The process of submitting and approving expenses

The process of submitting and approving expenses

Employee satisfaction has a direct impact on how they perform in their role and thereby how the company is performing. Keeping high satisfaction levels amongst employees can ensure a higher level of productivity among them. One major task that many employers fail to pay attention to, and at the same time cause dissatisfaction to employees, is the reimbursement of business expenses. In many cases the process is not well developed, and employers do not pay much attention to optimising it. As a result, reimbursement takes up to 60 days and costs productive time for employees, managers and the finance department. 

So, how is the process in its current state?

  1. First and foremost, employees spend money on behalf of the company. That money is considered a business expense. This step concerns the registration of the expense. With the physical evidence (receipts) of all business expenses, employees have to fill out a weekly or monthly form stating the place, the merchant, the transaction and the amount spent. 
  2. This second step concerns the processing and approval or disproval of expenses. Managers of the respective departments have to process the volume of the submissions made by employees. The submissions have the physical receipts attached to them, so that is already a sufficient amount of paperwork to be processed. The manager decides to approve or disapprove the expense.
  3. The manager has to submit the approved expense with all the respective receipts to the accounting department. The accounting department has to take it from there. They make the entry of the expense, ensuring that employees receive the spent money with their next payslip. That’s right, they have to wait up to 60 days for money that was initially theirs. Not to mention that the entry for a single employee takes 30 to 40 minutes.

That is a long trip by itself. Now take a step back and look at the procedure as an employer. Look at all the valuable work hours lost within the 3 different steps by all of the three parties. Luckily there is a simple solution for this problem!

Get started with Klippa

You guessed it right. At Klippa, we have a solution for this procedure. With our expense management solution, employees take a photo of the receipt, and our text recognition software (OCR) extracts all the relevant information, such as merchant, amount and VAT. Simple as that! Through the App, employees can submit their expenses for approval. Approving the expense will cost the manager exactly 10 seconds. After management approval, the accounting department receives all the data combined with a photo of the expense, so they can also do the verification. Since the data is already digital now, it can easily integrate into the accounting system and charge or credit the respective accounts in the ledger.

Sounds easy? It actually is with our Expense Management solution.

Send us an email at or schedule a demo below, so we can discuss all the questions you might have.

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