Claiming Corporate Credit Card Expenses in Acumatica 2019 R2

NexVue

The latest release of Acumatica Cloud ERP, Acumatica 2019 R2 features new capabilities that more effectively support the use of corporate or company credit cards.

With Acumatica 2019 R2, employees can now submit BOTH out of pocket expenses paid with personal forms of payment and corporate credit cards on the same expense form. As always, the claims can be made using either a browser or the mobile app. The system also automatically routes the claims for approval and creates the appropriate liabilities and payments. It also automatically reconciles bank transactions to credit card statements.

Corporate Credit Cards are enabled through Acumatica Expense Management.

Setting up a Corporate Credit Card in Acumatica is a quick, four step process:

  1. Create a General Ledger account for the card account as a liability
  2. Set up a Payment Method
  3. Create a new Cash Account
  4. Create the Corporate Card account in the system

See the process in this quick video:

Once a corporate card has been set up in the system, employees can begin submitting claims against it.

When entering an expense claim, employees will see all of the fields that typically appear, as well as two new fields:

  • Paid With
  • Corporate Card

The “Paid With” field allows the user to indicate whether an expense was paid with the corporate card for a business expense, with the corporate card for a personal expense for which they would need to reimburse the company, or with a personal account for a business expense and requires reimbursement from the company.

The Corporate Card drop down allows the user to select the appropriate corporate card used if multiple have been entered into the system.

The process for approving and releasing claims has not changed in Acumatica 2019 R2. You can release claims one-at-a-time from that particular expense claim or you may go to the “Release Expense Claims” screen to release multiple claims simultaneously.

Once a claim has been released, you can see the various financial documents that are automatically created in the system due to the claim:

From the Financial Details tab, you can see the impact that each different type of transaction has on the Accounts Payable (AP) and General Ledger (GL) transactions within Acumatica.

For example, a corporate expense paid on the corporate card will impact the GL by creating debit to the expense account and a credit to the corporate card account. An AP document will be created and closed, therefore not appearing on the AP aging.

You can also see the impact that the transactions have on the employee who made the claims and any relevant vendors. In terms of the employee, if all bills and debit adjustments created by the claim are greater than zero, then the employee is owed payment. However, if the bills and debit adjustments are less than zero, you can either leave it open to be paid by future bills, or the employee can submit payment to the company which is then recorded as a credit adjustment.

You can also see how the receipt of the credit card bill will result in a debit to the corporate credit card account and a credit to the Accounts Payable.

At the end of the month, you can reconcile your credit card bank statement with the transactions entered into the system. This can be done manually within the system or by importing a bank transactions Excel or CSV file and using the Auto Match capabilities to complete the reconciliation.

Using the Corporate Credit Card processing capabilities in Acumatica 2019 R2 provides many benefits for the user and the company.

Employees can reduce paperwork and errors by entering expenses as the are incurred from either the mobile app or their browser with a streamlined entry process due to the ability to co-mingle out-of-pocket and corporate card expenses.

The burden on accounting personnel is reduced thanks to automated bank reconciliation, the flow of receipts to both project expenses and billing, and reference numbers that link multiple receipt items to a single charge.

Not only can Corporate Credit Card processing in Acumatica 2019 R2 help you manage purchases made in different currencies seamlessly, it also makes multiple employees using the same corporate card, simple.

Discover more about Acumatica 2019 R2 features here or request a demo today!