Expense reports track and organize work expenses. These reports help employees get reimbursed for business expenses that they paid for with their own money. And it can help organizations with itemizing business expenses on their tax return.
In short: expense reports are a win-win for employees and businesses!
Commonly, employees submit such reports after attending a work conference, driving their personal vehicle for work purposes, or incurring other work related expenses.
Typical expense reports itemize all expenses, with date, amount, and more, and prove these expenses with attached receipts.
An expense report is a document that lists all of the costs associated with running a company.
For most businesses, certain purchases are required to operate a business, such as traveling for a conference, entertaining clients, or employees using their vehicle for work; let’s not forget to mention parking, meals, gas, or hotels!
Many of the costs that workers incur when working for your company are deductible, though all of these purchases need to be thoroughly documented. That’s where an Expense Report comes in handy.
Expense reports are necessary for many different reasons.
As an employer, if an employee pays for something out of pocket and requests reimbursement, you'll need a way to verify that the costs they're claiming are correct. This is precisely what an itemized expense report allows you to do.
As an employee, if you are paying out of pocket for business expenses, you’ll want to make sure that you are appropriately reimbursed.
Expense Reports allow you to see how much money you're spending as a company on various types of expenses during a reporting period, usually monthly, quarterly, or yearly.
Expense reports allow businesses to keep track of business expenses incurred during any given tax period.
An Expense Report may contain a variety of information that is specific to your business. However, there are a few details that you must include in the report.
Other commonly used categories:
If you’re using Everlance, your Expense Report will also include:
Are you ready to create an expense report? We created this PDF template to help you create one quickly. Either download this template or use it to help you create your own.
To download this template, right-click the image and save on your device.
Everlance is the #1 rated app for capturing receipts, car mileage, and business expenses while offering easy-to-read data and reports when needed at the push of a button.
Everlance Business provides a specialized service that includes expense automation, including record-keeping & management for your entire staff. Businesses that implement an expense monitoring solution, such as Everlance, save their employees and finance department hundreds of hours but also ensures accuracy in expense reporting. Recording expenses by hand can be time-consuming and invite many opportunities for error. Receipts are challenging to read, get lost, double-entry is common, and employees will often file their expenses in an untimely manner. This is why an automated expense system, which all of your employees have access to, can be the ideal solution for successful expense management.