Adam Jacobson - Accountant

Gross Profit vs Net Profit: What's the difference?

Ever wondered what the difference is between gross and net profit? Well, Gross profit is the revenue left after deducting direct costs like stock, materials, or subcontractors. Net profit is what remains after subtracting overheads such as rent, utilities, and legal fees.

Knowing your gross profit helps you understand your sales margin, while net profit tells you how profitable your business really is. Focus on gross profit and you can drive up your net profit over time.

P.S. DM me if you want tips on boosting your margins and profits.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Quitting your job? Don’t lose super on leave

Thinking about quitting your job? Make sure you take note of this first. When you cash out annual leave, you don’t get super on it because it’s not considered ordinary times earnings. Only leave you actually take will attract super contributions.

And don’t forget sick leave (personal leave). Any unused balance isn’t paid out when you leave. That means hours you’ve accumulated won’t add to your super or your cash.

P.S. DM me if you want tips on how to maximize leave and super before quitting.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Ever wondered why your suit isn’t tax deductible?

Stitch a logo on it and you still can’t claim it, and now your suit’s ruined. The real reason is simple: your suit has a private benefit as well as a work benefit.

You can wear it to weddings, dinners, and other personal events.

In Australia, you can only claim occupation-specific clothing, protective clothing, or compulsory work uniforms.

P.S. DM me if you want to understand more about what you can legitimately claim.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Claim Your Rego Rebate Before 31 July!

Guys, if you haven’t lodged your Victoria rego rebate yet, you’re missing out. It’s 20% back on your registration and took me literally five minutes to claim, getting roughly $300.

Simply Google “Rego Rebate,” go to the Services Victoria website, and follow the prompts. The government usually processes it within a week and you get your cash.

P.S. DM me if you want guidance on claiming yours before the deadline.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

A deduction reduces your assessable income. For example, your wages minus work-related expenses or donations equals your taxable income. You then pay tax on that amount at your marginal tax rate.

An offset reduces the tax you actually pay. Offsets are often more powerful than deductions and include things like the low income tax offset, senior and pensioner tax offset, franking credits, and foreign income tax offset.

P.S. DM me if you want to learn how to use deductions and offsets to reduce your tax.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Why Salary Sacrifice into Super Could Be the Best Tax Move You Make

Ever wondered why everyone talks about making additional contributions into super? It’s because you only pay 15% tax inside super. For every dollar you contribute, you can claim an equivalent deduction in your individual tax return. Most people pay 32 cents per dollar earned in tax, so by contributing to super, you’re effectively getting about 17% back in net tax savings.

It’s also a great way to grow your retirement nest egg, but keep in mind a couple of downsides. You generally can’t access your super until age 65, and contributions are capped. The concessional cap is $30,000 per year, rising to $32,500 next year. Employer contributions also count toward this limit.

P.S. DM me if you want to learn the best strategy to boost your super and save tax.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Claim $4,400 in Motor Vehicle Deductions Safely

Did you know you can claim up to $4,400 in motor vehicle deductions without receipts? First, work out your actual work-related kilometres. You can claim a maximum of 5,000 km per year, multiplied by 88 cents per km. Next year this will increase to 91 cents per km for the year ending 30 June 2027.

Most people get caught out because they don’t have proper substantiation. Keep a diary of your work kilometres. Only include travel that is work to work or work to client. Home-to-work travel does not count. Multiple offices? Travel between them counts.

Follow this and you can claim your deductions confidently.

P.S. DM me if you want a simple template to track your work kilometres.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Avoid These Tax Return Traps

Have you ever lodged your tax return and got a warning for claiming too much? Some deductions can trigger serious penalties if you get them wrong.

Motor vehicle claims are only valid for work-related travel, never home-to-work. Suits and dry cleaning are not deductible because you can wear them outside of work. Home office expenses like rent or council rates are usually limited to gas and electricity unless you run a business from home.

Follow these rules to stay compliant and avoid ATO penalties.

P.S. DM me if you want tips on claiming deductions safely.



Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Are Australians on $150k Really Rich?

Would it surprise you to know that the top 10% of Australians only earn $150,000 per year? Many think that’s a lot, but in reality it’s not ultra-rich money. Meanwhile, the top 1% and 0.1% are using loopholes and offshore structures to avoid paying their fair share of tax. It feels like the government is deliberately creating a divide in society, pushing lower earners to resent those on $150k.

The truth is, a plumber next door could easily be on $150k. The government is focused on clawing back lost revenue, but it’s the mega-wealthy who often get away with paying less.

P.S. DM me if you want to understand more about Australia’s tax landscape and how it affects you.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.

Quitting your job soon? Using your annual leave first could leave you better off.

A lot of people assume getting their annual leave paid out is the same as taking it. It is not. The part many miss is that paid out annual leave generally does not come with super, but leave you actually take while still employed usually does.

That is why this matters. It is not just about getting the leave paid. It is about missing out on extra super and, in some cases, cashing out leave at a lower rate than you might be paid later.

P.S. If you want help understanding how annual leave, super and tax all work together before you resign, send me a DM and let’s chat.

Disclaimer: This video is not for financial or tax advice and for educational purposes only. Liability limited by a scheme approved under Professional Standards Legislation.