How to have a happy EOFY and maximise your tax return, with ubank

Many young Aussies have been doing it tough financially, which can make tax time hard. So with the End of the Financial Year (EOFY) fast creeping up on 1 July, it’s time to run our finances through a necessary checklist. Are we prepared to file our returns and make the most of it? 

Here’s how young Aussies can beat the cost of living this tax season, with expert advice from ubank.

Always consult with a registered tax professional.

If you see the terms “tax” or “Australian Taxation Office”, does your brain shut down? You’re not alone: we’d all rather not deal with things that feel large and confusing. But the way through that is to tackle it head on, says ubank’s chief product and growth officer, Andrew Morrison. 

“Unleash the power of knowledge by exploring the ATO website,” encourages Morrison. “Discover your tax bracket and gain a clear understanding of how much your hard-earned income goes toward taxes.”

It’s all about empowerment regarding your spending decisions: the more you understand what you can claim and what’s relevant to you, the more agency you have over your finances, whether working from home or casually in a cafe.

Shoebox under the bed, begone! “It’s time to take control of your financial paperwork like a pro,” says Morrison. And that means compiling receipts and establishing a system that works for you. 

For extra points, collect all your deductible receipts immediately throughout the year, and keep them all in one trusty place. If you’re a smartphone fan, consider using the ATO app, whose myDeductions portal can be a one-stop shop for capturing and storing receipts. Love online shopping? Try an email folder instead!

“These simple, yet impactful changes will save you from future headaches and ensure your financial success,” says Morrison.

The rules for what you can claim working from home have changed this year, so it’s important to brush up on what that means for you.

“With the revised fixed rate method, claiming a WFH deduction has been simplified. However, maintaining accurate timesheets or rosters throughout the financial year is crucial,” explains Morrison.

“The ATO now requires real-time records, leaving no room for estimates or a representative diary. For comprehensive details on eligible WFH claims, refer to the ATO's working-from-home fact sheet.”

Last but not least, embrace the fresh start EOFY can give you! While it doesn’t erase the slate, it can dust you off, and help you prepare great new habits for the next EOFY.

“July marks the commencement of a fresh chapter, allowing you to reimagine your financial management strategies,” says Morrison.

“If you plan to continue WFH, devise a reliable system to track your WFH hours effectively. Additionally, seize this opportunity to adopt better record-keeping practices. If you overlooked receipts in the past, now is the perfect moment to explore receipt management apps or fish out that spare shoebox hidden under your bed.”

Consider this your mid-year resolution. 

Compare high-interest savings accounts for your juicy tax return below.