Why tech adoption matters Running a small or medium business is often a juggling act – staff, customers, compliance, cash flow. For many owners, finding the time to step back and invest in digital transformation feels impossible. But technology adoption isn't just about keeping up with the times. It's a direct pathway to improved efficiency, stronger competitiveness and sustainable growth. The Technology Gap Holding Back Australian Businesses Research from CPA Australia shows a clear divide: only 26% of Australian small and medium enterprises (SMEs) invested in profitable technology last year, compared to 56% across the Asia-Pacific region 1 . While Australian owners are busy staying afloat, our regional counterparts in Singapore, Malaysia, and Vietnam are harnessing digital tools to expand sales, sharpen operations and reach global markets. The consequences are already visible. Just 55% of Australian small businesses expect growth in 2025, well below the regional average of 71% 1 . That gap highlights the risk of delaying technology adoption – while competitors are building resilience, many local businesses remain vulnerable. Why Digital Transformation Matters for SME Business Owners For business owners, the benefits of technology aren't abstract. They're practical, measurable and directly linked to profitability: Improved productivity:  Cloud accounting, AI assistants and automation help reduce admin load, freeing owners and teams to focus on revenue-generating work 2,7 New revenue streams:  With 67% of regional businesses earning over 10% of revenue online versus just 39% in Australia, digital channels remain an untapped opportunity 3 Smarter decision-making:  Tools like digital financial reporting and AI-driven analytics help give real-time clarity on cash flow, customer behaviour and profitability 4 Resilience in tough markets:  Inventory systems, supply-chain platforms and collaboration tools help businesses pivot quickly when conditions change 5 Stronger talent attraction:  Today's workforce expects digital workplaces – falling behind risks losing talent to more modern competitors 6 How to Start Tech Adoption without the Overwhelm You don't need to overhaul your business overnight. Start small, focus on quick wins and scale with confidence: Adopt simple cloud tools:  online booking systems, digital payments and customer relationship apps deliver immediate impact 7 Seek expert advice:  only 18% of Australian SMEs use IT consultants, but the right advice can save costly mistakes 1 Use available incentives:  government rebates and tax deductions often support digital adoption when available 5 Share knowledge with peers:  collaborating through networks or advisors can shorten the learning curve and help spread best practice 6 Technology adoption isn't optional anymore. It's the difference between standing still and building a business that can adapt, grow and thrive in the years ahead. Forward-thinking owners who embrace digital transformation will be the ones driving competitiveness and seizing new opportunities, both locally and globally. Ready to explore what digital adoption could mean for your business? Collins Hume ‘s Strategy360 business advisory team helps business owners cut through the noise, identify the right tools and implement technology strategies that support long-term growth. If you'd like to discuss where to start, we're here to guide you. Contact Nathan McGrath on 02 6686 3000 for an obligation-free discussion on how Collins Hume can help you. Sources CPA Australia, Australian small businesses: Too busy to tech up, too behind to catch up (11 Aug 2025) Deloitte, State of Generative AI in the Enterprise - 2024 year-end Generative AI report Shopify, Australian Retail Report 2024 PwC, 28th Annual Global CEO Survey 2025 OECD, SME and Entrepreneurship Outlook 2023 Microsoft & LinkedIn, 2024 Work Trend Index - AI at Work McKinsey Global Institute, A Microscope on Small Businesses: Spotting Opportunities to Boost Productivity (May 2024)

Big Balances Beware If your super balance is comfortably below $3 million, you can probably relax — the proposed changes to the super rules shouldn’t adversely affect you (yet). But if your super is nudging that level, or if you’re clearly over, the Treasurer’s latest announcement could change how you think about super’s generous tax breaks. For some time now the Government has been planning to introduce targeted measures to reduce tax concessions for those with superannuation balances over $3 million. This has commonly been referred to as the Division 296 tax. However, the Government has reworked the proposed new tax — part of the Better Targeted Superannuation Concessions (BTSC) policy — attempting to make it simpler, fairer and more practical. After a wave of industry criticism, the revised version keeps the broad policy intent (reducing tax concessions for very large balances) but removes some of the more problematic features. We break down what’s changed and what it means for you. What’s Changing and Why It’s Simpler The original 2023 proposal aimed to apply an extra 15% tax on “earnings” from super balances above $3 million. The big flaw? “Earnings” included unrealised gains — paper profits on assets like property or shares that hadn’t been sold. This meant some people could have owed tax on increases in value they hadn’t actually received in cash. The reworked model drops unrealised gains from the equation entirely, taxing only realised earnings — actual income and capital gains when assets are sold. This makes the system far more practical and aligned with everyday tax rules. No more worrying about funding a tax bill on assets you haven’t sold. A Fairer, Tiered Approach The new rules introduce a two-tier system for high balances: Tier 1 ($3m–$10m): Extra 15% tax on earnings from this portion (making a total rate of 30%). Tier 2 (over $10m): Extra 25% tax on earnings above $10m (for a total rate of 40%). Both thresholds will be indexed annually to inflation ($150,000 steps for the $3m tier and $500,000 for the $10m tier), which should prevent “bracket creep” over time. Importantly, the start date has been pushed back to 1 July 2026, with the first assessments expected in 2027–28. The Government estimates less than 0.5% of Australians will be affected at the $3m level, and fewer than 0.1% at the $10m mark. What This Means in Practice Here are a couple of examples from Treasury to help you get your head around this. Consider Megan, who has a $4.5 million super balance split between an SMSF and an APRA fund. She earns $300,000 in realised income for the year within the super system. The super balance above $3m represents is one-third of the total balance, so she’ll pay $15,000 in additional Division 296 tax (15% × 33.33% × $300,000). Emma, on the other hand, has $12.9 million in her SMSF and $840,000 in earnings. She pays 15% on the Tier 1 portion and an extra 10% on the Tier 2 portion, a total of around $115,000 