Accounting for Gyms, BJJ & MMA in Melbourne: Profit, Payroll & Growth

If running your academy feels like captaining a starship with a towel, a mop, and a temperamental EFTPOS, you’re not alone. Between competition squads, kids’ classes and pro-shop stock, margins can disappear fast. This guide sets out the accounting essentials for gyms and BJJ/MMA academies in Chadstone, Bentleigh, Moorabbin and nearby suburbs—how to pay and keep great coaches, balance competitive and lifestyle members, manage events and uniforms, handle leases, and build a bank-ready three-way forecast for expansion.

The finance stack every gym needs

A robust stack includes: a tailored chart of accounts (memberships, drop-ins, events, retail), integrated merchant/membership systems, payroll with Award mapping, BAS/GST processes, monthly management reports, and a rolling 12-month three-way forecast.

• GST: Register when GST turnover reaches $75,000. Register within 21 days of exceeding the threshold. Australian Taxation Office

• PAYG/STP: Report payroll via Single Touch Payroll (Phase 2) with correct earnings categories and employee data.

• Super: From 1 July 2025, the Super Guarantee is 12% of ordinary time earnings; pay by quarterly due dates to avoid the SG Charge. Australian Taxation Office

• Payday Superannuation: From 1 July 2026 need to pay super on the same day as salary and wages. Payday Superannuation Guide

Accounting & Tax Compliance

Fixed-fee bookkeeping, BAS/IAS, payroll (STP), GST and year-end financials with AASB-compliant adjustments. We prepare company, trust and individual income tax returns, plus FBT/TPAR, so your gym stays clean and compliant.

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Three-Way Forecasts for Growth

Lender-ready P&L, cash flow and balance sheet models with lease (AASB 16) scheduling, seasonality and scenario testing. Ideal for financing your next facility or franchise rollout.

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Attracting and retaining coaching talent (and paying them correctly)

Remuneration models that scale

Common approaches:

• Hourly Award rates (stable budgeting).

• Per-head or revenue split for specialty classes/seminars (incentive aligned).

• Tiered base + retention/intro conversion bonus.

• Contractor (only if genuine—apply the usual contractor tests).

Minimum conditions are set by the Fitness Industry Award [MA000094]. Review classifications, rates and allowances each 1 July and use current pay guides. FWC+1

Payroll hygiene: document roles/classifications, roster to Award, capture allowances, and ensure STP Phase 2 mapping for overtime/allowances is correct. Australian Taxation Office

Profit splits: design rules

When using per-head/split models:

1. Define the base (before/after discounts and merchant fees).

2. Apply a minimum attendance trigger.

3. Include a facility recovery (e.g., 10–20% for rent/utilities/cleaning).

4. For employees, pay super and withhold PAYG; for contractors, obtain ABN and verify GST status. Australian Taxation Office

5. Review splits quarterly using class-level contribution margins.

“Winning comps is great. Paying people correctly, on time—always—that’s culture.”

Student retention: balancing competitors and wellness members

Cohorts behave differently. Segment analytics into Competitors, Recreational Adults, and Kids/Teens. Track:

• 90-day retention by cohort

• Intro → membership conversion

• Attendance per pass type

• Freeze/churn reasons

Reward coaches for metrics that build the base: week-4 attendance for beginners, kids’ capacity and parent satisfaction, and safe performance outcomes for competitors. A fixed-fee partner can integrate your member platform (e.g., Zen Planner, TeamUp) so cohort profitability appears in monthly reports.

Developing athletes and kids’ programs: expenses, inventory and tax

Most operating costs of coaching, mats, training aids and program marketing are generally deductible, provided they are not capital/private. Australian Taxation Office

Retail stock (gis, rash guards, gloves) is inventory measured at the lower of cost and NRV under AASB 102. Use perpetual inventory with cycle counts to control shrinkage and isolate staff/competitor discounts for margin clarity. Australian Accounting Standards Board+1

Uniforms & clothing (staff):

• Employees can generally deduct protective/occupation-specific/distinctive uniforms; conventional clothing is not deductible. Australian Taxation Office

• Non-compulsory uniforms must be on the Register of Approved Occupational Clothing for employee deductions; registration may also reduce FBT when provided by the employer.

