A new expense type can be added by an Admin in three steps –

• Adding a new expense type.
• Linking it to categories and adding GL code.
• Linking it to cost centres (only if you have the expense types limit turned on for cost centres).

1. Adding a new expense type

 To add a new expense type, select Expense Types under “Setup” section.       

 In “Expense Types” page, click on Add Expense Type.

 In the “New Expense Type” page, do the following –

• Select the “Type Id” (Please refer to the expense types notes below).
• Enter the expense type name in “Expense” field.
• Update the “Additional Generic Fields”, if necessary. (Please refer to the “Generic” expense types at the end of this document.
• Save the new expense type.

Once the expense type has been saved you will need to choose which claim types this expense type should be available for. Please click on Link Claim Types, choose the claim types in the new window and then save changes.

Once the above is done, you will need to link the expense type to categories and/or cost centres.

2. Link the new expense type to the categories

 To link the new expense type, please select Category under “Company” section.

 Click on Expense Types link next to the category that you want to link the expense type to.

 Once you’re in the category expense types page, you can select the newly added expense type, enter the GL code in adjoining field and click on Save.

3. Link the new expense type to a Cost Centre/s 

To link the new expense type, please select Cost Centre under “Company” section.

Click on Expense Types link next to the cost centre that you want to link the expense type to.

Once you’re in the cost centre expense types page, you can select the newly added expense type and click on Save.

Expense types Notes

• Expense types are used to categorise expenses. For example, flights, accommodation, car hire or meals. Each expense type has a set of properties which is used for reporting and expense calculation.
• Expense types can have just a couple of data fields or can be more complex with multiple data fields.
• Some expense types can have expense-specific fields. For example: The “airfare” expense type includes the trip information fields.
• ProSpend has two different Expense Types.

1. 'Generic' expense types include TWO information field. These fields can be mandatory or not, can have specific character length and the field labels are customisable.
2. ‘'System defined’ expense types have unique data fields, some of which are mandatory. The field labels cannot be changed. These expense types are also used for auto mapping with credit card data feeds

• Expenses are assigned a general ledger codes used by the client’s accounting system. A General Ledger code is simply a string of characters and a typical code might consist of three parts:

1. Division code (for example, 6)
2. Cost centre code (for example, 12), and
3. Expense code (for example, 123456).
4. In this case the complete code would be 6-12-123456

Generic expense

 System defined expense

Available system defined expense types

Entertainment - Adding Recipient / Guests for FBT

There are two different options of capturing FBT for employees and guests in entertainment expense.

Option 1: If you would like to capture just number of guests and employees:

Here is what the screen will look like when a claimant will enter a claim:

 Option 2: If you would like to capture names of the employees and the guests,

Here is what the screen will look like when a claimant will enter a claim:

Once an Employee is selected from the drop down menu, another drop down menu appears to choose the employee name. Select the employee and click Add button.

Similarly, another recipients can be entered and added to the list.

If required, these names can be deleted by clicking the button.

Setting up Entertainment Expense Type 

1. Recipient: First step of setting up entertainment expense type is to setup the recipient.
   Go to Setup > Expense Types
   
   Look for Guest Type and then select the expense:
   
   
   Enter the description of the expense and click Save.
   
   
   Similarly, other expense type can be updated as required.
2. Linking the Expense Type: Second step is to link the expense type to related GL account.
   Go to Entertainment Expense type.
   
   Scroll down and click on "Link Recipient Types".
   
   Link the recipients and click Save button
   
   Once the recipient types are linked to the expense type, you can go into the category section on the left hand menu and click into expense types against each category to which the expense type needs to be linked to.
   
   On the following page, you can see a plus button below the expense types which have recipient types linked to them. You can click on the plus button, choose a recipient type, add the GL Code and click on Save. You can repeat this until all the recipient types are added in that category expense type section and repeat this in all the other required categories.
   
   You can also setup each recipient type with a different tax code. This allows you to export a portion of the entertainment expenses, usually the client portion, without tax to the finance systems.
   When adding the GL code for each recipient type in the category expense type section, you can also setup a tax code for each recipient type.
   
   By default, this will say Default which means it will use the tax code selected in the expense, so this portion won't be treated differently to the other recipient types.
   If you choose a tax code in this section, the system will re-calculate the tax for the portion linked to that recipient type when exporting the claims. 
   For example - An entertainment expense type is setup with two recipient types - employee and client. The tax codes for these recipient types are - Default for employee and No Tax for client. An expense for $110 (including $10 tax) is created with two recipients - one employee and one client. When this claim is exported, the system will create two lines - one for employee with $55 (including $5 tax) and another for client with $55 (including $0 tax).
   The expense report now has another column - Claimable Tax. The amounts in this column shows the tax calculated based on the tax codes setup against each recipient type in the category expense types section. In the above example, the claimable tax for the client portion will be 0 and the employee will be 5. 
   

   

   Please note - this claimable tax is only calculated at the time of the export as it needs to reflect what has been exported to your finance systems.