7 Credit Card Tips to Make Business Travel Easier
Business travelers need credit cards. Credit cards are the easiest way for your employees to keep track of travel expenses. It will usually save you money, too.
A lot can go wrong with credit cards. That’s why it’s important to stay on top of things. You don’t want to waste money.
Here are five credit card tips for your business.
- Know Your Options
There are lots of credit card offers out there.
Many credit card companies offer deals specifically for business clients.
See what the options are. What works for one business won’t work for another. You need to know what kind of benefits and expenses you want.
If your employees travel frequently, you might want one with more perks.
Airline lounges are expensive, but they make travel easier.
International travel is complicated. Some credit cards have international transaction fees. You don’t want that if you travel abroad a lot.
Look into cards that offer reward points.
Turning down reward points is just saying no to free money.
Some employees might need multiple cards. Not all credit cards are accepted universally.
The more options you have, the better.
- Understand Taxes
Taxes are complicated even without travel.
If you’re crossing a state line or an international border, taxes turn into headaches. You need to stay on top of the latest tax regulations. Ask your legal team what your options are.
Talk about tax options with your employees.
Give them information about things like per diem taxes.
They want to save money just as much as you do.
Your employees might be spending some money out of pocket. They will want to write that off for tax purposes.
Tax laws change frequently. They also vary from state to state.
It’s best to hire an accounting team to take care of this.
Messing up on your taxes could get you into legal trouble.
That would make travel very expensive.
Review your policy with your employees.
Make sure they know what they can and can’t spend money on.
Some employees like to splurge on the company’s credit card. That’s not good for you. Give them incentives not to spend too much.
When someone overspends, talk about it.
Ask them why they made the decisions they did. Sometimes it might make sense to buy an expensive dinner. It could help you land an important client.
If you have to cut certain amenities, explain this.
People are under stress while traveling. But they are understanding.
Remind your employees that this isn’t a vacation. It isn’t meant to be easy.
Communication goes two ways. When your employees have a complaint, listen to it. They probably have good reasons for complaining.
Be flexible with your policy. No one can write a perfect travel policy.
That’s because no two trips are exactly the same. A trip to Vegas isn’t going to be the same as one to Shanghai. You’ll need flexibility within your policy for variation.
Stay consistent as possible while being flexible.
- Accounting Software
Accounting isn’t easy, and accountants are expensive.
Having a good accounting software like this one will help you out.
There are some types of free accounting software.
Choose a software that is easy for you to use.
Time is money. Don’t waste time or money by spending hours accounting. Let an expert do it for you.
Computers do make mistakes. You’ll need to double-check everything.
However, you’ll be saving a lot of manual labor.
Have someone else check your work for you. Four eyes are always better than two.
Accounting is something you can’t risk making mistakes on.
- Budget Wisely
Travel is expensive.
It can bring your business a lot of money.
But you need money to begin with. Budget well.
Have a flexible budget. You will have unexpected expenses. Markest can change quickly.
Leave some wiggle room in the budget for each trip.
This gives employees flexibility. They shouldn’t be afraid to spend money when they need to. Budget for the fact that employees might overspend.
It takes practice to figure out budgeting.
After a few trips, you’ll master it.
- Multiple Cards
Having multiple cards can get confusing.
But having more than one card will come in handy when traveling.
If you plan on traveling internationally, you’ll need more than one card. Not all cards are accepted everywhere. Most businesses other countries won’t accept American Express.
It’s always good to have a backup.
That way if one card is declined, you have another option.
Make sure to have backup personal cards as well. The chances are you’ll want to do some shopping for yourself. You could run into the same problem.
Having multiple cards also maximizes your chances at rewards.
Check into what cards offer the best travel reward options.
Most airlines offer credit cards for frequent flyers. This is the best way to save money on flights. You’ll earn miles for every dollar you spend.
Large hotel chains sometimes offer credit card deals, too.
Try and get a different type of deal for each card that you have.
Not using reward points is essentially saying no to free money.
The only problem with having lots of cards is that they can be hard to keep track of. Write down all of your expenses and record which card you used.
Always make sure to pay your credit card bills on time.
- Separate Wallets
Don’t mix personal expenses with business expenses.
Having a separate business wallet for travel prevents confusion.
Keep your business credit cards in your business wallet.
Don’t put any personal items. Otherwise you’ll just mix things up.
It’s also good to spread out your cash.
Keep some cash in both wallets. You never know when you might need some.
A business wallet is a great place to keep business cards.
It’s always good to carry business cards with you.
You never know when you might meet a good contact while traveling.
Credit cards are essential for business. You need a good credit card policy for your company