Expense Policy

Last Updated: Oct 19, 2025
Document Version: 1.0
Prepared for: Emgage HRMS Implementation Team

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Expense Policy

⚙️ Expense Policy Configuration System
The Expense Policy feature allows administrators to create and manage expense types, define approval policies, set spending limits, and configure custom fields. This system provides comprehensive control over expense management rules and workflows.

Overview Features

Expense Policy Management Benefits

The Expense Policy system enables efficient configuration of expense rules and guidelines, offering:

• Expense Type Management: Create and configure different categories of expenses.
• Policy Configuration: Define detailed policies for each expense type with approval workflows.
• Limit Controls: Set maximum limits for daily, monthly, quarterly, half-yearly, and yearly expenses.
• Custom Fields: Configure custom fields specific to each expense type.
• Flexible Settings: Control payment cycles, submission deadlines, and attachment requirements.
• Level-Based Policies: Define expense applicability at both expense and travel levels.

Tab Structure

The Expense Policy interface provides two main tabs:

1. Expense Type Tab

• Displays all configured expense types in the system
• Shows expense type names, levels, and management options
• Includes "+ Add" button for creating new expense types
• Provides quick access to Custom Fields and Policies for each type

2. Expense Policy Tab

• Lists all configured expense policies
• Shows policy details including effective dates, payment cycles, and limits
• Displays policy associations with expense types
• Provides policy management actions (edit, view, delete)

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1. Expense Type Tab

Purpose: Configure and manage expense type categories

Available Columns:

Column	Description
Expense Type	Name of the expense category (e.g., fuel, test, ew)
Expense Type Level	Applicability level - "Both" (Expense & Travel), "Expense", or "Travel"
Manage	Quick access buttons for Custom Fields and Policies
Action	Edit (pencil icon) and Delete (trash icon) options

Creating an Expense Type +Add

Expense Type Creation Process

Step-by-Step Creation:

1. Click the "+ Add" button in the top-right corner of the Expense Type tab
2. Fill in all required fields marked with asterisk (*)
3. Select appropriate expense type level(s)
4. Click "Submit" to create the expense type

Expense Type Form - Quick Reference

Field Name	Required	Description	Format/Example
Expense Type	Yes (*)	Name of expense category	Text (e.g., "fuel", "test", "Travel Expense")
Status	Yes (*)	Active/Inactive status	Dropdown - Active (default)
Expense Type Level	Yes (*)	Where expense type applies	Checkboxes: Expense, Travel, or Both

Expense Type Level Options:

Option	Description	When to Use
Expense	Available for general expense claims	For standard business expenses
Travel	Available for travel-related expenses	For travel and accommodation costs
Both	Available for both expense and travel	For expenses applicable to both categories

Form Action Buttons:

Button	Color	Function
Reset	Red	Clear all entered data and start over
Submit	Blue	Create the expense type

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Key Features:

• View all configured expense types
• Access "+ Add" button to create new expense types
• Quick access to Custom Fields and Policies buttons for each type
• Edit and delete options for existing expense types
• Filter icon for searching specific expense types

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Quick Managing Expense Type Options

Policy Configuration

Purpose: Define expense policy rules, limits, and approval workflows

Accessing Policy Configuration:

1. Locate the expense type in the Expense Type tab
2. Click the "Policies" button in the Manage column
3. Manage Policy dialog opens

Policy Configuration Form - Quick Reference

Field Name	Required	Description	Format/Example
Expense Type	Yes (*)	Auto-populated from selected expense type	Dropdown (e.g., "fual")
Policy Name	Yes (*)	Name for the policy	Text (e.g., "Fule Expense")
Effective Date	Yes (*)	When policy becomes active	DD-MMM-YYYY (e.g., 19-Oct-2025)
Payment Cycle	Yes (*)	Frequency of expense payments	Dropdown - Monthly, Quarterly, etc.
Payment Date	Yes (*)	Day of payment in cycle	Dropdown - 1st, 2nd, 3rd, etc.
Claim Submission Days Limit	Yes (*)	Maximum days to submit claim	Numeric (e.g., 365)
Weightage	Yes (*)	Priority/weight of policy	Numeric (e.g., 1)

Select Applicability Criteria

Purpose: Define which employees or groups the policy applies to

• Click "+ Add rule" to add applicability criteria
• Configure rules based on department, designation, grade, etc.
• Leave empty for universal policy application

Limit Configuration

Maximum Limits Section:

Configure spending limits across different time periods:

Time Period	Description	Purpose
Daily	Maximum per day	Control daily expense spending
Monthly	Maximum per month	Set monthly expense budgets
Quarterly	Maximum per quarter	Define quarterly spending caps
Half Yearly	Maximum per 6 months	Set semi-annual limits
Yearly	Maximum per year	Define annual expense budgets

Limit Configuration Options:

