The expenses sheet is a very necessary and effective tool, which is used to control the consumption of the project budget. Therefore, it should not be excluded from the strategies that minimize risks. It is a document that has the ability to collect all data related to expenses, such as materials, equipment, personnel, training, instruction and technology of use, among others. In other words, everything that a team needs to do its work well. It should also include external advisory expenses that may be needed. The drawing up of the costs record promotes better business planning, helps to avoid expenses that are not necessary. There must be established what expenses may be reimbursable and may be unforeseen and indicate time limits and time period for the expenses sheet.

The expenses sheet and its usefulness

The expenses sheet facilitates expense management processes, optimizes costs and can achieve significant savings in the company, it also helps to have good communication between employees of the organization. To make a good expenses sheet management it is important to note the following:

  1. A space for the unexpected costs: all arising costs that could not be predicted from the outset are noted.
  2. Full expense policy: it is important that the employee understandswith the help of concrete information, how to justify all made expenses. In other words, it is good that the company creates a manual on how employees must create their expenses sheets and so they will all follow the same guidelines.
  3. Application of a systematic approach: it must be applied out of the proactivity.
  4. Continuous updating of the document: the expenses sheet should not be a static document, it should be modified as on requirements.
  5. Not to centralize the update: this task should not be focused on one person, on the contrary, the whole team must participate and as the result there will be less errors and the process will be faster.
  6. Monitoring of the costs record: it is important to have at hand the elements that allow you to demonstrate all that is included in the expenses sheet, such as documents, invoices, among others. It is not recommended to do long-time work just a partially, because there is the risk that errors are precisely in that it is not supervised.
  7. To avoid internal fraud: the company may choose to use any automated management software, which does not permit the internal fraud to happen. It is common to find that a big percentage of employees inflate their expenses either intentionally or through ignorance. It is very important to clarify the rules in the manual recommended in the point 2.
  8. Process automatization: it can be achieved through software compatible with mobile devices or computers. They are a very useful tool that has several functions, among which are: fraud detection, data identification and even addition of data automatically.  This process is highly recommended, because the work which is done manually leans toward errors.
  9. Processes of development and improvement of the expenses sheet: it is important to implement improvement processes to the expenses sheet, so that there are constantly more improvements within the organization and for everyone involved. Mismanagement of this document will not bring positive consequences for the company, for example: frauds, cost overruns, inefficient and slow reimbursements, among others.

Dokuflex is a solution approved by the Spanish Tax Agency to automate the integrated management of invoices and receipts; we recommend you to contact us for good advice in the area of costs and expenses policy.

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