in extra tax. These examples show how the tax scales up progressively. The ATO will calculate each individual’s total super balance across all funds (SMSFs and APRA funds) and determine the proportionate amount of earnings to be taxed. Why It’s Still Good News (for Most) For many SMSF members, this update is a relief. By removing unrealised gains, it eliminates valuation headaches and liquidity pressures — particularly for those holding property or unlisted assets. That said, individuals with super balances above $10m will face a higher overall rate (up to 40%), which may prompt a rethink of long-term strategies. However, remember that updated legislation relating to this measure hasn’t been introduced to Parliament and things could change before the proposed rules become reality. Low Income Superannuation Tax Offset In addition to introducing the revamped Division 296 tax, the Government has announced that it will increase the Low Income Superannuation Tax Offset (LISTO) from $37,000 to $45,000 from 1 July 2027. The maximum payment will also increase to $810. Treasury estimates that the average increase in the LISTO payment will be $410 for affected workers. What to Do Now Check your total super balance (TSB) now and project where it may be by 2026. Seek advice early — strategies like managing liquidity, reviewing asset allocations and timing asset sales could make a real difference. Stay informed — draft legislation is expected in 2026. Overall, the Government’s revised approach strikes a more balanced tone: fewer administrative headaches for most, but less generosity for the ultra-wealthy. If your balance is near or above $3 million, now’s the time to plan ahead — not panic. Collins Hume will keep you updated through our client communications.

Why business owners and leaders can’t afford to overlook strategic planning Running a small or mid-sized business comes with constant pressures – managing operations, meeting customer demands and keeping pace with competitors. It’s easy to get caught up in the day-to-day and lose sight of the bigger picture. But without a clear strategy, growth stalls, risks multiply and opportunities pass you by. That’s where strategic planning comes in. Far from being a corporate buzzword, it’s the foundation for sustainable, long-term success – whether your goal is scaling operations, improving financial performance, or preparing for a future business valuation. What Strategic Planning Means for Your Business At its simplest, strategic planning is about setting long-term goals, defining the actions needed to achieve them and aligning your resources to stay on course. It’s about answering the big questions: Where do you want to be, and how will you get there? For business owners, tapping into strategic advisory services provides clarity, external perspective and accountability that can accelerate growth and sharpen focus. The Business Benefits of Strategic Planning For small and medium businesses, strategic planning delivers clear advantages: Direction and Focus  – A roadmap that keeps your business aligned with your vision and prevents distraction Adaptability  – The ability to anticipate change and pivot quickly in a fast-moving market Risk Management  – Early identification of threats and proactive contingency planning Resource Optimisation  – Smarter allocation of time, money, and people for maximum ROI Value Building  – Creating a business that not only performs well today but is also attractive to future investors, buyers or successors. How Expert Guidance Makes the Difference Strategic planning is only powerful if it’s implemented well. That’s where specialised expertise adds value. With the right advisors, business owners can gain:   Personalised Insight  – A clear picture of strengths, weaknesses, and growth opportunities Data-Driven Analysis  – Market trends and competitor insights that cut through the noise Goal Setting & Execution  – Practical steps to turn vision into results Succession Planning  – Ensuring a smooth transition when leadership changes, protecting both legacy and enterprise value Mentoring and Support  – Guidance to strengthen leadership capability, build team confidence, and maintain accountability over time. The Bottom Line Strategic planning isn’t a one-off exercise – it’s a living process that helps your business grow smarter, not just bigger. For business owners and leaders, it’s the difference between reacting to challenges and shaping your own future. Ready to unlock your business’s potential? Let’s work together to build a strategic plan that improves financial performance, strengthens resilience and delivers long-term results through proven strategic advisory services. Contact us today to start your journey toward sustainable success. Read more at https://www.collinshume.com/strategy360

Running a business isn’t just about making profits; it’s about managing them wisely. For many Australian business owners, the challenge lies in drawing a line between personal and business finances. Without structure, it can be easy to blur the boundaries, risking both cash flow and growth. A dividend policy offers the clarity needed to reward owners fairly  while keeping the business financially healthy. Why every business needs a Dividend Policy A dividend policy provides discipline around how profits are distributed Instead of random withdrawals, it creates a predictable framework for owner rewards More importantly, it ensures that money is available for tax, reinvestment and working capital. In today’s regulatory environment, this structure is not optional. The ATO is tightening its stance on shareholder payments, ownership groups are expanding, and the practice of running personal expenses through the business is increasingly risky. A clear dividend policy protects both the business and its owners. What is a Dividend Policy? At its core, a dividend policy is a set of rules that determines: When dividends are paid How much is paid How profits are balanced between owner rewards and reinvestment. This framework moves a business away from ad-hoc withdrawals and towards a commercial system that supports both growth and stability. Discipline is the real advantage Experience shows that the most successful businesses are those with discipline. Owners who pay themselves wages, keep finances separate and use structured dividend policies consistently outperform those who dip into business accounts at will. A dividend policy enforces this discipline, creating predictability and strengthening long-term sustainability. When should Dividends be paid? For private businesses, the best approach is usually quarterly or half-yearly dividends. Quarterly: Reflects true business performance without reacting to short-term fluctuations Half-yearly: Aligns with listed company practices and maintains consistency Annual dividends often feel too distant, while monthly payouts are prone to volatility. How much should be paid? The percentage