Part 2: No More Reimbursements: Giving Employees Instant Access to Funds

Executive summary

Why are reimbursements a problem?

Because they force employees to front company costs, delay visibility for finance, and create unnecessary admin.

What happens when reimbursements are removed?

Employees gain instant access to pre-approved funds, while finance maintains control and real-time oversight.

How can CFOs make this shift?

By replacing reimbursements with virtual and physical company cards linked to budgets and automated rules.

Introduction: The burden of out-of-pocket costs

Reimbursements are a relic of slower finance processes.

Employees often pay for travel, software, or supplies with their own money, then wait weeks to be repaid.

For staff, this creates stress. For finance, it creates blind spots — spend is invisible until the reimbursement claim arrives.

The result: frustration on both sides.

Section 1: Why reimbursements fail everyone

Reimbursements create three core problems:

• Cash flow stress for employees — fronting costs reduces morale.
• Delayed visibility for finance — spend only surfaces after reimbursement.
• Excessive admin — chasing receipts, coding claims, and validating compliance.

What feels like control is actually a loss of control.

Section 2: The hidden risks of reimbursements

Beyond inefficiency, reimbursements create risk:

• Policy breaches — out-of-policy spend slips through after the fact.
• Duplicate claims — mistakes or fraud go unnoticed until later.
• Audit pain — records scattered across claims, receipts, and emails.

Finance ends up doing detective work instead of proactive oversight.

Section 3: A real example of change

A childcare provider told us staff were covering expenses for activities and waiting weeks to be reimbursed. Not only was it stressful, but finance only learned of the spend after the event.

After introducing expense management software with virtual cards:

• Employees accessed pre-approved budgets instantly.
• All purchases were visible in real time.
• Receipts were auto-matched to transactions.

The CFO’s words: “We gave staff freedom without losing control — and eliminated reimbursements overnight.”

Section 4: The cultural shift with instant access

When reimbursements disappear, trust grows:

• Employees feel supported instead of penalised.
• Managers see fewer bottlenecks and faster execution.
• Finance regains visibility and reduces manual workload.

Instant access to funds doesn’t mean less control. It means smarter, real-time control.

Section 5: How to eliminate reimbursements

CFOs can remove reimbursements by:

1. Issuing virtual or physical cards — funds tied to individual employees or departments.
2. Setting budget limits — allocations by project, team, or timeframe.
3. Automating compliance — receipts matched and rules enforced at the point of spend.
4. Tracking in real time — every transaction visible instantly.

The result is trust, accountability, and efficiency — with reimbursements consigned to history.

FAQ

Why are reimbursements inefficient?

They delay visibility, increase admin, and place financial stress on employees.

How do company cards improve control?

They provide instant access to approved funds while enforcing budget rules in real time.

Is there a risk employees will overspend?

Not when cards are tied to pre-set budgets and compliance rules.

What’s the cultural benefit of eliminating reimbursements?

Employees feel trusted and supported, and finance maintains visibility.

Do reimbursements have a place in modern finance?

Not when platforms provide real-time expense control and automated reconciliation.

Conclusion: From delay to real-time control

Reimbursements belong to the past. With instant access to pre-approved funds, finance leaders remove stress, improve culture, and regain visibility.

The reflective question: are reimbursements still holding your finance team — and your employees — back?