An expense report is most commonly used for recording the expenses a business has expensed out during the month. Most ordinarily, expenses like transportation, food, entertainment and other conference fees, etc. are included in this report. Other than that, this report can also hold expenses which need to be reimbursed by an employee. For instance, an employee can record the mileage covered in the way of doing business tasks and the amount expended on fuel against it. After a month, the amount recorded in it is reimbursed to the employee.
This report provides an excellent and accurate record of all the business-related expenses which in turn can help with important issues like budget planning and tax reporting.
The main purpose of this report is to review the budget performance of the company on a monthly basis. From this, the points which need to be changed and modified for the better budget allocation and cutting of costs can be identified. Identifying the other main report that can be derived from it with ease is the cash flow statement.
In this monthly expense report, the expenses incurred can be divided into different categories for better understanding. Categories like traveling, meals, stays, and mileages, etc. are made which are the most common ones.
By simply comparing the costs mentioned in each category for the month with that of the previous months the areas of trouble can be pointed out. By cutting or adjusting the expenses of the overly charged category the overall expenses can be reduced.
According to the needs of the business, the expense report may vary in length and detail. Depending upon a few factors in the management decides that a report needs to be detailed or simple. The best way to give this monthly expense report a professional look is to use a template.
A report template will ensure that a professional and certain pattern is followed and that the management finds it easy to fill it and use it for other beneficial purposes. A typical template monthly expense report had all the necessary points already drafted on it.
Monthly Expense Report Template
Format: MS Excel
Size: 88 KB