What is Expense Management?
Expense Management does more than track employee spending; it also determines how to reimburse incurred costs. Also, expenditure management implements policies and procedures to control it. Similarly, when generating reimbursements for employees, the expense management process accounts for daily meal allowances when traveling.
Expense management on rise in Indian SME’s sector
Over the next 10-15 years, backed by its robust democracy and strong partnerships, India is expected to become one of the top three economic powerhouses globally.
There are number of businesses in India expanding abroad and across national boundaries, which has led to an increase in travel and related expenses as employees travel abroad.
Travel and expense reports are difficult to audit due to the risk of fraud and non-compliance with company policies. Expense management in the industries is expanding due to the need for monitoring expenses. In addition to eliminating paper usage and reducing tedious and manual tasks, expense management software also helps employers prevent errors.
According to a study by Mastercard, expense management is typically an organization’s second-largest operating cost, right behind payroll, and is one of the most difficult to manage. As a result, many businesses are trying to streamline and modernize their expense management processes.
Since SMEs have relatively informal travel approval processes, Harvard Business India is expecting corporate travel to increase rapidly in the next few years. The impact of the company resuming business trips will likely catalyze rivals’ resumption of business travel, the paper says.
What is SmartX Expense Management?
SmartX is a comprehensive expense management suite with prepaid cards that enables you to easily manage employee travel, lodging, food, mobile bills, fuel, toll payments, etc. all in one place.
Companies benefit from SmartX automated expense reporting software by simplifying travel and expense operations, increasing productivity, and boosting bottom lines.
How SmartX helps Indian Enterprises in Expense Management?
SmartX helps to Get full control on your business expenses such as
- Expenses can be tracked, monitored, and reported in real-time for easy reimbursements.
- Organize your expenses according to different expense categories with prepaid cards.
- Your payments will never be missed with automatic recurring payments.
- Set spending limits for the business prepaid card.
- Manage ledgers easily, reconcile automatically, and categorize spends automatically.
- It is possible to prevent duplicate payments and fraud by having real-time visibility into every transaction.
Benefits of Automated Expense Management Solution for Business
In order to maximize efficiency and reduce costs, companies can use enhanced reporting to plan and analyze their current spending. Automation of expense management software presents several benefits in addition to providing all the above benefits.
Best Expense Management has several benefits that can be derived from automating processes: improved productivity, cost savings, and compliance.
Complying with company policies
By using Easebuzz SmartX expense management platform, businesses can keep up with tax compliance at all levels in India: local and state. The Indian Revenue service (IRS) may take issue with some expenses, such as sports club membership, business meals, pleasure, amusement, recreation, or other social purposes as they are no longer tax deductible. In addition to easy access to reports and receipts, expense management software helps big and small medium business to prepare for audits with ease.
The Easebuzz smartX expense management software features a dashboard that provides easy-to-understand displays of expense data, such as how much the company spends on specific employees or departments, or the average time to approve expense reports.
Automate helping into Faster, simpler, and safer processes.
Since many enterprises do not even track their expenses, implementing expense management software can help enterprises save money they were not even aware they were wasting.
The automation of expense management platform saves companies time by sending reports for approval, flagging potential out-of-policy expenses, and submitting approval reports for payment.
A reduction in errors and delays
Automation features in expense management software reduce reimbursement time as well as improve accounting accuracy.
Integrated with corporate travel management systems, these solutions pull data from bank accounts and credit card statements. A mobile device with OCR capabilities allows employees to capture receipts and attach them to reports, eliminating the risks of mistakes caused by trying to type on a small screen.
Get Automated expense reimbursement
The automated expense reimbursement system offers employees the convenience of submitting expense reports and supporting documentation without delay, while managers can review and approve claims in real-time as they come along.
The result is that employees get their funds back in their accounts more quickly. Additionally, errors and delays are eliminated, making the work environment more pleasant.
A well-integrated expense management system with timekeeping, project management, accounting, and enterprise resource planning (ERP) features allows you to maximize cash flow if you bill expenses directly to clients.
Cash flow can be improved when the tracking and approval process is simple for employees and managers alike.
Adherence to expense policy.
Automated expense management software flags out-of-policy travel expenses based on custom rules tailored to your business. With such software, even the most meticulous manager may not be up-to-date on all the changes to expense policies and tax laws.
Streamlined Report Generation.
Platforms such as Easebuzz SmartX expense management software allows expenses to be consolidated into a single report, providing real-time insight into the company’s spending. Employees, Projects, and categories can be defined when reporting expenses.
With SmartX Expense Management Prepaid Card, you’ll be able to keep track of your business Expenses
Anti-fraud measures improved.
It is hard to recover money once it has been paid to trusted employees or contractors. Additionally, if an auditor recognizes a questionable entry, it can raise a flag with immediate effect.
Saving from False expense reimbursement
There is an inherent risk associated with e-receipts that images may be altered. This suggests that businesses should issue employees smartX prepaid cards so that accounting can cross-reference submissions with billing data.
For example – You can set your expense management system to raise alerts when expense claims exceed the historical norm. If your regular employee uses the pool cab to reach the office every day for rupee 5,000 per month, a 7,000 expense has been raised.
As you become more aware of your employees’ spending and where they’re spending it, you’ll be better able to analyze and manage it, allowing you to make cost savings you hadn’t thought of.
Expense management systems such as Easebuzz SmartX are efficient and itemized, will provide employees with faster and easier reimbursements, while protecting productivity and morale. They are designed to conform to the company’s policies and procedures.