How to Set Up Expense Types

Modified on Tue, 28 May, 2024 at 9:52 AM

As an admin, you can set up different expense types for your company. The steps are as follows:

1. Create a new expense type OR add an expense type from gallery
2. Edit the expense type

3. Assign to employees

Creating a new expense type

Go to Expense > Expense Settings. Click on Create under Expense Type to create a custom expense type.

Proceed to edit the expense type.

Adding an expense type from gallery

Click on Add under From Gallery to choose from a pre-existing list of expense types.

Select any of the pre-populated expense types.

Select Clone.

Editing the newly created expense type

In the Add Expense Type window, there are various fields for you to fill in or edit.

Name: Expense type name is a mandatory field
Description: The description can be provided for the expense type
Currency: Choose the currency for the expense type
Default Tax: Preselected for this expense type when the employees apply for it.
Allow employees to modify Exchange Rate while applying expense: If checked, admins need not set the exchange rate in the expense settings for claims in foreign currency as employees will be able to do it themselves
Tracking: Used for personal tracking or use with another integrated payroll/expense management SaaS such as Xero
- Categories: Type in any keyword that you might want the expense type to be identified with
- GI code
- Payroll code

Validations
- No Receipts Required
- Receipts Required For All
- Receipts required if amount above: Receipts need to be uploaded based on amount set by admin
- No Approval Required
- Approval Required For All
- Approval required if amount above:
- Max expense age (days): The number of days after which an employee can no longer submit a claim (to prevent submitting of claims for very old expenses)

Reimbursable: Choose whether the expense type is non reimbursable, reimbursed via payroll, or reimbursed manually
Allow Co-Pay: Tick the box and set the amount that the employee has to co-pay

Select Payroll Pay Item: Assign a pay type to be mapped under the expense type in payroll
- Select Payroll Pay Item is only available if the reimbursable is set to "Reimburse via Payroll"
- Pay Item that is available under "Select Payroll Pay Item" is only for "Variable - Adhoc" variable type
Add New Pay Item: An option to create a new pay type directly from the Expense Type page
- Clicking "Add New Pay Item" will automatically set the pay item type to "Variable - Adhoc"

Set limits: Tick the box if you wish to set limits
Allow employees to apply expense beyond limit, but reimburse only till limit: Tick this to allow employees to apply beyond their limit, but cap the reimbursed amount to the limit
Adding New Expense Limits
- Type: limits per request/day/month/calendar year
- Amount: limits the amount the employee can claim
- Applies to: limits apply to all employees/all employees except/select employees/select departments/select work locations

Be sure to click on the Save button when you are done.

You can now proceed to assign these expense types to your employees.