4 Key Benefits of Expense Management Software
Tracking travel and entertainment (T & E) expenses are not only essential but also critical for any business. Businesses waste a lot of money when they have ineffective processes in place. We will provide you with a quick overview of how automated solutions simplify the process of tracking expenses by virtually eliminating mistakes and streamlining the processes.
The following are a few ways that illustrate how automated expense solutions can lower costs and improve processes:
Cuts the Processing Costs
Recent studies stated that companies using an automated expense report solution have reduced the processing costs by 50% compared to companies relying on spreadsheets. The ability to import data from corporate cards directly to the expense application can reduce processing costs by 25%.
Reduces the Processing Time
Automated travel and expense solution can help reduce time and effort associated with managing expenses. The ability to automatically capture card feeds and populate them into the expense report can save much of the employees’ time. Employees can also capture receipts and attach them to the appropriate claims using their mobile device. Expenses can be recorded as they happen so that managers can quickly review and approve claims. This method of recording expenses reduces the time spent on analysis and reporting so that you can focus on other activities.
Increases Compliance
Over 10% of claims approved by managers could be out-of-policy. However, with automated expense solution, your policies get enforced before any violations occur as you write rules within the reporting process and out-of-spending can be flagged. Applying policies within the system will ensure compliance with internal policies.
Ensures You Claim Taxes You’re Entitled To
It may be difficult at times to reclaim GST because employees do not provide appropriate receipts all the time. The automated solution will easily identify expenses for which GST needs to be paid or reclaimed and the required information is captured upfront. Some expense report solutions will ensure compliance with local legislation requirements by capturing the requisite details and automatically calculates any associated GST amounts.
Automated solutions can save businesses’ time and money by eliminating tedious paper-based expense processes and allows accounting teams to easily review, audit, and pay expenses, thereby improving organization’s control over spending.
