The most painful activity after returning from an exhausting business trip is reporting your business and mileage expenses. The lack of receipts makes logging mileage all the more depressing. As a result, both the employees and the employers have no accurate data to rely on to make the process easier.
While manual process may seem to get the job done on the surface, it can prove detrimental to the financial health of your business.
Improper mileage tracking might lead to two possible situations for stakeholders
1. The employees may incur losses due to any unreported miles.
2. The organization may suffer substantial losses due to fraudulent claims.
Here's how it can affect the financial productivity of your organization:
1. Employees waste productive hours reporting expenses, explaining policy violations, and more. This results in them spending crucial time which they could have utilized, otherwise.
2. Employees may also feel demotivated due to the lengthy process of reimbursements and delayed reimbursement cycles.
3. Finance teams have little to no insight into policy violations and fraudulent claims unless they manually sieve through hundreds of receipts.
4. Finance teams have no analytical insight to understand the spending categories, patterns, and trends. This further disables them from making well-informed business decisions to save their resources.
5. Employers and business owners may end up losing money due to unnecessary leaks, which could've been avoided otherwise.
Your employees are your champions. Your sales folks often travel both locally and internationally to help meet clients and close deals. This may require them to have multiple pitstops and numerous mileage entries on a daily basis. To add to their woes, they also need to keep track of business expenses incurred while dining and accommodating their clients.
Once done with their client meetings, they also need to fyle for their expenses. This means hovering through hundreds of receipts and manually sorting them based on clients, projects, or other such categories. Once sorted, they also need to manually enter these miles and business expenses on spreadsheets.
Some mandatory categories for mileage tracking are:
These entries need to be logged in and then submitted for approval. This can prove to be quite cumbersome for your frequent business travelers. Not to forget, the accompanying paperwork that goes in for manual verification to the finance folks. This spells disaster for both the finance team and your employees. Here’s how.
Here’s why employees find traditional mileage tracking frustrating:
Employers and finance teams find traditional mileage tracking frustrating because:
Manual trip reports are repetitive, mundane, and can severely affect the employee experience. Keeping employee satisfaction in mind, we have seen a growing trend where businesses are moving towards automation of mundane tasks. Automation has helped simplify various processes, and mileage tracking is one of them.
An efficient mileage tracking app or software will be beneficial to both employees and businesses. An automated expense management software can come in handy here as it:
Along with streamlining your expense management process, it can help in seamlessly logging in mileages, run real-time policy checks, detect policy, and more. It also helps curb fraudulent claims and allows you to stay audit-ready at all times. Therefore it accelerates the reimbursement cycles by up to 5x.
Let’s dig deeper on how automated mileage tracking can iron out the kinks in traditional mileage tracking methods.
Automation is always a million steps ahead, and one of the reasons is multitasking. Modern expense management is all about multitasking. With automation, users can fyle all sort of business expenses under one platform. An automated expense management software can help you seamlessly scan your receipts, fyle travel expenses, request for cash advances, track mileage and so much more.
How an expense reporting app with mileage tracking benefits employees:
Here’s how it benefits employers:
Fyle helps you simplify the process of mileage tracking even more. We try and go beyond automation and bring all your needs in one place.
How Fyle’s mileage tracking and expense reporting benefit employees:
How Fyle’s mileage tracking and expense reporting benefit employers and finance teams:
Fyle’s magical powers go way beyond mileage tracking. We can do a lot more.