Policies

Expense policies are an effective way to control the expenses your employees incur on behalf of your business. It defines the rules and limits that every employee should keep in mind while incurring expenses on behalf of the company. Enforcing the policy manually is as tedious as manual expense reporting. To simplify this process, Zoho ERP automates expense policies so rules and limits are applied automatically.

So, how does Policies work?

To begin with, a default policy will be enabled for all the employees in your organization, with no limits or rules. You can configure the limits, rules, mileage, and per diem rates for your organization in the default policy, based on your business needs. Once that’s done, the policy rules and rates will be automatically applicable to all the expenses that your employees record.

However, in every organization, the nature of work differs for every department, hence, the spending limits might vary. In such cases, you can create multiple policies that cater to individual needs. For example, sales teams usually travel more frequently than other departments and may require higher limits for travel-related expenses. In such cases, you can create a policy for the sales department and associate it with employees in that department. You can also create expense policies for individual employees if required.

Once you have created the policy and assigned it to employees, it will be automatically applied on all expenses. Expenses exceeding the defined limits will be flagged as policy violations in the employees’ expenses and expense reports.

Create New Policy

Other than the default policy, you can create new policies and assign them to the respective employees. Here’s how you can create a new policy:

• Click Settings in the top right corner of the page.
• Click Policies under Users & Roles.
• Click + New Policy at the top right corner.
• Configure the basic policy settings. Click Save and Continue.
• Select the expense categories for which your employees will incur expenses and set limits for those categories. Click Save and Continue.
• Configure the mileage rates of your organization. Click Save and Continue.
• Set per diem rates for your employees’ per diem expenses. Click Finish.

Your new policy will be created and you can assign it to your employees.

Edit Policy

You can make changes to the rules and the rates that you’ve configured in a policy by editing them.

Here’s how you can edit a policy:

• Click Settings in the top right corner of the page.
• Click Policies under Users & Roles.
• Click the More icon at the right corner of the policy you want to edit.
• Select Edit.
• Make the necessary changes and click Save.

Clone Policy

If you would like to create a new policy with only a few changes to an existing policy, you can clone the existing policy and make changes as required.

Here’s how you can clone a policy:

• Click Settings in the top right corner of the page.
• Click Policies under Users & Roles.
• Click the More icon at the right corner of the policy you want to clone.
• Select Clone.

A new policy will open with the configurations made in the cloned policy. You can edit it and save it as a new policy.

Delete Policy

Here’s how you can delete a policy:

• Click Settings in the top right corner of the page.
• Click Policies under Users & Roles.
• Click the More icon at the right corner of the policy you want to delete.
• Select Delete.
• Confirm your action by clicking Delete again to delete the policy.