Staff expenses are becoming increasingly difficult to control with ever-changing regulations it’s difficult to keep up.
So we have come up with a list of areas that will help you keep them in check.
Have an effective expense policy
Without an expenses policy it is difficult to define what items an employee can include on an expense claim and what shouldn’t be claimed for.
According to Accounting Web the most ridiculous expenses from 2013 included false teeth, bath salts and a piranha! Needless to say each claim going to finance should be checked to fit in with corporate policy.
If you have an expense policy in place, any confusion can easily be resolved by referring to the document before submitting a claim.
Use an expense management system
Employees can forget what they have claimed for in last month’s expenses and accidentally submit a claim twice.
Trying to track duplications can be very tricky without an effective expenses management system in place.
Simply sifting through spreadsheets wastes time and could frustrate payroll especially when they are rush to get last minute claims through for payment.
Expense management software automatically checks duplications before they reach the pay cycle, taking the strain away from your staff.
Create automatic mileage calculations
If we take an average sales person driving approximately 500 miles a week, they should be charging the company 45p for the first 10,000 miles.
However, after exceeding the 10,000 miles they should only be receiving 25p for his mileage.
If your company fails to spot this limit, you could be potentially paying your staff an extra £400 a month based on just 500 miles a week.
This may be a very simple mistake to make, but one that will cost your company thousands of pounds throughout the year.
Check your accuracy
If you don’t have the right systems in place in your company then you won’t be recovering the VAT you are entitled to.
Last year MyExpensesOnline helped customers to reclaim thousands of pounds through accurate expense submissions and proof of purchase with receipt attachment.
The automatic triggers within the expense software highlight how much your company is owed, without a member of the finance team having to trawl through a variety of data sources to calculate a final figure.
As we continually keep up to date with the latest HMRC legislation and apply it to our software, our customers benefit from 100% compliance, avoiding incorrect submission or hefty late fines.