of profits allocated to dividends depends on business type and maturity: Established businesses with steady cash flow:  20-40% of earnings works well High-growth businesses:  Retain more earnings for reinvestment Capital-intensive industries (manufacturing, construction, etc):  Keep higher reserves for stock, WIP and debt servicing Service businesses with smoother cash flow:  More flexibility to pay higher dividends. Debt levels also matter. In some cases, paying down debt delivers greater long-term value than distributing profits. Avoiding the ‘danger zone’ One of the biggest risks is declaring dividends the business cannot afford. Doing so can drain cash reserves and force owners to reinject capital, damaging both confidence and financial stability. Forward planning is essential. Businesses should model 6-12 months of cash flow to determine what is sustainable before declaring a dividend. Keeping policies relevant Even the best dividend policy is ineffective if ignored. Business owners should: Review regularly every 6-12 months to ensure alignment with current goals Stick to the rules if the policy dictates a dividend, pay it consistently. Having discipline builds confidence among owners and investors alike. Your Financial Performance: Why work with an Outsourced CFO? Many businesses turn to outsourced CFO (‘Chief Financial Officer’) services to design and manage dividend policies. A CFO can: Tailor policies to business goals and tax structures Model safe cash flow and working capital Balance shareholder returns with reinvestment needs Ensure dividends are declared and executed correctly. The result is financial clarity, consistent owner rewards, and stronger business performance. Final word for Business Owners A dividend policy may not sound like the most exciting part of business ownership, but it can transform financial discipline and provide a practical step that aligns rewards with growth and protects long-term stability. Now is the time to review if your business has a clear dividend policy in place. The right framework can prevent financial stress, keep shareholders motivated and provide peace of mind. If you’re looking to implement or review your dividend policy, professional guidance can help you structure it correctly from the start. An experienced advisor can ensure your approach works for your industry, your cash flow and your growth ambitions. Contact Nathan McGrath on 02 6686 3000 for an obligation-free discussion on how Collins Hume can help you. Further reading Australian Taxation Office. Using your business money and assets for private purposes » Australian Taxation Office. Privately owned and wealthy groups – Areas of focus 2024-25 » Australian Taxation Office. Tax performance programs for private groups »

Strategies for Couples to Thrive Together There comes a time in every relationship when finances move beyond “yours” and “mine” and start to become “ours.” Having joint finances might be sparked by a decision to move in together, tie the knot or simply make a bigger commitment to your shared future. Suddenly, you’re not just managing your budgets, but navigating the complexities of shared expenses, joint goals, and perhaps even a joint bank account. This transition can be exciting, but it also brings a unique set of challenges. Take Mark and Lisa, for example. They were thrilled to be moving in together, but quickly realised their spending habits were worlds apart. Lisa, the spender, loved to indulge in spontaneous shopping sprees, while Mark, the saver, preferred to keep a close eye on his budget. Their differing approaches led to more than a few disagreements and growing resentment. To overcome this hurdle, they decided to create a joint budget that included a “fun money” allowance for each of them and their discretionary spending. This way, Lisa could enjoy her shopping without derailing their shared financial goals, and Mark had the peace of mind of knowing their overall finances were on track. By compromising and communicating openly, they found a solution that worked for both of them. Just like Mark and Lisa, every couple will face their unique financial hurdles. But with open communication about finances, a proactive approach, and a willingness to understand each other’s perspectives, you can build a strong and secure financial future together. Steps to overcome frustrations and tension around money in your marriage include active listening, respecting each other’s perspectives, and finding compromises that work for both of you. With open communication and a proactive approach, you can build a solid financial foundation for your future together. Communicate and Create Your Financial Roadmap as a Couple Before you even think about combining finances, understand your individual goals on money, financial situations, and financial habits. This means having honest conversations about: Income Sources:  What are your incomes? Are there any side hustles or investments to consider? Is there any income disparity? Current Spending Habits:  Are you a spender or a saver? Track your expenses to get a clear picture. Debt:  Do you have any outstanding loans, credit card debt, or student loans? Be transparent about the amounts and repayment plans. And maybe come up with some debt management strategies. Financial Disparities:  Is there a significant difference in your incomes? Will one of you take time away from work to raise the kids? Or perhaps one of you needs to provide child support for children from a previous marriage? These might be things you need to address in your shared finances. Risk Tolerance:  Are you comfortable with investments or prefer a more risk-averse approach? Agreeing on if and how you’ll invest if you both choose to have one. Emergency Fund:  Do you have savings set aside for unexpected expenses? Credit Reports and Credit Score:  It’s also a good idea to discuss your credit reports and credit scores, as these can impact your ability to secure loans or rent a property together. For more information on this, you could read our comprehensive  12-step guide  to creating your financial plan. Learn how to set financial goals, create a budget, develop an investment strategy, and plan for retirement, all while protecting your family and building wealth. Setting Shared Goals Once you have a good grasp of your finances, it’s time to start thinking about your shared financial future. What are your common goals as a couple? Do you want to buy a house, travel the world, or start a family? Setting clear life and financial goals will help you prioritise your spending and saving. Using the SMART goals framework (Specific, Measurable, Achievable, Relevant, Time-bound) can be particularly helpful when setting these financial targets. Making Money Talks a Habit Communication is key to a healthy financial relationship. Make it a habit to talk about money regularly. This doesn’t have to be a formal budget meeting every week, but it should be an