How to plan a cashflow forecast in Perth and understand the costs

A profitable business can still run short of cash. A cashflow forecast in Perth shows when money is expected to come in and go out, and whether the closing cash balance may cover upcoming costs. Calculate it by adding expected cash inflows to opening cash, then subtracting outflows.

If BAS payments, super and seasonal changes make cash flow hard to predict, you’re not alone in wanting a clearer view. A useful forecast connects expected sales with the timing of customer payments, payroll, tax and other expenses, so you can spot pressure points earlier. This guide explains what forecasting does, how to choose a forecast period, what affects the cost and how to plan for quieter trading periods. It also covers the super payment timing that applies from 1 July 2026: according to the Australian Taxation Office, employers generally need to ensure contributions reach employees’ super funds within seven business days of payday, subject to some exceptions.

Cash flow forecasting

Small businesses can overestimate receipts, overlook payment timing or rely on outdated figures. A cashflow forecast maps expected movements so owners can make decisions before a shortfall affects operations.

1. List cash movements by expected date. Record sales only when customers are expected to pay, not when invoices are issued. Add other inflows, such as debtor receipts, grants or tax rebates, and include expenses, loan payments, drawings, employee obligations and tax. Timing matters: a profitable sale can still leave a gap if its payment arrives after bills fall due.
2. Choose a forecast period and update it. A forecast may cover 30 days, 90 days or 365 days, depending on the decision ahead. Use daily or weekly intervals when payment timing is tight, rather than hiding short-term pressure in monthly totals. Compare actual transactions with projections and revise assumptions as customer payments, costs or operations change.
3. Share the same cash position with relevant stakeholders. Present the opening balance, expected inflows, expected outflows and closing balance for each period. The closing balance becomes the next period’s opening balance. State whether figures include or exclude GST, then explain the assumptions behind major receipts or payments so owners and decision-makers can act on a consistent statement.

Project Income and Cash Transactions

Build the forecast around expected collection and payment dates, not sales totals alone. Include regular income and one-off transactions, then record expenses such as purchases, rent, utilities and payroll in the periods when cash is due to leave the account. Use past results and seasonal patterns to inform estimates, but keep uncertain receipts separate from confirmed amounts. This makes the forecast useful for decisions rather than a copy of the sales budget.

Connect Forecasting with Liquidity Management

Use each period’s closing balance to spot when available cash may not cover planned payments. Liquidity means having cash available when obligations fall due, so a forecast can reveal pressure even when the business expects to make an accounting profit. If a gap appears, review the timing of discretionary spending, supplier payments or planned purchases. A cashflow forecast in Perth can help business owners plan around local trading cycles without assuming revenue arrives evenly.

Recognise Forecasting Mistakes and Risks

Check for optimistic sales assumptions, customer receipts recorded before they are likely to arrive, and omitted expenses or tax obligations. These errors can make the closing balance look stronger than the cash actually available. Treat the forecast as a working document: compare projections with actual results regularly and update upcoming periods when payment patterns or costs change. Communicate material changes promptly so stakeholders can respond before a shortfall disrupts payroll, suppliers or daily operations.

Cash flow forecasting: What it is and why it matters

Create a 12-month forecast using current accounting records, then update it as transactions and expectations change. Gather sales, invoice, expense and payment information so the forecast reflects the business’s actual cash timing.

1. Gather Forecasting Information and Documents

   Bring together accounting records, bank balances, sales projections, customer invoices, supplier bills, payroll details, tax obligations, loan repayments and planned capital purchases. Use these records to estimate when money is expected to arrive or leave, not just the amounts recorded. A 12-month view supports strategic planning, while regular updates help the forecast keep pace with changing operations.

2. Account for Expenses and Working Capital

   Map operating expenses such as rent, utilities, wages, advertising and purchases to their expected payment dates. Then review accounts receivable, accounts payable and inventory. Late customer payments can delay available cash, while supplier terms affect when money leaves. Include inventory purchases alongside expected sales so the cost of stock is not overlooked.

