Expense account: the 5 most frequently asked questions

Here you will find answers to the following questions:

For companies with freelancers or employees in the field, it is advisable to keep individual expense accounts for these employees so that expenses for travel expenses etc. can be paid directly from the company capital or made available to the employee as a reimbursement. In order to find the best possible accounting variant for the company and the employee (s), some questions need to be clarified:

Will expenses be reimbursed to a private account or should payment be made directly via a company's credit card, for example?

Direct payment of expenses via a company's credit card saves time and effort, as the employee does not first have to submit an expense report, check it by the company and then pay it by reimbursing the expenses to the employee's private account.

Should an expense account be kept for all employees or for individual clearing accounts?

In larger companies with a large number of employees, the expense report for all employees will require a large number of posting items. The overview of the individual expenses of a particular employee can quickly be lost. It is therefore advisable to keep a single clearing account for each employee.

Are you aiming to limit the available funds?

With classic credit cards, there is usually an unlimited credit limit. However, especially with freelancers and employees in the field, it makes sense to limit the availability limit and protect the company against debt on the part of the employee.

Do you want individual amounts depending on the employee or a lump sum?

If there is not enough credit in the account of the affected consumer to be able to settle the outstanding debts at once, the account will be permanently attached. The duration of the garnishment depends on how much credit is received in the debtor's account each month. The type of money received is not relevant here. For example, child benefit and social benefits that are paid into the debtor's account can also be collected if the tax exemption has not been increased.

If the debtor has already been able to settle the liabilities via a second bank account, the attachment of the account will be lifted upon presentation of a corresponding confirmation. In special cases, a seizure that is unjustified, for example, is declared invalid by the enforcement authority or a judge.

What happens to the amounts in the event of a change of employees?

If a company credit card is used, the amount made available or the credit card can be withdrawn. Therefore, when an employee changes to another company, it is ensured that the amount provided remains with the company.

Tip : The expense cards from Pay Here are available in this case. The company registers itself and individual employees with Pay Here and receives a collective account from which the individual credit cards of the employees can be topped up. The employee cards can be topped up with an individual amount in real time and can be used at over 32 million acceptance points worldwide.

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Via Pay Here

The German e-money institute Pay Here has specialized in payment services with Debit Mastercards and accounts without Schufa. Individual solutions are offered for both private and corporate customers.