Strathfield Municipal Council
Budget & finances

Budget & finances

Comparing raw dollar totals between councils isn't very useful — bigger councils naturally have bigger numbers. What does tell you about a council's financial health are normalised indicators: the standard ratios that every NSW council reports against the Office of Local Government's benchmarks, plus per-property figures you can compare to the NSW average. The ratios below are from the NSW Government's 'Your Council' / OLG time-series data for 2023–24.

New to these terms? Read them in plain English
Operating performance ratio
Whether everyday income covers everyday running costs.
Own-source operating revenue ratio
How much of the council's income it raises itself vs. grants from other governments.
Unrestricted current ratio
Whether the council has enough spare cash to pay its short-term bills.
Debt service cover ratio
How comfortably operating cash covers the council's loan repayments.
Rates & annual charges outstanding ratio
The share of rates bills that haven't been paid by year-end.
Cash expense cover ratio
How many months the council could keep paying bills if income stopped.
Infrastructure backlog ratio
The cost of fixing run-down assets, as a share of what those assets are worth.
Asset maintenance ratio
Whether the council actually spends what it should on maintaining its assets.
Building & infrastructure renewals ratio
Whether assets are being renewed as fast as they wear out.
Operating result (surplus / deficit)
Income minus expenses for the year's normal operations.
OLG benchmark
The healthy target set by the state for each financial ratio.
Average residential rate
The typical yearly general-rates bill for a home in the area.
Office of Local Government (OLG)
The NSW body overseeing councils; publishes the financial data.
See the full explainer, with formulas →
$1,267 / yearAbout 5% above the NSW council average of ~$1,203 (2023–24 was $1,098). A separate domestic waste charge (~$592) applies. (OLG time-series data.)
Operating deficit — performance ratio −11.5%Below the >0% benchmark, so it misses this measure for the year.
Reported as 0.00× (benchmark > 2×) — missesThe council reported an operating deficit this year; see its annual report for detail on borrowings and debt-servicing. We present the figure as published and don't speculate about the cause.
Liquidity & cash
Unrestricted current ratio 5.13× (passes); 14.9 months cash (passes)Liquidity and cash cover are both comfortably above benchmark.
Infrastructure
Backlog 10.3% (misses); maintenance 106.8% (passes); renewals 110.2% (passes)The infrastructure-backlog ratio is above the <2% benchmark; the OLG's 2024–25 time-series shows backlog easing to 7.9%.
Self-funding
Own-source revenue 65.1% (passes)Above the >60% benchmark.
Domestic waste charge (2024–25)
$592 / yearA separate annual charge that funds the bin service (2023–24 was $554).
Indicator (2023–24)StrathfieldMeets?
−11.5%> 0%No
65.1%> 60%Yes
5.13×> 1.5×Yes
0.00×> 2×No
6.3%< 5%No
14.9 months> 3 monthsYes
10.3%< 2%No
106.8%> 100%Yes
110.2%> 100%Yes

Strathfield's financial-health indicators, 2023–24, against the NSW Office of Local Government benchmarks. 'Meets?' simply states whether the figure is on the benchmark side of the line. Source: NSW Government 'Your Council' / OLG time-series data, 2023–24.

These ratios are the standard, size-independent way to read a council's finances, which is why we use them instead of raw dollar totals. Strathfield met 5 of the 9 benchmarks in 2023–24. It reported an operating deficit (−11.5%) that year, and its debt-service-cover ratio is reported as 0.00×; the annual report has the detail on borrowings and debt-servicing behind those figures. The OLG classifies Strathfield as a metropolitan (Group 2) council, so it is benchmarked at under 5% for rates outstanding (6.3% this year). The OLG's 2024–25 time-series shows some infrastructure ratios moving: backlog 7.9%, maintenance 106.2%, renewals 83.9%. We present the numbers and their benchmarks; whether that's good value is for you to judge from the sources below.

Sources — check it yourself

Figures are current as at the dates shown and may change — always confirm with the linked source. See the notice at the bottom of the page for full details and how to report a correction.