Working Holiday in New Zealand after Australia

New Zealand working holidau

5 Reasons why you need to go on a Working Holiday in New Zealand after Australia

When it comes to travelling long term, the biggest concern for most is; how will I pay for it? A working holiday visa is the perfect solution, offering you the chance to fund your travels as you go. Australia’s scheme is a popular choice, and deservedly so, but when your Aussie visa comes to an end don’t just head home. Nearby New Zealand offers its own working holiday visa and is just a short hop away. Here are the top reasons why you should cancel that return flight home and continue your adventure in the Land of the Long White Cloud.

Jobs, jobs everywhere

You won’t have to try hard to find a job in New Zealand. The economy is largely based on agriculture which means seasonal jobs a plenty on stunningly beautiful vineyards, fruit farms and sheep ranches. Tourism is also huge meaning hospitality work in bars, cafes and restaurants, plus hostels and hotels, with employers used to taking on working holiday visa workers. Take your pick.

Accommodation is cheaper in New Zealand

From budget motels and hostels to your own apartment, New Zealand has something for every budget, but most importantly, small budgets. You will never be short of places to stay at cut down prices.

New Zealander charm

New Zealanders have a well deserved reputation as being some of the friendliest folk around. With an endlessly laid back attitude to life, meeting the locals while you’re travelling will be one of the best parts of your trip.

You won’t be travelling New Zealand alone

The backpacker scene is massive, huge, humongous. If you’re travelling alone, or even in a group, it won’t be long before you’re exchanging stories and travel tips with a bunch of other interesting adventurers.

New Zealand is a lot like Australia, without the crowds

The landscapes of New Zealand are legendary. Mountains and lakes and lush green valleys that just beg to be hiked. And the best part is, you’ll have it all to yourself.

Did you remember to get your Superannuation Refund?

If you’re planning on heading to Australia after your working holiday in Australia, remember to claim back your superannuation.

Backpack New Zealand without wasting a cent

new zealand backpacking guide

New Zealand Backpacking Guide

We all know and love New Zealand for its dramatic, otherworldly scenery that has served as a movie set just once or twice. This outdoor enthusiast’s mecca is chock full of mountains to climb, lakes to swim, ocean to surf and bungees to trust your life to. Here are a few easy ways to save your dollars while you explore.

Make friends, save money

Meeting another backpacker in the same boat can be a score on two fronts. You get to share your experiences with a new mate, and save cash by splitting the cost of groceries, laundry and accommodation. And if one of you lands a job in a bar, you can count on a sneaky free drink too.

Use social media

Facebook is full of groups advertising second hand gear and offers of lift sharing and travelling buddies. All the big cities have their own dedicated backpacker page often with a buy and sell section, and will be full of helpful advice.

Invest in a bus pass

If you’re travelling by bus (you should be, it’s the cheapest way to get around), invest in a bus pass with one of the main carriers such as Naked Bus; package deals equal dollars saved.

WWOOF your way around

Experience New Zealand’s farming culture and spectacular scenery and join the local WWOOFing network. Standing for World Wide Opportunities on Organic Farms, you get free accommodation and meals in exchange for a few hours volunteering each day.

Discounts

Keep your eyes peeled for discounts in newsletters and online at sites like BookMe and GrabOne. The backpacker scene is huge in New Zealand and everyone is vying for your dollar. Take advantage.

Lastly, don’t forget the best stuff is the free stuff. Take a hike, climb a mountain or just marvel at it all without spending a cent.

Superannuation Refunds

Don’t forget to claim back your Australian Superannuation refund. You could be owed up to $5000 if you’ve worked in Australia on a working holiday visa or sponsored visa such as 457 Visa.  You can easily find out if you’re owed a Super Refund by filling in our easy online application form.

Check out these awesome blogs for more information on the best ways to travel New Zealand

gradgoneglobal.com/easy-ways-save-money-new-zealand/

www.backpackerguide.nz/11-ways-to-save-money-and-stretch-those-dollars-further/

Saving money on your tax return

Many people make errors during tax return time, wanting to save money. However not all of these mistakes are intentional or malicious. Some of them are made due to ignorance and sometimes even in good faith!