open and ongoing dialogue. Have regular financial check-ins with each other about spending, saving, and any financial concerns that may arise. Saving money as a couple requires teamwork and a tailored approach. Since there’s no one-size-fits-all solution, experiment with different budgeting methods until you find one that suits your unique needs and preferences. Work on getting on the same page when it comes to your financial goals and priorities (this might take some time and vulnerability!) – this shared vision will keep you motivated and working together. Finally, recognise and play to each other’s strengths. If one of you is a budgeting whiz while the other excels at finding deals, leverage those skills to create a balanced and successful financial partnership. Overcoming common financial hurdles often requires a shift in mindset. Mutual respect, with clear boundaries about spending and saving, and maintaining open and honest communication about finances, will help you navigate your inevitable differences. It is vital to defuse any developing resentment or feelings of shame about any uncommunicated financial mistakes in order to achieve a strong financial partnership. Important Conversations Open and honest communication is the bedrock of any successful financial partnership. Here are some key and sometimes even difficult conversations to have with your partner: Splitting Costs:  Before merging finances, decide how you’ll divide shared expenses like rent, utilities, and groceries. Will you split everything 50/50, or will you contribute proportionally based on your individual incomes? Finding a system that feels fair to both of you is essential. Combining Savings:  Combining savings is a big step. If you choose this path, make sure you’re both crystal clear on your shared savings goals. Are you saving for a house deposit, a dream holiday, or a comfortable retirement? Ensure you have a mutual understanding of how those savings will be used and when. Long and Short-Term Goals:  Don’t forget to discuss your individual and shared financial aspirations. Do you dream of early retirement, starting a business, or pursuing further education? Talking about both short-term and long-term goals will help you align your financial priorities and work together to achieve them. Q. How do I talk to my partner about our finances? It usually leads to tension and disagreements. This is a tough one. Different people come to a relationship with different experiences and associations with money, and some find it difficult to talk about. If your partner is uncomfortable talking about money, but it’s something that needs to be done, try following some of the steps below. 1.  Reassure your partner.  Feeling judged or ‘not enough’ is one of the big sources of insecurity around finances. Make sure that you’re approaching the conversation without judgement, and that your partner knows this. Lay the groundwork before the conversation even happens. 2 . Do it together.   Don’t think of it as you talk to your partner about their finances or how they manage money. Try and approach it as both of you in this together, and both of you have things that you want to bring up and potentially things that you need to change. 3.  Decide on the goals of the conversation at the start.  If you’d like to just get more comfortable talking about money together, make that the goal of the first conversation. You don’t have to solve everything at once. Make sure the goal is something you can agree on. 4.  Set the scene.  Create an atmosphere that is cosy and comfortable, don’t spring the chat on your partner in Woolies. 5.  Be willing to be wrong and willing to be vulnerable.  Everything you expect from your partner, you should expect from yourself. If you want your partner to change, you have to be willing to listen to their complaints or requests from you as well. 6.  Celebrate your wins.  If you’ve had your first conversation about money and you got through it without a fight, openly celebrate that. We don’t learn how to have these hard chats in school, so well done for doing the hard work and teaching yourself.   Combining Finances: Three Approaches  When it comes to managing money as a couple, there’s no one-size-fits-all solution. Each approach has its own set of advantages and disadvantages. Let’s explore the most common methods. 1. Separate Accounts Keeping your finances separate offers the highest degree of individual financial freedom. Couples maintain their accounts and are responsible for their spending and debts. They may split shared expenses equally or proportionally based on income. 2. Joint Accounts In this approach, all income goes into a single shared account. This simplifies budgeting and expense tracking, providing a clear picture of the couple’s finances. Pros:  It’s easy to track family spending, no need to divide expenses, adaptable to changing family needs. This approach can make it feel easier to work together towards common goals, and strengthen trust and unity. Cons:  There is more potential for conflict due to differing spending habits, lack of individual financial freedom, and difficulty keeping gifts secret. Another downside is this one partner maintains more control of the joint finances, it may limit the financial independence of the other partner. 3. Hybrid Approach This method combines the benefits of both separate and joint accounts. Couples maintain a joint account for shared expenses and individual accounts for personal spending. A predetermined amount is transferred to personal accounts regularly. Pros:  Balances individual freedom with shared financial responsibility, simplifies bill paying while allowing for personal spending and encourages joint goal setting and retirement planning. Cons:  Requires managing multiple accounts, the fixed personal allowance might feel restrictive to some. Which approach best suits you? The best approach depends on your circumstances, communication style, and financial goals as a couple. Openly discuss your preferences, spending habits, and financial priorities to determine what works best for you. Key Relationship Stages & Your Finances Dating Keep your financial freedom and get to know each other. Enjoy the early stages of your relationship without merging finances. Split costs fairly and openly discuss your comfort levels with spending. A joint account for shared activities can simplify things. Consider opening a joint account for shared expenses like date nights or weekend trips. This can make it easier to track shared expenses and avoid awkward money conversations. Moving In Together Open a joint account for household expenses. This can include rent, utilities, and groceries. Contribute to the account proportionally to your income. Maintain separate accounts for personal spending. This allows you to retain your financial independence and avoid arguments about spending habits. Discuss financial goals, habits, and any existing debts. This