Receipt Management of Business Expenses Using Falcon Expenses

Do your employees or contractors constantly misplace business receipts for expense-able purchases such as meals and taxis? Does this frustrate you as an employer, your accountant, or your client? We’ve got a receipt management solution for you.

Falcon Expenses Cash Expense Capture with Receipt

Receipt Management: The Painful Back Story

Employers and accountants often deal with poor receipt management expense reports and expense records that are submitted to them. Mainly, submitted expense reports and expense records exhibit inadequate recordkeeping. More specifically, they are often missing receipts. As a result, missing receipts makes employers and accountants question if the business expense was valid or not. Or, even more concerning, this makes them worried about triggering an IRS audit. 

Employees, contractors, and small business owners dread when they have to remember where they put their paper receipts. More importantly, they cross their fingers that they didn’t lose or misplace any business receipts. However, often they cannot locate all of their business expense receipts. Following this, comes the process of entering the receipt data into a spreadsheet one-by-one. This often involves taping each receipt to paper so that they can be scanned and sent to whoever is reviewing. The scanned receipts also include a spreadsheet where the data was entered. This spreadsheet contains a summary of each individual business expense. The entire receipt management process is cumbersome and time-consuming. Further, it needs to be more efficient.

What Expense Recordkeeping does the IRS Require?

Proper recordkeeping is important for preventing an audit and being prepared in the event of an audit. Adequate records require that a log of the expenses be kept along with documentary evidence (i.e. such as receipts) of individual expenses. However, there are a few exceptions. Such as, expenses under $75 that are not lodging expenses and do not require a receipt. Also, transportation expenses that do not readily have a receipt available, don’t require a receipt.

The basis for an adequate expense record, and receipt management, is if it contains the following information:

  • amount
  • date
  • place
  • purpose

For a complete guide of the details on what you need to keep for each expense type, check out this post: IRS Rules for Recording Business Expenses: Travel, Transportation, Meals and Entertainment.

However, Small Business Owners and Clients Might Want Proof of Business Expenses with a Paper Receipt Scan or Photo

As a small business owner, accountant, or client of someone who is self-employed, we want a copy of the original receipt. If you manage employees, you often prefer to have at least a photo of all business expense purchase receipts. If you hire independents, you probably also want a copy of the paper receipt as business expense purchase proof. This serves as proof of the business purchase beyond the cryptic details that are found on a credit card statement.

Instead of the Hassle with Spreadsheets, Receipts, Scanners, etc.—Why Not Do Everything from a Phone?

Use Falcon Expenses to capture pictures of receipts on-the-go. Users simply open their phone and snap picture of business expense receipts. This is more efficient than waiting to get back to the office to enter all of the receipt data into a spreadsheet. In any event, by the time someone gets back to their office, they have likely misplaced many of their receipts.

Use Falcon Expenses to capture pictures of receipts as they are acquired. All receipts will be safely stored inside of Falcon Expenses. After, these expenses, with receipt images attached can be prepared into reports and emailed to anyone all from a mobile phone (an iPhone). Falcon Expenses provides a solution to keep every expense receipt, along with the amount, date, place and purpose associated with the receipt images. 

? Download Falcon Expenses
Falcon Expenses is free to download. If you’re on a desktop it’s best to use your iPhone and search for Falcon Expenses on the app store.

What are Falcon Expenses Key Receipt Management Features?

Convenient Touch Scroll for Streamlined Entry of Receipt Data

Receipts uploaded to Falcon Expenses via the Enter Expense form are displayed on the top half of the screen. Further, below the receipt image on the bottom half of the screen is the expense form. The expense form is where expense information from the receipt is entered. This information includes the purchase date, merchant, expense amount, purpose and any categories and tags. To streamline entry of receipt information the user simply taps and scrolls through the receipt image attached above the form. Typically, the user will scroll until the information to be entered is in view. This eliminates the cumbersome back-and-forth of the traditional process. Further, it is more convenient and less prone to error.

Dedicated Field for Expense Purpose, Which is Not the Back of the Receipt

Adequate record keeping requires that a reason is given to deduct certain business expenses. Typically, the employee or contractor scribbles the reason for the expense on the back of the receipt. However, business expense receipts are often lost or misplaced. Therefore, a better approach is to use a mobile solution like Falcon Expenses. With Falcon Expenses, add the reason or purpose for each business expense directly into the comments field located on the form. Further, receipt logs are exported in organized expense reports.

