Keeping it simple with contemporaneous record keeping

Important disclaimer

The information in this article is general in nature and should not be considered financial or taxation advice. Everyone’s circumstances are different, and tax laws can be complex. We strongly recommend consulting with a qualified accountant or registered tax agent who can provide advice tailored to your specific situation. WFH Logbook Australia is a record-keeping tool and does not provide tax or financial advice.

The importance of contemporaneous records

From 1 March 2023, the ATO tightened the rules around work-from-home deductions. If you’re using the fixed-rate method, you now need a record of the actual hours you worked from home across the entire year—not rough estimates or a summary created months later.

The ATO lists acceptable evidence such as timesheets, rosters, hour logs, or a diary you fill in as you work. They make it clear that these records must be contemporaneous and that a four-week sample diary is no longer sufficient under the fixed-rate method.

In practical terms, contemporaneous means recording your hours on the day you work them, or soon after, so the details are accurate and verifiable.

Spreadsheets fall short

A spreadsheet can help you total your hours, but on its own it usually won’t satisfy the ATO. It’s too easy to edit after the fact, and it doesn’t show when the information was entered. A spreadsheet created at year-end or updated irregularly can’t demonstrate that hours were recorded when the work actually happened.

You can still use a spreadsheet as a summary, but it needs to be supported by proper day-to-day records.

The risks of inadequate logging

If you can’t provide contemporaneous records, the ATO may reduce or deny your work-from-home deduction. In an audit, they expect evidence that’s ready to verify. Without clear daily records, you could face repayment of claimed deductions and possible penalties.

WFH Logbook Australia makes it easy

Instead of juggling spreadsheets or reconstructing what you did weeks ago, our app helps you maintain clean records effortlessly:

• Set it up once: Enter your usual work schedule to simplify daily logging.
• Log with one tap: Record your hours each day and adjust quickly when your schedule changes.
• Automatic compliance: Every entry is timestamped, providing proof your records were kept contemporaneously.
• Stay on track: Smart reminders alert you if you’ve missed a day.
• Export anytime: Generate clean, unlimited PDF reports for tax time, your accountant, or an audit.
• Your data stays private: Your hours are stored securely, never shared with your employer, and can be deleted anytime.
• Track your deduction: As you log hours, the app estimates your deduction using the ATO’s fixed-rate method.

For actual-cost method users

Even if you claim using the actual-cost method, the ATO still expects evidence of the time you spent working from home. A simple daily log is one of the easiest ways to demonstrate this.

WFH Logbook doesn’t calculate actual costs itself, but it provides reliable records you can use alongside your receipts, bills, and other supporting documents.