08/12/2025 • 15 min read
Five Low-Cost Cyber Protection Tips (Australia) 2025
Five Low-Cost Cyber Protection Tips (Australia) 2025
Australian accounting practices can materially improve cyber protection with five low-cost controls: enforce multi-factor authentication (MFA) everywhere, harden email against phishing, patch and reduce admin privileges, secure backups with a tested restore, and implement simple data-access governance (including ATO portal and cloud accounting controls). These measures directly reduce the most common causes of practice breaches—credential theft, business email compromise, and ransomware—without requiring enterprise budgets, and they align with ATO expectations around safeguarding client data.
What does “better cyber protection” mean for an Australian accounting practice?
Better cyber protection means preventing unauthorised access to client data and practice systems, detecting suspicious activity early, and ensuring rapid recovery if an incident occurs. For accountants, the risk profile is elevated because practices hold high-value identity data (TFNs, DOBs, bank details), manage lodgments, and may access the ATO portal for many clients.
- ATO expectations for protecting client information and credentials, particularly where Online services for agents (OSFA) or integrated ATO connections are used.
- Privacy Act 1988 (Cth) obligations (including the Notifiable Data Breaches scheme for eligible entities) where personal information is involved.
- APES 110 Code of Ethics for Professional Accountants (including independence and confidentiality obligations), which makes confidentiality and professional competence (including systems and controls) a practical imperative for firms.
- Contractual and professional risk (PI insurance implications and client engagement terms) if data loss or ransomware disrupts compliance deadlines (BAS/IAS/ITR).
Why are “low-cost” controls often the highest ROI in cyber security?
Low-cost controls are often the highest ROI because most successful intrusions in small and mid-tier professional firms exploit basic weaknesses: reused passwords, missing MFA, unpatched software, and phishing. Improving these areas blocks the majority of commodity attacks without needing a full security operations centre.
- Using built-in capabilities in Microsoft 365/Google Workspace, Windows/macOS, routers/firewalls, and cloud accounting tools.
- Adopting simple policies and enforcement (MFA, password manager, patch cadence).
- Paying modest monthly subscriptions for essentials (backup, password management, security awareness).
Tip 1: How do you secure ATO and accounting software access with MFA (cheaply)?
Mandating MFA for every system that can move money, access tax data, or access client identity information is the single best low-cost control for Australian practices.
- ATO access (where supported through identity providers and linked services)
- Email (Microsoft 365/Google Workspace) because email compromise is the launchpad for most fraud and ransomware
- Cloud accounting platforms (Xero, MYOB, QuickBooks, Sage) and document stores
- Practice management, bank feeds, and payment platforms
- Remote access (RDP should be avoided; use secure remote tools with MFA if required)
- Turn on MFA for all users, with an authenticator app or FIDO2 security keys for partners/admins.
- Disable legacy authentication where possible (reduces “password-spray” success).
- Apply conditional access rules (even basic “block sign-in from risky locations” policies help).
- Require MFA re-authentication for high-risk actions (changing bank details, adding new payees, exporting client lists).
- A staff member falls for a phishing email and enters their password. If MFA is enforced, the attacker typically cannot complete the login, preventing mailbox takeover and subsequent client “bank detail change” fraud.
- The ATO has repeatedly warned the profession about phishing and credential compromise affecting agent access and associated client fraud risk. Practices should treat ATO-facing credentials and linked services as “crown jewels” access.
Tip 2: What are the cheapest ways to stop phishing and business email compromise?
Email security is often the cheapest and most impactful uplift because most breaches begin with a malicious email link, attachment, or invoice scam.
- DMARC, SPF and DKIM on your practice domain to reduce spoofing of your brand (clients are frequently targeted using “fake invoice” or “changed bank account” emails).
- Disable auto-forwarding to external addresses (a common attacker persistence technique).
- Use “external sender” banners so staff can visually identify external emails.
- Attachment and link scanning (available in many standard email security bundles).
- Simple verification policy for bank detail changes:
- During peak lodgment periods, staff are under time pressure and more likely to click “ATO-like” emails. A combination of external sender banners, phishing-resistant MFA, and a rule blocking executable attachments significantly reduces risk.
- ATO guidance and alerts to tax professionals emphasise heightened vigilance for phishing and credential theft. It is established good practice to treat any “ATO login” email as suspicious and to access ATO services only through known bookmarked URLs or practice-standard launch methods.
Tip 3: How do patching and removing admin rights reduce ransomware risk?
Regular patching and least-privilege access reduce the attack surface and prevent malware from easily escalating privileges across machines.
