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The consumer price index (CPI) increased by 3.8% in the June 2024 quarter, up from a 3.6% increase in the March 2024 quarter, according to the Australian Bureau of Statistics.

 This will impact the Reserve Bank of Australia’s (RBA) decision about the next move for interest rates.

 The RBA began increasing the official cash rate 18 months ago in an attempt to bring inflation back to within its target range of 2-3%. Higher interest rates typically mean lower demand in the economy which puts downward pressure on prices.

The number of businesses defaulting on payments has increased, according to CreditorWatch.

 In May, business-to-business payment defaults hit a new record at just over 140 on the trade payment default index. This was up 21% from April, which itself was a new record.

 CreditorWatch said there was a strong connection between defaults and business failures. A business has a 20% chance of failure in the 12 months following a default being registered against it.

This week marks the start of tax time, but the Australian Taxation Office (ATO) has said taxpayers should not rush their returns.

 Rather, you should wait until your income statement has been marked ‘tax ready’. This means your employers, banks, government agencies and health funds have loaded your information into your tax return. Then, you can confirm that your pre-filled information is correct.

The super guarantee goes up today, 1 July, to 11.5%.

 That means you’ll need to adjust your payroll systems to contribute an extra 0.5 percentage points to your employees’ superannuation funds.

 The super guarantee is the minimum amount employers must contribute to their eligible employees’ super. It’s a percentage of their ordinary time earnings.

 Updating your payroll system is crucial to ensure you’re compliant with the new rate. Most payroll software allows for easy adjustments to the super guarantee contribution percentage.