Why You Should Have A Travel & Expense Policy In Place

Why You Should Have A Travel & Expense Policy In Place

Why You Should Have A Travel & Expense Policy In PlaceIf you are maintaining a diligent system of reporting expenses for travel, you are definitely on the right track to running a company responsibly. However, if you haven’t taken the time to create, maintain and educate your employees on an expense policy, you’re not making the most out of the system you have.

Policies Mean Efficiency

If you have employees that frequently need to travel, it is important to understand what kind of spending is required for living and working while abroad, and craft policies that cater to these needs. There’s no point in having a sizable entertainment budget if your employees don’t need to work with clients in such a capacity, and conversely, if your technology group will regularly acquires new hardware or software, that needs to be taken into account.

If you want to use automated expense report software as part of your system, be sure to properly train employees in the use of the software and, perhaps more importantly, incentivize the use of the software. By showing that the software is not just easier and more efficient to use, but may provide company rewards for taking advantage of the system, you establish a positive early relationship with the software that will carry over throughout the rest of your company.

When possible, once you have formulated a policy for travel expenses, take the time to integrate those policies into the software itself to ensure that even if an employee forgets what is a compliant expense and what isn’t, the software remembers. ExpensePoint, for example, can recognize when noncompliant expenses are made and automatically flag them so that the relevant staff can investigate the report, and determine whether the expense was a mistake or an attempt at fraud, then notify the employee of the results.

Use The Right Tools

With expense report software, the reports themselves can live both online in the “cloud,” and on personal mobile devices like phones and tablets. Make sure your employees are familiar with these advantages and use them, so that they don’t have to file expense reports at the end of the trip, but can make a “living expense report” where every purchase they make is filed within moments of the transaction thanks to the app on their device.

In this way, with a sound policy and the right training of employees to respect that policy and use it in tandem with expense report software, you have a much smoother, more efficient, more accountable expense report experience.