3. Use accounting software data as a starting point, not a substitute for checking assumptions. Current balances and recorded transactions help inform the forecast, but you still need to add expected sales, future bills and changes in timing. For example, an invoice due next month belongs in the period when payment is expected, not the date it was issued.

   Build the model in a spreadsheet or forecasting tool. Enter estimates for each future period, then compare projected balances with actual results as time passes. A template provides a simple structure; software may help organise transactions and update figures from accounting records. Either way, review unusual items separately, such as a major equipment purchase or a customer payment expected later than usual.

   Keep the forecast useful for a real decision. Note the assumptions behind revenue, costs and collection timing, and revise them when customer behaviour or business plans change. If the forecast is prepared as part of ongoing accounting support, its price depends on the case and is given after a quote request; factors include transaction volume, reporting frequency, software integration and the analysis required. A conversation about cash flow planning support can help clarify what level of ongoing input fits your needs.

What is cashflow forecasting?

Use a cashflow forecast to estimate when cash will be available, then compare it with profit and budget projections. The distinction matters: accounting profit, expected payments and working capital answer different business questions.

1. Distinguish Forecasts from Profit and Loss Statements

   Compare the forecast with your profit and loss statement rather than treating them as interchangeable reports. A P&L records income and expenses using accrual accounting, while a cashflow forecast focuses on money expected to enter or leave the business. For example, an invoice can count as revenue before the customer pays. The forecast shows when that payment is expected to support expenses.

   Use the P&L to assess performance, then use cash projections to plan liquidity. Depreciation can affect accounting profit without being a current cash payment. Conversely, paying for equipment can reduce available cash without appearing as an immediate operating expense in the same way. Reviewing both views helps explain why a profitable period may still put pressure on working capital.

2. Compare Forecasts with Budgets

   Set the budget as a plan for income and spending, then use the forecast to estimate when cash transactions will occur. A budget might allocate funds for stock purchases across a quarter. The forecast places those payments alongside expected customer receipts, helping show whether enough cash will be available when payments fall due.

   Compare actual results with both tools, but use them to answer different questions. A budget highlights where spending or sales differ from plan. A forecast shows how those differences may affect upcoming cash. If a customer pays later than expected, the budget may stay unchanged while the forecast needs a revised receipt date.

3. Decide whether a one-off or ongoing forecasting service suits the decision. A one-off forecast can help assess a specific change, such as buying equipment or preparing a financing application. Ongoing updates suit businesses whose receipts, costs or plans change regularly. The right approach depends on how often new information affects the decisions owners need to make.

   For ongoing work, agree on the reporting rhythm, information used and review process. For a one-off model, clarify its purpose, forecast period and assumptions. Professional service pricing depends on the case and is provided after a quote request; factors include transaction complexity, data quality, scenario analysis and update frequency. These details define the work, rather than the forecast label alone.

   Keep the forecast connected to current business decisions. For example, an owner considering a new hire can compare expected wages and related costs with projected receipts. A budget may show that the role fits the annual plan, while the cash forecast indicates when the business can manage the payments. Reviewing both supports a decision based on performance and cash availability.

Costs for 13-week, 12-month and multi-year forecasts

Choose a forecast horizon that suits the decision you need to make. In Australia, the work involved depends on the detail required, data quality, scenarios and how often projections need updating.

1. Use a 13-week forecast to examine near-term cash pressure. It tracks expected receipts and payments week by week across the next three months, making it useful for checking the cash position against upcoming obligations. Weekly detail takes more frequent review than a monthly view, but can show when a payment gap may arise. The level of work also depends on transaction volume and how clearly payment dates are recorded.

   For a short-term model, past transactions provide a starting point. The forecast still needs current assumptions about customer receipts, supplier payments and significant upcoming costs. A business with complex payment terms may need more analysis to map each expected movement accurately. Regular updates compare projections with actual results and account for operational changes.

