Policy compliance is one of the most important things to ensure against expense fraud. When crafting a policy, create one that uses clear language and is simple to follow.
To better guarantee policy compliance, there are a few things you can include in your policy.
Clear categories and budgets. Employees should know how much they can spend and which category each expense fits into.
Equal treatment of employees. Expense policies should be company wide, regardless of position or individual relationship. This reduces jealousy and bitterness among employees, which reduces the possibility of intentional fraud due to unfairness.
Short and simple document. The longer your document is, the more likely your employees are to skim read it, make mistakes, and cause potential problems. Keep it short, boil it down to the essentials.
Regular updates. Updating your policy regularly means keeping it accurate as your company changes in size, and its requirements change with it. This also means updating according to legal regulations in your region.