Itemization of an advance deposit charged by hotel.

[PDENS]

Would like to know how companies are expensing deposits charged by a hotel for a future date stay. Most hotels in Vegas for example charge a deposit at the time of booking. The stay maybe after a month or 2 months. When the charge comes through in Concur how is the charge to be processed. What expense type is used? If it is Lodging, then it requires itemization which is not possible for future dates. Can anyone share the best practice on this?

Thanks,

Pre Dalal

Ensco International

[eabsing]

Hi Pre Dalal,

Future date options has to be opened/activated in SAP Concur for your Company at the backend. Pls contact your Expense Administrator or Company's Concur Administrator to do the same (depends on access) Otherwise, if Hotel expenses are booked in any other expense type then huge cost would reflect in wrong G/L (General Ledger) in books of accounts for your company.

Hope this helps you, let me know if you need further information on same.

Good Luck:)

Regards, Abhishek Singh

[PDENS]

Thanks, Abhi, this helps-- didnt know it was as simple as that. appreciate it

Pre

[ClayT]

One way that some customers go about it is to create a "Hotel Deposit" expense type for employees to use if they have to pay for a hotel stay in advance of travel. Then, employees can enter the pre-payment as a negative itemization.

[PDENS]

Hi @ClayT, Not sure what a negative itemization is . Can you please explain?

Thanks,

Pre

[ektaaggarwal]

Hello Pre,

If your GL allows, you can enable future dated expenses as advised previously. If not, other option is:

1) Have your users submit the hotel deposit amount for the date the amount was charged (not the hotel stay date). Here you have the option to create a seperate expense type such as 'Hotel Deposit' to make it easier for your users.

2) Then, after the stay is complete, you can have your employees create an itemization with negative amount for the deposit amount paid.

Eg: Lets say hotel charged $200 deposit today (Dec 4) for a stay on 15 Jan.

1- User will create an expense for $200 Hotel deposit for Dec 4 and submit this now

2- After stay on 15 Jan, user will receive the full hotel folio and will create an expense for the entire hotel stay.

One of the line items they will itemize will look as follows:

Jan 15 Room Rate (or your equivalent expense type for the hotel itemization) -$200

I hope this is helpful!

Ekta

[PDENS]

Thanks, Ekta

Pre Dalal

[Marc]

@ektaaggarwal in your example you switch the normal fiscal years in this example i would recommend to use something different.

4th dec 200,00 to accrued expense

15 Jan. 200,00 to actual cost like it is accomodation and any else

15. Jan. -200,00 to accrued expense

brgds

Marc

[AngelaG]

How do you address the 'no receipt' issue?  If I were to create an expense type for Hotel Deposit, how do companies address the fact that travelers don't receive a receipt for the charge?  I know there is the Missing Receipt Affidavit, but that is not an option I want to promote.  I'd appreciate any suggestions or how others address this issue.  Thank you!

[Anonymous User]

Hi Angela,

We have a corporate credit card and so when the deposit happens, the charge occurs on the corporate credit card. We tell the employee to attach the email confirmation or something showing the hotel stay.

[AmberLee]

Also, how does the company keep track of people who expensed their hotel before their stay? They could easily expense their hotel before and after their trip and it wouldn't be noticable as a duplicate. 

[nwhite]

In the hotel itemization is there a place in the folio type mapping to show the advance deposit for a hotel room.  I see various charges there such as cash advance, as well as payments and discounts, but I'm not seeing an advance deposit. 

Will the system pick up this advance when picture taken in ExpenseIt.

[KevinD]

@nwhite I doubt ExpenseIt will be able to categorize the charge as an advance deposit.

[nwhite]

Thanks!

[KevinD]

@nwhite I doubt ExpenseIt will be able to categorize the charge as an advance deposit.