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Business Mentors: a secret weapon behind thriving businesses!
March 17, 2022![](https://www.businesspositive.com.au/wp-content/uploads/2022/11/Untitled-design-e1669258248295.png)
Employment Contracts – Why do businesses need them?
November 24, 2022The 2022-23 Federal budget had a focus on job creation, skill development and cost of living relief.
What the budget delivered
Small business productivity and security: to boost investment in skills and new technology the government has announced:
- $120 tax deduction for every $100 spent on training employees.
- $120 tax deduction for every hundred dollars spent on digital technologies such as cloud computing, e-invoicing, cyber security and web design.
- Supporting investments of up to $100,000 per year.
Support for small business:
- $1.85 billion worth of cashflow relief will be provided to small businesses and sole traders. An average business is set to be benefited by about $800.
- $4.6 million to extend Beyond Blue's NewAccess for Small Business Owners program and $2.1 million for Financial Counselling Australia's Small Business Debt Helpline.
Supporting Businesses to go Digital
Small business with annual turnover of less than $50 million will have access to a new bonus 20% deduction for the cost of expenses and depreciating assets that support digital uptake – up to $100,000 of expenditure per year.
Instant asset write-off
This has been maintained until 30 June 2023.
Boosting Sovereign Manufacturing Capability
The government is investing further $328.3 million in the Modern Manufacturing Strategy.
Expanding the patent box tax concession
This will assist manufacturers to translate good ideas into commercial outcomes and SMEs to innovate and adopt new technologies.
Regional internet services:
The government will spend $480 million to upgrade regional internet services, enabling up to one million businesses and households in regional and remote areas to access fixed wireless services for faster internet speeds. This bodes well for regional businesses.
Apprentices and trainees:
The Australian Government has provided an additional $365 million to extend the Boosting Apprenticeship Commencements (BAC) wage subsidy, which was originally due to end on 31 March 2022, for a further three months until 30 June 2022. It is expected that an additional 35,000 apprentices and trainees will be supported under the extended scheme.
From July 2022 a new apprenticeships incentive system will be offered. Apprentices and trainees in priority occupations will receive a direct payment of up to $5,000 over two years and employers may be eligible for up to $15,000 in wage subsidies. After real growth in apprenticeships through the pandemic, the new system only targets priority occupations which may risk reducing apprenticeship commencements at a time when skills needs are significant.
Employee Upskilling
Businesses with annual turnover less than $50 million will have access to a new bonus 20 per cent deduction for the cost of external training courses delivered to their employees by providers registered in Australia.
There is a $3.7 billion increase in funding to the VET sector (pending agreement with states and territories) and an expansion of the Transition to Work employment service, introduction of the ‘ReBoot’ pre-employment program to provide mentoring and learning experience for young people, and training subsidies for people who want to work in the aged care sector.
More details can be found here.