Ask Me Help Desk - Employee expenses without receipt

Employee expenses without receipt
Good morning I'm Lopes Gil I'm a is foreign and I would like to know if it is acceptable present expenses in the company of the following items without invoice or receipt:
1-Milenagem? And which the acceptable value per mile?
2-(very important for me) -Usual amount per day for meals (daily)? Which the acceptable value related with the job? How can I register this value monthly ( for example 20 days X £25) ?

Kind regards
Lopes Gil

MOST employers will not allow ANY expenses without receipts because #1. Its needed for accurate accounting practices, and #2. It WOULD be abused by many employees.

Get receipts when you incur the expenses... or prepare to not be reimbursed for them.

There are situations where a travel allowance is made but you require evidence of travel you should research your company's policies before making any payments

Quote:

Originally Posted by paraclete

There are situations where a travel allowance is made but you require evidence of travel you should research your company's policies before making any payments

Yes what I'm doing is created company's policies. So what I ask if is it legal? Create a price for mile and also one price for day related with meals? And it is accept in books accountants like expenses?

Per diem expenses are acceptable, but the employee must provide a receipt to be reimbursed.

Its perfectly acceptable to set dollar limits, and reasonable boundaries for employee business expenses, and as was said, no receipt, no reimbursement is the acceptable policy to keep accounting accurate.

There are many ways of dealing with expenses and as long as the management or Board of your company has decided that employees should be reimbursed for expenses it is legal. You can deal with it with a daily allowance or a milage allowance where these are appropriate or with specific reimbursement of out of pockets. In order to prevent abuse receipts are required for out of pockets while some other evidence may be required for other allowances such as log books or travel authorisations. A good guide is to look at the rules of government departments

Quote:

Originally Posted by paraclete

There are many ways of dealing with expenses and as long as the management or Board of your company has decided that employees should be reimbursed for expenses it is legal. You can deal with it with a daily allowance or a milage allowance where these are appropriate or with specific reimbursement of out of pockets. In order to prevent abuse receipts are required for out of pockets while some other evidence may be required for other allowances such as log books or travel authorisations. A good guide is to look at the rules of government departments

Thank you for your opinion. If I understand well I liked yet to confirm the following

So in your opinion I can use a standard as example:

1. The employee receives £0.22 per mile in the daily work.
2. The employee receives fixed value £20 a day for meal allowances or basic expenses.
3 All these expenses are presented on a map made for this purpose (excel for exemple) and come without none receipts or invoices (accepted by the company)
4. The Company pays the amounts recorded in the map for employee every weeks.
5. The Company presents these maps without none invoices for the accounting register as an expense of the company.
6- These maps are accepted by the government finances as true. So we can not claim VAT, because we don't have receipts.
7- We will have any fee or tax related to this method that I don't know?
8- Do you think I can put into practice this method? What are the drawbacks you can see under the accounting point of view? Or taxes?

I appreciate you comment as well any other person to read this article and add value in this opinion.

In some places allowances are regarded as fringe benefits, in others they are treated as income and expenses are deductible when dealing with tax matters

Employees when travelling on company business receive an allowance appropriate to the travel

EG; if they use their own vehicles they would receive a milage allowance for distance travelled. If they have an overnight stay either their accommodation is paid for or reimbursed, if meals are involved they receive a meal allowance or meals are paid for. Obviously appropriate records are presented. As far as maps are concerned, not sure of the reference but if evidence of a route milage perhaps they are acceptable where as log books are also useful. If by map you mean a detailed claim then according to the procedure laid down

Some organisations pay a daily allwance and all expenses incurred are the responsibility of the employee, meaning that if the employee wants a higher standard of accommodation it is their affair and the same goes if they accept a lower standard. The frequency of reimbursement is according to the company procedure and advances can be made to employees for whom the system might create a hardship

As far as accounting is concerned as long as the outgoings are according to policy they are recorded as expenses. Some cliams may be denied as excessive

Quote:

Originally Posted by paraclete

In some places allowances are regarded as fringe benefits, in others they are treated as income and expenses are deductible when dealing with tax matters

Employees when travelling on company business receive an allowance appropriate to the travel

EG; if they use their own vehicles they would receive a milage allowance for distance travelled. If they have an overnight stay either their accommodation is paid for or reimbursed, if meals are involved they receive a meal allowance or meals are paid for. Obviously appropriate records are presented. As far as maps are concerned, not sure of the reference but if evidence of a route milage perhaps they are acceptable where as log books are also useful. If by map you mean a detailed claim then according to the procedure laid down

Some organisations pay a daily allwance and all expenses incurred are the responsibility of the employee, meaning that if the employee wants a higher standard of accommodation it is their affair and the same goes if they accept a lower standard. The frequency of reimbursement is according to the company procedure and advances can be made to employees for whom the system might create a hardship

As far as accounting is concerned as long as the outgoings are according to policy they are recorded as expenses. Some cliams may be denied as excessive

Thank you for your considerations. It was very helpful for me.

I will make a note on mileage and maps. I was paid by mileage and the company used preset mileage. Employees were always fighting, angry and upset over it. Because often there was driving inside the city to get to buildings, find parking, detours and more. In my case, my actual mileage was always greater and I felt cheated every time I drove anywhere. Also, if I had to entertain clients, I often spent more money on one meal, than per deim paid. So there has to be allowances for different issues.