# General principles
The principle of the Expenses Policy is to ensure that all staff continues to be reimbursed for all necessary expenses reasonably incurred in the performance of their duties.
The basis of expense claims will be actual expenditure up to limits as specified in this policy; limits will be reviewed annually.
Below are also some guidelines if you are making purchases on behalf of the company.
If you are claiming for personal expenses (food, travel etc) then you are also advised to keep records as you are personally liable to be able to prove this expenditure to HMRC.
# Submitting a claim
Expenses should be submitted as soon as possible after they have been incurred, certainly within the month following expenditure.
Please send a digital or hard copy to the Finance Circle so that it can be logged for our records.
For purchases on behalf of the company original receipts must accompany all claims.
Credit card slips or statements are not preferred as evidence of business expenditure. A VAT receipt must include the name and address of the retailer, the retailer's VAT registration number, the date of the purchase, details of what goods or services have been purchased and the VAT inclusive value of those goods or services in sterling. A VAT registration number consists of nine digits.
# Submitting a claimable expense
If you did not use a company card to pay for the expense then you will need to claim this back. Alongside the expense receipt, you can add your purchase to Kashflow so that we can reimburse you. If you have not done this before, see the Finance Team and we will take you through the process.
Once you have logged your purchase on Kashflow, let the Finance Team know and we will make sure it gets paid!
# Logging a rechargeable expense for a Project
In some cases, we incur rechargeable expenses on a project. This will almost always be for travel or accommodation.
We will recharge for project expenses at the beginning of the month along with billing for project work.
To log an expense, go to https://agilecollectiveltd.harvestapp.com/expenses (opens new window) under Timesheet and then “Add expense”. Assign a client, project, date, amount and category to the expense.
We are all responsible as a team for logging our expenses, it is not just up to project managers to do this but they should ensure that expenses are logged correctly by the end of the month in the same way as project hours.
# Help with expenses
If you have a problem completing your expense claim, please see the Finance Circle.
Wherever practicable, audio conference facilities and video conference facilities should be used as an alternative to travelling.
# Modes of transport
When travelling, bikes or public transport should normally be used where available.
# Travelling in UK or EU
For travel within mainland UK and to/from European destinations, rail, car or coach are the preferred modes of travel over air. Proposed exceptions to this should be raised for wider discussion.
Significant savings can be obtained by specifying outward and/or return journeys at time of booking.
# Upgraded travel
Upgraded travel, i.e. above economy, is not appropriate for journeys of less than four hours. For longer journeys upgraded travel may be justified for business needs and, in very exceptional circumstances, on health grounds. A request should be made to members in a timely fashion stating the reasons for the upgrade.
Minicabs or taxis can be taken for business purposes if it is the most cost effective means of transport. A final destination must be specified for all bookings. Travel by minicab or taxi is not ordinarily appropriate for journeys over 40 miles.
Black taxis are more expensive than minicabs and they should only be booked as a last resort. Where taxis are hailed the cost can be recovered through an expenses claim.
# Ineligible travel expenses
You are expected to meet the full cost of all journeys between your home and your normal place of work.
# Mileage claims
It is possible to claim for business mileage costs:
|Miles per tax year||Car||Motorcycle||Bicycle|
|Up to 10,000 miles||45p||24p||20p|
|Over 10,000 miles||25p||24p||20p|
Although there is no direct relationship between fuel purchases and business mileage, where possible please submit a VAT fuel receipt with your claim in order to allow Agile Collective to recover VAT on mileage.
# Overnight accommodation
If you have to stay away from base overnight, the company will pay for the cost of a standard single room with bathroom facilities.
The cost of the room should not normally exceed the following limits:
|Cost per night (excl. VAT)||Cost per night (incl. VAT)|
|Bed and breakfast||£85||£100|
# Payments and claims
Bills for accommodation and any other expenditure incurred in the hotel (such as telephone calls and meals) must be paid for at the time of departure. Details of all valid expenses should be included in an expenses claim.
# Ineligible accommodation expenses
Items such as mini bars, bar bills, newspapers, hotel “videos” and gym fees are personal, cannot be claimed as business expenses and must be deducted from hotel bills, together with any associated service and taxes.
# Private accommodation
In circumstances where it is economical, workers may stay in private accommodation with family or friends. You may claim up to £20 per night (including breakfast).
# Subsistence whilst away from the office or staying overnight
Employees can charge small subsistence costs such as snacks, tea/coffee or lunch to the company when travelling to meetings away from the office. When necessarily away from base overnight, the company will reimburse the actual cost of relevant meals on presentation of receipts, up to the limits (including VAT and service) below:
|Meal Limit (incl. VAT & service)|
Guidance from HMRC is [here]. The above are not limits but rather guidelines but every effort should be made to make reasonable expenses that allow employees to eat healthily.
# Hospitality and entertainment
# Hospitality for meetings
Tea, coffee and soft refreshments should only be provided for meetings where the meeting needs to be for two hours or longer or when entertaining a person or organisation from outside Agile Collective. No alcohol can be provided.
# Entertaining business contacts
We recognise that it may be necessary to provide hospitality to business contacts from external organisations or subsidiaries. The level should be appropriate and not exceed £50 per head (including VAT and service); claims above this level will only be granted in exceptional circumstances.
# Staff entertainment
Any staff entertainment must be approved in advance. The entertaining should be appropriate.
# Christmas parties and annual events
It is recognised that at certain times of the year a social occasion may be appropriate. Annual events such as Christmas parties are tax deductible as long as all employees are invited and it costs under £150 per head.
# Other entertainment
Any other staff entertaining should be for an appropriate business purpose and not exceed £25 (including VAT and service) per head. Examples of appropriate business purposes may include drinks after a major contract win, an end of series party or ad hoc team drinks to reward exceptional effort. Occasional team building events might be considered appropriate.
# Away days and conferences
When staying overnight, workers may pay for and claim back the cost of a drink before dinner and drinks with dinner within reason. Any other alcoholic refreshments are at the delegates’ own cost.