How best to reimburse employees for expenses
April 11th, 2008 kmr2Read an interesting blog post from a couple of months ago about making sure you’re not taxed twice on out of pocket expenses. The crux is that sometimes employers who reimburse their employees through payroll additions may make mistakes and withhold taxes on those reimbursements (which of course is wrong.)
That’s actually why we built Paybackable to handle online experts reports as bills that get submitted to the employer for payment. That way, it doesn’t go through payroll. In fact, if you use the export to QuickBooks feature, it actually creates a bill payable to the person submitting the expense report. No payroll confusion.