Row	Field	Description
Instance	Numeric input fields	Maximum number of expense instances allowed per period
Amount	Numeric input fields	Maximum monetary amount allowed per period

Additional Limit Settings:

Setting	Type	Description
Allowed to exceed limit (For Amount)	Toggle	Enable to allow exceeding configured amount limits
Max Number of Attachment Allowed	Radio buttons	Select maximum attachments: 1, 2, 3, 4, or 5
Payment Calculation	Toggle	Enable custom payment calculation rules

Policy Form Action Buttons:

Button	Color	Function
Reset	Red	Clear all policy configuration data
Submit	Blue	Save and apply the expense policy

Policy Configuration Tips:

• Set realistic claim submission limits (typically 30-365 days)
• Configure appropriate payment cycles based on company policy
• Define clear maximum limits to control spending
• Use applicability criteria to target specific employee groups
• Enable "exceed limit" toggle only when necessary with approvals

Custom Fields Configuration

Purpose: Define custom fields specific to an expense type

Accessing Custom Fields:

1. Locate the expense type in the Expense Type tab
2. Click the "Custom Fields" button in the Manage column
3. Manage Custom Fields dialog opens

Custom Fields Table

Column	Description
IS REQUIRED?	Checkbox to mark field as mandatory (checked) or optional (unchecked)
Custom Field	Name of the field (e.g., Expense Date, Expense Amount, Expense Description)
Type	Data type of field - Date, Number, String, Attachment
Status	Toggle switch - Active (blue) or Inactive (gray)
Action	Drag handle (::) for reordering fields

Default Custom Fields:

Field Name	Type	Typically Required
Expense Date	Date	Yes (checked)
Expense Amount	Number	Yes (checked)
Expense Description	String	Yes (checked)
Expense Attachment	Attachment	No (unchecked)

Custom Field Actions:

Button	Color	Function
+ Add Custom Field	Blue	Add new custom field to the expense type
+ Add	Blue	Quick add button
Reset	Red	Reset changes to custom fields
Submit	Blue	Save custom field configuration

Custom Field Management:

• Drag and drop fields using :: handle to reorder
• Toggle status switches to activate/deactivate fields
• Check "IS REQUIRED?" to make fields mandatory
• Add new fields using "+ Add Custom Field" button

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2. Expense Policy Tab

Purpose: View and manage all configured expense policies

Available Columns:

Column	Description
Policy Name	Name of the expense policy
Expense Type	Associated expense type category
Effective Date	Date when policy becomes active (DD-MMM-YYYY)
Payment Cycle	Frequency of payments (Monthly, Quarterly, etc.)
Payment Date	Payment day in cycle (1st, 2nd, etc.)
Claim Days Limit	Maximum days allowed to submit claims
Weightage	Priority/weight value of policy
Actions	Edit (pencil), View (eye), and Delete (trash) icons

Key Features:

• View all expense policies in one place
• Access "+ Add" button to create new policies
• Export Data: Download icon for exporting policy data (CSV, Excel, PDF)
• Filter: Filter icon to search and filter policies
• Edit, view details, or delete existing policies
• Sort by any column for easy policy management

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Expense Type and Policy Management Actions

Edit Policy

Editing Process:

1. Locate the policy in the Expense Policy tab
2. Click the Edit icon (pencil) in the Actions column
3. Modify policy details in the form
4. Click "Submit" to save changes

View Policy Details

Viewing Process:

1. Locate the policy in the Expense Policy tab
2. Click the View icon (eye) in the Actions column
3. Review complete policy configuration
4. Close dialog when finished

Delete Policy

Deletion Process:

1. Locate the policy in the Expense Policy tab
2. Click the Delete icon (trash) in the Actions column
3. Confirm deletion when prompted
4. Policy is permanently removed

⚠️ Important Policy Rules
Policy Management Limitations:

• Active policies with pending claims should not be deleted
• Editing policy limits affects future claims only
• Effective date changes don't affect existing approved claims
• Always verify applicability criteria before saving
• Weightage determines policy priority when multiple policies apply

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Best Practices

💡 Expense Policy Configuration Tips

For Policy Administrators:

• Create clear, descriptive expense type names
• Set realistic claim submission day limits (30-365 days)
• Configure appropriate maximum limits for each time period
• Use applicability criteria to target specific employee groups
• Review and update policies annually or as needed
• Test new policies with a small group before company-wide rollout
• Document policy changes and communicate to employees

For Custom Fields Configuration:

• Mark essential fields as required (checked in IS REQUIRED?)
• Keep attachment fields optional unless necessary
• Order fields logically for user-friendly data entry
• Use descriptive field names that employees understand
• Activate only fields that are actually needed

For Limit Configuration:

• Set instance limits to prevent excessive claims
• Configure amount limits based on business needs
• Use "exceed limit" toggle cautiously with approval workflows
• Align payment cycles with company payroll schedule
• Set appropriate attachment limits (typically 2-3 sufficient)

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