What is an expense?

An expense claim/transaction in travel expense management is a request by an employee for reimbursement of costs incurred during business travel. These costs can include transportation, lodging, meals, and other related expenses.

🔑 Key Points:

1. Purpose : Compensate for business travel costs.

2. Categories 🏷️ : Includes transportation, lodging, meals, entertainment, miscellaneous expenses, etc.

3. Documentation ✍️ : Requires receipts and details like date, amount, and purpose.

4. Submission 😎 : Through an expense report, often via travel expense management software.

5. Approval 👌 : Reviewed and approved by supervisors to ensure policy compliance.

6. Reimbursement 💰 : Paid out after approval.

Example:

For a trip costing $940 in flights, hotel, meals, and taxis, the employee submits an expense claim with receipts. After approval, they are reimbursed $940.

Expense claims streamline the reimbursement process, ensuring accuracy and policy compliance.