How to Track Your Work From Home Hours for Tax
A complete guide to ATO-compliant WFH record keeping — keep your deductions safe and audit-ready.
Why Record Keeping Matters to the ATO
The Australian Taxation Office has made one thing clear: you must keep a record of every hour you work from home to claim deductions. This isn't optional — it's a legal requirement.
In recent years, the ATO has tightened its WFH deduction rules. Gone are the days of the "shortcut method" (80c per hour during COVID). Now, you need proper records showing:
- The dates you worked from home
- The number of hours worked each day
- The type of work performed (employment duties)
Without these records, the ATO can disallow your entire WFH deduction. That could mean hundreds or thousands of dollars lost — plus potential penalties if you've claimed what you can't prove.
What the ATO Says
"You must keep a record of the total number of hours you worked from home. A four-week representative diary or similar document may be used to show a pattern for the rest of the year, but only under specific conditions."
— Australian Taxation Office, ato.gov.au
What Records You Must Keep
For the fixed rate method (70c/hour), you need:
- A record of all hours worked from home for the entire income year
- At least one monthly or quarterly bill for each expense you claim (electricity, internet, phone)
- Evidence of hours can be: timesheets, rosters, a diary, or an app/tool log
For the actual cost method, you also need:
- All receipts and invoices for every expense
- Records showing how you calculated the work-related percentage
- A diary of at least 4 continuous weeks showing your work-from-home pattern
Records must be kept for 5 years from the date you lodge your tax return.
Methods: How to Track Your WFH Hours
There are several ways to record your hours. Here's how they stack up:
| Method | Accuracy | Effort | Audit-Ready | Cost |
|---|---|---|---|---|
| Excel / Google Sheets | Medium | High — manual entry | Partial | Free |
| Paper diary / notebook | Low | High — easy to forget | Poor | Free |
| ATO MyDeductions app | High | Medium — photo receipts | Yes | Free |
| Paid accounting software | High | Low — automated | Yes | $10–$50/mo |
| WFH Hours Tool (dedicated diary) | High | Low — quick logging | Yes — PDF export | Free |
Spreadsheet vs Digital Tool: The Hidden Cost
A spreadsheet seems free, but there are hidden costs:
- Formula errors: One wrong cell reference and your total is off. The ATO doesn't care — you're responsible.
- Forgetting to log: Busy day, you forget. End of June you're guessing which days you were home.
- No audit trail: A spreadsheet proves nothing about when you logged hours. A digital diary timestamps every entry.
- No PDF export: You'll need to manually format a spreadsheet for your tax agent or myTax — a good tool generates the report.
How Our Free WFH Diary Works
Our tool is built specifically for Australian WFH tax tracking:
Log Your Hours
Create events for each day: Normal Hours, WFH Hours, Breaks, Leave, and Public Holidays. Pick dates and times — it calculates everything.
Organise by Financial Year
Sheets are grouped by Australian financial year (1 July – 30 June). Switch between sheets to see each year's totals at a glance.
Export PDF Timesheets
One click generates a formatted PDF with every hour logged, sorted by date. Print it, email it to your accountant, or keep it for your records.
100% Private
No cloud, no accounts, no server. All your data stays in your browser's localStorage. Nothing is sent anywhere.
Tips for Ironclad ATO Records
- Log daily, not weekly. It takes 20 seconds at the end of each day. Memory fades fast.
- Include all hours, not just WFH. Record sick leave, annual leave, and public holidays too — it proves you haven't over-claimed.
- Export your PDF before 30 June. Generate a timesheet at the end of each financial year and save it with your tax documents.
- Back up your data. Use the Export feature in Settings to save a JSON backup — put it in your cloud drive or email it to yourself.
- Don't guess. If you missed a day and can't remember, leave it blank. Inflated records look suspicious.
Start Tracking Your WFH Hours for Free
No signup, no cloud — your data stays on your device. Export a PDF timesheet in one click.
Start Your Free WFH Diary