Travel Expenses Process 

Purpose

You can use SAP Travel Expenses (expense reports) to carry out all activities involving travel expenses for a business trip. The aim of this process is the complete and integrated administration of travel expenses, from recording the expenses to correct taxation in Payroll (HR), posting in Financial Accounting (FI), and allocation in Controlling (CO) or Funds Management (FI-FM).

Process Flow

The Travel Expenses process starts once the trip has taken place and can be used either together with, or independently of, SAP Travel Planning. When using Travel Expenses in combination with SAP Travel Planning, the Travel Planning data is prepared accordingly and transferred to Travel Expenses.

Below is an example of a decentralized process flow that is organized around the traveler. Other types of organization are also conceivable. For more information, see Roles in Travel Management.

 

Travel Request

See Overall Process of Travel Management

Travel Expense Report

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       1.      After taking the trip, the traveler completes his or her travel expense report, including all necessary data and documents. The system applies all statutory and company-specific specifications stored in Customizing and checks the consistency of the entries against these specifications.

For more information, see Travel Expenses,  Trip Data Entry (Travel Expenses)

       2.      The accounting department checks the travel expense report and the original documents and receipts. If required, the travel expense report is then sent to the manager for approval, who can then release it for settlement.

For more information, see Approval of Trips

       3.      As soon as the expense report is approved, the trip is settled in the SAP system. Based on the trip provisions set for the traveler, the system determines the travel expense results, especially the amount for reimbursement. To determine the reimbursement amount, you can choose between per diem/flat rate reimbursement and reimbursement according to individual receipts for meals, accommodations and travel costs; for all other categories, reimbursement on the basis of individual receipts must be used.

For more information, see Settlement of Trips

       4.      The travel expense results are prepared to suit the method of payment chosen and made available to the corresponding components (Financial Accounting, Payroll Accounting, Controlling Funds Management) with the appropriate additional information.

For more information, see Transfer to Accounting, Transfer to HR Payroll Accounting, Transfer to Data Medium Exchange (DME)

       5.      The payment of reimbursement amounts can now take place as follows:

○       By check

○       Through payroll accounting

○       Through financial accounting

○       By bank transfer to the employee's bank account (via DME)

The travel expense results are always transferred for posting to Financial Accounting. The amounts are transferred from Financial Accounting to Controlling.

       6.      The traveler receives a travel expense statement with the relevant trip data and the accounting results.

For more information, see Forms for Travel Expense Statements

Possible Follow-On Activities

If a planned trip for which an advance has been paid does not take place, or if the travel expense report for a trip for which an advance has been paid is rejected, the trip advance has to be canceled. The trip advance is reclaimed by the company and the amount to be canceled is transferred to Financial Accounting.

If the approving manager rejects the travel expense report for a trip that has been taken and settled, and for which a reimbursement was paid, the travel expense report has to be canceled. The reimbursement amount is reclaimed, Financial Accounting is notified of the travel expenses to be canceled, and Payroll is notified of the need for retroactive accounting.

The employee receives a statement containing the relevant information and the corresponding settlement results for the canceled trip.

Result

A single, complete record of the data of a business trip exists in the SAP system. The SAP system has settled the travel expenses incurred by the trip and forwarded them for further processing in Financial Accounting, Controlling, Funds Management, and (if necessary) Payroll Accounting.