Expense Reimbursement Best Practices

The expense reimbursement process seems to be complicated for employees, administrators, and accountants; however, by using the best practices, the process can be streamlined and made more efficient for everyone involved. Some of the best practices of expense reimbursement process are as follows:

ACH Direct Deposit

ACH (Automatic Clearing House) provides an option to directly deposit employee reimbursements while providing an integrated platform for accountants and administrators. ACH eliminates the need for paper processes and allows employees to access money immediately, thus reducing delays.

Corporate Credit Cards

The reimbursement process can be accelerated when employees submit their expense reports in a timely manner. When corporate cards are given, employees need not carry the receipts along with them for submission. The corporate card transaction data gets automatically synced with the expense report, thus eliminating the need to submit business expense reports.

Follow IRS Guidelines

Following IRS guidelines in the expense management process can help your company avoid taxation on travel and entertainment reimbursements. The expense must abide by some guidelines – it must have a business connection, the employee must submit the expense within a limited period, and return excess reimbursement, if any. All these guidelines can avoid unnecessary taxation.

Ensure Compliance

If all employees abide by reimbursement guidelines, there won’t be any issues in expense management. So, all employees should be familiar with the reimbursement norms, and spending should be kept in check. By ensuring this, overspending can be avoided, and employees can be reimbursed legitimately.

Streamlining the expense management process does not stop here; an automated expense management solution like SutiExpense offers numerous features to expedite the expense reporting and employee reimbursement process.