Setting up Travel and Expense Policies in your Company

Running a business has a lot of various details and decisions that need to be made, things that we often don't think about until they become an issue. Travel and expense policies are one such detail. When a business is a start up, it may be that travel isn't really necessary, so you don't worry about putting these policies into place. But once things grow and travel is more prominent, you need to set things up to be clear, not only for your employees, but for the IRS as well.

A travel and expense policy should cover which employees get reimbursement for their travel. Some companies opt to have any and all company related travel covered, no matter where the employee is in rank in the company. Others allow higher ups to get reimbursed and new employees to have a certain amount of time or a certain position with the company to get these perks. Others will put a budget per person, as in, how much per year they can be reimbursed before they go over the limit. All of these are viable options and should be considered based on budget.