will help you build trust and avoid financial surprises down the road. Engaged Create a joint savings account for wedding expenses and future goals. This will help you stay organised and on track with your financial goals. Engage in serious financial planning. Discuss long-term goals, such as buying a house or retirement planning. Consider investment strategies and how you will manage your finances as a married couple. Consider consolidating debts if beneficial. This can help you save money on interest and simplify your finances. Married Choose a joint savings strategy that works for you. This could involve keeping separate accounts for personal spending and a joint account for shared expenses or merging all of your finances into one account. Continue to communicate openly about your finances. This will help you stay on the same page and avoid financial disagreements. Additional Considerations Financial compatibility is important. Before merging finances, make sure that you and your partner are on the same page about money management. Merging finances is a big step. Take your time and don’t feel pressured to merge your finances before you’re ready. Seek professional advice if needed. A financial advisor can help you create a financial plan that meets your needs. Remember, there is no right or wrong way to merge finances. The best approach is the one that works for you and your partner. Communicate openly and honestly about your finances, and be willing to compromise. Life throws curveballs. Discuss how you’ll handle situations where one partner may be unable to work, such as parental leave, illness or even major life events. Should You Get a Prenuptial Agreement (BFA)? In Australia, a prenup is called a Binding Financial Agreement (BFA), and it’s essentially a roadmap for your finances if things don’t work out. It covers how you’ll divide property and assets, handle debts, and manage other financial matters like inheritances and spousal maintenance. Prenups aren’t about anticipating failure but they should be thought carefully about. They should be mutually beneficial. If they damage trust, they have the potential to set your relationship on a rocky course, so don’t take this step lightly. If you’re considering a BFA, it’s worth speaking with a legal expert to understand how it could work for your specific situation. You can read more about BFAs  here. Building a Solid Financial Future Together Navigating joint finances as a couple can initially feel challenging, but with open communication, mutual understanding, and strategic planning, it can pave the way for a strong financial partnership. Whether you’re merging your accounts or maintaining separate ones, the key is to stay aligned on your goals and values while respecting each other’s financial habits. Remember that each couple’s financial journey is unique, and finding the approach that works for you both is essential. As you embark on this journey together, don’t shy away from seeking professional advice when needed. Financial advisors can provide invaluable insights tailored to your situation, ensuring you remain on track toward your shared dreams. Be proactive in discussing financial challenges, life changes, and plans to foster trust and collaboration. Ultimately, a healthy financial relationship not only strengthens your finances but also fortifies your bond as a couple. Embrace the process, celebrate your milestones, and support each other as you grow together on this path to financial wellness. With dedication and teamwork, you can not only survive but thrive together in the realm of joint finances. For more clarity on how advice could help you, please feel free to get in touch with EWAR. P . 02 5562 6260 (Ballina) P.  07 5230 4198 (Gold Coast) E:   support@ewar.com.au   W:   www.ewar.com.au     Ballina Office Address: 97 Tamar Street, Ballina, NSW 2478 Gold Coast Office Address: 80-82 Upton St, Bundall, QLD 4217   BallinaGCFP Pty Ltd ABN 12 670 111 583 trading as Essential Wealth & Retirement is a Corporate Authorised Representative no. 1305335 of GPS Wealth Ltd AFSL 254 544. A word of caution: the included material in this article has been provided as General Advice only. We have not considered your financial circumstances, needs or objectives and you should seek the assistance of your Adviser before you make any decision regarding this communication. We have taken care to prepare this material, but any decisions or actions you take as a result of you reading this communication are entirely your own.

At Collins Hume, we’re proud to introduce our newest Senior Accountant, Carmilla Fitzgerald. With over two decades of public practice experience and a career built on helping clients achieve their goals, Carmilla brings both depth of expertise and a genuine passion for tax and business growth. Originally from the Northern Rivers, Carmilla spent more than 20 years on the Central Coast before deciding it was time to make a sea change back home. The decision to join Collins Hume was not made lightly. She first did her due diligence on the firm, digging into how we serve clients, our community engagement, and the culture reflected across our website. What she found was a team with a strong client focus, fun energy and award-winning recognition — the kind of environment she knew she wanted to be part of. When asked what drives her, Carmilla doesn’t hesitate, “I love it, I really do. I love seeing businesses grow and doing the best I can to help them achieve their goals at the end of the day.” For Carmilla, tax is not just compliance; it’s her “happy place.” She excels at minimising tax in practical, effective ways that allow business owners  to focus on what matters most to them. Having worked with clients nationwide, she understands the pressure of staying on top of compliance and how vital it is to have a trusted adviser in your corner. Day to day, Carmilla will be taking on client responsibilities across business tax returns while also supporting Kelly and Chris’ teams as a versatile ‘swing’ accountant. She thrives on detail, client conversations and finding tailored solutions that keep businesses moving forward. Outside of work, Carmilla’s adventurous spirit comes through in her love of travel and outdoor pursuits. She’s a qualified open-water diver, has sailed through a Royal Yachting Association course, and even kept bees in the past — a hobby she hopes to return to once she’s resettled. We’re delighted to welcome Carmilla back to the Northern Rivers and to our Collins Hume team. With her energy, expertise and client-first approach, she’s already making an impact. About Carmilla Carmilla is an Associate Member of The Tax Institute, a Registered Tax Agent and a Xero Certified Advisor. She is due to complete her Bachelor of Business and Enterprise (Accounting & Business Management) at Southern Cross University in November 2025, with plans to pursue Chartered Accountant (CAANZ) status immediately after.

