Expense reports are indispensable and practical documents for all companies. But when companies grow, the number of assignments increases and paper documents accumulate. Given the complex rules to be respected when validating expense reports, managing this process can quickly turn into a nightmare. But no need to panic! A solution exists: automation using management software. Easy to set up, it has several advantages for you and your company, including the following.
Time savings
Every employee in the company saves valuable time when using a digital solution for expense report management. The whole process is completed in a few clicks, everything is centralized on the platform, and the calculations are automated.
Employees declare their expenses in real time from the software’s dashboard and add their receipts. Once their documents have been scanned, they are safely stored – they won’t get lost at the back of a drawer!
Managers and the accounting department then control, analyze, and validate the expense reports via an intuitive and clear interface. The tool calculates the expenses and the amounts to be reimbursed, which makes the accounting department’s work much easier.
The reimbursements are then automatically transmitted to the payroll or bank transfer software. Because the processing time for expense reports is shorter, employees are reimbursed more quickly.
Reducing errors in the calculation of expense reports
The other advantage of the expense report management software is that it helps to prevent the numerous entry errors, omissions, and frauds that can lead to significant losses for companies. Employees enter the data in the predefined fields and the software identifies any inconsistencies.
The tool can precisely calculate:
- Flat-rate allowances according to the relevant scales;
- Mileage expenses;
- VAT;
- Conversions of the amounts into the company’s home currency for overseas business travel.
Thanks to automation, the accountant just has to check the digital receipts before validating the reimbursement.
Implementing the company’s reimbursement policy
For employees, claiming the reimbursement of their professional expenses implies that they understand a certain number of rules defined by the company. But it can be difficult for them to navigate these rules and comply with the reimbursement policy. The digital solution simplifies the process of entering information and amounts: the employee is guided by the interface.
The manager, meanwhile, can easily configure the software to amend the calculation rules if needed, which avoids constant back and forth with employees to check whether they have properly applied the company’s policies. But manual updates are not necessary: the software automatically updates itself to keep up with changing market conditions and changes to internal and external rules.
Analyzing expenses
With expense report management software, companies improve their profitability as well as saving time!
Managers can use the dashboard to view the number and nature of their employees’ expenses, in real time and retroactively. Analyzing this information helps them to make changes in the company’s reimbursement policy, and to improve competitiveness and productivity in function of the company’s needs.
From an international perspective, the centralization of information related to business expenses is a valuable asset: headquarters can observe and manage local reimbursement policies. For their part, firms can plan their upcoming expenditure to schedule, and adapt their strategy according to the economic context and future projects.
Improved inter-departmental relationships
The time spent on expense report management, data centralization, and transparency is reduced: automating the process reduces pressure and facilitates internal company relations.
With a digital management solution, exchanges between the sales department and the accounting department are more fluid. The risk of errors and fraud is considerably reduced, documents are accessible online without risk of loss, and employees are reimbursed for business expenses in no time at all. It’s a win-win situation for everyone!
In summary, a digital tool such as the N2F expense report management application, is a major ally within companies.
Employees enter their expenses from their smartphones, via an intuitive interface that signals any inconsistencies and automatically calculates the amounts to be reimbursed.
The accounting department can validate the scanned receipts in no time at all.
Finally, managers can directly view all expenses and make decisions that are beneficial for the company.