Business travel expenses have long been a source of irritation for both sales personnel and corporate accountants. Rightly so, salespeople want to be appropriately reimbursed. Bookkeepers are required to have expenses accurately accounted for and tracked. This is no small issue as Business Travel News puts national average travel expenses at $306.91 per day.
Why the reluctance, procrastination and complaints from sales personnel when it comes to sales expenses? Let’s take a look at some common complaints and potential solutions.[Tweet “Salespeople hate filling out expense reports. Here is why and how to fix that!”]
“My job is to sell, not track expenses.” Salespeople are hired to sell and the vast majority are at least partially compensated based on the results of those efforts. They are generally reluctant to participate in activities that take away from generating sales and are particularly adverse to paperwork.
This is not necessarily a bad thing, as it’s important for sales teams to focus on customer acquisition. The quandary is that they expect to be reimbursed promptly for related expenses they incur when traveling for business, and those expenses must be tracked and verified.
The answer lies in simplifying the process for salespeople while helping them better provide accurate data.
“The process is too time-consuming.” Closely related to complaint No. 1, sales personnel often feel that tracking expenses is too time-consuming. Part of the issue is procrastination. Many salespeople will wait until after their business trip to compile their expenses making it a longer, more agonizing process.
The solution to this is to implement an easy-to-use system that can track expenses as they occur.
“Too often expenses get denied.” Perhaps nothing gets under the skin of a salesperson like having submitted expenses picked apart or denied. Most companies have expense minimums where receipts are unnecessary. Others have reimbursable expense policies that may not be clear enough.
The key to resolving this complaint is having clearly laid out policies with specific allowable minimums and maximums. Sales personnel should fully understand these policies.
“Managing various forms of payment is a hassle.” While traveling for business, sales personnel may use various forms of payments. Hotel or rental cars may be paid with a corporate credit card, dinner with a personal credit card, and tips paid in cash. Keeping track of paper receipts and combining all these various sources can seem a bit overwhelming, especially after a long trip.
Implementing a system where receipts can immediately be scanned on a mobile device and that integrates credit card expenses can help resolve these issues.
“Why does it take so long to get reimbursed?” Once sales personnel carve out the time to compile and submit expenses, they expect to be reimbursed quickly. Accounting may have other priorities before verifying expenses.
This complaint can be resolved by speeding the process with a real-time expense submission system that compiles expenses as they are incurred.
Conclusion
While un-reimbursed business expenses may be deductible for tax purposes, sales personnel prefer to be promptly and properly paid for expenses without hassles. Fortunately, there are automated expense reporting systems and mobile apps that simplify the process, saving time and aggravation.
When selecting one right for your company, choose a system that is easy to use and allows salespeople to spend more time selling. Choose an expense tracking system that clearly states allowable parameters, is mobile and integrates various forms of payments. Implement a system that speeds the reimbursement process and minimizes wait times. You will then also minimize sales personnel complaints.
Bill Vergantino
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- Solutions To Common Expense Complaints From Sales Personnel - June 15, 2016