top of page
  • Writer's pictureGuma

Corporate credit card expense management

Updated: Jan 31, 2023

The full guide


Corporate credit card expense management is an important aspect of financial management for businesses of all sizes. A corporate credit card allows employees to make business-related purchases on behalf of the company, while also providing a level of financial control and tracking for the organization.


Establishing corporate credit card expense policies


When it comes to managing corporate credit card expenses, the first step is to establish a clear set of policies and procedures. These policies set the guidelines for how employees can use corporate credit cards, what types of expenses are allowed, and how expenses will be tracked and reported.


When creating corporate credit card expense policies, it's important to start by determining who is eligible for a corporate credit card. This can include full-time employees, managers, and other members of the team who have a business-related need for a corporate credit card. It's also important to set spending limits for each card and to regularly review cardholder activity to ensure compliance with company policies.


Another key aspect of corporate credit card expense policies is specifying what types of expenses are allowed. This can include things like travel, office supplies, and business-related entertainment. It's also important to specify any expenses that are not allowed, such as personal purchases or purchases made for non-business-related activities.


In addition to specifying what types of expenses are allowed, it's also important to have a system in place for tracking and reporting expenses. This can include requiring employees to submit receipts and expense reports.


Finally, it's important to have a process in place for handling disputes or discrepancies that may arise with expense reports. This typically involves a designated person or team responsible for reviewing and approving expenses, as well as a clear process for addressing any issues that may arise.


Overall, establishing clear and comprehensive corporate credit card expense policies is essential for controlling and managing the expenses of your business. By setting guidelines for who can use corporate credit cards, what types of expenses are allowed, and how expenses will be tracked and reported, you can ensure that your company's expenses are being managed effectively and efficiently.



Corporate credit card expense management software


Another key aspect of corporate credit card expense management is implementing software or an online platform to track expenses. These software solutions typically include features such as receipt scanning, expense categorization, and real-time reporting, making it easy to track and monitor expenses, as well as quickly identify any potential issues.


There are many popular apps and software solutions available on the market for corporate credit card expense management. A few examples include:


Concur: This software offers a wide range of features for expense tracking, including receipt scanning, automated expense reports, and credit card integration. It also includes a mobile app, making it easy for employees to track expenses on the go.


Expensify: This app allows employees to track expenses in real-time, including receipt scanning and credit card integration. It also includes a web-based platform for managers to review and approve expenses.


Zoho Expense: This software includes features such as receipt scanning, expense categorization, and real-time reporting. It also includes a mobile app and the ability to generate custom reports.


Chrome River: This software offers a wide range of features including receipt scanning, expense tracking, and automated expense reports. It also includes a mobile app and integration with popular accounting software.


Certify: This software allows employees to track expenses in real-time, including receipt scanning and credit card integration. It also includes a web-based platform for managers to review and approve expenses.


These are just a few examples of popular apps and software solutions available for corporate credit card expense management. Choosing the right software will depend on the specific needs and requirements of your business.



Corporate expense management using virtual credit card numbers


In addition to traditional corporate credit card expense management software, there are also companies that provide virtual credit card numbers to employees. This allows employees to make purchases with a unique, one-time use credit card number, which can help to prevent fraud and better track expenses.


A few examples of companies that provide virtual credit card numbers include:


Mesh Payments: This company provides virtual credit card numbers that can be used for online and in-store purchases. The virtual card numbers are linked to the employee's personal credit card, making it easy to track expenses and monitor activity.


Brew: This company offers a virtual credit card platform that allows employees to make purchases with a unique, one-time use credit card number. The platform also includes real-time reporting and expense tracking, making it easy to monitor employee spending.


Divvy: This company provides virtual credit card numbers to employees and allows businesses to set custom spending limits and purchase categories, and also allows managers to approve expenses in real-time through the platform.


Bento for Business: This company provides virtual credit card numbers with the ability to set purchase limits and assign them to specific employees or teams. It also includes real-time expense tracking and reporting.


These are just a few examples of companies that provide virtual credit card numbers to employees. By using virtual credit card numbers, businesses can better track and monitor employee spending, prevent fraud, and gain greater control over their corporate credit card expenses.



Credit card reconciliation software


In addition to tracking and monitoring expenses, it's also important to have a system in place for reconciling and approving expenses. This type of software is designed to automatically match transactions from corporate credit cards with the corresponding entries in a company's accounting or financial management system. This helps to ensure that all expenses are accurately recorded and that there are no discrepancies between the credit card statement and the company's financial records.


Credit card reconciliation software typically includes features such as:

  1. Automated matching of credit card transactions to accounting entries

  2. Real-time reporting and alerts for discrepancies

  3. Integration with accounting and financial management systems

  4. Ability to track and monitor expenses by category, vendor, and employee

  5. Customizable reporting and analysis tools

By using credit card reconciliation software, businesses can save time and reduce the risk of errors by automating the process of matching transactions. This can also help to improve visibility into expenses and identify any potential issues or discrepancies more quickly.


A few examples of popular credit card reconciliation software include:

  1. Xero

  2. Wave

  3. QuickBooks

  4. Zoho Books

  5. Sage 50


These are just a few examples of the many credit card reconciliation software options available. Choosing the right solution will depend on the specific needs and requirements of your business. By using a credit card reconciliation software, businesses can gain more control over their corporate credit card expenses, improve visibility into expenses and identify any potential issues or discrepancies more quickly, and automate the process of matching transactions.


Finally, it's important to regularly review and update your corporate credit card expense management policies and procedures. This includes staying up-to-date on any changes to laws and regulations, as well as monitoring industry best practices.


Overall, corporate credit card expense management is an essential aspect of financial management for businesses of all sizes. By establishing clear policies and procedures, implementing software to track expenses, and regularly reviewing and updating your policies and procedures, you can ensure that your company's expenses are being managed effectively and efficiently.


49 views0 comments
bottom of page