When you're new to expense management, it's easy to get confused. The expense management process is particularly complex, and it can be difficult to meet all the obligations. As these are legal obligations, not meeting them can jeopardize the reimbursement of your expenses. Here are 10 essential rules for reimbursing business expenses.
Anticipating costs
The first thing to bear in mind when it comes to expense accounts is that it's up to you to meet the expenses. So if you're planning a business trip lasting several days, or organizing a company meal with a large number of guests, make sure you anticipate the expenses you'll incur, to ensure you have the necessary resources.
If you feel that the costs involved are too high for your income, you can ask for an advance on professional expenses. This may not cover all your expenses, but it will prevent you from having to draw too heavily on your personal resources.
Collect receipts
When it comes to expense claims, if there's one thing to bear in mind, it's that receipts are essential. When traveling on business, you need to make sure you keep them. If you don't, your company may refuse to reimburse you for your expenses.
Being organized
If you're going away for a day, you'll probably have no trouble managing your receipts. On the other hand, if you're on a business trip lasting several days, with travel, accommodation, meals or any other expenses to declare on your return, you can quickly get lost. That's why it's essential to keep all your receipts in a pocket, binder or even a box. For greater efficiency when filling in your expense reports, it's even better to classify them by type of expense.
Scanning receipts
New technologies also have their place in the expense claim management process. To avoid misplaced or faded receipts, digitizing them with a scanner is an excellent option. You can also use your cell phone to take photos of receipts - the important thing is that the information is legible. Bonus tip: once scanned, store your receipts in a Dropbox or Google drive, which you can access when you get back to the office. Organize them in folders by date or type of expense, for example. This will save you time when filling in your expense reports.
Meeting deadlines
By law, you have 5 years in which to claim reimbursement of an expense claim. However, your company may apply shorter time limits. What's more, the accounting department generally does not appreciate having to deal with expenses that relate to a financial year that has already ended. As a result, claims not submitted within 1 year are likely to be rejected. To find out which deadlines apply, consult the documents provided or ask your company's finance department. Even safer: submit your claims as soon as you return to work.
Fill in the documents correctly
Keeping expense receipts is essential, but you mustn't neglect to fill in your expense report. In all cases, the following information must be included: + the date + the location of the mission + the reason for the mission
Then, depending on the type of expense, other information needs to be added: + for mileage expenses, you need to specify the number of kilometers travelled, as well as the tax rating of the vehicle; + for a business meal, you need to specify the number of guests, their names, the company they work for and the position they hold.
Compile information in Excel
Using an Excel file can be a particularly effective way of keeping track of your expense reports, especially if you incur a large number of expenses. You can, for example, list expenses advanced in a single table, sorted by date, or use a tab in the file for each type of expense. Using a spreadsheet can also enable you to track the processing of your reimbursements, by entering information in a column such as "expense claim transmitted on ..." or "reimbursed on ...".
Using a GPS
If you travel a lot and are subject to the mileage allowance system, a GPS will be a great help. You won't have to keep checking your odometer to see how many kilometers you've driven. You can also enter your itinerary on the Internet to obtain this information.
Follow company rules
Even if certain rules are dictated by the tax authorities, your company can add to or modify some of them, such as those concerning the time limits for requesting a refund. If you want a refund, it's best to comply. In principle, you will be provided with a document explaining the procedure to follow. Otherwise, don't hesitate to ask your finance department.
Being honest
Fraudulent expense claims can sometimes work, but you do so at your peril. If your company has a verification system in place, you may slip through the cracks once or twice, but in the end you'll be caught out. If this is the case, needless to say, the finance department will no longer trust you. So the day you need to replace a lost receipt with an affidavit, don't expect the finance department to accept your request.
You now have all the information you need to get your expenses reimbursed as quickly as possible. Now it's up to you to follow these rules to optimize your chances of reimbursement.