Why leadership (not luck) drives sustainable growth When you look at businesses that consistently scale year after year, it’s tempting to think they’ve cracked some secret formula. But the truth is simpler and tougher. Sustainable success isn’t about luck, and it’s not even about strategy on its own. It comes down to leadership. High-performing businesses share four common traits that strengthen financial performance, attract the right people and build long-term value. 1. High Standards Consistently aiming higher not only lifts performance but also builds resilience into the business model. Strong business owners don’t settle for “good enough.” They define clear, measurable benchmarks and hold both themselves and their teams accountable. This isn’t about chasing perfection – it’s about recognising what excellence looks like and working towards it, even when it’s uncomfortable. 2. A Sense of Urgency Addressing issues quickly prevents small cracks from becoming structural problems and preserves business valuation over the long term. When things slip – whether it’s performance, targets, or outcomes – top leaders don’t wait for the quarter-end report to address it. They act today. Urgency isn’t about stress; it’s about protecting momentum. 3. Zero Tolerance for Poor Performance Underperformance isn’t part of the culture. Great businesses don’t excuse poor results as “inevitable.” They act with intent, involving their teams to uncover the why and resolve it fast. This sends a clear message: underperformance isn’t part of the culture. Over time, this approach strengthens succession planning by ensuring future leaders are developed in an environment of accountability.   4. They Attract and Retain A-Grade People High standards and accountability create a culture that naturally draws top performers. Talented people want to work with other high achievers, and when the bar is set high, they stay. By contrast, a culture that tolerates underperformance risks losing its best talent. Strong mentoring and strategic advisory services ensure these A-players see a pathway to grow within your business. Building Long-Term Value These four traits aren’t nice-to-haves; they are the baseline for business owners who want to strengthen financial performance, build enterprise value and prepare for future succession. By combining leadership discipline with advisory support and mentoring, you create a culture that scales sustainably while increasing the attractiveness of your business to potential buyers or investors. Ready to strengthen your business performance and build long-term value? Talk with us about how strategic advisory services can help you lift standards, improve financial performance and prepare your business for the future. Read more at https://www.collinshume.com/strategy360

With FY25 in the rear-view mirror, many small and medium businesses (SMEs) are re-evaluating their priorities. The message is clear: surviving uncertainty is no longer enough – sustainable success must be the goal. Published insights from the Australian Chamber of Commerce and Industry (ACCI) paint a sobering picture: nearly half of Australia’s small businesses considered closing last year. Mounting red tape and rising operational costs are sapping time, energy and cash – three things no business can afford to waste. So, what can business owners do to futureproof their businesses through FY26? Here are three essential focus areas: 1. Prioritise Financial Performance Planning Now more than ever, businesses need a clear, actionable financial roadmap. That means moving beyond basic budgeting into full-spectrum financial planning – cash flow forecasting, risk assessment and investment prioritisation. It also means embracing tools that make this easier. Integrated platforms that handle invoicing, accounting, reporting and approvals in one place help reduce manual work, cut down errors and improve decision-making. Automating financial processes isn’t a luxury – it’s now a necessity to stay competitive. 2. Build and Maintain Loyal Customer Relationships Loyal customers are the engine room of SME success. They provide repeat business, refer others and are more forgiving during tough times. But loyalty doesn’t happen by accident – it’s earned through consistent service, personalisation and open communication. Use insights from past transactions and customer feedback to tailor offerings and sharpen your marketing. Focus on quality interactions over quantity. In a tightening economy, a trusted relationship is worth far more than a one-off sale. 3. Stay Adaptable and Innovate Smartly Innovation doesn’t have to mean launching new products or spending big. It’s often about using the resources you already have, like leveraging customer data, applying market insights or adjusting your offerings to respond to economic shifts (e.g. aligning promotions with tax changes or industry trends). Keep scanning the horizon for signals: changes in customer behaviour, emerging technologies or policy shifts can all present opportunities if you’re ready to act. Looking Ahead No one is denying that FY26 comes with challenges. But business owners that put strategy, systems and people first are best placed to weather short-term storms and build long-term value. By focusing on what matters – solid financial foundations, loyal customer bases and flexible operations – small businesses can reclaim control and chart a sustainable path forward. Ready to position your business for success in FY26 and beyond? Want to turn strategy into real-world results? Chat with Nathan at Strategy360 to explore practical steps you can take now to strengthen your business, boost resilience and build momentum for FY26. Congratulations to Nathan McGrath, named 2025 Ballina Shire Business Excellence Awards Outstanding Business Leader – 21 Employees & Over! A well-deserved recognition for exceptional leadership and commitment to business excellence. Read more » 🌏 Collins Hume was honoured with the Excellence in Sustainability award at the 2025 Ballina Shire Business Excellence Awards and then again at the Business NSW Northern Rivers Business Awards, recognising our commitment to reducing environmental impact. Both awards reflect the tangible steps Collins Hume is taking to embed sustainability into everyday operations, using strategies that align with our values and the needs of our community.

