Standard Operating Procedure: Expense Reimbursement Process

This Standard Operating Procedure (SOP) outlines the mandatory protocols for Loyola University Chicago employees, faculty, and authorized guests seeking reimbursement for business-related expenditures. Adherence to these guidelines ensures compliance with institutional fiscal policies, accelerates the approval workflow, and facilitates timely disbursement of funds through the university’s financial systems (such as Chrome River or SAP Concur). All claimants are responsible for maintaining accurate records and submitting documentation within the university-mandated fiscal window.

Phase 1: Pre-Submission Preparation and Documentation

• Verify Expense Eligibility: Consult the Loyola Travel and Expense Policy to confirm the expense is reimbursable (e.g., business meals, conference fees, authorized travel).
• Secure Original Receipts: Ensure all receipts are itemized. Credit card slips showing only the final total are insufficient; the receipt must show the date, vendor name, itemized list of goods/services, and proof of payment.
• Digitize Documentation: Scan all receipts into high-resolution PDF or JPEG formats. Ensure text is legible.
• Check Currency Conversions: For international expenses, provide the exchange rate used (e.g., OANDA or credit card statement) at the time of the transaction.
• Obtain Prior Approval: If required by your specific department, ensure an approved Travel Authorization (TA) form or email confirmation is attached.

Phase 2: Form Completion and Submission

• Access the System: Log in to the Loyola portal and navigate to the Expense Management module.
• Create New Expense Report: Enter the correct "Business Purpose." Be descriptive (e.g., "Airfare for 2024 Conference in Chicago" rather than "Travel").
• Categorize Expenditures: Map each expense to the correct GL (General Ledger) account code as provided by your department administrator.
• Allocate Costs: If the expense is split across multiple cost centers or grants, ensure the allocation percentages or amounts are accurately reflected.
• Attach Justification: Attach a brief memo or provide a comment explaining the "Who, What, Where, When, and Why" of the expense if it is unusual or requires additional context.
• Digital Certification: Review the summary for accuracy and electronically sign/submit the report for manager approval.

Phase 3: Tracking and Reconciliation

• Monitor Workflow: Track the status of your report in the system (e.g., Pending Manager Review, Pending Finance Review, Paid).
• Respond to Inquiries: Monitor your Loyola email for requests for additional information or clarification from the Finance Department.
• Verify Payment: Upon notification of final approval, allow 5–7 business days for the funds to be deposited into the bank account on file.

Pro Tips & Pitfalls

• The "Itemized" Rule: Never submit only the "Total Due" credit card receipt. Loyola auditors strictly require the itemized breakdown. If lost, you must submit a "Missing Receipt Affidavit."
• Submission Deadlines: Expenses must be submitted within 60 days of the transaction date. Submissions beyond this window may be denied or categorized as taxable income by the IRS.
• Tax Exemption: Loyola is a tax-exempt entity. Always present the tax-exempt certificate when making purchases within Illinois to avoid paying unnecessary sales tax. Reimbursements for sales tax paid in Illinois may be rejected.
• Alcohol Policy: Be aware that university funds often cannot be used for alcohol unless specifically authorized by a department head or donor fund guidelines.

Frequently Asked Questions (FAQ)

Q: Can I get reimbursed for a meal with a colleague? A: Yes, but you must provide a list of attendees and the business purpose of the meeting. Ensure you are within the per-diem or maximum expenditure limits defined by your department.

Q: What happens if my expense report is sent back to me? A: Review the comments provided by the approver. Most often, the report is returned due to missing receipts, incorrect account codes, or a missing business justification. Address the specific comment, update the report, and resubmit.

Q: How do I handle expenses paid by another person? A: Generally, only the individual who incurred the expense can be reimbursed. If a group expense was paid by one person, that person must file the report and list the other attendees as beneficiaries of the business expense.