The countdown to the end of the financial year is on. With a challenging environment for budgets, leaders are paying close attention to training initiatives. They are considering how they’re designed and executed and how to maximise existing resources.
You don't need to be a financial consultant to feel the impact of inflation and interest rates on the economy over the past 12 months. Individually, the average consumer's purchasing power has been reduced. On an organisational level, businesses of all sizes are rethinking their investments, including their allocation for training and certification.
We all know that we need to continue to close the digital skills gap. A study by RMIT Online and Deloitte Access Economics reveals that:
The digital skills gap is costing Australian businesses $3.1 billion annually.
58% of surveyed Australian employers still lack one or more digital skills required to do business.
To balance the need for upskilling and managing expenses, frameworks such as SFIA help determine if training competencies pr are must-haves. Skilling strategy can also be reviewed by identifying opportunities to stretch training budget through vendor offers like prepaid training, support from the FedGov budget and tax claims for education expenses.
How to get ready for the end of the financial year
The end of this financial year provides an opportunity for leaders in charge of developing tech talent to take stock. Here are a few things to investigate to ensure you’ve dotted your i's and crossed your t’s on your training budget plan. This is not tax or financial advice which should be discussed with your finance team or accountant.
Review the usage of your training budget.
Has it been distributed well?
How do you set up for success next financial year with more accurate allocations?
How do you invest to make the business more competitive?
Review performance vs. goals.
As EOFY is also the halfway point of the calendar year, it is time to review the goals you've set and how you're tracking. Are there roadblocks that could be addressed by redirecting training efforts?
Review your inventory, including your inventory of skills using frameworks like SFIA.
Review movements within your organisation.
Have you purchased or disposed of any training assets, such as videos and course content?
Have people with the required skills transferred, and do their replacements need to be onboarded and trained?
Research and apply for possible tax deductions for upskilling.
Can you claim education on tax claims? Generally, you can check the Australian Taxation Office for tax claims on self-education expenses for individuals or business upskilling expenses. But we recommend you confirm this with your accountant.
Explore opportunities to maximise your budget with vendors.
Review your entire needs together. Ask about group training, tailored sessions to tackle your skills gap or discounts when looking at large-scale training plans.
Work with an authorised training partner of technology vendors and use your buying power to get better discounts.
Ask about offers or pre-paid pricing.
The 2023–24 Australian Government Budget
The employment, skills and workplace relations initiatives in the 2023–24 Budget seek to ensure that people have safe, secure and well-paid work with the skills needed for a sustainable future.
The Australian Government has committed an additional AU$ 4.1 billion upon striking a five-year National Skills Agreement with states and territories. This will ensure better access to vocational education and training (VET).
The Government aims to reform the delivery of foundation skills so more Australians over the age of 15 can access training to improve their literacy, numeracy and digital skills. This includes redesigning the existing AU$436.4 million Skills for Education and Employment program to improve access to foundation skills training for all Australians who want to improve their LLND skills. Learn more here.
How to maximise your training budget?
Lumify extends your digital skills training allocation with prepaid training before 30 June 2023. With a 12-month validity period, this ensures manageable monitoring of your organisational upskilling.
Prepaid training helps you:
Optimise your training request and approval processes with only 1 training purchase per year, reducing the back-and-forth of reviews.
Do away with having to identify upfront all the courses your team will take throughout the year.
Have agility and flexibility to book courses for your team as they become available, as the value emerges for projects, as the organisation's focus changes or as more detail emerges about market trends.
Communicate to your employees that an investment has been made in their career development.
Take advantage of savings.
View more Lumify course offers and promos to find support for your upskilling goals.
Your team can access courses through the Lumify Anywhere platform that supports your schedule and logistical needs – instructor-led or bootcamps. You can also sit instructor-led training virtually or at one of our campuses across Australia in Sydney, Melbourne, Brisbane, Adelaide, Canberra and Perth.