What is the PPSR? The Personal Property Securities Register (PPSR) is a national online noticeboard that helps businesses protect their legal rights to goods, stock or equipment when those items are leased, sold on credit or in someone else’s possession. Why Your Business Should Use It If you’re a small business, tradie or supplier offering goods before full payment, the PPSR can help you: Retain ownership until you're paid in full (with a registered security interest) Reclaim goods if a customer becomes insolvent Avoid losing equipment leased or hired out Safeguard IP and stock on consignment Reduce risk of losing goods in transit or if seized Check second-hand goods aren’t tied to someone else’s debt Real-World Risks Without PPSR A written contract isn’t always enough if your client goes bust. Your gear left on-site or in transit could be considered their asset. IP-heavy work like prototypes or designs could be lost without protection. Equipment hired out could be unrecoverable in insolvency. Second-hand gear could be repossessed by someone else's creditor. Benefits of PPSR Registration Secure your goods and income Back up contracts with enforceable legal rights Reduce financial risk from customer defaults Improve your credit profile and lender confidence Low-cost: just $6 for 7 years Before You Buy or Lease Always run a $2 PPSR check to ensure second-hand items like vehicles, trailers or machinery are debt-free. This protects your investment and avoids unexpected repossession. Register your interest early — before shipping or handover Use retention of title clauses in contracts and invoices Keep your records clean by ending registrations when no longer needed Only register when a valid agreement exists to avoid legal issues Want to safeguard your business assets? Talk with your Collins Hume Accountant or Advisor about setting up PPSR protection today. Or visit ppsr.gov.au  to learn more.

With the purchasing of luxury vehicles on the rise it’s important to be aware of some specific features of the tax system that can impact on the real cost of purchase. Often the tax rules provide taxpayers with a worse tax outcome if the car will be used for business or other income producing purposes compared with a non-luxury car, but this depends on the situation. Let’s take a look at the key features of the tax system dealing with luxury cars and the practical impact they can have on your tax position. Depreciation deductions and GST credits  Normally when someone purchases a motor vehicle which will be used in their business or other income producing activities there will be an opportunity to claim depreciation deductions over the effective life of the vehicle. Rather than claiming an immediate deduction for the cost of the vehicle, you will typically be claiming a deduction for the cost of the vehicle gradually over a number of years. Likewise, a taxpayer who is registered for GST might be able to claim back GST credits on the cost of purchasing a motor vehicle that will be used in their business activities. However, when you are dealing with a luxury car the tax rules will sometimes limit your ability to claim depreciation deductions and GST credits, impacting on the after-tax cost of acquiring the car. How does it work?  Each year the ATO publishes a luxury car limit which is $69,674 for the 2025-26 income year. If the total cost of the car exceeds this limit, then this can impact the GST credits or depreciation deductions that can be claimed. Let’s assume that Alice buys a new car for $88,000 (including GST) in July 2025. To keep things simple, let’s say Alice uses the car solely in her business activities and is registered for GST. The first issue for Alice is that rather than claiming GST credits of $8,000, her GST credit claim will be limited to $6,334 (ie, 11th x $69,674). We then subtract the GST credits that can be claimed from the total cost, leaving $81,666. As this still exceeds the luxury car limit, Alice’s depreciation deductions will be capped as well. While she actually spent $89,000 on the car, she can only claim depreciation deductions based on a deemed cost of $69,674. The end result is that Alice has missed out on some GST credits and depreciation deductions because she bought a luxury car.   Exceptions to the rules  There are some important exceptions to these rules. The rules only apply to vehicles which are classified as ‘cars’ under the tax system. That is, the car limit doesn’t apply if the vehicle is designed to carry a load of at least one tonne or it is designed to carry at least 9 passengers. The rules only apply if the vehicle was designed mainly for carrying passengers. The way we determine this depends on the nature of the vehicle and whether we are dealing with a dual cab ute or not. For example, let’s assume Steve buys a ute which is designed to carry a load of at least one tonne. This isn’t classified as a car for tax purposes so Steve won’t miss out on GST credits or depreciation deductions. However, let’s assume Jenny has bought a dual cab ute which is designed to carry a load of less than one tonne and fewer than 9 passengers. This is classified as a car and the luxury car limit will apply unless we can show that it wasn’t designed mainly to carry passengers. As we are dealing with a dual cab ute, we multiply the vehicle’s designed seating capacity (including the driver's) by 68kg. If the total passenger weight determined using this formula doesn’t exceed the remaining 'load' capacity, we should be able to argue that the ute wasn’t designed mainly for the principal purpose of carrying passengers, which means that Jenny should be able to claim depreciation deductions based on the full cost of the vehicle. The approach would be different if we were dealing with something other than a dual cab ute, such as a four-wheel drive vehicle. Luxury car lease arrangements Normally when someone enters into a lease arrangement for a car and they use the car in their business or employment duties there’s an opportunity to claim deductions for the lease payments, adjusted for any private usage. However, if the value of the car exceeds the luxury car limit then the tax rules apply differently. Basically, what happens is that the taxpayer is deemed to have purchased the car using borrowed money. Rather than claiming a deduction for the actual lease payments, instead we will be claiming deductions for notional interest charges and depreciation, subject to the luxury car limit referred to above.  Luxury car tax  Cars with a luxury car tax (LCT) value which is over the LCT threshold for that year are subject to LCT, which is calculated as 33% of the amount above the LCT threshold. The LCT thresholds for the 2025-26 income year are: $91,387 for fuel-efficient vehicles $80,567 for all other vehicles that fall within the scope of the LCT rules From 1 July 2025 the definition of a fuel-efficient vehicle has changed, meaning that a car will only qualify for the higher LCT threshold if it has a fuel consumption that does not exceed 3.5 litres per 100km (this was 7 litres per 100km before 1 July 2025). Buying a car or other motor vehicle can be a complex process and there will be a range of factors to consider. If you need assistance with the tax side of things please let us know before you jump in and sign any agreements.

