Writing an expense policy your team will follow

A one-page policy with clear limits, receipts captured on the spot, claims tied to projects and a fixed payment schedule.

Finance 4 min read

An expense policy that is twenty pages long is a policy nobody reads. The result is predictable: claims that break the rules by accident, approvers who reject them, and frustrated people on both sides. A good policy is short, clear about limits, and makes the right thing the easy thing.

Fit it on one page

Write the policy so it fits on one page. Cover what can be claimed, the limits, what proof is needed and how quickly claims must be submitted. Put edge cases in a short FAQ, not in the policy itself.

Use clear limits, not vague words

“Reasonable” means something different to everyone. Use numbers: a daily meal limit, a hotel limit per city, economy class for flights under a set duration. Clear limits remove most arguments before they start.

Say what proof is needed

Require a photo of the receipt for every claim above a small amount. Make it easy to capture on a phone at the moment of purchase. Receipts collected at the end of the month are the ones that get lost.

Ask for the project or client on every claim. It lets you bill rechargeable costs to the client and shows the true cost of each project. It also makes approvers ask the right question: does this belong to this project?

Set a submission window

Ask for claims within 30 days of the expense. Old claims are harder to check, mess up monthly reporting, and are more likely to be duplicates. A clear window, applied consistently, fixes this.

Keep approval to one or two steps

Most claims need one approval: the person’s manager or the project owner. Large or unusual claims can need a second approval from finance. More steps than that slow payment and teach people to avoid submitting.

Pay on a regular schedule

People trust a process that pays them on time. Reimburse approved claims on a fixed schedule, such as every two weeks, and tell people when the next payment run is.

Review the policy once a year

Prices change and so do the ways your team works. Review the limits once a year and update the one page.

A short checklist

  • The policy fits on one page.
  • Limits are numbers, not words like “reasonable”.
  • Receipts are captured at the moment of purchase.
  • Every claim is linked to a project or client.
  • Claims are submitted within 30 days and approved in one or two steps.
  • Approved claims are paid on a fixed schedule.