Doing your tax the right way will get you your refund on time and will steer you clear from penalties and legal trouble. It is often simple misunderstandings that get people into trouble with taxes. These five tips, from the Australian Taxation Office (ATO) itself, will save your refund money and keep you in safe territory.

  • Lodge your tax form in August 

If you are the type who likes to be in control of things and get your tax return quickly, you might think it is a good idea to submit tax returns early. But, the ATO makes pre-fill forms available only in August each year. Waiting till then is a better idea as tax officials automatically complete most of your information from your employer, bank and government. You only need to check the information and add any missing details. Submitting your tax return early puts you at risk for forgetting to declare some of your income. Even a single mistake can delay your refund or leave you owing money to the ATO.  Wait for the pre-filled forms – it will save you time and money.

  • Be organized and keep records

Keeping records of your income and expenses is crucial if you want to claim your deductions and avoid penalties. Always add all your income to the form – including temp jobs, cash jobs and cryptocurrency gains. If you forget or make mistakes in the form, rectify it as soon as possible by contacting your tax agent or lodging an online amendment. Even if you have an agent, you alone are responsible for the claims you make.

Maintain proof of your tax deduction claims – either as physical receipts or clear photos of them. Around half of the adjustments made by ATO is due to lack of records or the poor quality of records submitted by taxpayers. Keep all documents relevant to tax returns for five years after lodging the claim. Having clear records will save you money by enabling you to claim deductions you are entitled. Furthermore, they will help you stay out of trouble as tax officials can ask you for evidence, even after your tax return is processed.

  • Keep personal and work expenses separate 

If you are not sure if something is a personal expense or a work expense, ask these three questions – did you spend the money yourself and not get it reimbursed? Is it directly related to earning your income? Do you have a record of it? If you answer yes to all three, then it’s a work-related expense. If a certain expense has both a work-related and a private component – like personal mobile used for work calls – you can claim the work portion of the expense.

However, many people try to claim personal expenses such as personal clothes and private calls as work expenditure. If you want to save money, just don’t do it. The claim will be rejected and you will have to pay back the expense, plus a penalty.

  • Only claim what you spent 

Do not try to claim expenses that you did not incur, ever. The ATO can check your claims by contacting your employer or by matching against your claims against taxpayers with similar profiles. Also be wary of ‘standard deductions which everyone is entitled to’. While it is true that there are some expenses that can be claimed without written proof, you still need to have spent the money and the Taxation Office pays special attention to such claims.

  • Be sure you really rented your property

In order to qualify for rental deductions, your property must first be in a location and a condition that tenants would want to rent. You must charge rates that are in line with the local market and you must advertise it to a wide audience. Also, you can claim deductions only for times the property was rented or was genuinely available. You also need to accept tenants unless there is a good reason not to do so.

Trying to claim deductions for properties that were not genuinely available, charging above market rates or renting property to friends and claiming deductions will not sit well with the ATO. It will cost you money and time when it comes to filing your tax return.

Thinking to save money while travelling Australia. Click here to claim back your superannuation if you have been working and travelling in Australia

 

Getting ready for the end of the financial year

Five Money Saving Hacks for Travelling Australia

tips for getting ahead with your taxes

Those who are living and working in Australia, especially expats, may not be familiar with how the Australian tax system operates. The tax year runs mid-year, from June 30th which means it is a great time to get your books up to date.

By preparing your taxes in advance you can maximize your returns and save money. What many people don’t understand is that tax returns can immensely contribute to your money saving routine. In order to have a smooth tax process there are a few things you can do to put yourself in the best position:

Consult a good tax agent

If you don’t already have one, it’s a good idea to meet with a reliable tax agent who can help you reap the most of taxes.  