What a night! Our team is still buzzing after being named Business of the Year  at the 2025 Northern Rivers Business Awards. The Northern Rivers community is full of inspiring people and business owners, so to be recognised among them is a real honour. On top of that, we proudly brought home: Excellence in Business & Professional Services recognising outstanding achievements, innovation and client service in our field Excellence in Sustainability  celebrating businesses that make measurable environmental and social impact beyond their core services. We were especially thrilled to see Kirra Connell  recognised as Highly Commended in the Outstanding Trainee of the Year category, and Nathan McGrath  celebrated as a finalist for Outstanding Business Leader. With strong community roots and a forward-thinking mindset, Collins Hume continues to support clients, develop our people and contribute to the Northern Rivers with purpose and pride — we wouldn’t be the business we are without them. Christopher Atkinson, Collins Hume Chief Executive, summed it up best: "When Collins Hume began In 1980 our mission was simple: To be the best tax service In Ballina, but the world has changed and so have we.” “Our overriding purpose is: To Inspire business owners to achieve business and lifestyle success In powerful and meaningful ways. Working every day with 32 delightful humans engaged in that purpose is an honour." As business support and advice becomes a growing service across the accounting profession, Collins Hume sees sustainability as central to that role. Clients increasingly turn to their accountants as trusted advisers, and we believe leading by example — through ESG initiatives and giving impacts — strengthens our ability to guide small businesses towards more resilient, responsible and future-focused strategies. Next stop: we’ll be representing our stunning region at the NSW Business Awards on 29 October in Sydney, lining up against some of the best businesses across the state. Wish us luck! A huge thank you to Business NSW Northern Rivers, Ballina Chamber of Commerce, Ballina RSL and category sponsor Telstra for coordinating such a brilliant evening, and to all the incredible businesses who took part to help celebrate and showcase everything that makes our region so special. Read more on this story Ballina News Daily feature story https://ballinanewsdaily.com.au/2025/09/28/ballina-businesses-shine-as-mayor-calls-on-premier-to-visit/   Photo credits: Ballina News Daily. See more at https://www.collinshume.com/awards

Chris Horne knows that tax and super isn’t always about the numbers. In his role, Chris’ pathway has led him into a specialist niche space — often an intricate one — where psychology, trust and careful listening matter as much as technical skill. Over his 10 years with Collins Hume, Chris has focused on supporting larger clients and family groups — many of them retired or passing responsibility to the next generation. In practice, this means looking after complex client issues that need more all-encompassing support, preparing to unwind business structures when they come to a close, and helping clients understand that what looks like “tax simplified” could, in fact, make things more complicated. Importantly, Chris also recognises when succession and estate planning should be considered, connecting clients with specialists to guide those conversations further to support wealth accumulators or retirees with asset protection and legacy considerations. What makes his contribution distinctive is the way he approaches these intricacies. Chris listens carefully, notices nuances and pays attention to what isn’t said as much as what is. His flair lies in combining technical nouse with personal care — very much a “compassionate bedside patter” — drawing out what really matters when there is hesitancy, whether in complex family arrangements or broader client groups. His efforts are strengthened by the wider services Collins Hume provides — often business valuations conducted by Strategy360 , streamlined bookkeeping by the Books360 team, and the adoption of AI if necessary — ensuring clients benefit from broad and forward-looking support. For Chris, Collins Hume is the right professional home because of its flexibility, mutual respect and alignment of family values. Having leaders like the Partners who share those priorities has been important in shaping how he balances career and life. “I’ve been here 10 years, and both the clients and the people I work with continue to inspire me,” says Chris. “Collins Hume was progressive when I joined in 2015, and the firm has come in leaps and bounds in embracing our digital business and financial environment.” This month marks 10 years since Chris joined Collins Hume — a milestone that reflects his commitment and the depth of specialist services he has provided in this complex area. It’s his steady, specialist approach — balancing technical expertise with sensitivity to client needs — that has made Chris a trusted adviser for Collins Hume’s clients over the past decade, and will continue to guide his work in the years ahead. Looking forward, Chris is clear that preparation is everything “If you’re thinking about selling your business in the next five years, get in touch. The earlier those conversations start, the better the outcomes tend to be,” Chris added. At Collins Hume Chris Horne is a Senior Accountant and Chartered Accountant (CAANZ) with a Bachelor of Business (Accounting), a Graduate Diploma in Superannuation (UNSW) and is a Xero Certified Advisor. Outside of work he is Team Manager of the Byron Bay soccer team, follows the AFL’s Geelong Cats and enjoys cooking, gardening and woodwork.