Managing and monitoring employee T&E costs and company expenses is a major area of focus for companies both large and small. In order to operate efficiently and meet all required accountabilities, it’s necessary to establish a functioning corporate spending policy. With the right system and approval process in place, considerable gains can be made in terms of efficiency and savings, as well as improved compliance with employees.
Using a web and mobile-based system (such as Nexonia Expenses!) to help you enforce your company’s spending policy, employees will be able to submit already-purchased expenses. Based on your unique policy, expenses that fall within the assigned category and cost can be easily filtered through the appropriate approval process. Submitted expenses that go beyond the parameters you’ve set (for example: an employee expensing the Honeymoon Suite at the Ritz-Carlton, when the policy requires them to stay at the airport Travelodge) will be flagged and Nexonia will notify the user of the overage.
But what if your organization wants to have employees ask for permission to spend money before the expense is even made? If your organization has one shared corporate credit card that needs senior level approval before been used, or if you simply want more transparency of spending before the purchases are actually being made, then incorporating a Pre-Expense Approval Process will be of benefit to you.
By using Nexonia’s fully-configurable approval process capabilities, you can incorporate a pre-approval process to your overall expense management practices. Administrators will be able to completely visualize daily spending before the expense is actually made by the end user. Accounting teams and supervisors benefit by requiring employees to provide justification in advance of the funds being spent
For example: Say you require employees to request an approval prior to expensing anything over $250 from your local printing house. An employee estimates that a series of printed posters will cost $500 for a specific project. They can then submit a Pre-Expense for approval in Nexonia for the $500, with the system informing their administrator about the expense requisition. The employee will be sent an email notifying them of the approved expense amount, assigning them with a unique pre-approval code. When the purchase has been made, the employee can then create an expense report using the pre-approved item code, matching the receipt to the report. The expensed amount can also be anything less than the pre-approved amount (example: the posters actually cost $485.50), instead of the full original request.
Using Nexonia’s Pre-Expense Approvals feature is an excellent way for organizations to manage spending against defined budgets and help prevent cost overruns with increased spending visibility. (Also, did we mention that you can add Pre-Expense Approvals to your Nexonia account for no additional cost?!) See for yourself – request a free personalized demo!