- Monthly patch cadence for Windows/macOS, browsers, Microsoft Office, PDF readers, Java, and remote tools.
- Rapid patching (48–72 hours) for critical vulnerabilities that are actively exploited (your IT provider can flag these).
- Remove local admin rights for standard users; provide “just-in-time” admin elevation when needed.
- Disable macros from the internet in Office unless there is a documented business need.
- Application allow-listing for high-risk endpoints (even basic “only approved apps” policies on managed devices).
- A workstation is compromised via an unpatched browser plugin. Without local admin rights, the attacker often cannot install persistence tools or disable endpoint protections, limiting the blast radius.
Tip 4: What is the most cost-effective backup approach for accountants?
The most cost-effective approach is a 3-2-1 style strategy (implemented pragmatically) with immutable/offline backups and routine restore tests. Backups are your last line of defence against ransomware and accidental deletion.
- Keep multiple copies:
- Separate credentials:
- Test restores quarterly (minimum):
- Ensure you can restore:
- Loss of records can compromise the practice’s ability to substantiate positions taken in returns and BAS, particularly where source documents are required. Secure, restorable backups are a governance control as much as a cyber control.
Tip 5: How do you protect client data with simple access governance (least privilege)?
Least-privilege access and clean offboarding are low-cost but frequently neglected in accounting firms. They materially reduce risk when staff leave, when contractors are used, or when a mailbox is compromised.
- Role-based access:
- Separate “admin” and “daily” accounts for IT and high-privilege roles.
- Offboarding checklist (same day):
- Logging and review:
- A contractor assisting with year-end compliance retains access to SharePoint and Xero after their engagement ends. If that account is later compromised, the attacker inherits broad access. Offboarding prevents “dormant access” becoming a future breach.
How does MyLedger compare to Xero, MYOB, QuickBooks and Sage for cyber-resilient workflows?
MyLedger (by Fedix) improves cyber-resilient practice operations by reducing manual handling of sensitive data and enabling controlled, secure collaboration around reconciliation and working papers—areas where many breaches expose client bank data and identity information.
- Secure collaboration for reconciliation views:
- Automation that reduces risky file handling:
- ATO integration depth (practice operations):
Cyber security is not only a “security tool” issue; it is also a workflow design issue. Reducing exports, attachments, and uncontrolled spreadsheets directly reduces practical exposure.
What are the most common cyber threats to Australian accounting firms in 2025?
The most common threats remain financially motivated and operationally disruptive, rather than “targeted espionage.”
- Credential theft (phishing, password spraying, MFA fatigue attacks)
- Business email compromise (fake invoices, bank detail change scams)
- Ransomware (often triggered by phishing or unpatched systems)
- Client identity data theft (TFNs, DOBs, bank details)
- Supply-chain and OAuth token abuse (compromised third-party apps connected to Microsoft 365/Xero)
These threats are amplified by peak workloads around BAS/IAS/ITR deadlines, where time pressure increases clicking, forwarding, and rushed approvals.
How can a small practice implement these five tips in 30 days?
A 30-day rollout is achievable if responsibilities are assigned and changes are staged.
- Days 1–5: Identity and MFA
- Days 6–12: Email hardening
- Days 13–18: Device security baseline
- Days 19–24: Backups and restore testing
- Days 25–30: Access governance
Next Steps: How Fedix can help (and where MyLedger fits)
Fedix helps Australian accounting practices reduce cyber exposure by simplifying and securing the journey from bank data to compliance outputs. MyLedger is designed to minimise manual, high-risk handling of client financial data through automation (including AI-powered reconciliation and automated working papers) and secure collaboration controls.
- Whether MyLedger’s AutoRecon can reduce manual handling and uncontrolled file distribution
- Whether secure sharing can replace ad-hoc email attachments
- Whether ATO-integrated workflows can reduce portal download/upload steps
Learn more at home.fedix.ai and evaluate MyLedger as an AI accounting software Australia option designed for practice-grade automation and governance.
Conclusion
Five low-cost cyber protection tips deliver outsized results for Australian accounting practices: enforce MFA, harden email against phishing, patch systems while removing admin rights, deploy immutable/offline backups with restore testing, and implement least-privilege access with disciplined offboarding. These measures directly address the most common attack paths used against firms and support the practice’s obligations to protect confidential client information and maintain continuity through BAS/ITR cycles.
Disclaimer: This material is general information only and does not constitute legal, tax, or security advice. Cyber security obligations and appropriate controls depend on your practice size, systems, and regulatory profile. Advice should be obtained from qualified legal and cyber security professionals for your specific circumstances.