Make Credit Card Reconciliation Easier with Outpave
It’s the end of the month - a time your accounting department dreads. Why? Because the end of the month means reconciling credit card accounts and generating expense reports. Anyone who has worked on the finances of a construction or trades business will tell you that account reconciliation is a pain. It takes a lot of time and effort to gather all the data, enter that data into the accounting program, and then file all the documents away. But why? Why is keeping your books up to date such a hassle?
Key Challenges of Credit Card Reconciliation
High Volume of Transactions
Construction companies often handle multiple projects at the same time, each requiring materials, equipment, and labor. These expenses are spread across various sites and involve numerous transactions. Many construction companies issue corporate credit cards to project managers, foremen, and other personnel to facilitate on-site purchases. The sheer number of transactions that take place daily can make reconciliation difficult, especially when expenses are not logged or categorized promptly. For instance, reconciling transactions for materials purchased from different suppliers or tracking fuel expenses for a fleet of vehicles can quickly become overwhelming without an organized system in place.
Decentralized Purchasing
In construction, it’s common for purchasing decisions to be made on the spot. Project managers, site supervisors, and employees often make purchases independently of the central office, using corporate credit cards to buy materials, rent equipment, or pay for services. This decentralized purchasing system, while necessary for efficiency, creates a challenge for the accounting team, as they must track and verify each transaction. With multiple individuals making purchases, there is a greater risk of miscommunication or missing receipts, which makes it harder to match each expense with its corresponding project or budget line item.
Inconsistent Record Keeping
Construction sites are fast-paced environments where documentation can sometimes fall by the wayside. While accurate record-keeping is essential for credit card reconciliation, project managers and field personnel may not always submit receipts promptly or categorize expenses properly. This creates gaps in the financial data, which complicates the reconciliation process. Furthermore, inconsistent documentation can lead to confusion when trying to identify which project a particular expense should be attributed to. Inaccurate or incomplete records make it difficult to track budgets and control costs, which can lead to overspending.
So, How can Outpave Help?
Outpave’s expense management software offers a centralized location for expense tracking, documentation, and review. Here are some of the features we offer that can decrease the amount of time you’re spending on account reconciliation.
Issue Multiple Cards
Outpave’s system allows you to issue multiple cards to employees and contractors. So you can issue different cards to different contractors working on other projects. This helps you keep project spending separated, making it easier to track which expenses go with each project you are currently running. You can also issue specific fleet cards that can only be used for fuel purchases.
Digitally Scan Receipts
Once you’ve issued the cards, your contractors and employees will now be able to scan receipts at the time of purchase in the Outpave app. Each transaction can then be assigned to a project and categorized - all in less than a minute.
Integration with Accounting Software
Outpave is easily connected to many different accounting and project management software. So once the expense data is collected in the app, the data can easily and quickly be imported into your existing processes.
Get Started Today!
So why wait? Sign up for a demo today. Don’t forget to follow our social media channels for more information about how Outpave can improve your financial management processes.
