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Welcome to our latest COVID-19 weekly newsletter.

Firstly, we hope you are all staying safe and self-isolating. It is a crazy world we now live in, but even crazier when you see pictures and hear stories of selfish individuals who think the rules don’t apply to them as they continue to socialise and have ‘corona parties’. Seriously!?

Here at Mukiwa we are slowly getting used to the new norm. We are juggling kids, trying to get in some exercise and managing our client work. We are having daily huddles using Microsoft Teams where we all conference in and tell the rest of the team how we are doing and what we’re currently up to. We also use it as an opportunity to discuss all the latest developments and how this might be impacting our clients.

You will no doubt all be aware that the Government announced the 3rd round of stimulus packages last night – principally aimed at ‘Job Keepers’. The details are still coming through and it is to be legislated by a special sitting of parliament early next week.

We have outlined what we know so far in our JobKeeper blog, but I am sure you will all still have questions as to what this will mean for you and your business. If we don’t know the answer yet, it is because the details are still to be released – so please bear with us.

What Is Mukiwa Doing to Help?

In these crazy times the Mukiwa Team has been discussing at length what we can do to try help our clients as so many of you are going through a tough time. We have prepared a Business Continuity Plan (BCP) for our business clients and will continue to keep you all informed through these weekly updates.

We’re also updating our Blog regularly with information on the stimulus packages, state initiatives and ATO directives. We have setup a dedicated COVID-19 Resources webpage. If you have a question, we would strongly recommend you go here first where you can find all of our Mukiwa updates and COVID-19 blogs along with other articles and resources we will add along the way (tip: save this page as a bookmark so you can easily come back to it).

We have created a PAYGW Rebate calculator which can be accessed here. This will give you an indication of how much, and when you can expect to receive the rebate.

However, we know that is still not enough.

We know that business owners need even more help during these times, including having someone there to guide them, someone to give them direction, someone to just talk too.

14 Week Assistance Programme

So, we are now going to be dedicating a significant amount of our resources to helping our clients through a 14-week assistance programme, focused around:

  • Reviewing your Business Continuity Plan and identifying key priorities to ensure your business can come out the other side,
  • Preparing and constantly reviewing a 14-week cashflow forecast, to help you build a cash war chest, essential in ensuring the survival of your business. Cash flow forecasts will be very useful if/when businesses are applying to the banks for loans.,
  • A series of actionable checklists which can make a real difference in times like this,
  • Accountability, with regular check-ins to ensure you are actioning these actionable items and focusing on the priorities,
  • Just being a friendly voice, to listen to you and give you the support and comfort you need right now.
If you would like to partake in this programme, please get in touch with our Practice Manager, Julie Tassone (

Personal Finances

Australia, and the world, is facing two crises at the moment – health and financial. This isn’t just a macro issue, the same applies to us as all as individuals.

At times like these, families and small business owners often neglect themselves. They are so wrapped up in trying to keep their business afloat that they forget about the most important cog in their business.

So, we thought to ask you all, who has pulled together or updated their own personal family cashflow budget?

If not, why not?

You need to look after yourselves first. If you don’t, then you can’t assist others. It is as simple as that.

This is the perfect opportunity to really look at your family income and expenses to identify opportunities to build that cash war chest for yourselves. We all know private health insurance was due to increase on 1 April 2020 and while increases are on hold at this time, it will inevitably happen – why not use this opportunity to shop around and see if you can get a better deal right now?

The easiest and most efficient way to get a clearer picture of your family’s financial position is to set up a personal Xero file, bring in all your bank & credit card transactions, and reconcile all your income and expenses. Once up to date, all that you need to know will be there in black and white.

To help with this, we are offering our clients a special deal, which will include:

  • Assistance with setting up a family Xero file
  • Import bank & credit card transactions
  • 30min screen share Xero training session
  • 12 months Xero subscription
We would love to be able to help our clients by offering this valuable service for free - however, we obviously need to cover our costs. We can, however, offer you this service at a discounted fee of $275. Being a tax deductible cost, if you are in the 47% tax bracket, the actual cost to you will only be $145.75 – bargain!

