Global T&E Policy Best Practices

[Diana_G]

Hello everyone,

I am currently researching best practices for a global T&E policy revamp and would like to get some feedback on what other companies are doing. Any feedback is very much appreciated!

- What are your receipt requirements outside of the US? Do you require all receipts in EU, LA, AP? Or have you established thresholds?

- Do your travelers submit reports by trip or one report per month?

- Do you require travelers to itemize hotel expenses and Meals with attendees?

- In Germany do you use per diems or reimburse actual expenses for meals and / or lodging?

- What is your company policy on alcohol reimbursement during business travel?

- What is your company policy on cabin class? Economy vs. First/business class?

- Do you allow travelers to book non-refundable basic economy flights and/or low cost airfare?

- Are travelers required to book preferred vendors only? Do you limit search options in your travel agency so that they only see preferred vendors or do you give them more flexibility?

Thank you in advance!

[expensebrain]

For a global policy, you should only create very basic rules which really can be applied globally. The rest will be country legislation and can never be part of a globla guideline.

Best practise is to have a combination of global policy plus local amendments per country, sometimes plus attachments per country to keep changing per diem amounts outside the policy itself.

Let's see what you have here:

- What are your receipt requirements outside of the US? Do you require all receipts in EU, LA, AP? Or have you established thresholds?
--> Country legislation, also with different impact per country on VAT and payroll. Legal rules apply per country regarding receipt content and layout as well. 

- Do your travelers submit reports by trip or one report per month?

--> Legal requirement per country. There are trip based (DE, AT, FI, SE, ...) or period based (IT, FR, ...) legal rules, or none at all (CH, NL, ...)

- Do you require travelers to itemize hotel expenses and Meals with attendees?

--> Legal rules per county, with impact on VAT, Payroll, receipt content

- In Germany do you use per diems or reimburse actual expenses for meals and / or lodging?

--> Both possible, if meal per diem is applicable for that day. Impacts on reporting and taxation possible

- What is your company policy on alcohol reimbursement during business travel?

--> Not a global one. Germany and Arab Emirates might be slightly different in considering that topic. There is no need to rule everything in a policy.

How about eating animals on a business trip? And if so, which ones? Will beef be OK? Ask a Hindu for that. How about pork? Ask a Turkish guy. How about dog? Considered as very tasty in the Appenzell region in Switzerland, and still legal today.

Stop ruling that stuff, it's kind of useless. Food and drink are important parts of culture, and certain types of it are expected to be provided in certain countries. Even if you don't like these in your place.

The global wording in a policy should respect the culture and legislation in the country visited, not in your headquarter. "It is not allowed to consume food or drinks not being legal in the place you are, or to provide entertainment including it." - that's a global rule.

- What is your company policy on cabin class? Economy vs. First/business class?

--> OK, that's possible on global level, whatever you like. Recommendation is to have a time limit like 4h or 6h for business class, or to force connecting flights for use of business. FRA-SHA in business can be cheaper via Seoul or Bangkok than a direct flight in Eco. Question is: what is your target? Save money? No need to ban business for that reason. Worst case will be cabin class Premium Eco by the way.

- Do you allow travelers to book non-refundable basic economy flights and/or low cost airfare?

--> There will be routes where you have no other choice. On global level, yes - but maybe on named routes.

- Are travelers required to book preferred vendors only? Do you limit search options in your travel agency so that they only see preferred vendors or do you give them more flexibility?

--> Country specific. Ever tried to find a Hertz rental car in India, or a domestic Chinese flight with your preferred Western provider? Look at the single markets and countries, and decide per market what it is in or out.