Expense managers have a lot on their plate. They have to keep up with expenses, for all employees, including upper level managers. Fraud can be committed on any level, but it can be kept under control by looking for 3 items when reviewing expense reports. Overspending, unreported expenses, and unrelated business expenses, are all items to keep a close eye on.
Review These 3 Items Carefully
Does one employee constantly spend more money than other employees? Have there been previous trips to the destination, which stayed within budget? Greed, entitlement, or simply not understanding company spending policies, can all contribute to overspending. Taking the extra time to check for overspending, will allow your expense manager to catch infractions, and make attempts to correct the situation.
2. Unreported Expenses
Do the numbers just not add up? Losing a receipt is never acceptable, but accidents do happen. Once, or twice, may be acceptable by company standards, but if unreported expenses become the norm, the situation should be looked into more closely. Travel expenses can complicate expense reports, but by keeping a close eye on unreported expenses, business managers can stop fraud quickly.
3. Unrelated Business Expenses
Is that a $250 room service charge, written off as lodging, and the stay was only for 1 night? This is an unacceptable occurrence in most cases, and it shows the importance of reviewing all expenses, no matter how small. If every employee begins spending an extra $100 per trip, the company would be forced to seriously overhaul their spending policies.
Going Automated Can Make Life Easier
Automated expense reporting can help to reduce stress on expense managers. Receipts can be easily uploaded, within seconds, and approvals for expenses can quickly be obtained. Credit card charges can be integrated into the system, so all expenses will be at your expense manager’s finger tips, at all times. Automated expense reporting is far more than an added convenience, it is a necessity in today’s workforce. The quicker expense managers are able to catch discrepancies, the quicker your company will stop losing money.