To manage all the expenses initiated by employees, including processing, paying, and auditing, many businesses take the help of software or tools. Such software is commonly referred to as expense management software, and it gives a myriad of options to effectively manage all employee-initiated expenses and transactions. Simplification and automation of such expenses is the primary goal of expense management software and tools, and they reduce efforts in several ways, like by streamlining the review system, eliminating paperwork, and reducing administration effort.
Now that you have a basic idea of expense management software, let’s look at some things you must know before investing in one.
Managing business expenses can be a real hassle, especially those of multiple employees. In addition, the numbers can quickly confuse the business owner in the absence of expense management software, often resulting in a stack of paper receipts and miscalculations. To avoid such a scenario, expense management software and tools are an ideal solution for any business.
An expense management software is an application that enables a business to smoothly process, audit, and pay all their business-related expenditures. These expenses are usually done by the employees and commonly include travel and entertainment expenses. This software can also be used by individual traders to manage their business expenses.
Expense management software come with a number of functionalities, and they include the following:
Expense management software is an application that enables smooth managing and reimbursements of employee-initiated expenses.
Since all these expenses are done by the employees, the very first step for reimbursement through an expense management software is to upload the receipt. To reduce paperwork, the software gives the option to either upload an image of the receipt or simply upload an e-receipt.
Then, the software scans the receipts and looks for any kind of policy violation. If it finds the receipt violating any company policy, it immediately notifies the employee. On the other hand, if it finds everything to be as per company norms, it forwards the receipt to the designated authority.
Once approval is given by the designated authority, the employee receives their reimbursement.
Additionally, the software lets the receipts be saved on the cloud for any future reference or use.
The primary goal of expense management software should be to reduce the effort that goes into managing expenses. It must simplify and automate all the expense entries of a business, streamline the review process, and reduce the effort of the employee and the designated authority in doing so. Also, good expense management software must analyze expenses and highlight all the options to help reduce the cost. Based on these features, and some expense management software reviews, some of the most popular software available in the market are Abacus, Zoho expense, and Fyle.
One of the popular expense management software, Abacus helps businesses implement their expense and reimbursement policies and reconcile corporate credit. Let’s look at some of its features:
This is GST-compliant expense reporting software customized for businesses to enable easy approvals and reimbursements and automate expense report creation. Here are some of the key features of this software:
This is a modern expense management software that caters to businesses of all sizes and offers one-click reporting for employees. It also helps streamline travel expenses and automates approval workflows to increase transparency and reduce efforts. The following are some of its key features:
Expense management software can add great value to any business with its cost-saving, auditing, and financial features. It reduces human effort and saves a lot of time, which is otherwise invested in checking and managing receipts and looking for company policy violations in each of them. Nowadays, every business is moving toward bringing in automation, as a result of which a lot of business owners have switched to using software rather than manually managing the expenses. Not just that, expense management software also lets the authorities analyze the expenses and take better financial decisions.
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