why-time-expense-reporting-so-importantEvery business is looking for ways to operate more efficiently, improve data accuracy, and maximize revenue. One simple change to positively impact all three areas is to adopt user-friendly, accessible time and expense reporting systems. Here are three ways they will benefit your business.

Time and Expense Reporting Improves Business Decisions

The best business decisions are data-driven. Without good data, decision-making suffers – and so does your bottom line. A time and expense reporting system that makes it easy for staff to quickly turn in their receipts, record expenses, and log their time decreases the inaccuracies that are more likely with delayed reporting or lost and forgotten paper receipts. It also gives managers and executives real-time data on project budgets, staffing costs, and overall profitability. With this accurate and up-to-date data, company decision-makers can make more informed business decisions to improve both long-term and short-term performance.

Time and Expense Reporting Increases Accurate Billing, Client Communication, and Project Estimates

Your employees deserve proper credit for the number of hours they’ve logged, your clients deserve accurate invoices for the work they’ve trusted you to do, and you need timely billing and payment to keep up with payroll and other expenses. An easy-to-use time and expense reporting system helps streamline the billing process and facilitates easier invoicing by integrating with existing accounting systems. It can also track staff time spent on individual projects, allowing project managers to have a better idea of the status of various projects in progress. Having this level of detail also improves the accuracy of future project bids, and improves communication with current clients about the status of their projects.

Time and Expense Reporting Reduces Fraud

Nobody likes to believe that their trusted employees can be guilty of committing fraud, but the truth is that all businesses are susceptible. The 2018 Report to the Nations by the Association of Certified Fraud Examiners details just how widespread and wasteful fraud can be. It also reveals that it is particularly devastating for small businesses. Fraud can account for up to 5% of annual revenue; losses from individual instances tend to be twice as high in small businesses than large companies. Reimbursement expense fraud accounts for 21% of fraud in small businesses and 11% in large companies, and payroll fraud occurs in 27% of all businesses.

Adopting a time and expense reporting system can reduce fraud and make it easier to detect by decreasing duplicate reimbursement requests, requiring receipts via an easy-upload system, and ensuring proper approvals through customized workflows. 

Web-Based Time and Expense Reporting

Improve your business practices with MindSalt Time & Expense! MindSalt uses a web-based platform so your employees can log their hours and receipts from anywhere. You’ll have up-to-the-minute data for business-making decisions and be able to run detailed reports with the click of a button. MindSalt also integrates with popular payroll and accounting systems, decreasing duplication of effort by staff and reducing the chance of errors. See how MindSalt can make a difference in your business – sign up for a free trial today!