2. Select a 12-month forecast when the decision involves planning across a full business cycle. Monthly projections can make it easier to assess seasonal changes, expected expenses and planned capital expenditure. The preparation effort increases when the model needs multiple scenarios, detailed supporting analysis or links between projected cash and business performance. A financing decision may also require a clear explanation of the assumptions behind the forecast.

   Consider extending the view to 12-24 months when upcoming plans reach beyond the next year. Longer projections can help assess the timing of major investment and its effect on the cash position. They rely on assumptions further into the future, so the model needs clear scenarios and scheduled reviews. An equipment purchase, for example, should be reflected alongside expected revenue and payment timing.

3. Match the update rhythm to how quickly the business changes. Weekly monitoring can suit a 13-week forecast with near-term payment challenges; monthly reviews may fit a stable 12-month plan. Updating more often requires time to reconcile new information and revise assumptions. Keeping actual results beside projected figures helps show whether the forecast still supports the decision.

   Multi-year projections usually require more planning around capital expenditure, revenue assumptions and alternative scenarios. A Perth business planning a major equipment purchase, for instance, needs to model its timing and the resulting cash demands. When assumptions are uncertain, showing a base case alongside stronger or weaker outcomes can make the forecast more useful.

4. Ask for a quote based on the forecast’s scope, not just its duration. The price depends on the case and is given after a quote request; key factors include the forecast period, transaction complexity, data quality, scenario analysis, reporting detail and update frequency. Clarifying the required output helps align the work with the business’s planning needs.

Cashflow planning for BAS, super and seasonal fluctuations

Build tax, payroll and seasonal patterns into the same forecast. Separating these cash movements from everyday operating costs makes upcoming commitments easier to see.

1. Schedule expected BAS payments alongside customer receipts and operating expenses. Use current accounting records to estimate the cash required, and treat GST consistently across the forecast. A month with strong sales can still feel tight if customer payments arrive after a tax commitment falls due. Compare expected cash availability with payment timing rather than assuming reported revenue is already in the bank.
2. Include super contributions in payroll cash planning. According to the Australian Taxation Office, Australian employers have had to calculate and pay super guarantee contributions with each payday since 1 July 2026. The Australian Taxation Office also says employers generally must ensure contributions reach employees’ super funds within seven business days of payday, subject to some exceptions. Forecast the outgoing cash around payroll dates so these commitments aren’t overlooked.
3. Map seasonal revenue using the business’s past trading patterns and expected customer payment dates. A Perth tourism business, for example, may receive more bookings during a busy period, while supplier and staffing costs can rise beforehand. Record the timing of both income and spending. This reveals whether preparation costs arrive before seasonal receipts and when working capital may come under pressure.
4. Build alternative scenarios across the next 12 months. A base case can use expected revenue and costs; another can reflect a slower sales period or delayed customer payments. Compare each scenario’s cash position against BAS, payroll and planned purchases. This makes the forecast a decision tool: owners can consider adjusting discretionary spending or rescheduling a purchase before a weaker trading period arrives.
5. Review actual results against the forecast and revise assumptions when trading changes. If seasonal income arrives later than expected, shift receipt dates and reconsider expense timing. Keep tax, super and operating obligations visible in each update. Regular reviews help owners and advisers respond to emerging cash pressure using current information rather than last season’s assumptions.

KHT Accounting & Wealth

KHT Accounting & Wealth can help connect reliable accounting information with clearer business decisions. If changing income, upcoming commitments or seasonal trading make your cash position difficult to interpret, KHT’s Business Accounting Services and Business Advisory can help organise your financial information and assess how forecast assumptions fit your operating plans and broader goals.

The right support depends on what you need to understand, from organising financial information to weighing a business decision. This content is provided for general purposes only. Always seek professional advice by speaking with a registered professional about your circumstances.

Contact KHT Accounting & Wealth to discuss your business’s financial planning needs.

