What is in my expense reports?
How is money being spent during business travel? What are the main features of these expenses? How can management of these expenses be improved and how can reasonable use be ensured? Zoom in on findings and solutions to see more clearly.
An expense report includes on average 5.8 different expense items. Moreover, each employee submits 34 expense reports per year. In other words, the amount of data to be processed is growing quickly and is increasing exponentially as the workforce gets bigger. This is the key finding from an analysis of expense items carried out by Traveldoo for 2019, relating to payments taken from one million expense reports from its customers.
At 37% of the total amount, transportation is the largest expense item followed by dining at 28%. Approximately 14.5% relates to lodging, closely followed by a range of other miscellaneous costs (14%).
Beyond the averages, it is important to be familiar with the overall set up, to be able to accurately allocate expense categories and their conditions. Ease of use and time savings are most important in this area, both for the employee and employer. In 2018, Traveldoo launched its mobile expense report management application with the aim of simplifying the process of reimbursing business expenses using a simple, intuitive smartphone solution allowing for advanced automation of operations.
The app users have the ability to create, submit and manage their expense reports at any time during their business trips. Features include geolocation, multi-currency management, capture of expenses and receipts with just a photo and OCR (Optical Character Recognition) technology, and evidential value archiving. Management also benefit from automatic integration, as well as accounting and HR, who can instantly retrieve remittance data. A 2018 study showed that 70% of employees would like a dedicated expense claim management application to process expense reports immediately rather than by the end of the month. Traveldoo’s popularity quickly translated into reality: between December 2018 and December 2019, use of the application on smartphones more than doubled.
In addition, the tool offers very advanced configuration options, in terms of reimbursement policy (maximum amount per type of expense, maximum amount per zone, etc.), or for traveler groups (different policies for different staff categories and positions). A further advantage: each expense report is correlated to the corresponding trip, giving you total visibility on the cost of a trip, all types of expenses included.