It is a very big task for any finance team, to check through and approve staff expenses. In SME’s it is productive to train staff on what makes a compliant receipt, so that there is less cause for rejection of expense claims.
4 points of reference for any expense claim accompanied by a receipt.
1. Is the receipt present, and actually a receipt?
This might sound like an absolute basic requirement, but in practice, there are many expense claims made either without a receipt, or with alternative evidence (such as a picture of a menu or a credit card receipt!)
2. Is the receipt legible?
Is the receipt readable, without coffee/porridge or anything else all over it! If the amounts can’t be made out, the receipt can be declined.
3. Does the receipt provided cover the basics?
ü Invoice No
ü Supplier Name & address
ü Date of purchase
ü Breakdown of items paid for, with description
ü Total amount paid
4. Is there VAT information for reclaiming?
ü VAT Number
ü VAT Rate charged for each item
ü VAT amount charged
ü Amount excluding VAT
ü VAT breakdown (invoices over £250)
ü Total including VAT
A good expense management system will aid the collection of this supporting data and even contain built in rules for denying claims over certain levels and so on. If you don’t already use an automated system, then now is the time to get one, allowing you to speed up the entire process.
Still, if you have already made the move into automated expenses, and are still filled with dread at the thought of receipt checking, then perhaps a receipt validation service is for you? Allow us to check the receipts for you!
Visit www.myexpensesonline.co.uk to find out more about the services we offer.