You’ve just landed a job that offers employees a corporate credit card. Several large companies offer corporate business credit cards. These credit cards are linked directly to the company. You, as an employee, can use the credit card for business-related purchases. Continue reading below to understand how you should go about using your new corporate credit card.
Save Your Receipts
The money you spend on a corporate credit card will be tracked by the company you work for. However, you should do your part and track your spending as well. Save your receipts to ensure you can back yourself up for any reason. This way, any time you are asked to pull up a history of corporate credit card use, you have proof on hand. While having a company credit card allows you to have some freedom with your spending, saving your receipts is one way to be smart about your expenses.
Understand What Your Company Allows
Different companies have different rules to their corporate credit cards. Corporate credit cards do not allow their employees free reign with their spending. Some allow only travel-related expenses, while others approve purchases for buying supplies for an office party through the accounts payable budget. If you have any questions, you should go to your supervisor before making a purchase. Make sure you are one hundred percent certain before making a purchase when it comes to corporate card spending.
Manage Your Spending
A common issue that often comes with corporate credit cards is employee abuse with the credit card. For example, simply because your corporate credit card allows you to use your card on business travels, does not mean that you can use it for everything in your travel. For example, while you might be able to purchase a meal from your hotel, you likely would not be able to put the hotel’s spa services on the corporate travel credit card. Unless specifically stated by the company, you should not use the corporate credit card for your own recreational activities while on travel. This goes hand-in-hand with knowing what your company allows and what your company does not allow for the corporate credit card.
Know Your Spending Limits
Corporate credit cards do impose spending limits on their employees. As corporate card statements are tracked, you will want to know what your monetary limits are on the card. You don’t want to get stuck during your travels having charges declined, and then paying the rest out of pocket. By knowing your spending limits, you will be able to gauge your spending in a smarter way.
Do not be afraid to ask questions. If you need any kind of clarification on company card use, it is better to be safe than sorry. Make sure you ask your boss if there are any questionable instances you will need to use your company card. Since corporate credit cards are an important part of where companies place trust in their employees, you want to make sure you are using the company card properly.
There are certainly benefits to using a corporate credit card, but you should be smart about how you use it. While it gives you the freedom to make business-related purchases on your own, you do need to have a smart sense of managing your corporate card spending. The nature of corporate credit cards gives employees freedom while still having their expenses tracked. Keep your integrity with the company high by handling the corporate credit card in a smart, efficient way.