Start by checking all paperwork

Start early to gather the information you need to obtain your tax proceeds. This includes expenses for invoices, receipts, and bank statements that fall under work expenses. If you are unsure what can be categorized as work associated expenditures, they include items such as the following:

  • Travel and vehicle expenditure
  • Mobile phone and internet bills
  • Cost of overtime meals
  • Tools and equipment
  • Self-education costs
  • Other work associated expenses

Save necessary receipts/ invoices

Many people cram to track down receipts and invoices used during the past 12 months. This is a major waste of time and can lead to loss of tax refunds too. Simply add them to a folder and label from the start!

Donate to charity

The best way to lower your tax payments and simultaneously do a good deed is by donating to charity. A small donation every month can add up to a lot by the end of the financial year. You are able to claim a deduction for anything above $2, so why not add this to your monthly outgoings.

Thinking of how to save money while travelling in Australia? Every company you have worked for paid a percentage of your pay to a Super fund, after you have worked in Australia you can claim back your superannuation.

Have you now left Australia? Don’t forget to file your Superannuation Refund application

Money Saving Tips For Small Businesses

Forgotten Tax Deductions You Can Claim from ATO

A lot of businesses, especially small ones, feel the pain at the end of every financial year when the taxman comes a-calling. But if you look at the list of tax deductions that you can claim from the Australian Taxation Office (ATO), you might discover that you put in money-saving efforts that you may have forgotten about.

If you file for a claim, you can save money from tax payments.

What are common forgotten tax deductions?

Tax affairs management expenses

Any expenses you incur when managing your tax affairs are tax deductible. These include the following costs:

  • Preparing activity statements  
  • Lodging your tax returns
  • Travel expenses while attending tax return preparation courses, obtaining tax advice, and buying tax reference materials.
  • Cost of software used to complete and lodge a tax return.

Prepaid expenses

Subscriptions, business travel expenses, rent, internet, and other expenses you pre-paid can attract a tax deduction.

New Assets acquired

Sole traders and small businesses are given a $20,000 instant tax deduction as part of the 2017 budget. They can write-off asset depreciation and buy new equipment or technologies to increase their efficiency and growth.

Union fees

Under D5-Other work-related expenses, you are entitled to a tax deduction if you pay union fees each year.

Donations

If you donate to an appropriate charitable organisation of $2 or more, you are eligible for a tax deduction. Just make sure you have a receipt for every donation made.

Rental property expenses

Tax on rental property expenses often goes unclaimed. No better money-saving tips than to claim yours. This applies to the following:

  • Bank fees
  • Secretarial and bookkeeping fees
  • Inspections of property and maintenance
  • Travel and car expenses for rent collection
  • Security patrol fees
  • Pest control
  • Gardening and lawn mowing

Income protection insurance

If you pay for insurance against loss of income, you are entitled to a tax deduction. This excludes trauma insurance, life insurance, and critical care insurance.

Mobile phone, internet, and home phone expenses

To claim against the costs of making business calls using your own phone, you need to comply with the following:

  • Work out the percentage of work calls from personal calls.
  • Keep records for a 4-week period for each income year if you claim more than $50. These include utility bills, electronic records, and diary entries.

The same applies to internet if you work from home and your internet connection is under your name. You can claim part of your expenses as a deduction.

If what you have is a phone and internet bundle package, follow the rules for itemised billing.

Home office expenses

You are entitled to claim deductions for expenses you incur while you’re working at home. This includes expenses linked to your personal computer or other electronic devices and occupancy expenses, such as rent if you’re renting.

Personal expenses incurred for work purposes

If sunglasses are part of your employment, you are entitled to a tax deduction for it. A claim on depreciation instead of an upfront deduction, but a deduction nonetheless. Just make sure it lasts for more than a year if it costs $300, as that is what the ATO expects as a reasonable expense.

If you incur expenses when buying or having your uniform, protective clothing, or occupation-specific clothing laundered, you can claim a tax deduction.

There are other tax deductions you can claim from ATO. Learn all about them and save money in the process.  

