What are the best expense reporting methods for remote workers?

1 Use a cloud-based expense management system

One of the most convenient and reliable methods for expense reporting is to use a cloud-based expense management system. This is a software application that allows you to capture, submit, approve, and reimburse expenses online, from any device and location. You can also integrate it with your accounting software, bank accounts, credit cards, and other tools. A cloud-based expense management system can help you streamline your workflow, reduce errors, ensure compliance with tax and legal regulations, and protect your data from fraud and theft.

2 Follow a clear and consistent expense policy

Another important method for expense reporting is to follow a clear and consistent expense policy. This is a set of rules and guidelines that define what expenses are eligible for reimbursement, how much, how often, and how to submit them. You should review your employer's or client's expense policy carefully and comply with it at all times. You should also keep track of any changes or updates to the policy and communicate them with your manager or supervisor. Following a clear and consistent expense policy can help you avoid confusion, disputes, delays, and penalties.

3 Keep your receipts and records organized

A third essential method for expense reporting is to keep your receipts and records organized. This means that you should collect and store all the proof of your expenses, such as invoices, bills, receipts, or statements. You should also categorize and label them according to the type, date, amount, and purpose of the expense. You can use digital tools, such as scanners, apps, or folders, to digitize and organize your receipts and records. Keeping your receipts and records organized can help you verify your expenses, claim deductions, and prepare for audits.

4 Track your mileage and time accurately

A fourth useful method for expense reporting is to track your mileage and time accurately. This applies if you use your own vehicle or work hours for business purposes, such as traveling to meetings, events, or clients. You should record the distance, duration, and reason for each trip or task, using a reliable tool, such as a GPS device, an app, or a spreadsheet. You should also calculate the reimbursement rate, based on the standard mileage rate or the actual expenses method. Tracking your mileage and time accurately can help you maximize your reimbursement, reduce your taxable income, and support your claims.

5 Review and submit your expense reports regularly

A fifth and final method for expense reporting is to review and submit your expense reports regularly. This means that you should check your expense reports for completeness, accuracy, and compliance, before sending them to your employer or client. You should also follow the deadlines, formats, and procedures for submission, as specified by the expense policy. You should also keep a copy of your expense reports for your own reference and records. Reviewing and submitting your expense reports regularly can help you get reimbursed faster, avoid mistakes, and maintain a good reputation.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?