Travel expense reimbursement not only frustrates employees but also burdens the HR and accounting departments. From lost receipts to endless waits for reimbursement, the entire process can be a painful ordeal.
As experts in absence and time tracking, the topic of travel expense reimbursement is crucial for us. In our quest to add new features to our software and provide even better service to our customers, it quickly became clear that we wanted to integrate a digital solution for travel expense reimbursement into our app.
We’d like to share with you the arguments that have convinced us the most during this process in this blog post.
Travel Expense Reimbursement: The Challenges for Employees
The “submitters” face the following hurdles the most with analog or “rudimentary digital” travel expense reimbursement (think “Excel”).
Where is the template?
For submitters, the ordeal starts with finding the appropriate travel expense template. Employees who travel infrequently often spend a long time searching for the right document, which can turn into a sort of “scavenger hunt” until the template is finally found.
Solution:
With software or an app, this search is completely eliminated. You open the app and, with just one click, the necessary form.
Where are the receipts?
A classic issue is finding the receipts. The business trip is over and the expedition begins. Where is the invoice for the train ticket? Where did I put the taxi receipt? Where is the receipt from the dinner?
It costs nerves, time, and money.
Solution:
This problem can be solved with a mobile app. Business travelers can submit all receipts on the go. The train ticket invoice can be uploaded as a PDF, the taxi receipt as a photo. Dinner paid with a company credit card is directly created as an expenditure in the app.
What are the current guidelines?
Guidelines change, both internal company guidelines and legal ones. Those still working with travel expense templates quickly find themselves in trouble. As guidelines change, not only do all templates need to be updated, but it must also be ensured that all employees are using the current versions. For the submitter, this often results in an annoying mistake. They use the old template, creating double the work and delaying reimbursement.
Solution:
A software solution almost completely resolves this issue. As guidelines change, everything is updated accordingly and centrally in the software. Using the app prevents the situation of using an incorrect template.
Where is my money?
Analog processes take time. This is true not just for travel expense reimbursement but is one of the main arguments for digitalization in general.
Delays become particularly frustrating when it involves money, especially one’s own. Travel expenses and allowances are costs that the employee effectively advances to the employer. The fact itself is challenging, and every day waiting makes it more unpleasant.
Solution:
Apps and software significantly speed up the process. Searching for templates is eliminated. Searching for and submitting receipts proceeds much faster with an app. The responsible supervisor receives an immediate notification, can review the expense report, and approve it. Accounting has everything compactly and digitally at hand and can reimburse the costs.
Travel Expense Reimbursement: The Challenges for HR
The HR department also struggles with old processes. Digital solutions can simplify and streamline these.
Why does it take so long?
An analog travel expense reimbursement is primarily slow. HR waits for receipts, which they then must individually check, sort, and process. This not only leads to delays in reimbursement but also ties up a lot of time that could be used more wisely by HR.
Solution:
A digital travel expense reimbursement shortens the time effort through more efficient processes. All receipts can be submitted digitally by the travelers along the way. This not only prevents waiting time but also reduces sorting, reviewing, and processing efforts. This frees up a lot of time, saves money, and spares nerves.
Something’s not right…
Analog processes are not only time-consuming but also prone to errors. Manual data entry always poses a risk. This includes calculation errors, missing information, etc.
It costs nerves, time, and money.
Solution:
Software and apps significantly reduce the risk of errors. The app takes over the calculations, receipts are automatically read, and the software issues an error message if something is missing or incorrect.
Where is…?
Paper can get lost, especially when there’s a lot of it. Physical receipts, forms, etc., tend to disappear. This can lead to minor but also massive difficulties.
Solution:
Digitally, everything is well preserved, especially when using software like absence.io, which operates with the highest security standards. This eliminates the worry of disappearing documents. Plus, using the search function makes things much easier to find.
I think we need a bigger office.
A lot of paper requires a lot of space. The offices of HR departments are bursting at the seams.
Solution:
Digital requires little space.
Is that correct?
Just as for employees, adhering to internal and external guidelines is a crucial factor for HR. Reviewing per diem rates, tax deductions, and other regulations can be challenging in the analog world when things change, new employees are hired, or one simply doesn’t remember a regulation.
Solution:
A digital travel expense reimbursement largely takes this problem off your hands. The software ideally knows everything. It not only calculates the per diem rates but also alerts both submitters and HR and accounting to anything that is missing or incorrect.
Conclusion: Digital Travel Expense Reimbursement is a Game Changer
In today’s work environment, analog travel expense reimbursement is on the same level as phone books, fax machines, and filing cabinets. It needs to disappear.
The analog process is lengthy, error-prone, insecure, annoying, complicated, and expensive. A digital solution resolves old problems, straightforwardly and affordably.
These arguments have convinced us at absence.io to integrate travel expense reimbursement into our software, as it optimally complements and extends our product portfolio.
If you’re still battling through cabinet labyrinths and cluttered desks searching for forms and receipts, if you’re still chasing your employees or grappling with legal regulations: Come to us!
We’ll help you implement a digital travel expense reimbursement and take a lot of work off your hands. Just arrange a non-binding and free consultation with us, and we’ll take a closer look at the matter.
Hero image by Alexander Grey