Thinking to save money while travelling Australia. Click here to claim back your superannuation if you have been working and travelling in Australia

What New Super Rules Mean to Employees

With the previous super rules, only people who are self-employed or unemployed could claim a tax deduction on the contributions they made to a personal superannuation account. This means only they could save money through this financial feature, but not anymore.

Money saving through tax deductions on super contributions is now for everyone.

In the Federal Budget on 18 May 2018, changes to superannuation were announced. One of these is tax concessions for super contributions made by employees.

Previously, the only tax effective way for employees to get extra money from super is salary sacrificing, which is not always one of the best money-saving tips.

The good news is the second option is now available. From the 2018 financial year onwards, employees can reduce their personal tax by making personal, tax-deductible super contributions. They then have an opportunity to claim up to $25,000 in tax concessions. Make a tax-deductible personal contribution to their super of up to $25,000 and then claim it against assessable income.

For example, “Sarah” earns up to $73,000 and has a net investment income of $2,000 for a total taxable income of $75,000. If she makes a $5,000 contribution to her super account and receives a tax deduction, her tax would look like this:

Personal Tax Return Super Fund Tax Return
$5,000 deduction $5,000 contribution
Saves $1,725 in tax Pays $750 in tax
Tax savings of 35.5% (32.5% marginal rate tax + 2% Medicare levy) 15% Tax payable

Her contribution will be in the superannuation environment where the earnings are taxed at 15% and she will benefit by $975.

Her money-saving opportunity will come from being spared from potentially higher personal marginal rates.

The 30th June 2018 was the cut-off date for employees to make a personal contribution.

Any personal contributions made after 1st July 2017 requires individuals to obtain a ‘notice of intent to claim’ form from the ATO.

Tax concessions for super are not for everyone

If you look at it from a tax perspective, there are benefits to the changes in the super rules. This is especially true if your personal rate of tax is higher than the 15% rate that the super will incur. However, a voluntary personal contribution may affect other aspects of your finances.

Personal liquidity

The money contributed to super cannot be withdrawn easily and used for personal needs. You can only access it during retirement after preservation age, when you turn 65, or when you’re eligible for the First Home Super Saver Scheme. So, it’s a good idea to make sure the contribution you make is not money you will need in the near future.

Concessional contribution cap

Remember that the claim for a tax deduction can only be made to a personal contribution of up $25,000. This covers employer contributions, any amount you salary sacrifice, and personal contributions claimed as a personal super contribution deduction.

Timing of contributions

When did your employer pay the contribution? If it is made in June rather than in July when it is due, it will affect the year in which the contribution is counted towards the contribution cap and when the tax deduction can be claimed. For the deduction to be claimed the same financial year, contributions must be received by the super fund on or before 30th June.

Thinking to save money while traveling in Australia. Click here to claim back your superannuation if you have been working and traveling in Australia

Money Saving Tips So you can see the world

You may dream of travelling the world during your university break or annual vacation, but as a struggling student or young professional just starting down the career path, this may seem like an impossible feat. You probably have accommodation, food and transport costs, as well as bills to pay, so saving can be difficult.

However, with all these costs in mind, there’s no need to put your dreams of going travelling on hold. With some self-control and these money saving tips, you may just be able to achieve your dream. So, start planning and save money now!

 

  • Settle on a destination

This is easier said than done. You may have your ideal destinations in mind, but some may not be practical due to various reasons; budgetary limitations being one, especially if you are a student or young person on a shoestring budget. South Asian and South East Asian destinations tend to be cheaper as they are closer to Australia and with living expenses being lower compared to the UK and Australia you can eat and enjoy yourself for much less. These countries also have English-speaking people which also make them attractive travel destinations. Many of the countries are next door to each other also meaning you can tour more destinations via tours, coaches and railways.

