Reimbursements

How do I pay expense reimbursements?

To pay expense reimbursements, businesses can:

1. Offer advance funds for expenses, replenishing when the employee submits paperwork
2. Have employees pay out of pocket and reimburse approved amounts upon expense report submission
3. Issue a business-specific credit card with set limits and designated purposes

Are there alternatives to expense reimbursements?

If you do not want to bother with the entire process of expense reimbursements, the best alternative is to issue virtual cards to employees for business expenses. And if you have a smart spend management platform like EnKash, you can control the limits, the type of usage, track the movement, and so on with a few clicks. This way, the employee can keep submitting the relevant documents once the expense has been paid off.

What expenses are reimbursable?

In most businesses, the expenses incurred for business purposes can be reimbursed. These generally include meals and entertainment, travel expenses, fuel charges, advertising expenses, business gift expenses, educational costs, employees’ meals, daily travel allowance if applicable, local commutes (taxis, etc), event-related expenses, etc.

What counts as employee business expenses?

Employee business expenses are those that an employee undertakes to further the business purposes. It could be anything from public relations, marketing, advertising, events, entertainment, travel, gifts or merchandise, displays, advertising, food, entertainment, etc., as long as they are for the business.

How to manage expense reimbursements?

The management of expense reimbursements starts with clearly understanding the budget allocations. Then comes the creation of a clearly defined policy that helps everyone understand how the process works, the limits for each expense, the process to get approvals, exceptions to the rule, and the documents required to process the reimbursements. Once policies are in place, educating your employees about the same is essential. Keeping the policies updated per the organization's changing needs is also crucial.

How to simplify your expense reimbursement process?

The best way to simplify your expense reimbursement process is to invest in a spend management platform that will help you at every step. Whether it is budgeting, controls, approvals, or reporting, all these aspects will be part of the platform.