And the added benefit, just think how easy it will be to prepare your 30 June 2020 tax return with all the information literally a click away.

To further help, we have created a family cashflow forecast model which we are offering our clients free of charge. If you would like to receive this model, please get in touch with Julie ( and we will happily send it through.

Justin Hooper, the owner of Sentinel Wealth Management, leads an awesome team of financial advisers.

If you’re looking at your personal finances, now is the opportune time to have a chat with Justin to learn more about their wealth creation philosophy and how they will be able to help you achieve your financial goals.

Be Kind to Yourself

Sydney Physio Logo
Our good friends at Sydney Physio Group have passed on the following message:

‘We have already seen a huge increase in back and neck injuries this week as our clients don't have their best work setup at home, and we are COMMITTED to making sure this doesn't happen to YOU.

Many of us are used to working with dual screens, an ergonomic chair, and a separate keyboard and mouse. And we're now going it alone with just a laptop. If you're guilty of sitting on the couch with your laptop (or worse, your bed!), this is especially important for you.

It looks like we're all WFH (working from home - we're learning the lingo too) for a little while, so now is the time to make sure your setup is correct. Don't worry, we've got you covered. You can now get your workplace setup checked by a Physio, without even leaving your house! (Pants optional, but preferred).

We are excited to launch our VIRTUAL ergonomic assessments! All you need is a smart phone or device with a camera, and we’ll do the rest. For a short time only, we are offering this to all our loyal clients for only $30 (usually $97).

Book TODAY by clicking here - this will be the best money you spend in the coming months, we promise. We have a few appointments available online by following the link below, or phone or email your physio to organise another time!’

Update on the PAYGW Rebate (Stimulus 2.0)

We’ve finally received some directive on the integrity rules that will come into effect with regards to the PAYGW credit rebate.

Because the amount of the credit is based on the PAYG withholding on an Activity Statement, this new measure may be open to exploitation, such as where a director who typically receives remuneration by way of dividend, instead changes their remuneration to salary and wages. To counter this, the explanatory memorandum to the legislation contains the following qualification:

Eligibility is also subject to a specific integrity rule to defeat artificial or contrived arrangements to obtain the cash flow boost.

If an entity, or an associate or agent of an entity, undertakes a scheme with the sole or dominant purpose of obtaining or increasing the amount of the cash flow boost in relation to a period, the entity is not eligible for the cash flow boost for that period. In this context, scheme has the same meaning as in section 165-15 of the A New Tax System (Goods and Services Tax) Act 1999 and includes plans, arrangements and courses of conduct.

This ensures that artificial arrangements undertaken solely to obtain the cash flow boost are ineffective. In terms of the type of arrangement that would attract attention, the ATO website has the following messaging:

You will not be eligible for cash flow boosts if you (or a representative) have entered into or carried out a scheme for the purpose of:

  • becoming entitled to cash flow boosts when you would otherwise not be entitled, or,
  • increasing the amount of the cash flow boosts.
This may include restructuring your business or the way you usually pay your workers to fall within the eligibility criteria, as well as increasing wages paid in a particular month to maximise the cash flow boost amount.

Ultimately, it’s not for a bookkeeper to determine the proper wages that should be paid to a principal in a business. For instance, a director may work longer hours in these troubled economic times and thus be paid a higher wage.

However, it is important to at least be aware of this anti-avoidance provision, perhaps with a view to raising it with your accountant in the event that wages in upcoming Activity Statements are anomalously large or where owners seek to increase their remunerations when compared to prior periods so as to increase the cashflow boost.

If you have any questions, please reach out to either Ben or Steve.

More updates to follow as we get them. Until then, stay safe.
From the Mukiwa Team

JobKeeper - Federal Government Stimulus Package 3.0

JobKeeper - Federal Government Stimulus Package 3.0
The JobKeeper Payment is designed to help businesses affected by the Coronavirus to cover the costs of their employees’ wages, so that more employees can retain their job and continue to earn an income. Details of the JobKeeper stimulus package are still coming through – and it is still to be passed into law. However, here is what we know …

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