 

  • Research and review

Find out how much money, on average, you would need to visit your dream destinations. You will need to do research on the living expenses in the particular country, the attractions and how much they would cost for you to see them. Transportation and shopping expenses are also a key consideration, any incidental and/or unavoidable expenses etc. should also be accounted for. The biggest chunk of expenditure you need to consider are airfares, visas, accommodation, insurance and vaccinations (where applicable).

Make sure you check travel forums and look at local touring companies to get real, first-hand information from people who have travelled to the destinations in question as this will be the most reliable source of information.

 

  • Keep your eyes and ears open for special deals

There are special offers from travel agents, airlines and accommodation being made throughout the year. Air ticket and hotel room charges could vary vastly depending on the time of the year. Sign up with a few such companies to receive news about their special offers so you can compare what’s best. Budget airlines are also a good deal cheaper for short-haul flights.

 

  • Set the budget and your goals

Decide how much money you should save per week, per month, and per year to reach your goal. Have a clear idea and stick to it. Saving around 20% of your monthly income is generally a good goal. It would be prudent to transfer your salary directly into a savings account as you can remove temptations to unnecessarily withdraw from it or let it fritter away on daily living expenses. If self-control is not your forte, then have the bank impose some limitations such as overdraft limits.

 

  • Track your daily expenses

Keep close tabs on your daily expenses. This includes everything from bus tickets to coffee, snacks and entertainment, as well as clothes shopping and hobbies. Using a spreadsheet or an app to help you with this is a great way to keep an eye on what you are spending. Evaluate all expenditure and decide what you can cut down on or cut out entirely. Be consistent and stick to your plan.

 

  • Cut down on outside food by making your meals

You will realise that a great portion of your income is spent on food.  A great money-saving method is to prepare your own meals instead of splurging on meals out. You can cook your meals in bulk over the weekend and have them frozen and ready to eat during the week. You can also have small snacks prepared so that you don’t have to buy extra bits when hunger-pangs strike.

You may find that the amount you spend on coffee, juices and other snacks works out to a substantial sum by the end of the week. By cutting them down, you will realise how you can save money quickly, plus it’s healthier!

 

  • Keep monitoring

As time goes on, your expenses may change due to rising expenditure, inflation, your changing needs, etc. Reassess your budget and goals to see whether you have to adjust to these changing situations. You may even have a better income. If not, go through your goals again and see what changes you need to make to meet them.

 

  • Commitment

 

Remind yourself once in a while about your goal. It will help to have a picture of your dream destination pinned to your workspace as a constant reminder. Be committed towards your goal and stick to your money-saving tips so that you can achieve your dreams sooner rather than later.

Thinking to save money while travelling Australia. Click here to claim back your superannuation if you have been working and travelling in Australia

How to make the most of your tax cut

Australians recently received good news from the Government that most of them would be eligible for around $500 AUD in tax cuts annually up until 2025 as a result of the $144 billion tax relief package passed in Parliament.

This means, every week in 2018/19, most of us will be receiving about $10 in tax relief. After claiming the 2018/19 tax return, you can claim this amount as a lump sum.

So, are we going to waste it or are we going to make the most of it? By employing some easy money saving tips, you could multiply the value of this tax cut so that it works favourably for you in in the long run.

Most people tend to spend more to support a better lifestyle as their income increases which is known as “lifestyle inflation”. Most of us do it despite the result not being what we want or expect. With this new tax cut in place it’s a good idea to plan to save money in a more meaningful manner rather than adding to your lifestyle expenditure.

If you invest this tax saving on a weekly or regular basis on high-value stocks or property, after 12 years you would have $10,000 giving you 8% returns annually. The alternative of absorbing this relief in to your daily expenditure will not do anything for you in the way of money-saving.

It’s a good idea to consider this as a gift from the Government and utilise it in your favour. Those with incomes of up to $100,000 will receive an additional $10 per week from 2022 and another $10 weekly from 2024, enabling you to save over $10,000 within 10 years and over $15,000 within 13 years.

