6 Tips for Making Expense Management a Company Priority
Tallying expenses by hand can be a time-consuming, repetitious task. Receipts are difficult to read, double-entry is common, and employees often forget expenses and file them late. Managing all that can be a headache.
You know you want an automated solution to expense management, but how do you convince the CEO? Remember, your CEOs primary concern is going to be the bottom line. When pitching an expense management system to management, consider leading with these six points:
1. Expense Management Software Improves the Bottom Line
It’s easy to create reports with expense management software that can help you identify trends in your spending. Large, irregular expenses are easy to identify. You can even use expense management software to compare expenses versus productivity. For instance, a salesman might overspend on a lower-profit client.
2. Expense Management Software Helps Keep You Safe in Case of an Audit
Expense management software eliminates much of the guesswork. Without an automated system, bookkeepers are handed loose receipts that are often difficult to read, can easily be double-entered, or which are lost at some point between the initial point of sale and the accounting department. Once a modern system is implemented, employees can automatically enter their expenses to the system and make digital copies of receipts, eliminating the messiness of a paper system.
3. Expense Management Software Improves Organizational Efficiency
With the best expense management software, you can streamline expense reporting and reimbursements. When your employees submit their expenses to the system, you can integrate these funds with your payroll system. This way, employees will see their funds come back on a paycheck or a separate direct deposit to their account. You will no longer have employees worried about reimbursement, as they will likely find their funds reimbursed on their next paycheck.
4. Expense Management Software Allows Employees to Focus on What They Do Best
When your salesforce is out on the road, it might be cumbersome to keep track of all of their receipts, not to mention tallying them upon their return. When they are able to upload expenses from their mobile phone or iPad, they won't have to worry about misplacing a receipt or forgetting which meal is expensed to which account. When the company implements expense management software, salespeople can eliminate time spent on administrative tasks. Their time will be spent doing what they do best – selling the company's products or services.
5. Expense Reporting Increases the Accuracy of Your Numbers
Expenses can get out of hand sometimes. When you are trying to close deals and do work, the last thing you need to fret over is how much you spent on the expense account. When your employees can upload their numbers as they go, they can also track the totals versus any expense caps. Then, if they foresee extending the pre-set limits on expenses, they can consult with the office to find a solution.
6. Expense Management Software = Checks & Balances
Not only is it incredible to book travel arrangements through the expense management software, but you can also set limits on spending. Employees will no longer be tempted to upgrade their travel accommodations, and you can ensure that costs are contained at the point-of-sale. When you stop excess spending before it occurs, you won't need to make retroactive budgetary allowances for overages in travel spending.
Making expense management a priority helps your company make the best use of its expense accounts. If you are billing clients for travel and other expenses, they will likewise appreciate the detailed reports that expense management software can provide. Talk to your CEO and make sure expense management is your company's priority.
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ExpenseWire is a wholly-owned subsidiary of Paychex, a trusted name in the HR business that serves over half a million small and medium-sized businesses nationwide. Our expense management software captures expense data at the time of purchase, then flows that information into your reimbursement process and accounting systems.
Contact our nationally recognized U.S.-based sales and support team to find out more.
