Expense Management is essential to the success of a business. However, keeping track of your expenses can be a pain. Spreadsheets are useful for a number of purposes, including recording expenses and maintaining records. Spreadsheets also help you collect uncategorized transactions from clients. However, chasing down these uncategorized transactions can take days or weeks.
In addition to saving time, expense management systems also help you comply with IRS tax reporting guidelines. Proper records allow you to claim more deductions and forecast your finances. They also help prevent employee fraud and help you protect your company’s bottom line. Employees can also get involved in the expense management process by providing feedback about the company’s policies. In addition, you can make the process transparent by publishing the total expenditures for each department. This will help employees become aware of how their ideas can help your business save money.
Manual expense reporting is still popular in many small businesses, and it’s a viable option when your business doesn’t have much volume. However, if you’re planning to grow and hire more employees, you’ll need a more modern system to keep track of expenses. Paper-based expense reporting requires a significant amount of paperwork and time, so it’s vital to streamline the process.
Online expense management tools automate the process of submitting expense reports and reporting. With advanced features, expense management software will also reveal spending trends and surface useful data and insights that will help you make better decisions. Automated expense solutions can even reduce processing costs by 50%. You can even get mobile apps for your employees to submit their expenses anywhere, whenever they are on the go.
The use of expense management software can reduce fraud and save you time. Many software tools allow you to take pictures of receipts for easy tracking, and you can use these tools to analyze your spending patterns. If you’re not sure which expense management software to choose, it’s crucial to ask your employees about any problems they have and to ask what features they’re not using.
Zoho Expense is an expense management app that allows you to scan receipts and create expense reports. It has built-in features for tracking receipts, automatic reimbursement and integrations with your accounting software. It has a free plan for small businesses and a paid plan for large businesses. Zoho Expense allows you to create roles, approve receipts, and create an approval hierarchy. You can even add your own fields.
Expense management solutions also allow employees to upload receipts using OCR technology. OCR technology can pull key information from receipts and store them in a central place for easy reporting. This software can also help you identify patterns in employee spending and can even allow you to create budgets and approve individual transactions.