The Essential Travel and Expense Policy Checklist

A well-crafted travel and expense (T&E) policy is the cornerstone of a managed travel program. It provides clarity for employees, ensures fairness across the organization, and gives finance teams the control they need to manage one of the largest controllable corporate expenses. However, many companies operate with outdated or incomplete policies, leading to confusion, non-compliance, and budget overruns.

Use this essential checklist to audit your current policy or to build a new one from scratch. A modern T&E policy should be comprehensive, clear, and automated wherever possible.

✅ Section 1: Policy Introduction and Purpose

• [ ] State the Policy's Goals: Clearly articulate the purpose of the policy. This should include cost control, ensuring traveler safety (Duty of Care), and streamlining the travel and expense process.
• [ ] Define Who is Covered: Specify that the policy applies to all employees, contractors, and any other individuals traveling on behalf of the company.
• [ ] Emphasize Compliance: State that compliance with the policy is mandatory.

✅ Section 2: Booking and Reservations

• [ ] Mandated Booking Tool: This is the most critical element for control. State that all travel (flights, hotels, car rentals) must be booked through the company's official travel management platform (e.g., Routespring).
• [ ] Advance Booking Window: To secure lower fares, mandate an advance booking window. A common standard is 14-21 days for air travel and 7-14 days for hotels.
• [ ] Air Travel Guidelines:
  • [ ] Cabin Class: Specify the approved cabin class (e.g., Economy/Coach for all domestic flights; Business Class only for international flights over 8 hours with VP approval).
  • [ ] Lowest Logical Fare: Define what this means. For example, "the lowest available fare within a 2-hour window of the desired departure/arrival time."
• [ ] Accommodation Guidelines:
  • [ ] Price Caps: Establish dynamic per-night hotel price caps that vary by city. Avoid a single, global cap.
  • [ ] Preferred Properties: List any preferred hotel chains where the company has negotiated rates.
• [ ] Ground Transportation:
  • [ ] Rental Cars: Specify the approved car class (e.g., mid-size/standard).
  • [- ] Ride-Sharing/Taxis: Clarify rules for using services like Uber or Lyft.

✅ Section 3: Approvals

• [ ] Pre-Trip Approval: State that all trips require pre-trip approval from a direct manager before booking.
• [ ] Automated Workflow: Your policy should reflect that approvals are managed automatically through the travel platform.
• [ ] Approval SLA: Define how quickly managers are expected to approve or deny requests (e.g., within 24 hours).
• [ ] Escalation Path: Outline the process for trips that require a higher level of approval (e.g., trips over a certain cost threshold or requests for policy exceptions).

✅ Section 4: Payment and Expenses

• [ ] Payment Method: Clearly define how travel will be paid for. The best practice is a centralized payment system (e.g., a corporate card on file in the booking tool) for all major pre-trip expenses like flights and hotels. This eliminates the need for reimbursement for these items.
• [ ] Expense Reporting:
  • [ ] Submission Timeline: Mandate a deadline for submitting expense reports (e.g., within 15 days of trip completion).
  • [ ] Receipt Requirements: Specify the requirement for itemized receipts for all expenses over a certain amount (e.g., $25).
  • [ ] Non-Reimbursable Expenses: Create a clear, bulleted list of expenses the company will not cover. Common examples include:
    • Airline seat upgrades (unless medically necessary)
    • In-room movie rentals
    • Gym or spa fees
    • Traffic violations or parking tickets
    • Childcare costs
• [ ] Meals and Incidentals (Per Diems): Establish a per diem allowance for daily meals and incidental expenses to simplify reporting.

✅ Section 5: Safety and Duty of Care

• [ ] Emergency Contacts: Provide a clear list of emergency contacts, including the company's travel risk management provider and a 24/7 support line.
• [ ] Traveler Tracking: Explain that by booking through the official platform, the company can track traveler locations to provide assistance in an emergency.
• [ ] High-Risk Travel: Outline any special approval requirements or briefings needed for travel to high-risk destinations.

A policy built on this checklist, and automated through a platform like Routespring, will transform your T&E process from a source of frustration into a streamlined, strategic advantage.

Ready to automate your travel policy and take control of your spend?