The introduction of Single Touch Payroll from 1 July 2019 for most small businesses including farms was the catalyst for them to review their current cashbook software package and in some cases, take the first step in to the world of cloud accounting.
For many, the move from desktop software to cloud accounting software will be the biggest change they’ve made in their farm office since the introduction of GST in July 2000.
At a recent Farming Workshop in Tamworth NSW, we heard from local farmer Tom Groth and his brother Simon Groth, who is an accountant in Tamworth. Tom uses Xero to run his business.
Both Tom and Simon recommended that a farmer limits themselves to five programs. Each of these programs should save them time, have proven benefit to their business and offer full integration – no one needs more passwords to remember!
Whilst many in the farming industry are looking for a “one stop shop”, with dashboards to integrate all of the various software programs, we have taken the time to look at some of the App partners and put together a list for you to consider. Each platform can be used independently and in most cases in conjunction with each other.
Will you get what you pay for?
The more you use, the more you pay. What is not clear, when looking at price alone, is the improvements in efficiency from both a farm office point of view as well as decision making through better use of data.
If you are using Xero only to reconcile your cashbook in order to lodge a BAS and satisfy your accountant, then the price of your Xero subscription alone is good value.
If you are using Xero as the centre of an ecosystem of other software, the benefits will undoubtedly outweigh the cost. Farmers are collecting so much of their own data on-farm in today’s modern faming world. Being able to use that data to make good decisions that ultimately benefit your business is critical to the success of that farm.
How can RSM help?
If you have any questions regarding farming cloud applications, please get in touch with the RSM Agribusiness team today.