This Employee Expense Policy is designed to help organizations strengthen their internal controls over expense reimbursements, ensuring transparency, compliance and efficiency. By providing a structured approach to managing business expenses, this tool supports companies in reducing the risk of improper payments and maintaining adherence to corporate policies and regulatory standards. Whether your organization is seeking to tighten expense oversight or streamline audit procedures, this resource offers practical guidance that brings clarity and consistency to the expense management process.

Within this tool, you’ll find three sample policies, each illustrating key components of an effective expense audit framework. Sample 1 focuses on the responsibilities of the accounts payable department, detailing step-by-step procedures for reviewing, auditing and processing employee expense reports. Sample 2 introduces an audit methodology and sets expectations for original documentation and timely submission, outlining both employee and field-level responsibilities. Sample 3 defines what constitutes reasonable business expenses, specifies required supporting documentation, and clarifies approval requirements, while also addressing direct billing, credit card use, non-reimbursable items, and detailed travel and entertainment guidelines. Each sample provides a unique perspective on building a robust and compliant expense policy, making this tool an essential resource for organizations aiming to optimize their expense controls.

Sample procedures include:

•  Verify that the submitted expense reports have been approved.
• Review the expense report in its entirety for unusual items.
• Verify that the submitted expense report has been completed on the current expense reporting form.
• Complete expense reports on a timely basis (e.g., biweekly or monthly), typically no later than 30 days after the expenses are incurred.