Expense Reporting and Approval: A Manager's Guide

Managing expenses in the workplace can sometimes feel like navigating a maze without a map. Whether you're at a startup feeling every dollar or at a medium-sized enterprise where expense reports flow like water, the crux of the matter is the same: approving expenses is a task that requires a judicious mix of policy understanding and common sense.

The Reimbursement Tug-of-War

Small businesses often lean on the reimbursement model, where employees pay out-of-pocket and later get paid back. It's straightforward but can be a thorn in the side for those waiting on their money. Remember, this applies to you, too. When reimbursements lag, it's not just an operational hiccup; it's a fast track to disgruntled employees and, potentially, a dent in your company's reputation.

Navigating Corporate Cards

Then there's the corporate card scenario. In some places, they're rare and reserved for the upper echelons. In others, they're more common but come with their own set of challenges. Yes, employees will scrutinize those expenses more closely when they spend their money. But flip the script to corporate cards for all, and you've got a different kind of beast. It's a balancing act between giving freedom and keeping a close eye on what the company money is spent on.

The Approval Tightrope

Here's where you, the manager, come into play. The approval process isn't just ticking boxes; it's about being the gatekeeper of your company's financial integrity. Here are a few pointers to keep you on the straight and narrow:

Know Your Policy: It's your bible. Knowing it inside out means you're covered when audit time comes around. Trust me, it's easier to say you followed the rules than to explain why you didn't.

When in Doubt, Shout it Out: If an expense doesn't make sense, hit pause. It's better to ask for clarification than to approve something fishy. Once you've approved it, then that's on you, too.

Own Your Mistakes: If you're unsure about an expense you've made, err on the side of caution and mark it as personal. A minor hit now is better than a big headache later.

Receipts are Your Best Friend: A paper trail still reigns supreme in the digital age. Snap a photo, back it up, and rest easy knowing you've got the proof when needed.

Common Expense Excuses: A Manager's Decoder

The "I Didn't Know" Excuse: Ignorance isn't bliss. Company policies are there for a reason, and it's on everyone to know them. If you have a corporate card, you likely had to take training to be eligible. Saying you didn't pay attention to the training or policies will not reflect well on you.

The "Oops, My Bad" Excuse: Once is a mistake; twice is a habit. Keep an eye on repeat offenders and take action as necessary.

At the end of the day, every expense you approve is a testament to your judgment. It's visible to your superiors and the finance team, so make sure it's something you can stand by. It's not just about following the rules; it's about safeguarding your integrity and that of your company.