The time and resources needed to implement the solution is another primary concern for businesses considering expense automation. Cloud-based solutions require little from the IT department in terms of management and maintenance. In addition, cloud-based mobile apps provide ongoing system upgrades and software updates at no extra cost. The return on investment is also important to consider.
Not only can automated systems help companies reclaim as much GST as they possibly can, but can also reduce employee frustration. Employees often have to put in a huge amount of effort to manually lodge their invoice claims, and then finance teams need to individually review and accept approvals. These can be tedious and time-consuming activities, can distract employees from doing important work, and, if reimbursements are delayed, morale can be impacted. By streamlining the administrative process, employees can focus on core duties and achieving business outputs.
Furthermore, automated systems can help perform business audits that stop expense claim mistakes and fraud as they happen, rather than recovering losses after they have occurred. Automated expense management provides timely, accurate visibility into employee spending across the organisation and eliminates the need to track and manage paper receipts.
It automatically adds corporate card and travel purchases to expense claims and detects and prevents fraud by proactively enforcing corporate spending policies and flagging non-compliant transactions. Without objective, realtime audits, businesses can go for months overlooking issues such as fraud, un-met regulatory requirements, under-claimed tax, and compliance penalties.
These issues can create high costs and headaches for businesses. Expense management technology can help with business audits by providing visibility into what funds are coming in and out of the business. In fact, I often delay tracking my business expenses but come tax season find myself running around like a headless chicken as I try and get all my ducks in a row.
But, saving you time and stress in tax preparation is just the tip of the iceberg. In this post, we look at several benefits of tracking your expenses. A lack of cash is commonly cited as one of the main reasons why businesses fail. Article , after article , after article highlights this.
The entire process helps you become more financially aware. Scrambling to find those invoices and receipts on laptops and shoe boxes is not uncommon. Your wealth is built only when you spend less than you make.
To do that, you have to be constantly aware of your spending. Many expenses are tax-deductible, meaning you could get some money back. You can accomplish this only if you track, categorize, and disclose these business expenses on time. A modern way to track your expenses includes using a spreadsheet or a mobile app designed specifically for that.
As the experts from Keeper Tax explain, these apps monitor closely all of your purchases for tax write-offs. This gives you the chance to have a record of all your spending in one place and automatically scan for the tax-deductible expenses, saving you money along the way.
In addition to keeping yourself financially responsible, tracking your expenses daily helps you see your progress on the road to your financial goals. Tracking your expenses every day will help you see the impact of each of your financial decisions regarding your savings goal, and will therefore help you stay motivated. By keeping tabs on expenses such as these, you can get a good overview of where your money is going and identify any problematic areas where overspending is frequent.
You can also identify common recurring purchases that might benefit from a subscription, or a bulk-order - giving you increased spending control and reducing that which is unnecessary. Budgeting and overall spending control is a key element of running a business, and one that an all-in-one expenses management system can help you manage. This is especially prevalent when the funds are shared across a larger team or in multiple locations. The key is being able to enforce the limits - a task that is made far easier with a system or process that allows you to see the spending as it happens in real-time.
Surprises are not good - they imply a lack of knowledge. To avoid this, make sure that you designate a set amount for certain project-related expenses such as travel or food. Of course, sometimes you will find yourself in unpredictable situations that require more outlay than usual.
Using the appropriate tools that harness the latest technology will empower you and your employees to act appropriately in these situations too. Finally, keeping detailed records of your business expenses is vital to compiling an accurate and actionable forecast for your future finances and business as a whole.
In fact, the more information you have to draw upon, the more accurate your predictions will likely be. And with a reliable business forecast in place, you will be better placed to make the decisions that will ultimately determine your success.
You can also use the data to aid your identification of trends, including seasonal ones such as an increase in travel expenses around conference season.
0コメント