary disclosure. You’ll often receive a reduction in ATO penalties and interest that would otherwise apply – and the outcome is generally much more favourable if you make a disclosure before the ATO commences an audit of your tax affairs.

How can we help you?

Today’s financial environment demands a regular review of strategy and a focus on execution.