A simple recipe for reimbursing employees

By PRETTY BOOKS ON September 1, 2020
Step-by-step recipes to streamline your business management processes.

Welcome to CALCULATED INGREDIENTS, where we are dedicated to bringing you only the best recipes to manage financial related processes in your companies. Looking for something quick to get you out of the office and back to selling? Whip up one of our processes for paperwork and storage. Money got you down? Try a taste of our money management processes. Our recipes are sure to streamline your everyday processes with tips, ingredients, and easy to follow directions you can implement now. Let's get cooking!

By creating a clear policy around employee reimbursement and recording these transactions, you can easily repay employees and have written proof if there is a dispute. Here is a recipe for implementing a process for paying back your employees. Bon Appetit!

Before we get cooking, here are a few helpful hints:

  • Set a due date for requests. If employees are late turning in their requests, they will have to wait until the next check run. This way, requests will be handled when they happen, not six or seven months down the line.
  • Designate a space to put requests. Whether its a bin on your desk or an email address to send them to, have one spot for your employees to put their requests in.
  • Write a policy outlining your reimbursement request rules. Outline your rules on due dates, where to put your requests, what can be reimbursed, and when it will be reimbursed and email it to your employees.

If you’re ready to cook up your own perfect process for reimbursing employees, let’s get cooking!

Reimbursing Your Employees

Essential ingredients

  • Receipts
  • Reimbursement tracker
  • Stapler
  • Written policy for collecting requests
  • A bin for your desk

Optional ingredients

  • Email confirmations
  • Colored staples (for fun)
  • Those nice pens that glide for signatures


  1. Create a reimbursement tracker to track what employees need to be reimbursed, what their purchase was for, when the purchase was made, and how much they need to be reimbursed for. Each employee should have their own coversheet each month.
  2. Instruct employees to fill out the tracker, listing all purchases they’re requesting reimbursement for. The total on the tracker should match the total amount the employee expects to be reimbursed. There should be one sheet per month in chronological order of purchase dates.
  3. Look over the packet to make sure everything looks good and all the receipts are there. Approve and sign it.
  4. Place the packet into the AP bin so your bookkeeper can review and input it into your AP system.
  5. Have your bookkeeper cut the payment for the reimbursed amount on the next check run.
  6. Repeat once a month or more if necessary.

At Pretty Books, we are always whipping up new and helpful ways to keep your business moving. While there are tons of ways to prepare these processes, we believe that this one is the best. Enjoy!

Share this article

The information provided in this post is for general informational and educational purposes only and is not a substitute for professional advice. Consult your financial, business, or tax advisor with respect to matters referenced in this post. Pretty Books assumes no liability for actions taken in reliance upon this information.
Sign up for our newsletter.