When thinking of ways to save money, the most difficult part is to decide on what you are going to invest on as the products and services are too vast. Some prudential methods are property or stocks through Exchange Traded Funds (ETFs). You can make your choice whether they be in the Australian or overseas markets, or in specific sectors such as finance, technology or property. ETFs lessen the risk for investors by introducing a range of stocks within one product. There is no need to be an expert on market matters either.

The tax relief can now work like a form of superannuation. You only have to think seriously about money saving; no other special effort is required. The amount you save after a decade will surely make you glad you did!

Money saving tips for Backpackers on a tour of Australia

One reason many backpackers turn their attention away from Australia to other countries is the expense of travelling Australia. For a backpacker travelling on a budget, it can look like an impossible dream, but it is possible to save money and make your dream come true if you look for ways.

 

Buy a car

Whilst buying a car sounds like a major purchase, it will actually save you money in the long run. Having your own car will save you a lot of money when it comes to road tripping your way around Australia – especially in more rural areas where public transport is scarce. If you can find a few friends to split fuel money, it will be even better. Owning a car is an investment if you are in Australia long-term – as opposed to spending on organized tours and bus rides. Keep the vehicle in good condition so that after you finish your trip you can sell it on and recoup some, if not all, of your money.

Look for free campsites 

Campsites are a great way to sightsee without spending anything and save big when you travel around Australia. Use Wikicamps app to find them and use the filters to specify what you are looking for. Whilst most campsites are completely free, some of them are run by local pubs and roadhouses – it is a nice gesture to spend some money at those businesses.

Shop at local markets, not supermarkets

One good thing about travelling Australia is the markets you find. Almost all major cities have these and you will pay less here than you would pay in a supermarket. Head there just before the end of the day and you’ll find traders who are looking to shift their stock at that time and you can find some great bargains.

Buy wine, not beer 

A 12-pack of beer can easily set you back $20 AUD or even $30 AUD. But you can buy wine quite cheaply, as cheap as $4 AUD in some places!

Use libraries and McDonald’s when you need wifi 

One drawback of travelling Australia by car is that access to wifi is limited – unless you have an amazing phone deal. However, there is an easy way around it. Almost every library offers free wifi, as does McDonalds (as long as you buy something). So if you spot a library or a McDonalds, you have found a place for wifi – and a place to use the bathroom too.

Thinking to save money while travelling Australia. Click here to claim back your superannuation if you have been working and travelling in Australia

 

 

How to save money while you are travelling

While travelling is a time for enjoying and experiencing as much as possible, you can certainly do it within a budget and save money in the process. Here are a few savings tips to make your next trip more affordable.

Prepare a week to week budget

Before you arrive, find out how much money would it cost at your destination for food, lodging and transport. Use a spreadsheet to calculate how much you would need to spend on a weekly basis for everything. Then try to find ways you could save money by cutting costs. Perhaps you could bring things from home instead of buying things after arriving. Maybe you could stay in a hostel rather than a hotel. Or even use a form of local transport such as rickshaws in certain places rather than using taxis.

Ask someone who knows better whether you are paying the right price

Sometimes, our impulses cause us to spend a lot more than necessary, but it is possible to avoid it by using sound mind and judgment. Ask local friends and others who would know if you think an item is above the usual costs.

Plan well ahead and do your research

If you are planning for a trip two-months ahead, it’s better to book flights as early as possible. You can plan your activities at your destination later. A lot of the time, you can take overnight trains or buses instead of flights once you arrive in a country and save money. If you try to book a local flight a few days in advance, you’ll find that prices aren’t too different to your own country’s domestic flights. When you arrive, research local activities – is the experience worth it? Are there cheaper and safer alternatives? Sometimes, you should spend more to ensure your safety in certain activities such as paragliding and bungee jumping.

Travel with others to save money

If you travel alone you will be paying more for rooms and taxis. Moreover, you might not be able to try as many different foods! If you travel with others, you can buy food together, split costs and have a great time.

Thinking to save money while travelling Australia. Click here to claim back your superannuation if you have been working and travelling in Australia