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Still Collecting Receipts Manually in 2024?

Ratnika Sharma
Posted by Ratnika Sharma on Jan 23, 2024 8:15:11 AM

It is 2024! It is not news, we know. But are you still chasing your employees and clients for paper and email receipts? Are you still staring at shoeboxes full of fading receipts and shuddering at the thought of opening them?

You know it is not ideal because of the insane amount of time and money lost on it.

But don’t worry. All hope is not lost. It is time you said ‘enough is enough’ and stop this manual receipt chase. There are better ways to collect receipts, which are more efficient and can save your business time, money, and resources.

Let us quickly summarize why manual receipt collection is not ideal before we delve into why automation is the way forward.

Pitfalls of Manual Receipt Collection 

Time-Consuming and Error-Prone: Manually collecting and entering receipt data is time-consuming and opens the door to human errors. From illegible handwriting to misplaced receipts, the manual process often results in inaccuracies that can lead to financial discrepancies. 

Lack of Real-time Visibility: Manual processes lack the real-time visibility offered by automated systems. Waiting for physical receipts to be collected, submitted, and processed hinders quick decision-making and financial analysis. 

Lost or Misplaced Receipts: Physical receipts are susceptible to being lost or damaged. This not only creates challenges in maintaining accurate records but also poses a risk in the case of audits or compliance checks. 

Limited Accessibility: Manual receipt systems limit accessibility, especially in remote or decentralized work environments. Collaborative and flexible workplaces require digital solutions that enable employees to submit receipts from anywhere, at any time. 

Difficulty in Organizing Receipts: Did you know that the manual process of sorting, verifying and coding receipts takes an average of 8 minutes per receipt? Extrapolate this to organizations processing thousands of receipts in a month. It translates to a staggering 8000 minutes or 133 hours! Time you could have saved by simply choosing a better way to collect receipts. 

Embrace Automation in Receipt Management: 

Text-based receipt submission: Did you know you can now submit receipts via text messaging? You heard it right. All you have to do is click a picture of the receipt and reply to the text you receive immediately on your phone. 

Automatic credit card reconciliation: Did you know there are EMS tools that now directly integrate with Amex, Visa, and Mastercard? This means that each time you swipe your card, you get notified of the transaction and it gets automatically reconciled. Cutting down your reconciliation time from days to just 2 minutes! No more dependency on delayed statements or broken bank feeds. 

Digital Receipts and OCR Technology: Automated receipt management systems leverage Optical Character Recognition (OCR) technology to extract information from digital receipts accurately. This eliminates the need for manual data entry and significantly reduces the risk of errors. 

Real-time Tracking and Reporting: Automated systems provide real-time tracking and reporting capabilities. Managers can gain instant insights into spending patterns, identify trends, and make data-driven decisions without delays associated with manual processes. 

Enhanced Compliance and Security: Automated systems often come equipped with built-in compliance checks and security measures. These ensure that expense policies are consistently followed and sensitive financial data is protected. 

Integration with Accounting Software: Modern receipt management solutions seamlessly integrate with accounting software, streamlining the overall financial workflow. This integration reduces duplication of effort, minimizes the risk of errors, and accelerates the entire expense management process. 

Look for tools that seamlessly and bidirectionally sync with your accounting software, are easy to use, and automate the entire process. With platforms like Fyle, every expense is automatically coded against your Chart of Accounts, GL codes, Projects, and more. 

In conclusion: 

In 2024, the era of manual receipt collection is a relic of the past. Embracing automated receipt management not only addresses the shortcomings of manual processes but also positions businesses for greater efficiency, accuracy, and adaptability. 

It's time to break free from the constraints of outdated practices and usher in a new era of streamlined, digital expense management. Don't let manual receipt collection hold you back – make the leap into the future of financial efficiency. 

Sponsored Content: This article is generously brought to you by one of our valued sponsors. Their support enables us to continue delivering expert insights and the latest industry trends to our dedicated community of accounting professionals.

Topics: Modern Practice


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