So you've read up on the benefits of having an expense policy, and you've set one up for your company. Great decision! It's important, however, to avoid seeing it as a static entity that never changes.
Your company is constantly changing, so the policy will end up being out of date before you know it. Instead, you should treat it as a dynamic and ever-evolving document that adapts to the needs of your company.
In this article, we'll take you through some best practices to keep your expense policy perpetually updated.
Regularly check your expense policy
It's as simple as setting up a recurring reminder at an interval that makes sense for how rapidly your company is changing — if it's a fast-moving startup you might want to check in more often than if it's an older enterprise. Again, try to be adaptable — even corporates can have tumultuous periods.
Look at the state of your company
- Revenue: Look at the amount of money the company is making. If it's much more or less than before, consider changing the flexibility of your expense policy.
- Team and travel needs: Maybe you've hired lots of people, or needed to let some go. Perhaps there's a new international sales team that needs to travel a lot. Tend to the changing needs of your team by adapting your policy.
- Strategy: Has the strategy of your business changed recently? Did you rethink its environmental responsibility, requiring everyone to travel by train instead of taking a plane? These kinds of things warrant a fresh look at your policy.
Listen to your employees
Even if you don't notice any problems, it's a good idea to actively ask around what your employees are expecting from their expense policy. This offers a new perspective on your choices, and you might end up with some new ideas to implement.
Fluctuating travel costs
Keep track of local laws
These tips should ensure you have a policy that's future-proof and adapts to your changing business. Don't be afraid to keep changing it every once in a while — the best expense policies are never done.