6 Tips to Manage Business Travel Expenses

Business Travel Expenses

One of the Biggest problems organizations face with respect to business travel expenses is poor visibility and data overspends, lack of control over employee expenditure, the high cost of expense processing and lengthy reimbursement cycles.

Business travel expenses is a standout amongst the most critical parts of an organization’s business spends. Since on a normal, organizations are spending around 10-12% of their general costs on employees’ travel. Organizations are understanding the significance of having a more secure procedure that will help streamline the travel cost administration process and are approaching towards travel expense management software.

Have a glance at tips you should take care of your business travel expenses and policies :

1. Focus on Travel Parameters

Your company’s cultures, values and budget should dictate the parameters for your travel spends while accounting for your business dynamics. It helps keep the focus on any communication between you and your employees to manage on how to make the business travel expenses more efficient and comfortable.

2. Ensure your Travel Policies

Make sure your employees know how to go about planning their business travel expenses: how the tickets will be booked, where they’ll be staying and how they can plan their meals & leisure.

3. Keep employee preferences into account

Incorporating a mindful, health-centric approach to travel policy impacts productivity in a positive way. One of the best ways to ensure your travel policy is well received understood and adhered is to keep employee preferences into account while formulating and reviewing your travel policy for business travel expenses.

4. Address reimbursements

A comprehensive travel policy should explain the process and requirements for submitting expense receipts how employees will be reimbursed. It’s important to have a reimbursement policy that works for your company and your employees.

5. Benchmark areas of spends

Take time out at regular intervals to analyze the details of your business travel. Conduct timely reviews if and when budgets are exceeded beyond the threshold.

6. Automize Travel expenses

Let your employees breathe easy. Integrate travel spendings with your organization’s travel & expense policies. Automating your business spends will ease policy compliance and streamline expense reporting as well.

Is your company travel policy regularly reviewed?

As an employer or HR, it’s vital you have a firm grip on your business travel expenses. You should take time out to regularly review all of the travel policies that are set in place.

If any of them no longer hold up or have become outdated, it’s important that you make the necessary changes and inform your employees of those changes. Regular checking of the rules can help eliminate confusion and make things easier when it comes to effective policy enforcement.

Do your employees know about your travel policy?

You may be surprised to hear that many companies which have a travel policy in place don’t inform their employees about it. If you have a travel policy, it’s vital that all of your employees know about it.

The takeaway

It’s important that both you and all of your employees have a thorough understanding when it comes to your company’s travel expense management system and policy. Failure to grasp the system and policy elements could create unnecessary and avoidable problems down the line.

If you are looking to create a travel and expense policy for your company through automated Travel Expense Management Software, you have come to the right place. factoHR has a customizable module that allows personalization for your organization’s specific requirements. It will help you establish an effective process for managing your employees’ travel spendings and expense reimbursement. Consequently, it leads to savings for the company and increases employees’ satisfaction.

See how to reduce your company’s travel expenses up to 30% 
by motivating employees.

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This Post Has 2 Comments

  1. Rajesh Sharma

    I completely agree with your point of ensuring your travel policies as employees has to deal with a lot like from meetings to presentations and many more. In such, they should have adequate leisure and relaxation time too. Planning is must to handle this. Great info and worthy of shares. Thanks and keep writing.

    1. Varsha Ranparia

      Thank you for your valuable feedback!

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