Make your next cashflow decision with confidence

A forecast is most useful when it informs a decision, not when it sits untouched in a spreadsheet. Treat your cashflow forecast in Perth as a working view of what the business can support, then revisit it when trading conditions or priorities change. This habit can help you move from reacting to cash pressure towards planning with purpose.

If you’re ready to turn financial information into a clearer plan, KHT Accounting & Wealth offers Business Accounting Services and Business Advisory to help businesses organise their finances and consider their next steps. Its Wealth Management offering can support broader financial goals. Start with the decisions you’re facing and the information you need to make them.

This content is provided for general purposes only. Always seek professional advice by speaking with a registered professional about your circumstances.

Clearer financial direction comes from making considered decisions, one at a time.

Frequently Asked Questions

Do you provide cash flow scenario analysis?

Yes. KHT offers cashflow and budgeting support to help assess how different assumptions may affect your business’s cash position. For example, compare a base case with one where a major customer pays later or sales soften. Scenario analysis helps you consider responses before committing to discretionary spending, hiring or capital purchases. Shape scenarios around the decision you’re weighing and the cash movements most likely to change.

How often should you update the forecast?

Review a rolling forecast at least weekly, then update it when actual results or business plans change. A late customer payment, an unexpected supplier bill or a shift in sales can quickly change the projected position. After each update, compare expected receipts and payments with actual transactions, then revise the remaining periods. This keeps decisions grounded in current trading conditions rather than assumptions that no longer reflect the business.

What should you do when the forecast shows a shortfall?

Identify when the shortfall is expected and which receipts or payments are driving it. Then consider practical responses, such as delaying discretionary purchases, discussing payment timing with suppliers or focusing sales activity on near-term revenue. For example, if a major customer payment is delayed, review which planned outgoings could be adjusted before it arrives. Update the forecast after each change to see whether the cash gap narrows.

What is a rolling forecast?

A rolling forecast is a projection that is regularly refreshed and extended as each period passes. Rather than ending at a fixed year-end, it adds a new future period when the current one closes. For example, after completing a month, update actual results and extend the view by another month. This helps owners keep upcoming plans visible as trading, costs and customer payment patterns change.

What is a cash flow forecast and how does it work?

A cashflow forecast estimates future cash receipts and payments to show how the business’s cash position may change. It starts with available cash, adds expected receipts and subtracts planned payments for each period. For example, a business preparing for a large supplier order can compare the expected payment with customer receipts and assess whether enough cash will remain for other commitments.

What cash flow forecasting templates and software are available in Australia?

Australian businesses can use a spreadsheet or accounting and forecasting software. A spreadsheet lets you enter estimates period by period and adjust assumptions directly. Software may help organise accounting information and projections in one place. Whichever format you choose, make GST treatment clear and separate expected receipts from amounts already collected. Pick a tool that makes it straightforward to update assumptions and compare projections with actual results.

How much do Perth accountants or bookkeepers charge to prepare a cash flow forecast?

The price depends on the case and is provided after a quote request. Factors include the forecast period, transaction complexity, quality of accounting records, scenario analysis and whether ongoing updates are needed. A straightforward forecast using organised records involves different work from a multi-year model with complex payment terms. Clarifying the business decision, information available and reporting needs helps define the scope of the work.

Are there Australian tax, GST or ATO rules to include in a cash flow forecast?

Include expected tax and GST-related cash payments in the periods when the business expects to pay them, and state clearly whether figures include or exclude GST. The forecast supports cash planning; it doesn’t replace tax records or professional tax advice. Treatment depends on the business’s circumstances and records. This content is general information only. Always seek professional advice by speaking with a registered professional about your situation.

Article by

Ben Elliot

I'm Ben, and I help Aussie business owners make more profit, pay less tax and build long-term wealth. I've been an accountant for over 20 years, and you can access my knowledge on things like business structures, tax planning and wealth-building through any of the channels below,

If you'd like to discuss your specific business and financial goals, my team at KHT Accounting & Wealth would be happy to have a chat! Reach out to me directly on https://calendly.com/benelliott