As a business owner or accountant, managing expenses is an important aspect of your role. Employees need to purchase various items for the company, from office supplies to client dinners. However, it's wise to have a system in place that ensures accurate and timely expense recording. This is where Minute7 comes in handy. In this blog, we'll discuss the differences between reimbursable expenses and company credit cards and how Minute7 can help you manage both.
Differences between reimbursable expenses and company credit cards
Before we delve into the details on how Minute7 can assist you in managing both types of expenses, let's first understand the differences between reimbursable expenses and company credit cards. Reimbursable expenses are when employees purchase items with their own money and then submit a request for reimbursement. In contrast, company credit cards are given to employees to use for company expenses, and the company pays the expenses directly.
Pros and Cons
When it comes to deciding which option is best for your business, there are pros and cons to each. Reimbursable expenses can provide employees with flexibility and control, as they can choose their preferred payment method. However, it can be challenging to track these expenses accurately, and it can lead to unnecessary delays in the reimbursement process. On the other hand, company credit cards offer convenience, as expenses are charged to one account, and there's no need for employees to front the money. But, unauthorized spending can be an issue, and it could result in financial loss for the company.
The Perfect Solution
Minute7 is a time tracking and expense reporting app that can assist you in managing both types of expenses. It allows employees to easily submit expenses online and attach receipts, making it effortless for accountants to track, approve, and reimburse expenses.
Employees can use the company credit cards to purchase goods or services, and expenses can be instantly recorded in the Minute7 mobile app.
Minute7 also generates real-time reports that provide an overview of the company's expenses. Reports can be customized to show expenses by date range, employee, category, and even client/project. Additionally, reports can be exported to various file formats such as Excel, PDF, and CSV, making it even easier to share or manipulate data.
Conclusion:
Managing business expenses is crucial for an organization's financial health. Reimbursable expenses and company credit cards both have their advantages and disadvantages. However, with the aid of Minute7, companies can smoothly manage and track their expense reporting. Companies can benefit from Minute7's ability to offer flexibility and convenience, allowing employees to choose their preferred payment method while ensuring the company's financial stability.