Time And Expense

Term Definition
Time and Expense is the process of recording and tracking hours worked and expenses as they relate to projects.

Time and Expense software applications may provide multiple timesheet and expense views, configurable work time, overtime, approval, and expense reporting policies allow organizations to effectively collect and manage time and expenses based on their unique requirements. Time and expense software applications may be one component of a time and billing software solution. Time and billing software enables companies to reduce errors, duplicate entries and administrative overhead. It can also reduce the amount of time it takes to collect and report project data; manage timesheets and remote data entry. With automation, you can reduce your days sales outstanding (DSO) and increase resource utilization. Time and expense software will also assist you in forecasting  Did they mean “projects”? more accurately.

The benefits of time and expense tracking systems include:

• It can reduce administrative overhead, payroll and invoice preparation time by as much as 80%.
• Provides real-time reports and collaboration to improve project tracking and reporting and thus enhances communication and operational efficiency.
• Enforce the organization's time and expense policies at point of entry
• Ensures compliance with employment laws, as well as other governance and compliance requirements.
• Allows organizations to manage their businesses more profitably.
• Access reports on detailed data that is critical for efficient time and project accounting management.
• Streamline the management process and control project performance
• Simplify the timesheet and expense report entry process, making it a very user-friendly task

Time and expense applications may be one module in time tracking software or part of a project management software application. Time and expense applications are used in professional services organizations such as legal, engineering, accounting and hi-tech consulting firms where detailed time and expenses are tracked and billed to specific customers.

Area of Application
Project Accounting
Time and Billing

Related Terms
Online Timesheet
Timecard

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