Inside each expense report is a column dedicated for a system generated receipt name. The receipt is named by the date entered by the user for the receipt. If more than one receipt has the same date, then the end of the system generated name is appended is a number, starting with one. Lastly, after the expense summary page, which is the top page of the expense report, the receipt images are attached. If you are exporting in PDF format, each receipt photo is attached to the pages that follow. Up to four receipt photos can be attached to each page. Further, receipt image names are located above each image. These names can be used to reference the expense data located in the report summary located on the first page.

? Download Falcon Expenses
Falcon Expenses is free to download. If you’re on a desktop it’s best to use your iPhone and search for Falcon Expenses on the app store.

Receipt Scanning—Falcon Enters the Receipt Data: Merchant Name, Date and Amount

Use Falcon Expenses premium receipt scanning feature to save you even more time and money. With this feature, the merchant name, date and amount will be extracted for you from receipts images uploaded via your Falcon Expenses app. This way you don’t have to enter them yourself.

Report Generation in One Tap

Once you have entered all of your expenses all you have to do is select the ones that you want and add them to a report. You can create reports for anything that you like, such as by time period (ie week, month, etc.), trip, project, etc. Email reports to anyone from your phone.

Easy to Read Reports

Export easy to read reports in PDF and/or spreadsheet format from Falcon Expenses. These reports contain a summary of all of the expenses, which includes the date range of all expenses and the summation of the total amount of the expenses included in the report. Below the report summary is the detail of each expense such as amount, date, rate (for mileage or billable hours), miles driven, tolls and parking. Also, receipt images are attached below the summary of each individual expense and their attachment is referenced in the report summary for easy location. For more information about what report exports from Falcon Expenses look like please review this post: What exported reports from Falcon Expenses look like.

What are the Benefits of using Falcon Expenses for Receipt Management?

Never Lose a Receipt Again

Instead of putting the expense receipt in your purse or wallet for later recording, you use Falcon Expenses to capture a picture of the receipt so that it is safely stored and never lost. Therefore, you always maximize your expense reimbursement (or deduction). Also, you always keep your accountant or manager by having accurate and complete documentation of your records.

Safely Store Receipts in One Central Place

By keeping photos of your receipts stored in Falcon Expenses you have all of your receipt photos stored in one, central place. Enter the receipt data at the time of taking the photo, or do it at a later time. Further, if you are want to save extra time and money, use Falcon Expenses premium receipt scanning feature and we will enter the merchant name, date and amount for you.

? Download Falcon Expenses
Falcon Expenses is free to download. If you’re on a desktop it’s best to use your iPhone and search for Falcon Expenses on the app store.

More Efficiently Organize Expenses

With Falcon Expenses organize your receipts on the go, and in one place. View your receipt images above the data entry form on your screen as you enter the data as opposed to constantly having to look down at your desk, back-and-forth, as you enter the data. Scroll through the receipt image above the form to scroll to the information that you need as you are entering the data.

Save Time and Money

Falcon Expenses empowers you to be able to do your expenses all from your phone. Do your expenses on-the-go or as needed versus the old traditional disparate and time consuming method, which is prone to loss and error.

Finally, How to Use Falcon Expenses to Capture and Manage Receipts

If you have not already downloaded Falcon Expenses, please do so. This will help you to complete the steps below. 

  1. Open Falcon Expenses, select ‘Enter Expense’.
  2. To attach a receipt image, tap on the camera icon located on the center of the upper half of the screen.
  3. Enter the amount, date, and a comment (i.e. lunch with clients) in the form fields below the receipt image. Tap and scroll through the receipt image as needed. Add a category, and/or custom tag, both are optional. Also, select a report to add the new expense to, or create a new report.
  4. Tap ‘Save’, located in the upper right. That’s it!

? Download Falcon Expenses
Falcon Expenses is free to download. If you’re on a desktop it’s best to use your iPhone and search for Falcon Expenses on the app store.

About Falcon Expenses, Inc.

Falcon Expenses is an iOS solution for expense tracking and management. Scan receipts, we type merchant, date and amount, auto-track mileage expenses via GPS and log billable hours with an integrated timer. Quickly organize expenses by time period, project or client and easily prepare reports for email to anyone in PDF or spreadsheet formats, all from your phone. Use for reimbursements, taxes, record keeping or invoicing. Falcon Expenses is great for professionals, freelancers, realtors, business travelers, truckers and more. Find out more, here.

You may also like...