Creative & Digital · Brisbane
Accountants for Digital Marketing Agencies
Pass-through ad spend inflates revenue, retainers land before the work does, and half the team invoices from overseas. Agency numbers need structure.
How should an agency account for client ad spend?
It depends on whether you're the principal or an agent. If you buy media in your own name and bill the client, it's your revenue and your expense — inflating turnover, GST turnover and often your ATO benchmark comparisons. If you're merely passing through client-funded spend as agent, the treatment differs. Either way you need gross margin reported net of pass-through to see the real business, plus deferred revenue on retainers billed in advance and WIP on project work.
- Specialist support for marketing and creative agencies
- Fixed monthly packages from $220
- BAS, payroll and year-end handled together
- Benchmarked against ATO industry figures
What we watch
What matters most for marketing and creative agencies.
Net revenue reporting
Report fee revenue separately from pass-through media, or margin, benchmarks and valuation are all distorted.
Retainers and deferred revenue
Money received before work is delivered is a liability, not profit. Getting this wrong flatters early months and punishes later ones.
Contractor compliance
Freelancers and offshore contractors — super obligations on labour-only contracts, PAYG, and withholding on some foreign payments.
Utilisation and rates
Recoverable hours versus billed value per client, so scope creep is visible before the year's margin is gone.
Deductions
Digital Marketing Agencies — what you can claim.
A working checklist we go through with every client in this sector. Substantiation requirements differ by item — we'll tell you which need records and which don't.
- Salaries, contractors and freelancers
- Software, ad platforms and subscription tools
- Client media spend where you're the principal
- Office or coworking costs
- Training, certifications and conferences
- Professional indemnity insurance
- Computers, monitors and equipment
- Business development and travel
- Accounting, legal and bookkeeping fees
How we help
Services marketing and creative agencies use most.
Tax Returns
Individual and business returns prepared accurately, lodged fast, with every deduction claimed.
Learn more →Tax Planning
Year-round planning that lowers your tax bill before 30 June — not after it.
Learn more →Business Accounting
Bookkeeping, BAS, payroll and management reporting handled end to end.
Learn more →Self-Managed Super (SMSF)
SMSF setup, administration, compliance and audit coordination in one place.
Learn more →Business Advisory
Structuring, cash-flow forecasting, growth strategy and succession planning.
Learn more →Financial Reporting
Clear statutory and management accounts you can actually make decisions from.
Learn more →FAQ
Digital Marketing Agencies — questions we're asked most.
Should ad spend show in our revenue?
If you contract with the platform and bill the client, generally yes — and that means GST turnover and reported revenue include money that was never yours to keep. Many agencies present a second, internal view of fee-only revenue for management purposes. Set the accounts up to produce both.
Do we owe super to freelancers?
Often. Where a contract is wholly or principally for a person's labour, super guarantee generally applies even against an ABN invoice. Contracting through the freelancer's company usually changes that. It's worth reviewing the arrangements before an audit does it for you.
How do we handle payments to overseas contractors?
Generally deductible if incurred in earning income, with GST reverse-charge considerations on some imported services and potential withholding on royalties or certain payments. Keep contracts and invoices — substantiating offshore payments is a common review point.
What margin should an agency target?
Look at gross margin on fee revenue after direct delivery cost — typically 45–60% for healthy agencies — and at revenue per delivery FTE. Blended figures that include pass-through media are meaningless for management purposes.
Related
Related pages.
Accountants for Creatives
Specialist tax and accounting support for Brisbane creatives.
Learn more →Accountants for Startups
Specialist tax and accounting support for Brisbane startups.
Learn more →Business Advisory
Structuring, cash-flow forecasting, growth strategy and succession planning.
Learn more →Small Business Accountant Brisbane
Sole traders to companies
Learn more →Local coverage across Brisbane
We work in person from our Wakerley office and by secure video across 200 suburbs. Start with your region:
- Accountants Brisbane CPA accountants for the wider Brisbane metro area.
- Accountants South Brisbane South Brisbane, West End, Annerley and Sunnybank.
- Accountants Brisbane Northside Chermside, Stafford, Aspley and the northern corridor.
- Accountants Brisbane Bayside Wynnum, Manly, Wakerley and Tingalpa.
- Accountants Redland City Cleveland, Capalaba, Victoria Point and the bay islands.
- Accountants Logan City Springwood, Beenleigh, Browns Plains and 50 Logan suburbs.
- Accountants Ipswich Ipswich CBD and the western Brisbane corridor.
Ready when you are
Accountants for digital marketing agencies — let's talk.
Free 15-minute consultation, fixed monthly fee, and an accountant who already knows your sector.