If your organization is using the Advances module on Fyle, as an admin or finance user, you can use any unused/remaining advance amounts issued to your employees while processing their expense reports. By doing so, you can close the remaining advance amount against reimbursable expenses, eliminating the need to collect a refund for the unused amount.
For example, if you issued your employee Jessica an advance of $600, out of which she used only $300. So, she has $300 remaining in her advance wallet. Next, Jessica separately submits an expense report with out-of-pocket expenses worth $500 that need to be reimbursed to her. Now, instead of paying back $500 to her, you can reduce $300 from her unused advance balance and only pay the remaining $200 to her.
Jessica has an advance balance = $600
She uses $300, remaining advance balance = $300
Jessica makes another expense using her personal card = -$500
Now, you can either collect $300 back and pay $500 to Jessica in 2 steps. Or, you can directly pay $500-$300= $200 to her.
This simplifies your advance closure and reimbursement process, eliminating multiple steps required to separately close any pending advance balance and process any expense report from the same employee.
Let's see how you can easily do this within Fyle.
Steps to process expense reports using unused advance balances
On the Reports page, you can see all the expense reports that are ready to process under the Approved tab.
For each expense report, you can find the reimbursable amount in the Reimbursable Amount column. For any employee that available balance in their advance account, you will be able to see an option to Apply Advances under the reimbursement amount.
On the expense report on which you want to apply advances, click on Apply Advances. You will be able see the available advance amount, and the reimbursable amount that will remain once the advance is applied.
In the above example, on clicking on Jessica's submitted report with reimbursable amount $500, you can see that she has an available advance balance of $300. If you choose to apply this balance, the reimbursable amount will accordingly get reduced to $200.
Click on Apply to apply the available advance amount.
On successfully applying the advance balance, you can see the updated reimbursement amount for the expense report.
You can now proceed to process the expense report as usual, by clicking on Start Processing, and pay the adjusted reimbursement amount to the employee.
In case by applying the advance balance, there is no reimbursement amount left, you can directly close the expense report by clicking on Mark as Closed.
In case you want to remove any applied advance and revert the reimbursement amount to the original amount, you can do so by clicking on the Applied Advances, then clicking on Remove. This will successfully remove the applied advance balance.