• Consider FBT minor benefits for small, infrequent staff gifts (e.g., event merchandise under $300), noting the reasonableness criteria.

Merchant, surcharges and storefront operations

If you surcharge, it must not exceed your cost of acceptance and you should be able to substantiate the percentage by card type. Display pricing clearly and keep merchant statements. ACCC

Policy settings may shift: regulators and the RBA have flagged reforms to debit/credit surcharges and pricing transparency—review your POS settings as rules evolve. Reserve Bank of Australia

Camps, seminars, events and open mats: project accounting and GST

Treat each event as a mini-project with a budget, breakeven, and reconciliation:

• Income: early-bird, standard, door, bundles

• Costs: coach fees, venue, travel, merch, marketing

• Tax: most event fees/merch are taxable supplies (include in BAS). Keep ABNs for contractors and verify their GST registrations. Australian Taxation Office

If providing staff with event gear or benefits, consider FBT and whether the minor benefits exemption applies. Australian Taxation Office

Payroll, super and Award compliance: non-negotiables

• Withhold PAYG and report each cycle via STP Phase 2 using enabled software. Australian Taxation Office

• Super 12% from 1 July 2025—ensure payroll systems update and clearing-house payments meet due dates. ABN Lookup

• Confirm Award coverage and role classifications under MA000094; update base rates and allowances annually from 1 July. FWC

Franchising and multi-site expansion

If you plan to franchise or join a network, note the remade Franchising Code of Conduct effective 1 April 2025, with staged changes to disclosure, termination and compensation obligations (some commencing 1 November 2025). Ensure your agreements, disclosure documents and marketing fund reporting align with the new Code and any transitional rules. ACCC

For lenders and franchisors, prepare:

• Monthly management accounts and KPIs (active members, churn, attendance)

• Three-way forecast (P&L, cash flow, balance sheet) with seasonality assumptions

• Evidence of BAS, PAYG and super lodgements

How 42 Advisory helps (fixed-fee, month-to-month)

• Day-to-day bookkeeping with member/POS integrations and clean class-level reporting.

• Payroll & STP setup, Award mapping, SG compliance. 

• BAS/IAS & GST monitoring, registration support, and event spikes management.

• Year-end tax adjustments including AASB 16 and AASB 102 entries.

• Three-way forecasts for bank applications on your next facility, plus franchise reporting packs.

Implementation checklist (teams of 5–20)

1. Tailor your chart of accounts (cohorts; retail COGS; events).

2. Connect merchant/POS and membership platform to your ledger.

3. Formalise remuneration models; audit Award classifications and loadings. FWC

4. Confirm GST registration and BAS cycle. Australian Taxation Office

5. Lock in STP Phase 2 and 12% SG from 1 July 2025. Australian Taxation Office

6. Build a 12-month three-way forecast and lease schedule (AASB 16). Australian Accounting Standards Board

7. Create event breakeven and inventory procedures (AASB 102). Australian Accounting Standards Board

8. Review surcharge settings against ACCC rules. ACCC

Disclaimer

This is general information for Australian gym/BJJ/MMA businesses. It does not consider your circumstances and is not tax or legal advice. Confirm Award coverage with Fair Work and verify current ATO rules for GST, PAYG, STP and super before acting. Consider FBT for uniforms/benefits and the minor benefits criteria.

Conclusion: accounting for gyms done right

• Accounting for gyms starts with clean, integrated data (memberships, payroll, GST, inventory, leases).

• Coach remuneration and profit splits must align incentives and comply with Award and super rules.

• Events, uniforms and merchant settings affect tax, FBT and margins—document and review.

• A lender-grade three-way forecast gets you bank-ready for the next facility or franchise move.

When you want a steady hand on the numbers, don’t panic—bring a towel, and your latest P&L. We’ll handle the rest.