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A practical way for founders to separate operating cash from tax, GST, payroll, super, buffer and owner returns.
The bank balance looks like one number. It’s not one number.
Inside that balance might be GST, PAYG withholding, income tax, wages, super, supplier money, next month's rent, loan payments and the owner's drawings. Some of it is available. Some of it is already spoken for.
This is why new business owners accidentally spend money they don’t really have.
The bank balance looks like one number. It’s not one number.
Inside that balance might be GST, PAYG withholding, income tax, wages, super, supplier money, next month's rent, loan payments and the owner's drawings. Some of it is available. Some of it is already spoken for.
This is why new business owners accidentally spend money they don’t really have.
Image Caption
Available cash is the number that matters
Available cash is the cash left after the business allows for known obligations and a sensible buffer.
A business with $120,000 in the bank may feel comfortable. But if $35,000 relates to BAS, $28,000 to payroll, $3,360 to super, $20,000 to rent and the minimum buffer is $30,000, the owner isn’t sitting on spare cash. They’re sitting on commitments.
Available cash is the cash left after the business allows for known obligations and a sensible buffer.
A business with $120,000 in the bank may feel comfortable. But if $35,000 relates to BAS, $28,000 to payroll, $3,360 to super, $20,000 to rent and the minimum buffer is $30,000, the owner isn’t sitting on spare cash. They’re sitting on commitments.
The four-bucket model
Start with four buckets.
Operating is for normal receipts and day-to-day expenses.
Tax and GST is for BAS, PAYG instalments, GST and income tax reserves.
Payroll and super is for wages, withholding and super obligations.
Buffer and owner returns is for emergency reserves, reinvestment and genuine distributions or drawings.
Some businesses will need more accounts. Some can manage with fewer. The principle matters more than the bank setup: separate money by purpose.
The one bit of gold
Do not use a universal transfer percentage unless it matches your numbers.
You will see people online saying "put 30% aside for tax". That may be too high, too low or completely wrong depending on GST registration, margins, wages, profit level, business structure, instalments and timing.
Ask us to help you create a forecast, then calculate the reserve from the actual liabilities and forecast, then update it as the business changes.
Start with four buckets.
Operating is for normal receipts and day-to-day expenses.
Tax and GST is for BAS, PAYG instalments, GST and income tax reserves.
Payroll and super is for wages, withholding and super obligations.
Buffer and owner returns is for emergency reserves, reinvestment and genuine distributions or drawings.
Some businesses will need more accounts. Some can manage with fewer. The principle matters more than the bank setup: separate money by purpose.
The one bit of gold
Do not use a universal transfer percentage unless it matches your numbers.
You will see people online saying "put 30% aside for tax". That may be too high, too low or completely wrong depending on GST registration, margins, wages, profit level, business structure, instalments and timing.
Ask us to help you create a forecast, then calculate the reserve from the actual liabilities and forecast, then update it as the business changes.
Payroll and super need their own attention
Payroll has a rhythm. Wages may be weekly, fortnightly or monthly. PAYG withholding needs to be reported and paid through activity statements. Super timing has also become more immediate under Payday Super.
If the business hires staff, the money map should show when payroll cash leaves, when super is due, and how much cash must remain untouched.
The founder test
Before taking drawings or distributions (if your structure allows), ask:
· Is the 13-week cash runway healthy (read my cash runway blog and download the tool) ?
· Are tax and GST reserves up to date?
· Are payroll and super funded?
· Are supplier payments under control?
· Is there a buffer for slow debtors or a bad month?
· Is the amount being taken genuinely surplus?
A good month should not automatically become a spending month.
Make the rules visible
Your money map should state:
· which account receives income;
· which transfers happen weekly;
· who approves payments;
· what minimum balances apply;
· when tax and payroll amounts are reviewed;
· what must happen before owner drawings increase.
If the rule only lives in the owner's head, it is not a system and much easier to deviate from.
Payroll has a rhythm. Wages may be weekly, fortnightly or monthly. PAYG withholding needs to be reported and paid through activity statements. Super timing has also become more immediate under Payday Super.
If the business hires staff, the money map should show when payroll cash leaves, when super is due, and how much cash must remain untouched.
The founder test
Before taking drawings or distributions (if your structure allows), ask:
· Is the 13-week cash runway healthy (read my cash runway blog and download the tool) ?
· Are tax and GST reserves up to date?
· Are payroll and super funded?
· Are supplier payments under control?
· Is there a buffer for slow debtors or a bad month?
· Is the amount being taken genuinely surplus?
A good month should not automatically become a spending month.
Make the rules visible
Your money map should state:
· which account receives income;
· which transfers happen weekly;
· who approves payments;
· what minimum balances apply;
· when tax and payroll amounts are reviewed;
· what must happen before owner drawings increase.
If the rule only lives in the owner's head, it is not a system and much easier to deviate from.
What to do this week
What to do this week
Download the Founder Money Map. Start by identifying how much of today's bank balance is already spoken for. The number may be uncomfortable, but it is better to know now than after BAS, payroll and rent all arrive in the same week. Email me your Money Map and I’ll give you a call to chat it through.
Website disclaimer note: This article provides general information only and does not take into account your circumstances. It is not a substitute for tax, legal, financial, employment, cyber security or other professional advice.
Download the Founder Money Map. Start by identifying how much of today's bank balance is already spoken for. The number may be uncomfortable, but it is better to know now than after BAS, payroll and rent all arrive in the same week. Email me your Money Map and I’ll give you a call to chat it through.
Website disclaimer note: This article provides general information only and does not take into account your circumstances. It is not a substitute for tax, legal, financial, employment, cyber security or other professional advice.
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Got questions?Maybe it’s time for a macchiato with Chris.
Got questions?
Maybe it’s time for a
macchiato with Chris.
Ready to kick-start your
self-made journey?
© 2026 Denari Advisory. Liability limited by a Scheme approved under Professional Standards Legislation.
Strategy and Site by Touching Base
Ready to kick-start your self-made journey?
© 2026 Denari Advisory. Liability limited by a Scheme approved under Professional Standards Legislation.
Strategy and Site by Touching Base
Ready to kick-start your
self-made journey?
© 2026 Denari Advisory. Liability limited by a Scheme approved under Professional Standards Legislation.
Strategy and Site by Touching Base
