Using expense claims for your daily allowance or mileage
If your organisation doesn't use payroll in Xero, here's how you can claim your daily allowance or mileage using expense claims.
Daily allowance claim
If you claim a daily allowance without submitting individual receipts you might like to consider these guidelines for doing this in Xero (although you can manage this in whatever way best suits your organisation).
Add a receipt and use the following suggestions for claiming for a daily allowance:
- Add one receipt for the daily allowance for the one or more days the allowance is for.
- Enter your name in the Receipt from field.
- Enter per diem or daily allowance or something similar in the Description field.
- Enter the amount and relevant account that your organisation uses for allowances like this.
- Choose the No GST option (for this type of expense claim only).
If your organisation allows you to claim a travel allowance or mileage without submitting individual receipts, you might like to consider this suggestion for doing it in Xero. Your tax authority or country's company legislation or company policy determines the rates and when you can claim.
Add a receipt and use the following suggestions for entering mileage:
- Add one receipt for your mileage for the month.
- If you made several individual trips that you need to itemise, enter each trip on a different line.
- Enter your name or travel allowance in the Receipt from field depending on how your company likes to receive these receipts.
- Enter mileage or travel allowance and/or the details of the trip in the Description field.
- Enter the number of kilometres or miles in the Quantity field and the mileage rate provided by your company in the Unit Price field.
- Choose the tax rate applicable for mileage claims, in many cases this is likely to a rate that does not incur sales tax, for example, GST-Free Expenses (for this type of expense claim only).