Your Fun(ctional) Checklist to Starting a Sole Trader Biz Right

Starting a biz as a sole trader? Congratulations! You’ve just signed up for the wild ride of being your own boss — unlimited dreams, flexible hours, and… a whole lotta paperwork. 😅

But don’t stress. We’ve wrapped all the serious compliance stuff in a tortilla of humour and handed you this tasty, tax-savvy checklist so you can launch like a pro and not a panic.

Let’s dive into what every biz owner needs to know, as you make your big boss energy official.

🎯 Start Me Up (Before You Go-Go)

Before you send that first invoice or post your “Now Open!” selfie, here’s what you need to get sorted:

✅ Task	💡 Why It Matters
Apply for an ABN	Like a business birth certificate. Without it, you can’t invoice or operate legally. Apply here
Register for GST (if earning > $75K)	GST isn’t just a 3-letter acronym — it’s how you play with the big tax kids. ATO GST guide
Open a business bank account	Because your online shopping habit and business revenue do not belong together.
Choose accounting software (e.g. Xero)	You + Excel = tears. Let tech do the heavy lifting. Xero setup for sole traders
Pick a business name (optional)	Your own name is fine, but “Laser-Focused Freelancing Solutions” has a nice ring.

💡 Pro Tip: Your Xero Chart of Accounts is like a neatly labelled pantry, you’ll thank yourself when you're starving for clarity later.

💼 Show Me the Money (and the Invoices)

So you’ve got money coming in, nice. Let’s not lose it to chaos.

✅ Task	💡 Why It Matters
Create invoice templates with your ABN	Include service details and GST if registered. Look professional. Get paid. Rinse. Repeat.
Track your income sources	Clients, platforms, referrals. Know what’s working (and what’s just working your nerves).
Set aside 30–40% for tax	So Tax Time doesn’t feel like a jump scare.

💡 Nerdy Tip: Xero bank rules = automatic sorting of your income. It’s like having a tiny robot accountant. 🤖

📊 TAX! But Make It Fashion

Here’s how to stay in the ATO’s good books (and avoid love letters with due dates):

✅ Task	💡 Why It Matters
Lodge your income tax return	Includes all business income and deductions. ATO sole trader guide. Once a year, like your birthday — but more paperwork and fewer presents.
Register for PAYG instalments (if required)	Pay tax in chunks instead of crying once a year. Blog incoming on this one - don't get hit by the double whammy of tax https://www.allinadvisory.com.au/post/the-double-whammy-of-tax-ouch
Lodge your BAS quarterly (if GST-registered)	It’s like a tax selfie, but less fun and more important.
Reconcile GST to your P&L or balance sheet	Reconciliation: not just for relationships. Your finances need it too.

💡 Xero Power Tip: Use “Lodge & create draft bill” to split GST, PAYG, and PAYGI — no calculator trauma required.

📁 Receipts or It Didn’t Happen

No more shoeboxes or “I swear I had that invoice somewhere…” moments.

✅ Task	💡 Why It Matters
Keep receipts + invoices	Required for all claimed deductions. Deductions = less tax. Receipts = proof. No proof = sadness.
Reconcile transactions monthly	Avoid duplication and catch errors early. Like brushing your teeth — annoying, but necessary.
Use Dext or Hubdoc	Snap, upload, sync. No more faded petrol receipts in your glovebox.
Justify non-zero clearing/suspense accounts	Review before BAS to keep your file clean

💡 Review the bills screen in Dext - anything starting with "RB" might be a duplicate #yourwelcomsolve

💸 What Can You Actually Claim? (AKA The Good Bit)

Deductible expenses = tax relief, baby. Here's what you can often claim:

• Business insurance (yes, it's boring but deductible)

• Reg & licensing fees

• Work-related travel (no, not your Bali retreat — nice try)

• Uniforms/protective gear

• Accounting & legal fees (hi 👋)

• Tech & tools (laptops, phones, software)

• Home office expenses (if you're admin-ing in your activewear)

💡 Use the ATO deductions guide to make sure you’re not trying to write off your dog as a security expense (again, nice try).

⚠️ Common Pitfalls (And How to Not Fall In)

🚫 Don’t	✅ Do Instead
Forget to register for GST	Monitor income and register early
Lodge BAS late	Automate reminders and prep early. Fines do apply if lodged late
Mix business + personal $$$	Separate bank accounts = sanity
Upload incorrect documents	Confirm invoice v quote before uploading
Forget to save for tax	Open a “tax buffer” savings account — like a swear jar, but smarter

🧠 Ongoing Stuff You Gotta Do

📆 Task	🔁 Frequency
Reconcile your bank account	Monthly (more often if you’re a sadist)
Lodge BAS	Quarterly
Lodge your tax return	Annually
Pay PAYG instalments (if applicable)	Quarterly
Review your expenses + deductions	Ongoing (yes, that means forever)

💡Check this out for more due dates.

The Takeaway

Starting a biz doesn’t have to feel like entering a bureaucratic gladiator arena. With the right setup, a little structure, you’ll go from hot mess express to fully-fledged boss with receipts (literally).

And if this all still feels a bit much, well — you’ve got us. At All In, we help creative, clever humans like you stay compliant without losing your mind (or your weekend).

Disclaimer: As always, this info is general and doesn’t take into account your individual circumstances. Please consult with a qualified advisor (us, obviously) before making financial decisions.